Rent crunch to worsen

YOKO

Sun, November 4, 2007

Rent crunch to worsen
Vacancy rate forecasted to dip to under 1%

' u! L& G5 T( \+ U3 M5 |By KEVIN CRUSH, SUN MEDIA
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Think the rental market is tight now? Just wait until next year.
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7 N- {, c7 g- C- r' w, R. J2 G7 cThat'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.

. z/ }2 r. R: M( J"It's just getting retarded," said Jasmine, who asked her last name not be printed.
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SIX MONTHS LOOKING
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Jasmine 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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+ q! H; h& ^/ _+ _5 WFor now, the couple has been living with her brother and mother in a three-bedroom government-subsidized housing unit.

They have been scouring the city for anything - but have found nothing in their price range, around $1,100.

4 W. `- E# N% @6 X"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%.

. j$ N! m; r% e: p8 K  mThe rent crunch isn't expected to get any better with the agency pegging the rate next October at just 0.8%.
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$ T" ?  b3 Y4 b8 |4 A% @0 \/ hA 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.

Rates 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.

- q" l2 V2 D- o9 `, _7 nMeanwhile, house sellers are facing a crunch of their own.
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' p) d3 @2 I9 e1 N. F8 @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.

"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."
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. H+ S# D6 W  h8 @Originally listed at $450,000, in late August, she dropped her price to $400,000 to entice buyers. So far, there have been only lookers.
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Schulte bought the house for $165,000 less than five years ago.
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Home prices skyrocketed because of investors buying up properties, said realtor Abe Hering.
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# R& c2 w1 S4 c2 D8 vINVESTORS A HUGE FACTOR
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+ N# E  a. ]4 `# F3 u. T, b"The investors were causing the market to spiral."

- @' }: K7 R6 g' [! YThose investors have left the market, leaving mostly people looking for a home to live in.

Hering said there's just not enough of them to cause a real frenzy and they're often nervous about the high prices.

) [  i  ]: a, T- W+ M# JThe 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:
有房的, 房子在贬值.
! ]; {2 g/ p6 H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
1 }, ^. X5 r: q  l* W现在是大家的日子都不好过:
有房的, 房子在贬值.
/ J! |; z+ [4 `0 J, e' |& ~* u  P% r没房的, 房租在上涨.

5 b0 q5 B; M8 {4 i% p待不住了，还有一个字“走”。

YOKO

Don't be sad!