MONTREAL, May 4 /CNW/ - The state of Quebec's real estate market was
examined earlier today in presentations moderated by Scotiabank's
Senior Vice President of Quebec and Eastern Ontario, Diane Giard.
Scotiabank Economist Alex Koustas and Scotia Capital's Director of
Portfolio Strategy, Vincent Delisle were joined by Dominic St-Pierre,
Director, Network Development, Royal LePage Real Estate Services to
share their views on the economy and markets, as well as the outlook
and trends for the Quebec real estate market.
During the forum, held in Montreal, keynote speaker Mr. St-Pierre
discussed some significant differences between the Quebec and Canadian
real estate markets: "While there are several global factors
influencing both markets, each has its own unique features and behaves
differently in terms of both real estate brokerage practice and the
performance of the market itself." During his presentation,
Mr. St-Pierre also expounded on:
How the Quebec real estate market outperformed the Canadian market
during the recent economic crisis;
How the increase in inventory, resulting mainly from the tightening of
the mortgage lending rules and expected rise in interest rates, should
restore balance in the housing market; and
How the changing demographic trends will play a role in the future of
Quebec's real estate market.
Mr. Koustas provided an overview of the Canadian and Quebec economies as
well as the outlook for the Quebec residential real estate market in
2011, and discussed the key economic, industry and demographic trends
that will shape the year ahead. Mr. Koustas observed, "Quebec's spring
real estate market is off to a reasonably healthy start, with demand
underpinned by low borrowing costs, steady employment gains and rising
immigration," said Mr. Koustas. "However a number of factors point to
somewhat lower sales volumes this year, including rising interest
rates, reduced affordability and a lack of pent-up demand."
Mr. Koustas pointed to several factors shaping Quebec's real estate
market this year:
Conditions are expected to remain fairly balanced, moderating price
increases going forward. Quebec's economy and housing market have not
been subjected to the same degree of volatility as other Canadian
High home prices, rising mortgage rates and tighter mortgage lending
rules will pinch affordability, especially for first-time buyers; and
More affordable property segments, including condominiums, will likely
be more active than the high end of the market.
The forum also included a presentation by Mr. Delisle who provided a
mid-year review of events impacting global financial markets and
discussed what to expect for equities in coming months.
"April equity performance was influenced by this year's two dominating
themes: a weaker U.S. dollar and the Fed's diverging monetary policy,"
said Mr. Delisle. "With risk-currencies hitting record levels and
commodity movements disconnecting, global equity performance was uneven
in April. Europe and the U.S. easily outpaced the rest of the world
based on local currency returns."
Highlights of Mr. Delisle's presentation include:
Earnings growth offers strong support, with global earnings showing
double-digit growth in all regions in 2011;
Canada and Mexico have been amongst the best performers in the last 12
months (in USD) as proximity to the U.S. recovery and neutral monetary
policy gave North American benchmarks an edge over emerging powerhouses
like Brazil, India, and China; and
From an asset mix and global equities perspective, strategically (next
12 months), we prefer equities to bonds, but our near-term tactical
view remains more cautious.
Today's presentation will be made available until June 1, 2011 at: http://www.snwebcastcenter.com/custom_events/scotiabank-20110414-en/site/
About Scotia Economics
Scotia Economics provides clients with in-depth research into the
factors shaping the outlook for Canada and the global economy,
including macroeconomic developments, currency and capital market
trends, commodity and industry performance, as well as monetary, fiscal
and public policy issues.
Scotiabank is one of North America's premier financial institutions and
Canada's most international bank. With more than 70,000 employees,
Scotiabank Group and its affiliates serve some 18.6 million customers
in more than 50 countries around the world. Scotiabank offers a broad
range of products and services including personal, commercial,
corporate and investment banking. With assets above $541 billion (as at
January 31, 2011), Scotiabank trades on the Toronto (BNS) and New York
Exchanges (BNS). For more information please visit www.scotiabank.com.
About Royal LePage
Serving Canadians since 1913, Royal LePage is the country's leading
provider of services to real estate brokerages, with a network of
14,000 real estate professionals in over 600 locations nationwide.
Royal LePage is the only Canadian real estate company to have its own
charitable foundation, the Royal LePage Shelter Foundation, dedicated
to supporting women's & children's shelters and educational programs
aimed at ending domestic violence. Royal LePage is a Brookfield Real
Estate Services Inc. company, a TSX-listed corporation trading under
the symbol TSX:BRE. For more information visit www.royallepage.ca.
For further information:
For media inquiries:
Patty Stathokostas, Scotiabank Media Communications, 416-866-3625, firstname.lastname@example.org
Denise Gagnon, Narrative Advocacy Media, 647-505-2483, email@example.com