On Tuesday, the Bank of Canada announced that it was reducing its key interest rate by a quarter point.

Because of sharp declines in Canada’s stock market and the increasing fears over the state of the US economy the Bank of Canada was motivated to cut its key interest rate on Tuesday for the second consecutive month.

The bank reduced its overnight lending rate from 4.25 per cent to 4 per cent in the hopes of minimizing the effects of a potential US recession. In December, the Bank of Canada cut its benchmark rate by a quarter point, marking the first reduction in more than three years.

The Bank of Canada also indicated that additional rate cuts were likely soon.

“Further monetary stimulus is likely to be required in the near term to keep aggregate supply and demand in balance and to return inflation to target over the medium term,” the bank said in a statement.

This interest rate cut means cheaper borrowing costs for Canadians with variable rate mortgages, lines of credit and other loans with floating rates. However, fixed-rate mortgages are not likely to be affected directly as their rates are influenced primarily by movements in the bond market and not the Bank of Canada’s overnight rate. 

Rates on fixed mortgages have been fairly steady recently.  Even so, mortgage shoppers can’t go wrong with a mortgage pre-approval with a rate hold.  If rates drop, you’ll benefit from the new, lower rate.  If rates on fixed mortgages rise during the rate hold period, you still have your original lower rate.

Sebastian Albrecht, Vancouver Realtor with Royal LePage

According the Real Estate Board of Greater Vancouver, 2007 was the second busiest year ever (as measured by Vancouver housing sales). There were a total of 38,050 sales in Vancouver from January 1st, 2007 through to December 31st, 2007. That’s a 7.2% increase over 2006.

“The continued strength of the real estate market is a reflection of the economic vitality seen throughout the province. With overall wages on the rise and unemployment in decline, buyers and sellers are left with a healthy and strong climate in which to operate,” says REBGV president Brian Naphtali.

 Apartment sales were up in 2007 by 9.1% over 2006. For December 2007, Apartment sales were up a whopping 21.6% over the same period a year ago. The benchmark price of condominiums rose by 14.4% from December 2006 to $377,579.

Sebastian Albrecht, Vancouver Realtor with Royal LePage

The NY Times has written an interesting article on Vancouver. It’s from the Travel section and highlights the changing face of the city in the building boom prior to the 2010 Olympics:

http://travel.nytimes.com/2008/01/13/travel/13headsup.html?ex=1358053200&en=a9fcb9d578697f46&ei=5088&partner=rssnyt&emc=rss

Sebastian Albrecht, Vancouver Realtor with Royal LePage

Media Release

(Vancouver, BC. January 9th, 2008): A new method of real estate marketing is beginning to take root, enabling realtors, their clients, as well as the public to take full advantage of the internet. Traditionally, marketing methods have involved “push” techniques such as mail-outs and cold-calling but the shift is toward the “pull” of neighborhood or building specific websites.

Sebastian Albrecht of Royal LePage Westside currently markets his business on three separate websites, including two that are specific to a building or development in Vancouver, BC. His latest website, www.KingEdwardVillage.ca already features assignments and listings in Tri-Power Developments King Edward Village development located at 1402 Kingsway and 4078 Knight St.

Further expansion of this website is planned to include rental listings as well floorplans.

View each of Sebastian Albrecht’s niche websites: www.SebastianAlbrecht.com, www.KingEdwardVillage.ca, www.TheQubeCondos.com.

Media Contact:

Sebastian Albrecht
(604)831-4837
salbrecht(at)royallepage.ca

Sebastian Albrecht, Vancouver Realtor with Royal LePage