Higher Taxes Likely to Impact Winnipeg Housing Market in 2023
Aside from the factors that are expected to impact the broader Canadian real estate market in 2023, such as the rising cost of living and housing supply shortages, higher taxes are also likely to be top of mind in the Winnipeg housing market in 2023.
“Winnipeg is unique in that it’s currently experiencing rising taxation levels, in addition to all of the other economic challenges facing the housing market. It’s one more housing obstacle Winnipeggers need to overcome,” says Akash Bedi, broker and owner RE/MAX Executives Realty, Winnipeg. “While we wait for governments to implement a national housing strategy to boost Canada’s supply of affordable housing, my advice for buyers this year is to assess their own individual situations and work with the right professionals to help evaluate the next steps that are right for them. For sellers, I advise that their property is priced and marketed according to current market conditions; and when reviewing sold comparables, be open to adjustments. Flexibility is important.”
Despite a fluctuating economic environment, Canadian homebuyers and sellers are optimistic that 2023 could yield a more-balanced market, according to RE/MAX Canada’s 2023 Industry Trends Report. The report examines key economic and transactional trends that are likely to impact Canadian homebuyers and sellers and the broader real estate industry this year.
TIPS FOR BUYERS IN THE WINNIPEG HOUSING MARKET
Buyers in Winnipeg should be mindful that there’s a limited supply of affordable housing in Winnipeg and surrounding areas. Affordable housing in this context is defined as detached homes with a garage within the $375,000 to $450,000 price point.
In Q1, the trend in the Winnipeg market has been consistent with the rest of Canada: a transitional market. This is compared to the expectations for Q3 and Q4, where the market may settle, meaning we may see an increase in demand towards the end of Q4, wherein buyers may be in multiple offer situations again.
Rental rates are not going down, so this may be a good opportunity for buyers to acquire a rental property and build equity.
Homebuyers are looking for more instant information. They are doing their own research on the market and reviewing a potential agent to work with based on their online presence and online reviews.
TIPS FOR HOME SELLERS IN 2023
The joint family or mixed family setup is a growing trend in Winnipeg, with homes designed to accommodate older family members with mobility issues in the city. The mixed family setup also provides Winnipeggers greater affordability and diversity of housing options.
Sellers should ensure their property is showing at its best and that their agents or brokers are employing the right marketing mixture to attract serious and ready buyers.
In the Winnipeg market, we’re not seeing deep discounts in sale prices, and instead, are to see activity pick up in the housing market. Properties are moving, but at a slower pace than usual. Relative to other parts of the country, Winnipeg is more affordable, and investors are looking at Winnipeg and surrounding areas as a safe investment: there’s a slightly stronger push for properties in 2023 as compared to the end of 2022.
Home sellers are increasingly using social media and creative marketing tools, such as 3D tours and high-quality videos, to sell their properties.
- Lydia McNutt - Senior Manager, Public Relations & Content | RE/MAX Canada
