Real Estate Market Greatly Affects Canada’s Economy

CALGARY, Alberta - April 8, 2014 - PRLog -- The recent annual Canadian Real Estate Association, or CREA, report highlights the importance of the real estate market and how it affects the entire Canadian economy.

The real estate market accounts for about $22 billion of Canada’s gross domestic product, while also being a leading factor in the country’s economic growth.

CREA’s chief economist Greg Klump emphasizes the importance of understanding true property values and the real estate market as a whole.

“If you’re a buyer, you certainly want to have an accurate picture of the environment out there. If your’e a seller, you certainly want to have an accurate picture, otherwise it’s tough to sell your home,” Klump said. “And for realtors, it matters because they have to know the environment in which they are operating.”

Housing Price Index (HPI) is one of the most valuable and effective tools that has enhanced economic research recently. HPI is the most accurate calculation of residential prices and market predictions. Over 2013, the number of real estate boards with MLS adopting the use of HPI has doubled.

Clients can gain access to HPI through their realtor, which will provide them with a list of home values in certain areas that contain properties with specific attributes, such as number of bathrooms, number of stories, parking available, and many more specifics.

There are multiple financial factors involved with buying and selling a home, that in turn, affects the entire economy of the country. This information is critical to financial institutions and government bodies in order to calculate the most accurate economic environment in Canada.

Tools like HPI are very useful to help create a much more detailed forecast of the market in targeted areas. Learning more about the national economy and HPI from your realtor can give you an edge when buying or selling your next home.

If you have any questions about HPI or you want to find the true value of your Calgary condo, please contact CIR realtor Karim Hassam at 403-689-9594 or at khassam@cirrealty.ca.