Canadian prices, as measured by the Consumer Price Index (CPI), rose 2.5 per cent on a year-over-year basis in July, down from a 2.7 per cent increase in June. Month-over-month, on a seasonally adjusted basis, CPI rose by 0.3 per cent in July. The deceleration in headline CPI was widespread across sectors, primarily driven by declining prices on electricity, passenger vehicles, and travel tours. Excluding gasoline, the CPI rose 2.5 per cent in July. Gasoline placed further upward pressure on inflation in July, with a year-over-year growth rate of 1.9 per cent compared to 0.4 per cent in June. Downward pressure from electricity and other factors drove shelter costs down from 6.2 per cent in June to 5.7 per cent in July year-over-year. Mortgage interest costs were up 21 per cent and rent was up 8.5 per cent from last July. Finally, durable goods costs fell 1.7 per cent while services costs rose 4.4 per cent year-over-year. In BC, consumer prices rose 2.8 per cent year-over-year, up from 2.6 per cent in June. The Bank of Canada's preferred measures of core inflation, which strip out volatile components, fell to between 2.4 and 2.7 per cent year-over-year in July.

Canada's inflation report for July continued the positive overall trends in June, with headline CPI reaching its lowest level since March 2021. This was achieved in part due to declines in nearly all travel-related services in July year-over-year. However, this is largely a base-year effect, as July 2023 experienced soaring travel-related prices due to it being the first summer without restrictions related to the COVID-19 pandemic.  Moreover, CPI-median and CPI-trim continue declining towards the mid-point of the Bank of Canada's target range. Taken together, July's inflation report bolsters the likelihood of a third consecutive rate cut from the Bank of Canada in September. 

https://mailchi.mp/bcrea/canadian-inflation-july-2024-august-20th-2024

For more information, please contact: Gino Pezzani.

Canadian housing starts rose 16 per cent to 279,509 units in July at a seasonally adjusted annual rate (SAAR). Starts were up 10.4 per cent from the same month last year. Single-detached housing starts were 2 per cent higher from last month at 54,189 units, while multi-family and others rose 20 per cent to 225,321 units (SAAR). 

In British Columbia, starts rose 18 per cent from last month to 47,987 units SAAR in all areas of the province. In areas in the province with 10,000 or more residents, single-detached starts fell 9 per cent to 4,376 units while multi-family starts rose 21 per cent to 41,414 units. Starts in the province were 1 per cent below the levels from July 2023. Compared with last year, year-to-date starts are up by 69 per cent in Kelowna, and 29 per cent in Abbotsford. Year-to-date starts are down by 18 per cent in Vancouver, 8 per cent in Nanaimo, and by 0.6 per cent in Victoria. 

Link: https://mailchi.mp/bcrea/canadian-housing-starts-july-2024

For more information, please contact: Gino Pezzani.

September brings a sense of new beginnings. The air cools, leaves hint at autumn and it's back-to-school time. For some people, this season means sending a little one to kindergarten — the tiny backpacks, new crayons and tearful parents at the classroom door. Others face sending a teen to middle or high school,l and balancing newfound independence with parental guidance.

Then there's sending a child to college, perhaps far away. Pride, worry, excitement and sadness mix as parents help settle their child into a dorm room and reflect on the 18 years that brought them to this point. Back-to-school season is a time to celebrate achievements and anticipate what's ahead. Whether you're a parent, student or nostalgic for those days, this season is special.

Appreciate teachers, administrators and everybody who dedicates themselves to education — they shape the future, one student at a time. Whether you’re packing lunches, helping with homework or cheering from afar, embrace this wonderful time.

Sincerely,

Gino Pezzani

Canadian employment was largely unchanged from the previous month, contracting by 2,800 jobs, to 20.514 million in July. The unemployment rate remained unchanged at 6.4 per cent, while the employment rate fell 0.2 percentage points to 60 per cent. Average hourly wages rose 5.2 per cent year-over-year to $34.97 last month, while total hours worked were up 1.9 per cent from July of last year.

Employment in BC fell 0.4 per cent to 2.843 million, while employment in Metro Vancouver rose 0.7 per cent to 1.602 million in July. The unemployment rate rose by 0.1 points year-over-year in BC to 5.5 per cent, while falling in Metro Vancouver by 0.1 points year-over-year to 5.8 per cent last month. 

For more information, please contact: Gino Pezzani.

https://mailchi.mp/bcrea/employment-july-2024

Alaska is getting a new predator with some amazing skills. You might think the land of moose and bear has plenty of amazing predators already, but this one is a robot with a mission: keep animals off runways.

Last year, the Fairbanks International Airport had 92 instances of animal strikes on runways, which can be dangerous to the animals, planes and people.

Soon the four-legged robot, Aurora, will be stalking the runways at the Fairbanks Airport, hoping to spook birds and maybe even bears.

The dog-like robot is amazingly nimble. It can run across big rocks, snow and ice, and can even climb stairs. Designed with a colorful exterior, the robot can also be outfitted with a fur print to make it appear more like a fox or a coyote.

Consistency. Journal regularly to build a habit.

Honesty. Be honest with yourself; it’s your personal space.

Creativity. Use drawings or doodles to complement your writing.

Flexibility. Allow your journaling practice to evolve naturally.

Embrace journaling as a tool for self-discovery, creativity and emotional well-being. With these benefits and prompts, you can start your journey of reflection and growth, one page at a time.

Newlyweds Ava and her husband recently had moved into their first home, and she had decided to plant a garden, like the one her grandma had planted years ago. For years Ava took care of that garden and was excited to keep the tradition alive.

Ava planted a baby tree at the base of a stone wall in the corner of her garden and spent the entire summer coaxing the seedling into growth. Finally, the tree began sprouting green leafy vines that climbed the wall, but to her disappointment, no flowers bloomed.

To her surprise, Ava saw that her tree had not only bloomed, but had also sprouted flowers all along the vines that had crept over the wall into her neighbor’s yard. Her work gave her neighbor so much pleasure that Ava decided never to cut the tree down. She realized that what she had really planted were the seeds of friendship.

As we step into August, there's a certain magic in the air. It's a month that carries the last whispers of summer while hinting at the beginnings of fall. There's a unique charm in these days—the sun-kissed afternoons, the soft sounds of summer evenings, and the subtle shift in the breeze that tells us change is on the horizon.

August feels like a gentle reminder to embrace the moment. It's a time to enjoy the laughter of children playing, the taste of fresh garden vegetables, and the warmth of the sun on our faces. It's also a great time to find joy in simple acts, like sharing a homemade treat with a neighbor or taking a quiet walk in the early morning light.

This month, let's celebrate these everyday moments. Whether it's a backyard barbecue, an impromptu game night, or just sitting outside watching the world go by, there's beauty in the small things. And sometimes, those small things are what connect us the most.

Wishing you an August filled with sunshine, joy and meaningful connections.

Sincerely,

Gino,

RE/MAX Heights Realty

(604)418-9366

As most of you will already know, the BC Government recently introduced and passed into law Bill 14, which makes several changes to the Residential Tenancy Act (RTA). The bill, which came into effect on July 18, 2024, is intended to protect residential tenants from tenancies terminated in bad faith.

While the intent of Bill 14 may have been noble, this is yet another example of the provincial government announcing new legislation without doing adequate advance consultation around unintended consequences. In collaboration with the Canadian Mortgage Brokers Association – BC, we have taken steps to identify multiple issues with the bill that need to be immediately addressed. We have issued tandem open letters to government along with a joint press release issued last Thursday. Thus far, our messaging has been amplified by the Globe and Mail, Financial Post, Business Examiner, Storeys, and Real Estate Magazine, among others.

This messaging is exceedingly important. Bill 14 has created significant confusion when applying its rules to real-life real estate practice, and we’ve already heard from REALTORS^® who’ve experienced this firsthand.

For example, the new requirement of providing four months’ notice for evictions due to personal or caretaker use – instead of the previous two months’ notice – is posing a major hurdle. While this is a problem for all buyers, it's particularly problematic for high-ratio buyers, including first-time buyers, who generally need mortgage default insurance to secure their financing.

The legislation also makes no distinction between a buyer of a tenanted unit who just wants to move into their new home and a landlord who might be using a bad-faith eviction as a tool to raise rents beyond the allowable limit.

In light of these and several other concerns, the BCREA Government Relations Committee has sent a letter to BC Minister of Housing Ravi Kahlon outlining our concerns and suggesting potential fixes. We also issued a press release to the media.

Click here to read our full letter to government.

Click here to read the press release.

Sample media coverage and press release pick-up:  

• New BC eviction rules might worsen housing affordability crisis, say industry groups | Canadian Mortgage Professional (mpamag.com) 

• BCREA and CMBA-BC urge revisions to Residential Tenancy Act amendments to avoid adverse impacts (realestatemagazine.ca) 

• How BC's New Four-Month Eviction Notice Rule May Affect First-Time Buyers (storeys.com)

• BC Real Estate Association and Canadian Mortgage Brokers Association – BC Identify Significant Issues with Changes to Residential Tenancy Act | Financial Post

• BC Real Estate Association and Canadian Mortgage Brokers Association – BC Identify Significant Issues with Changes to Residential Tenancy Act - The Globe and Mail 

• ORGANIZATIONS CALL ON GOVERNMENT TO AMEND RESIDENTIAL TENANCY ACT | Business Examiner 

If you have questions or concerns about changes to the RTA or any other policy issue, please contact me.

Sincerely,

Gino Pezzani

RE/MAX Heights Realty

(604)418-9366

Canadian real GDP grew 0.2 per cent in May, following a 0.3 per cent increase in April. The growth was driven by goods-producing industries (+0.4 per cent), in which 4 of 5 sectors grew, led by manufacturing (+1 percent) and agriculture, forestry, fishing and hunting (+0.9 percent). However, the mining, quarrying, and oil and gas extraction sector contracted by 0.6 per cent in May, entirely driven by a 2.1 per cent decrease in the oil and gas extraction subsector. Service producing industries grew by 0.1 per cent, with both retail trade and wholesale trade contracting by 0.9 per cent and 0.8 percent, respectively. Finally, the GDP for the offices of real estate agents and brokers grew by 0.17 per cent in May. Preliminary estimates suggest that output in the Canadian economy grew by 0.1 per cent in June, as well as about 2 per cent in the second quarter of 2024, on an annualized basis.

BCREA estimates that the B.C. economy grew by 1.4 per cent year-over-year in May. This slightly outpaces the 1.1 per cent year-over-year growth for the Canadian economy. To see the full details of our Nowcast, click here: https://infogram.com/bcrea-nowcast-for-may-2024-and-june-2024-prelim-july-31-2024-1h0n25ok1n5kl4p?live

Canada's economy expanded at a reasonable rate that matched analyst expectations in May, following the anticipated 25 basis point cut from the Bank of Canada last week. Amidst weakening labour markets and relatively flat inflation levels over the second quarter, this report is unlikely to deter the Bank of Canada from pursuing a gradual decline in the overnight rate throughout the rest of 2024 and into 2025. However, they will be watching next month’s CPI and jobs report to determine whether market expectations changed following their first cut. 

https://mailchi.mp/bcrea/monthly-economic-growth-may-2024

For more information, please contact: Gino Pezzani.

As August ushers in the last of the summer days, it's the perfect time to indulge in some fun and creative DIY projects with your kids or grandkids. Crafting fosters creativity and creates cherished memories. Here are some imaginative and easy-to- do craft ideas:

Nature Collage Boards

Materials: Cardboard, glue, scissors, and treasures from nature (leaves, flowers, small twigs and pebbles.)

Instructions: Take a nature walk to collect items. Cut cardboard into shapes and glue the collected items to create beautiful nature collages.

Painted Rock Garden Markers

Materials: Smooth stones, acrylic paints, paintbrushes and clear sealer.

Instructions: Paint stones with vibrant colors and fun designs, label them with herb or flower names, and use them as garden markers.

Handmade Bird Feeders

Materials: Pine cones, peanut butter, birdseed and string.

Instructions: Spread peanut butter over pine cones, roll pine cones in birdseed, tie a string around the top and hang them on tree branches.

DIY Wind Chimes

Materials: Sticks, string, small bells, beads and shells.

Instructions: Tie bells, beads, and shells to strings and attach them to a sturdy stick. Hang the wind chime outside and enjoy the soothing sounds.

Personalized Tote Bags

Materials: Plain canvas tote bags, fabric paint, stencils and brushes.

Instructions: Paint designs, names, or fun shapes on the bags using stencils and fabric paint. These totes are perfect for carrying books, groceries or beach gear.

These DIY projects are fun, easy to execute with common materials and a wonderful way to bond and create lasting memories. Happy crafting!

"True happiness comes from the joy of deeds well done, the zest of creating things new." – Antoine de Saint-Exupery