Author: Zoe Mitchell
For Canadians seeking to diversify their investments while enjoying personal lifestyle benefits, purchasing vacation properties abroad offers a noteworthy option. Such investments can combine financial returns with the perks of owning a private getaway in sought-after destinations. Investing abroad also comes with other practical advantages, making it well worth exploring these opportunities. Increasing Challenges of Investment Opportunities in Canada The dream of owning an investment or vacation property is becoming increasingly difficult to achieve domestically due to soaring real estate prices and limited inventory in sought-after regions. Expanding horizons to include vacation properties abroad offers an attractive solution, combining affordability,…
Canada’s economic outlook presents mixed signals, with strong headline job growth and rising hours worked contrasted by slowing wage gains, significant job growth among older workers, and persistent credit stress among households. December’s stronger-than-expected employment gains have prompted some to reassess the trajectory of the Bank of Canada’s rate policy; however, concerns about inflation and elevated debt levels persist. Employment Numbers December saw a significant 91,000 jobs added—the strongest monthly increase in two years and far exceeding expectations of 25,000. Gains were evident across key rate-sensitive sectors, including construction, manufacturing, and finance, insurance, and real estate (FIRE). Additionally, hours worked…
Leasing property abroad can be an exciting and lucrative venture, yet it also comes with a range of considerations that significantly affect rental income potential. From local demand to property management costs, investors need a comprehensive understanding of these factors to make informed decisions. Based on my experience investing abroad, I have found that there are key differences that investors should be prepared for, even if they’re already experienced with domestic investments. Understand the Market Demand and Seasonality To accurately assess rental income potential, you’ll need a clear view of the local demand for rental properties, including the type of…
New data reveals growing concerns about the impact of elevated interest rates on Canada’s economy, as debt levels remain a persistent challenge, according to a recent report from Edge Realty Analytics. As debt payments consume more income, households and businesses have less to spend or invest, leaving the economy more vulnerable. While recent indicators such as labour market performance suggest resilience, there are some underlying financial strain points that suggest potential vulnerabilities. Household Debt and Credit Stress The Edge Realty Report noted recent findings from the Bank of Canada that show an increase in households falling behind on at least…
When considering investing in vacation rentals, moving beyond the basics of market research and financial planning is essential to achieving a competitive edge and long-term success. Strategic business development is necessary, and requires a deep understanding of customer profiles, seasonal trends, local regulations, and financial planning. Understand the Market and Target the Ideal Guest Before committing to a property, conduct thorough market research and deeply analyze the vacation rental landscape. While high-demand areas like beach towns, urban centers, or scenic locales might seem appealing, successful investors consider all areas, including emerging areas, under-serviced locations, as well as hot spots, carefully…
Calgary’s short-term rental (STR) market has grown steadily over the years, so the City has initiated a two-year study, conducted by the University of Calgary, to assess the regulation of this key market and gain input on it. The study aimed to learn more about this market and how it impacts housing, neighbourhoods, and the city’s economy. The findings, which included input from surveys and public consultations, will be used to guide potential updates to Calgary’s short-term rental regulations. Calgary’s STR market, which includes platforms like Airbnb and VRBO, has been steadily expanding since 2017. As of September 2023, there…
