Rent crunch to worsen

YOKO

Sun, November 4, 2007
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Rent crunch to worsen
9 d, X/ ~; o7 l9 u. R1 wVacancy rate forecasted to dip to under 1%

( [4 F+ j- a" I$ \" c8 ^% b; R0 D! eBy KEVIN CRUSH, SUN MEDIA

Think the rental market is tight now? Just wait until next year.
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  \9 q3 g: ]  x6 w- k# J. V0 uThat's when the apartment vacancy rate in Edmonton is forecasted to dip below the current 1% - making it that much harder for already frustrated renters to find a place to live.

% s  ?8 d0 z% `: N, s/ t2 p"It's just getting retarded," said Jasmine, who asked her last name not be printed.

SIX MONTHS LOOKING

Jasmine said she's already spent more than six months trying to find a decent place for her and her fiance to rent with no luck.

  

For now, the couple has been living with her brother and mother in a three-bedroom government-subsidized housing unit.
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- q9 N( W3 g2 C- \They have been scouring the city for anything - but have found nothing in their price range, around $1,100.

$ u) H2 J& }$ [3 `# g"I graduated from college, but I'm still working two to three jobs just to supplement the rent payments," she said.
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According to new numbers from the Canada Mortgage and Housing Corporation (CMHC), the apartment vacancy rate for Edmonton is a minuscule 1%.
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) t  [+ i$ e1 r3 |9 MThe rent crunch isn't expected to get any better with the agency pegging the rate next October at just 0.8%.
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A limited supply of new rental buildings is keeping the market tight, according to the CMHC's outlook for Edmonton, released this week. Apartments being converted into condos is further keeping a stranglehold on renters.
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0 g( y$ K( Q$ D& k* j* VRates are staying high with the average rent for two-bedroom apartments at $950 a month, up from $877 a month in October 2006.

3 s, i  y' o5 K2 V! k"With the rental rates being so high, you can only do so much," said Jasmine.
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& D' }. |, Q/ j, yMaking it worse, she has pets, and few places accept animals.

Meanwhile, house sellers are facing a crunch of their own.
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! g+ s, J+ H, k5 C$ e5 rWith a growing inventory, high prices, and wary buyers, houses can be on the market for months. The CMHC predicts listing periods will get even longer in the new year.
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0 U3 E$ v* D- U4 ~' L2 {4 K# c"It's been slow," said Alana Schulte, whose Goldbar home has been up for sale since June.

# V  ]8 u# V8 V& Q3 H9 h) N% k2 y"Shoppers are shopping around a lot more now. They're taking their time. I have had one couple who have come in four times now, but they're not in any rush to make an offer."
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' v: N" n; N% E9 u: C0 gOriginally listed at $450,000, in late August, she dropped her price to $400,000 to entice buyers. So far, there have been only lookers.
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Schulte bought the house for $165,000 less than five years ago.

: ?5 y/ }* [+ ^, C. q2 S4 f) VHome prices skyrocketed because of investors buying up properties, said realtor Abe Hering.

+ e1 S& W! n9 R" ?0 zINVESTORS A HUGE FACTOR
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& \$ n# w' L) V8 l  L7 g- A"The investors were causing the market to spiral."
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  j+ a( `+ ?0 wThose investors have left the market, leaving mostly people looking for a home to live in.

& n  y( A! N4 u' w8 M" ?5 _! ?8 WHering said there's just not enough of them to cause a real frenzy and they're often nervous about the high prices.

7 ]5 M  n) J& b, H- h* [8 `) v7 o0 OThe Edmonton Real Estate Board recently reported the average single-family home in Edmonton sold for $399,555 in September, down 1% from the previous month.

水管工

现在是大家的日子都不好过:
  d9 R0 V1 F" }8 j  u有房的, 房子在贬值.
7 E8 h0 A- ?1 z0 S+ v8 c没房的, 房租在上涨.

YOKO

I wondered that how much the rental would be going up for just two bedroom apartment next year???

人生几何

原帖由 水管工 于 2007-11-5 09:42 发表
现在是大家的日子都不好过:
, W, _0 y% K  h有房的, 房子在贬值.
) d0 Y0 F0 F  E) r3 S$ B- Q没房的, 房租在上涨.

待不住了，还有一个字“走”。

YOKO

Don't be sad!