Opinion Piece: What follows is nothing more than an “opinion piece”. That said, my “opinion” will make sense to some people
The real estate may be slowing but …
Canada’s real estate boom has been fueled by artificially low interest rates. The low interest rate environment has resulted in the following:
1. It has been harder to get a return from money and certain financial assets. This has been painful for people living on pensions and a small investment portfolio.
2. Low interest rates have lowered the cost of home ownership, which has increased the demand for real estate.
3. The increased demand for real estate has led to huge price increases.
4. The increase in prices has increased the cost differential between renting and owning.
5. Renting is now a comparatively better deal. This has increased the demand for rentals.
6. The ebb and flow (ups and downs) continues …
7. It is now harder to make a good living (the easy money is over) as a “real estate sales person”.
8. More and more “real estate agents” will seek other kinds of employment. Many of then will wish to reduce their costs by “Park their real estate license” with a broker who is NOT a member of “organized real estate“. Of course they will have to stop using the “trademarks owned by organized real estate”.
9. Some real estate agents will leave the profession completely. There will be less demand for “real estate as a career”.
10. Remember that your real estate license has economic value. You worked hard for it. You have invested lots of money in it. You have made lots of money from it.
The rules and procedures for getting an Ontario Real Estate license have changed in Ontario. Starting in 2019 “educational function” will not be handled by OREA but will be transferred to Humber College. I suspect that is will be more difficult and more expensive to earn an Ontario Real Estate license after Humber takes over the educational function!
Invest in getting you real estate sales and/or brokers license NOW while the program is still being run by OREA!
By beginning the process now you will acquire an asset with significant economic value at a time when it is easier to earn it!