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October 27, 2017 6:37 pm

Prince George Housing Still Affordable says BCNREB

Tuesday, March 7, 2017 @ 5:59 AM

Prince George, B.C.- The BC Northern Real Estate Board (BCNREB)  has calculated that in Prince George in 2016,  the  owners of an average home had to spend about  27.2%  of their  household income to finance that home ownership.

That is  down  slightly from  the amount needed in  the previous years.

The BCNREB’s Housing Affordability index  examines income needed to cover   mortgage costs,  municipal taxes and fees as well as utility bills for the average single family home.

The bottom line says the BCNREB is that home ownership  in Northern B.C. remains “exceptionally affordable,  especially when compared with  Vancouver” reads the new report.

The average price of a single family home sold in Northern BC last year  was about $280 thousand.  The housing affordability  percentage in Northern B.C. was 26.8% compared to  125.4%  in Vancouver.

The single  most significant  factor in changing   the  indicators is the cost of housing.  Average prices in both 100 Mile House and Williams Lake increased significantly last year,  consequently,  Williams  lake saw it’s affordability  indicator jump by about 4% to  27.4%  while  100 Mile House  7% increased to 32.3%.

Prince Rupert and Fort St John saw affordability improvements  by 10.9% and 12.0%, respectively, while in Smithers the improvement was more than 8%.

Quesnel and Terrace, both saw their  affordability  worsen by  4%  but not because of rising  house prices.  Rather, the BCNREB attributes the changes in those two communities to  increases in other costs.

The  most affordable community in northern B.C.  last year was Mackenzie,  where  homeowners  needed only 20.1% of their annual income to cover the costs of housing.

graph courtesy BCNREB


It’s still too high when interest rates go up… prices will go down.

The US Fed is at war with Trump and they will be raising interest rates huge by next year to sabatoge his presidency, but more so to retain their control of currency manipulation in driving globalism that enriches the top .001%. I read the other day that the Chinese Congress has over 100 Biliionares as members that run that country. Of course they love globalism.

The other side of the coin is Trumps plan to implement a new border tax, which will be used to fight currency manipulation of central bankers. When this goes into effect a lot of Chinese wealth will be adjusted way down and the knock on effect to BC real estate will be massive. Vancouver will be in a downward spiral and could pull the rest of the province with them.

The US Fed of course will try to pre-empt Trump with interest rate increases that slow the econo,y and make it impossible for the Trump tax plan based on wealth effect to take place.. The Dems are doing their part with the boggous Russian connection distraction as well. If they can slow the economy enough they hope to blunt the import tax and keep globalism in the drivers seat.

Either way it’s hard to see house prices remaining at this level unless Trump can get ahold of the situation down south IMO.

    At his present rate of self destruction, Trump should be gone by this time next year. If not by being impeached, then by resigning, or leaving because of health reasons.

      You need to think for yourself more palopu and remove the CNN digit from your ear. Trump has them running scared with his exposing the deep state wire tap scheme and closing in on their Pedro rings.

      In two months he will have brought down the deep state that has ran America since the Kennedy assassination and that is when his true presidency starts to take shape.

      The democrats and their communist loving deep state are trying to sabatoge, but they will fail. It’s just disgusting the lack of dignity they afford to the democratic process and constitutional tradition. At the same time they accused Trump of not being able accept the election results they had him wire tapped to plant a future coup against him if he won… And the level they have taken this too is hugely damaging to Americas future and democracy in general.

“The US Fed is at war with Trump and they will be raising interest rates huge by next year to sabotage his presidency”

Where do you come up with this paranoid delusional stuff….Alex Jones ?

    They announced an interest rate hike for next week. I think on the 15th or so.

    If it’s more than 50 basis points then they are sandbagging the Trump tax plan for sure. The US Fed controls money supply with the interest rate. They can grow or shrink the economy with the money supply. The private banks that control the US Fed are all hard core globalists that get extremely wealthy playing arbitrage with cheep labor and environmental standards from currency manipulating countries like China.

    The Trump tax plan is about fixing currency manipulation from the American side via their ‘Border Adjustment Tax’ which takes into account arbitrage subsidies for global trade through currency manipulation, cheep labor and environmental shopping, and unfair tax subsidies. The revenue from this is how he plans to give tax cuts and infrastructure spending to stimulate the American economy.

    If successful the idea is if a country is cheating to game industry and trade unfairly they will be ‘adjusted’ for in their import tax rate. The globalists hate this concept because they rely on free trade and currency manipulation to steal the wealth of Americas middle class. The central banks can adjust their interest rates and quantitative ease with cheep money to the banks and multinational monopoly capitalists, but a Trump administration could adjust for this with the border adjustment tax to protect American jobs.

    Time Will Tell

      Sure. The US Fed lowered the rates as a temporary measure, a sort of stimulus after the financial crisis. The Fed has deemed the economy stable enough for a .25% increase. They will adjust it as to how the economy responds. This is simply a step towards returning to normal. I would think they are not just doing it because tRump is president. But hey, if some anti-tRump conspiracy by deep state bolsheviks is what’s really happening, that’s effin amazing.

      Now, please excuse me. I have two more houses to “wiretap” before the day is over and I have to release some kids being held hostage at a pizza joint by the Clintons. Oh, and the word is spelled “cheap”, unless you are referring to bird noises.

Eagle you need an inoculation of reality , really need it . Read .What are the Federal Reserve’s objectives in conducting monetary policy?

The Congress established the statutory objectives for monetary policy–maximum employment, stable prices, and moderate long-term interest rates–in the Federal Reserve Act.

The Federal Open Market Committee (FOMC) is firmly committed to fulfilling this statutory mandate. In pursuing these objectives, the FOMC seeks to explain its monetary policy decisions to the public as clearly as possible. Clarity in policy communications facilitates well-informed decisionmaking by households and businesses, reduces economic and financial uncertainty, increases the effectiveness of monetary policy, and enhances transparency and accountability, which are essential in a democratic society.

Following its meeting in January 2012, the FOMC issued a statement regarding its longer-run goals and monetary policy strategy. The FOMC noted in its statement that the Committee judges that inflation at the rate of 2 percent (as measured by the annual change in the price index for personal consumption expenditures, or PCE) is most consistent over the longer run with the Federal Reserve’s statutory mandate. Communicating this inflation goal clearly helps keep longer-term inflation expectations firmly anchored, thereby fostering price stability and moderate long-term interest rates and enhancing the FOMC’s ability to promote maximum employment.

The maximum level of employment is largely determined by nonmonetary factors that affect the structure and dynamics of the job market. These factors may change over time and may not be directly measurable. As a result, the FOMC does not specify a fixed goal for maximum employment; rather, the FOMC’s policy decisions must be informed by its members’ assessments of the maximum level of employment, though such assessments are necessarily uncertain and subject to revision. In the FOMC’s December 2016 Summary of Economic Projections, Committee participants’ estimates of the longer-run normal rate of unemployment ranged from 4.5 to 5.0 percent and had a median value of 4.8 percent.

In setting monetary policy, the Committee seeks to mitigate deviations of inflation from its longer-run goal and deviations of employment from the Committee’s assessments of its maximum level. These objectives are generally complementary. However, under circumstances in which the Committee judges that the objectives are not complementary, it follows a balanced approach in promoting them, taking into account the magnitude of the deviations and the potentially different time horizons over which employment and inflation are projected to return to levels judged consistent with its mandate.

Related Information

December 14, 2016
Federal Reserve issues FOMC statement

December 14, 2016
Federal Reserve Board and Federal Open Market Committee release economic projections from the December 13-14 FOMC meeting

September 17, 2014
Federal Reserve issues FOMC statement on policy normalization principles and plans

Related Questions

Why does the Federal Reserve aim for 2 percent inflation over time?
What does it mean that the Federal Reserve is “independent within the government”?

    The last sentence means that the fed doesn’t care what Donald says . Why make things up eagle , when reality is far more interesting than your false reality .

      Independent within government means they are a private corporation mandated by the Treasury department to facilitate monetary policy. However, Janet Yellen will see her mandate expire next year and Trump gets to nominate her replacement, as well as up to five of the board of governors. If they want to mess up Trumps border adjustment tax they have only the next six plus months to do that.

      If the US Fed wins interest rates go way up and over shoot, which stalls the US economy and makes it near impossible for Trump to pass his tax reforms, which are aimed at economic nationalism rather than banksters style globalism.

      The border adjustment tax has huge implications on USFed policy as other countries will have to adjust their currencies to facilitate trade with America. For this reason Trumps Treasury Secretary is working daily with Janet Yellen to get her and the USFed up to speed. A very revealing interview on Fox Business channel last week by the Treasury Secretary himself and not no CIA talking heads on CNN.

      Tell me when I have been wrong in the past. I’d gladly own up to it and learn from the revelation.

      I predict if the interest rate increase next week is 50 basis points investors run for the doors and the over bought market corrects sharply. This will be the first shot by the USFed. It’s high noon for the markets even more so than it is in the Congressional investigation into wiretapgate and the Russia rouse.

      Even Alen Greenspan admits his policy of cheep credit to facilitate globalism was a failure for the American economy. If he can admit that then why do others refuse to acknowledge reality?

      So cheap credit is bad, raising the rate is bad, and everything is bad except for the orange guy in the oval office. He is as pure as the pope.

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