2020 Canada Economic Outlook

Reading Time: 2 minutesCanada Economic Outlook 2020

2020 Canada Economy Projections

As we move in the first days of February 2020, many institutions and organizations have shared their 2020 projections, observations of the current market outlook and their comments on how to take a position in the market.

You may find the basic findings below for your 2020 planning in terms of your assets and investment decisions

Global Economy – Slow growth in 2019

The world economies have experienced slow growth in 2019. Almost 90% of countries have shown slower growth in 2019, than that of 2018. As a result, a 3% growth has been realized and this figure was very close to the limits of a recession in the world, as defined by IMF.

The world economy may expect an upturn in 2020, to reach a 3.4% global growth with more countries loosening their monetary policies as well as the strong growth expectancy from growing economies.

Canadian Economy is improving

2019 has been a slow-growth year for Canada as well, with the expected rate of 1.5% growth, which is below the potential for the economy of Canada.

The economy was challenged by weak global growth, as well as other factors such as trade wars, and the situation in the oil market.

Although the major global uncertainties prevail, the Canadian economy now shows signs of improvement with the help of the real estate market and residential investment.

Strong Labour Market – Improving Real Estate Market – A Better Year?

One of the supporting forces for the improvement of the real estate market is the strong performance in the labour market where Canada has managed to create 360 thousand new jobs within the first 10 months of 2019. The increase in the purchasing power of the households supports the upward trend in the market.

BC Real Estate Market

After a slow down of the real estate market in the last couple of years, we have started to see the upward trend in BC real estate in line with the economic projections made for the Canadian economy. Especially in the last couple of months, we have seen more sales in the market, increases in real estate prices in some segments and regions.

These were the signs showing the possible recovery of the market and the January 2020 results confirmed this trend with a 42% increase in the overall sales of the properties.

We advise our customers to follow up with the market trends closely to plan their investment strategy.

Talk to Our Professional Team

It is always the best idea to talk to professionals before making your decisions and the JOVI team is always there for you to share the latest market update, advise on the opportunities and help you with your investment plans.

2020 may be your year of profitable investment, and it is now time to make your plans to benefit the growth period.

JOVI Realty
info@jovirealty.com | www.jovirealty.com
604.202.2929

 

References:
BDC Canada – The Conference Board of Canada – IMF – Statistics Canada – PWC
https://www.bdc.ca/en/blog/pages/2020-economic-outlook-canada.aspx
https://www.conferenceboard.ca/topics/economics/canadian/can-otlk
https://www.macleans.ca/economy/the-most-important-canadian-economic-charts-to-watch-in-2020/
https://www.pwc.com/ca/en/industries/real-estate/emerging-trends-in-real-estate-2020.html