Market insights

According to recent data, the majority of these immigrants are young families and 60% of them fall under the business class, meaning they have high paying jobs. This is a significant factor that is likely to drive demand in the real estate market. Additionally, the interest rate cycle is almost at its peak, with some predicting that rates may decrease in the next three years, which will further drive demand. Despite this, the unemployment rate currently sits at 5.9% (versus the average of 6.9%) which may have some short-term effects on the market, though it is not expected to significantly change the overall demand. On the supply side, developers' sentiment is low, labor shortages are a concern, and material costs have risen, leading to challenges in the supply chain. Government policies, although well-intentioned, are not yet in sync and may take time to have a positive impact. As a result, the demand for real estate is expected to outpace supply, leading to a rise in prices. 

Although it is difficult to predict exactly how much prices will increase, it is estimated that in a high-interest rate environment, appreciation is around 4.5%. Assuming interest rates remain high for the next two years, a return of 8-10% can be expected. For those considering buying or upgrading their homes, now may be a good time to act before prices reach their peak. It's important to consult with a financial advisor to determine the best course of action for your individual situation.