Rent crunch to worsen

YOKO

Sun, November 4, 2007
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/ m" X6 g- W% h6 b  C' L6 xRent crunch to worsen
" H& v/ b; n7 I% z1 l, i9 b7 k0 YVacancy rate forecasted to dip to under 1%
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$ _7 \1 X6 t# G. o; r+ J7 kBy KEVIN CRUSH, SUN MEDIA

Think the rental market is tight now? Just wait until next year.
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9 l% X  u1 Y) p1 Y2 L5 }That's when the apartment vacancy rate in Edmonton is forecasted to dip below the current 1% - making it that much harder for already frustrated renters to find a place to live.

- I5 _7 S- k9 W! n# R7 }$ j"It's just getting retarded," said Jasmine, who asked her last name not be printed.

SIX MONTHS LOOKING

) k: D8 [$ j; ~6 L# x, xJasmine said she's already spent more than six months trying to find a decent place for her and her fiance to rent with no luck.
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) f6 W' w! e8 I" _4 D5 {. rFor now, the couple has been living with her brother and mother in a three-bedroom government-subsidized housing unit.
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They have been scouring the city for anything - but have found nothing in their price range, around $1,100.

3 S7 F5 O% o- W0 X9 Y"I graduated from college, but I'm still working two to three jobs just to supplement the rent payments," she said.
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According to new numbers from the Canada Mortgage and Housing Corporation (CMHC), the apartment vacancy rate for Edmonton is a minuscule 1%.
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; c: m+ G" L7 T3 NThe rent crunch isn't expected to get any better with the agency pegging the rate next October at just 0.8%.

A limited supply of new rental buildings is keeping the market tight, according to the CMHC's outlook for Edmonton, released this week. Apartments being converted into condos is further keeping a stranglehold on renters.

) g* C3 F2 D6 u, j+ mRates are staying high with the average rent for two-bedroom apartments at $950 a month, up from $877 a month in October 2006.

"With the rental rates being so high, you can only do so much," said Jasmine.

Making it worse, she has pets, and few places accept animals.

) R% y2 j0 t- D& k! g& j2 q) E9 EMeanwhile, house sellers are facing a crunch of their own.
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With a growing inventory, high prices, and wary buyers, houses can be on the market for months. The CMHC predicts listing periods will get even longer in the new year.
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"It's been slow," said Alana Schulte, whose Goldbar home has been up for sale since June.
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) h$ h: }6 x: L"Shoppers are shopping around a lot more now. They're taking their time. I have had one couple who have come in four times now, but they're not in any rush to make an offer."

/ h' g9 z, o# U" _0 K. Y, w% ROriginally listed at $450,000, in late August, she dropped her price to $400,000 to entice buyers. So far, there have been only lookers.

Schulte bought the house for $165,000 less than five years ago.

+ ?$ p  W" w  l: I  nHome prices skyrocketed because of investors buying up properties, said realtor Abe Hering.

& a  Q$ H9 E4 [& z3 hINVESTORS A HUGE FACTOR

- _) T- ]6 f" F" k# Q; v9 X"The investors were causing the market to spiral."

( d, c$ P' W: f$ w4 K) }3 u' Z0 Z  J6 _Those investors have left the market, leaving mostly people looking for a home to live in.

) ~. d" S- L/ o- RHering said there's just not enough of them to cause a real frenzy and they're often nervous about the high prices.
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; U# {2 e4 N7 _3 NThe Edmonton Real Estate Board recently reported the average single-family home in Edmonton sold for $399,555 in September, down 1% from the previous month.

水管工

现在是大家的日子都不好过:
8 J/ k% A  J  S* ]有房的, 房子在贬值.
没房的, 房租在上涨.

YOKO

I wondered that how much the rental would be going up for just two bedroom apartment next year???

人生几何

原帖由 水管工 于 2007-11-5 09:42 发表
现在是大家的日子都不好过:
; G: j) V3 a0 r0 f有房的, 房子在贬值.
没房的, 房租在上涨.

待不住了，还有一个字“走”。

YOKO

Don't be sad!