The cost of housing in new brunswick, Canada is notoriously low. From the slow-paced lifestyle to the large expanses of forest and thriving industries, New Brunswick has a lot more going for it than just the prices of houses.
But what are some reasons behind the cheap housing? Why have house prices decreased so much in recent years? And is there any hope for future price hikes? To find out, read this blog post to find out why houses have such a low cost in Canada.
New Brunswick has a long history of cheap housing. In fact, from 2001 to 2011, the price of a home in New Brunswick has decreased by an average of 10%. Compare that to the average increase of 36% for the country of Canada. What gives?
The main reason behind this is the increasing number of empty houses in New Brunswick. There are currently over 33,000 vacant houses in the province, which would make up a full 7% of all homes there!. That’s more than three times as many as in 1991. Most people believe that this is due to the low population growth and high unemployment rate that New Brunswick has been experiencing in recent years.
Another reason for the decrease may be due to the thriving tourist industry in New Brunswick. A lot of residents in the province travel out for their work, and therefore may leave their homes empty for weeks at a time. This has resulted in a sharp increase of seasonal homes. But even if it’s not vacant, a seasonal home will typically rent out at a much lower price than regular homes do.
As for the reasons behind an increase in house prices, it’s hard to say. However, there have been a few developments within New Brunswick that may be contributing to greater demand for houses. For example, several new housing developments are being built. The construction of these homes will add more houses to the market and likely cause prices to go up even further in the near future.
Another factor that contributes to declining housing prices is the government’s policy on allowing companies and homeowners with large reserves of money build a higher number of homes than they should be allowed to build. These are called “excessive reserve surplus” policies, and can bring down house prices by increasing supply in the market.
In addition, the federal government wants to build more housing units in New Brunswick, which will further increase the market supply and supplement demand. This project is called Habitat for Humanity Canada. The goal is to complete 70 new homes within six years’ time.
All in all, house prices are declining in New Brunswick largely due to a large number of vacant houses, high unemployment rates and their relatively poor economies. Even with new improvements to the economy and housing developments scattered across the province, there’s no telling when or if these rates will ever change.