Positive news alleviates housing market fear
By Michelle Denniston
The last few months have been full of bad news, frightening headlines and a generally disturbing view of world economic events.

Worries generated by the U.S. economy and it's housing crisis and the fear that we will be next have left many Canadians confused and fearful. Well there is good news. Canada has been shielded by the massive correction in the U.S. real estate market.

They have a significant sub prime mortgage market problem. WE DO NOT! That is the at the root cause of the U.S. housing crash and subsequently the worlds credit crunch.

Our banking community is ranked number one (October 8th, 2008) as the most stable and secure banking system in the World - the UK and the U.S. are ranked 40th and 44th respectively.

What we must remember is that real estate investment is fundamentally about providing a home for you and your family - over the long term. Whenever we consider housing as a short term speculative commodity, false markets can be created and with that comes a false sense of security and catastrophic economic results.

Yes, our stock market has seen a dramatic correction as global economies are so interconnected - but the TSE was the only market in the world to finish on the positive side after central banks cut interest rates (Oct. 7th) and rebounded dramatically

(Oct. 14th) because the fundamentals of the Canadian economy are strong.

A slowdown in housing sales from the very buoyant markets of the past ten years was quite predictable, but that's all that it has been a slowdown to more normal levels of absorption.

There has been no 'Housing Bubble' in Toronto and there will be no dramatic correction in prices as a result.

However, it will be a good time to buy! In crisis there is always opportunity. Fear creates confusion leading to a lack of confidence and indecision by the consumer - the instability of the credit and stock markets will pass. Consumer confidence may not rise noticeably until after the U.S. election, but it will rise, it will bounce back. The smart consumer will recognize that our economic base is strong, our housing opportunities exceptional and will be ready to take action.

Michele Denniston is a top producing Sales Representative for Century 21 St. Andrews Realty Inc. Michele possesses all the qualities people look for in an agent. She is a virtual dynamo, working relentlessly to stay ahead of the industry with her Advanced Technological Skills & Marketing Solutions. Her extensive Sales background has earned her repeated recognition in the industry.

Always accessible and in tune with her clients' needs & market conditions, she is fun to work with, committed & effective at closing a sale. Her "family" of devoted clients will attest to her dedication and determination.

Michele has lived, worked and raised her family in York Region for many years; there is no doubt that Michele's very attuned to the many communities within its boundaries. Giving back to the community is a priority and this year Michele and R.A. Construction Services have teamed up again for their 2nd Annual Holiday Skating Party in benefit of Yellow Brick House November 29th at the Nobleton Arena. For more information, please contact Michele at the numbers below.