Steady growth expected in housing market

Hey there, time traveller!
This article was published 26/01/2015 (3382 days ago), so information in it may no longer be current.

New residential developments continue to pop up in Steinbach and throughout the Southeast. That trend is expected to continue, perhaps at a slightly slower pace than during the past five years or so.

Waldo Neustaedter from Century 21 reported a good 12 months for 2014.

“We think it was very good, it was very robust even though the figures trended downward a little bit,” said Neustaedter. “We’re down two house sales a month. It’s not a huge trend.”

Neustaedter was satisfied with their year 2014. With unit numbers up 10.1 percent over the previous year, it’s understandable to hear Neustaedter was satisfied with how 2014 shaped up for his office.

“And our dollar numbers were up 19.39 percent,” he added. “So it indicates a very strong market.”

He reports 2011 and 2012 as probably the strongest years Steinbach has ever had, crediting a strong showing of immigration. While immigration may have slowed in recent years, the population continues to grow as the children in these families grow up, get married and have children of their own.

Interest rates have also played a key role in the market.

“Interest rates stayed down even when everybody in the world said they were going to go up. We still think, over the long term, that interest rates will be staying as low as they are today.”

The biggest demand right now is for houses in the $200,000 to $240,000 price range and for country acreages.

“People are starting to seek out hobby farms of 80 acres with a decent home on it.”

When it comes to new residential developments in Steinbach and surrounding communities, Neustaedter sees a cooling trend.

“Everybody has experienced very good growth. Right now, I think there’s been a lot of residential lot development in Mitchell and Blumenort and I think there’s still a good demand but there’s a lot of supply. I think it’ll be steady but maybe not as hot as it was.”

It used to be normal for Mitchell to have one or two small scale developments but now the community has four or five developments happening right now.

“Everybody got into it because it’s hot and then you have more competition which is beneficial for consumers because it’s going to keep pricing down and they’ll have choices.”

Neustaedter feels this is good for the many blue-collar workers in the region who need affordable housing options.

“That’s the key to the community.”