BC Real Estate Law: How the coronavirus outbreak will impact Canadian real estate





Kelowna, BC: The BC Real Estate Law reports the facts behind the global coronavirus outbreak and its possible impact on the Canadian economy and real estate. With the seventh case of the virus recently confirmed in Canada, Canadians have begun speculating its impact based on memories of the Severe Acute Respiratory Syndrome (SARS) outbreak in 2003.  

According to the Special Report: The Coronavirus' Impact on Canadian Real Estate, Canadian real estate will see an immediate cool down with long-term lift due to:


·  Temporary, a small decrease in GDP growth
·  Increased immigration
·  Increased foreign capital
·   Increased demand
·  Leading to increased property values

These factors represent a buying opportunity now. The analysis shows the potential short-term impact on Canada’s economy including:

Canadian GDP remains forecasted at 3.3%, factoring in a -0.1% coronavirus hit
A slight decrease in oil prices
Stifled commodity prices
Disrupted industry supply chains
A slowdown in business sales
A decline in international travel to Canada
GDP growth is a strong indicator of an economy’s continued growth. Disruptions in GDP growth rates can affect real estate markets within an 18-month period, according to BC Real Estate Long-Term Real Estate Success Formula. These effects are already noticeable in highly competitive markets such as Toronto and Vancouver. The projected fear and concern surrounding the coronavirus is impacting trade, travel, tourism, and the Canadian economy. But, given historical and projected data, it could have less effect than anticipated. Sensationalized headlines have gone viral on social media, spreading misinformation and confusion, instilling panic in the general public. Meanwhile, Canadian public health officials have assured the risk of Canadians contracting the virus remains very low. It’s still premature to predict how the coronavirus outbreak will be resolved, but data suggests that panic will only worsen the country’s economic situation. There is reason to be alert, but there’s absolutely no reason to further raise alarm and cause more public fear. In fact, as a Canadian real estate investor, this may represent a buying opportunity for investors with a likely future positive lift in rental and housing markets. This analysis is by no means 100 percent accurate, but much like what happened to SARS in 2003, fear and panic are the biggest risks to the country’s economic and real estate outlook. These findings are based on BC Real Estate Long-Term Real Estate Success Formula that outlines the economic drivers and market influencers shaping the Canadian real estate market today,” says Peter Borszcz, lawyer and shareholder of Montgomery Miles & Stone Law Firm.“We hope the outbreak is contained, limiting both health and economic impacts. When the situation normalizes, one can expect an influx of Chinese immigrants and capital to Canada resulting in increased demand for real estate. For a myriad of reasons, including continued Canadian GDP growth, the coronavirus represents a buying opportunity for Canadian real estate.  In times like these, rely on trusted sources, like BC Real Estate Law Firm, to unpack these confusing and evolving situations,” adds Peter.

About the BC Real Estate Law Firm
BC Real Estate is serving Business law, real estate development and commercial real estate in BC’s Okanagan Valley
Peter has worked on numerous projects for business owners, developers, mobility and utility providers, and institutional lenders throughout the interior of British Columbia. Peter has extensive experience in the following areas: structuring co-ownership, joint venture, and limited partnership relationships for real estate development projects; representing institutional lenders in real estate financing transactions; representing parties in the acquisition and sale of wineries and agricultural businesses; assisting with the acquisition, sale, relocation, and purchase of liquor licenses; representing both landlords and tenants in commercial, retail and industrial leasing transactions and advising clients with respect to zoning, bylaw and other real estate regulatory compliance matters in the province of British Columbia.


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