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Is there a brewing problem in Oakville?

Is there a reason for us to take serious note of the concerns being raised by some quarters regarding the prevailing conditions in the Ontario real estate market? Even the typical Ontario mover and other players in the downstream and allied sectors are taking things one step at a time amid fears of possible downturn in the market performance.

For some industry experts, this is a wake-up call for both potential homebuyers and property investors. In fact, for the pessimists, the house party in Oakville is definitely over. The emerging downtrend in the market, which is evidenced by the decline in sales figures, is not only due to the negative impact of the planned construction of a power plant in Oakville. Despite the scrapping of such planned construction, experts believed that the current downtrend will still continue for the remainder of the year and until the early part of next year.

However, this does not mean that the real estate market in Oakville is going bust. The good news is that the real estate markets in Canada are far from taking the path that US took prior to the bubble burst. The Oakville real estate market is definitely not on the brink of collapse. Those prophets of doom will never see the light of day as far as Oakville is concerned.

Market indicators should assure property owners and investors that Oakville real properties remain to be their viable purchase options. The real property market has been protected by more conservative lending policies. Specifically, mortgage companies and other financial institutions serving the Oakville real estate market have not adopted unsound lending practices such as no-documentation and zero-down payment mortgages. In general, most of Oakville homeowners have significant equity.

Mortgage defaults remain at manageable levels, even during the most difficult part of the year. Market speculation has not reared its ugly head. This has been prevented by the implementation of higher equity for investment properties in Oakville. Despite the current difficulties in the market today, property investors and homebuyers still have a lot of things going for them and these should be credited to the sound fundamentals of the real estate market in Oakville.

A worst case scenario for Oakville would be a market correction in the short term. This can be triggered by the fall in price averages across all segments and combined with depressed sales performance and home construction activities. This prevailing condition in Oakville could stifle economic activities and affect job generation and earning capacities of homeowners. Still, the scrapping of the planned construction of a power plant in Oakville is a move in the right direction and things will definitely stabilize in the near future. For those who are in for the long haul, this current "difficulties" should not be a cause for concern.

Discover and learn a surefire formula for a trouble-free and cost-effective move from a reputable professional Oakville Mover that boasts of more than 40 years of unparalleled moving service for home and business.

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