Whats Canada got, that we don't got ?

Posted 13 August 2008 at 17:09

Posted in Property hot spots

Canada - Discover the beauty

Naturally, when you consider investing in overseas property you think of hot spots, Canada may not have all year round sun but it is definitely becoming a hot spot for property purchasers and investors alike.

Canada is set to become a real investment zone in the next couple of years as it opens the doors for foreign property purchasers looking to emigrate or take up holiday homes. With the Euro becoming a lot more expensive to buy, property hunters are now considering buying further afield. The introduction of a number of low cost airlines and flights has also helped put Canada on the map.

Its lifestyle attractions include hiking, camping, skiing, mountain biking, fishing and golf to mention just a few, what else could one want.

Areas to keep an eye on include:

British Columbia - Vancouver

Ontario - Toronto

Quebec - Montreal

According to recent figures there are three main contributing factors which have continued to drive strong house price growth in Canada,

Strong economic performances

High immigration levels

Low interest rates.

Current borrowing costs in Canada are around 3% which is significantly lower than countries like South Africa, Australia and New Zealand where interest rates are pushing 10%.

With relatively low mortgage rates and financial innovations, the mortgage market has expanded rapidly over the last five years, with more than 10% annual growth rate. The mortgage market is also expected to increase by 9% in 2008 and another 8.5% in 2009.