Reader Michael asks, “Why are we Seeing an Influx of Canadian Buyers in the Phoenix Real Estate Market?”
Maybe because it feels like it’s -60 in Saskatoon?
While that seems like a plausible answer, I say it of course in jest. It’s cold every winter in Saskatoon.
So what has changed?
The value of the Canadian Dollar in comparison to the US Dollar.
From this chart, you can see one Canadian Dollar (the Loonie) was worth $0.85 USD in March 2007. Today that same Loonie is worth $1.00 ”” a 15 percent increase in the value of the Canadian dollar.
In short, dollars in Canada are worth more (in term of US currency) than they were a few months ago ”” there is increased purchasing power for our friends up north.
That, combined with generally declining prices in the Phoenix real estate market, and yes ”” our typically warm winter weather, attractions, and strong economic outlook ”” makes investing in real estate attractive to many Canadian buyers.
Is buying real estate in the US right for all Canadians? Of course not. It’s not always the right time to buy for anyone. But in the right situations, it certainly might be.
[tags]Canadian dollar, Buying US real estate[/tags]