My last two blogs, Will Foreign Buyers Save Us? Part 1 and Part 2, covered the favorable influence foreigner have had on our Phoenix/Scottsdale area and national real estate market. I discussed the positive impact the exchange rate makes to my fellow Canadians when purchasing here. I wrote that favorable currency exchange rates should mean that Canadians will continue to buy more of our property, as they get even more for their money here.
Early this week I read that the Canadian dollar climbed to its highest point in almost two years against the U.S. dollar (I timed that blog right). Apparently this occurred after the Bank of Canada signaled an interest rate rise as early as June. This makes Canada the first G7 participant central bank willing to end emergency policy steps, since the Canadian economy has improved significantly and before that of the United States. Congratulations, frozen north!
This means that U.S. dollar fell as low as $0.9946 Canadian, its weakest level since June 2008, before recovering to C$0.9950. This is bad for US importers, but good for Arizona sellers of residential and commercial real estate.
Email me at email@example.com if you think your Phoenix area home could benefit from marketing to the foreign buyer. SimplySOLD specializes in reaching the non U.S. citizen buyer – a market you could ill afford to ignore in these trying times.
Next in Part 2, the impact of the price of the Loonie on real estate.