Brokers, strike another client base from your list!
USA Today reports that that Canadian home-buying spree that took hold earlier this year as the loon reached parity with the buck has evaporated. The U.S. dollar, for those who don’t obsessively read the Journal‘s Money & Investing section every morning, has started to climb back against several other curriencies–including the Canadian dollar.
Canadians accounted for 23.6% of foreign buyers of U.S. homes in the 12 months ended in May — double the percentage of the prior year — a recent report by the National Association of Realtors said.
The Canadians were driven by the strength of their dollar. It reached parity with the U.S. dollar for the first time in three decades in September 2007 and remained above or near the even mark until last summer. But since Oct. 1, it’s down 11% and is now worth 86 cents, nearing 2005 levels.
That’s reduced the buying power of Canadians and made U.S. homes less appealing to them despite much lower prices brought on by the USA’s foreclosure crisis.
More here on Canadians in New York City.