As the Canadian real estate market is slowing, Halifax is experiencing an unprecedented surge in activity.
The average cost of a Halifax area home now sits at $339,000. Although that figure is low compared to other major Canadian cities, it is rising quickly. Lowering vacancy rates are pushing the price of land up, spurring development and making downtown homeowners wealthy.
Foreign buyers now represent a significant part of the Halifax real estate market. This should not be unexpected, as all major Canadian cities are seeing this happen. Although market speculation in Halifax is not even comparable to the amount seen in Toronto and Vancouver, it is no longer small enough to be ignored, and will likely become a political issue as time goes on.
Higher property values mean that the Halifax Regional Municipality will be taking in significantly more revenue, enabling them to invest more in important things like transit and roads. It will also make many seniors in our province richer, as most Nova Scotian seniors own their homes. I would suspect that we will see a spike in homes being sold, as seniors downsize and take advantage of the sellers market we are experiencing.