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In This Issue


  1. 1) Real Estate Market Fundamentals Update
  2.  

  3. 2) Canadian Census Data Released
  4.  

  5. 3) Final Thoughts

 
Benefiting From Population Growth
Canadian Real Estate Insider Newsletter March 2007. Canadian Real Estate Benefiting From Population Growth

Greetings!

Before we get to all the details of this newsletter we wanted to bring to your attention a recent article quoting Don R. Campbell in the National Media. If you happened to pickup a copy of the Wednesday, March 14th edition of the National Post (page A5), you would have read an article in which Don Campbell was misquoted saying "If I was to invest in the Country, I'd say Barrie and Kitchener- Waterloo region would be my top two Choices"

The following correction appeared in the Thursday March 15th National Post. "Due to an editing error, the above quote was inaccurate and incomplete. Here is the corrected quote as printed by the Post: Alberta is the number one place to invest in Canada, but if I was going to invest in Ontario, I'd say Barrie and Kitchener-Waterloo region would be my two top choices.

We apologize if this caused any of our inner circle clients any confusion. The Ontario market is primed for an amazing run beginning in later 2008 (making 2007 a wonderful time to buy there), while Alberta's strong economic fundamentals continue to stun even the most optimistic economists out there and will prove to provide investors a strong long-term bang for their investment dollar.

Welcome to the March edition of the Canadian Real Estate Insider. We want to welcome all the brand new members to our newsletter and the inner circle of the unbiased Canadian Real Estate market fundamentals. Spring is in the air and as we moved our clocks forward recently it is important that we take a look into future fundamentals of the Real Estate Markets across Canada. First of all, we wanted to thank all of our clients who have supported Habitat for Humanity. We have just received an update, and with all author royalties for our first two books, along with client contributions, the contribution to Habitat for Humanity has now surpassed $200,000. So if you have contributed directly or if you have purchased one of our first two books we wanted to express a great big THANK- YOU.

=============== REAL ESTATE EDITORIAL ===============


1) Real Estate Market Fundamentals Update

As the spring market continues to heat up, and in some markets it is frothy, make sure you are not getting caught up in a panic buy situation by someone 'over hyping' properties or telling you about 'No money down deals' or having to stand in line to get one of only '8 properties for sale'. The key right now is to stick with your system (as our clients have for over 15 years). Make sure you concentrate fully upon the economic fundamentals, this will dramatically increase returns and reduce your risks. In a market such as this, you will need to be better educated and more on top of the economic fundamentals or you risk making a poor investment decision based on fear or greed, the two killers of quality investments.


Great news for the Top Investment Towns - Don Campbell's research team has just about completed the 2007 Ontario Top Investment Towns research and will be releasing it for the first time at the upcoming Toronto ACRE System Program (April 14th & 15th) If you're tired of the hype that surrounds real estate and you want the true facts, figures and Canadian Specific Strategies, then there is no question you'll want to be in attendance for this special "Once a Year" event. You will not be 'pitched' any Real Estate or books and CDs to buy; what you will discover are unbiased economic fundamentals that drive your local market, which areas to invest in and which areas to avoid. The whole goal is to help you become a confident and knowledgeable investor.


Check out the details of the upcoming Toronto area Real Estate ACRE System (our 15th anniversary edition). For all the details (and a $200 discount) check out the following link:

Click HERE

The Vancouver event sold out with a 34 person waiting list. Please don't get caught left out of the room like these 34 people did, click on the above link and grab a seat for you and your guest today.

We just received a few more e-mails from successful Canadian Real Estate Investors this week about how a little pro-active marketing (flyers to target regions etc.) has been very productive in this hot market. The key in this equation is being pro-active. We're also seeing some tremendous results from Members who have a web presence (on all aspects of the business: the buying, selling and renting sides). In a hot market such as this, that extra 10% really makes all the difference. When you follow the fundamentals, predicting the Real Estate market and identifying regions with a future (not a past reputation) becomes very easy.

As we've continued to predict, price increases are going to CONTINUE to accelerate over the coming few months in very select regions of the country. Certain Canadian cities have never experienced the kind of appreciation that we are currently seeing -- and the incredible part of this all is that, in most regions, it is not being driven by speculation -- it is being driven by the fundamentals forming a "perfect economic storm".

Real Estate markets are living and breathing entities and have two emotions attached to them: Fear and Greed. This is never more prevalent than right now in the Canadian Real Estate market place. The key thing is to look behind the headlines and drill into "What's Behind the Curtain". For instance, in the next few months you're going to see even more headlines about ten Kyoto Protocol as well as the posturing from politicians looking to get re-elected IF there happens to be an election on the horizon. It is called manipulating the mass thought patterns. As a sophisticated investor, it is imperative that you cut through the hype and focus on what is real and the reality is quite stunning over the coming 6 - 8 year time horizon.

Long-term Economics (supply and demand for real estate). Let's take a look at a critical piece of the puzzle, population growth and the numbers that were just released this week from the recent National Census.


Population growth...


Population growth is critical to the health of any real estate market. Increasing demand for rentals and purchases will tighten the market, driving rents and prices upwards. Although it is only one of the 12 fundamentals we recommend that you watch, the reality is if a city is shrinking then inevitably so will the demand for housing. So be very, very cautious of cities or towns where populations are shrinking, yet prices continue to rise. This would be an indication of increased speculation in the market, not actual strength, which means it is being set up for an eventual fall.


2) Canadian Census Data Released

The recent Canadian Census has just been released and Canada has the highest growth rate of all countries in the G8 for the period of 2001 - 2006. That's right, we're #1! This is great news nationally, but more important are the regional figures, so dig a little further to see how your target region is faring. Canada is now starting to be noticed as an emerging population and investment destination and these population growth figures will drive demand even further from outside the country.

Canada's population is now 31,612,897 according to the Stats Can census report released this month. This is a 1.6 million person growth over the past 5 years and represents an amazing 5.4% growth rate. Canada's population has almost doubled since 1956.


Canada's population in last 50 years (in millions)

1956.......... 16.1

1966.......... 20.0

1976.......... 23.0

1986.......... 25.3

1996.......... 28.8

2006.......... 31.6


Immigration is the largest component to the population growth, making up almost 2/3 of the growth, with the remaining coming from new births. Why is this important? Immigrants tend to rent for the first two years they are here.

Throughout the country you can see significant variations in population growths. As sophisticated Real Estate investors, you want to focus on those areas that are growing faster than the national numbers.


Provincial population growth rates

Can........... 5.4%

Alb........... 10.6%

Ont........... 6.6%

B.C........... 5.3%

Que........... 4.3%

Man........... 2.6%

N.S........... 0.6%

P.E.I......... 0.4%

N.B........... 0.1%

Sask.......... -1.1%

NFLD.......... -1.5%

Only two provincial market's growth rates exceeded the national average with the Alberta population growth rate almost doubling the national numbers. Together, Ontario and Alberta represented 66 percent of the country's new growth.

A couple of other key points:

- Nearly half of all Canadians live in the three largest urban centers (GTA, Montreal CMA & Vancouver CMA)

- Only 2 provinces had a negative decline in population, with Newfoundland having over 7,400 fewer people. This trend has also appeared in the last 2 census reports.

- There were on average 240,000 immigrants per year arriving to Canada over the past 5 years

- 400,000 of the increase in Canadians can be attributed to a natural increase (defined as how many more births than deaths)

- 80% of Canadians were living in urban areas in 2006

- BC and Alberta set provincial records of population, surpassing 4 Million and 3 Million respectively.


Top Population growth areas (with a population of at least 100,000 including an urban core of at least least 50,000): Canada now has 33 centers with this criteria, up from 27 in 2001. The fastest growing are listed below, and you will note that they were all identified by REIN™'s research as Top Regions in which to invest, in their respective provinces (another indication that the 12 fundamentals really do work).


Barrie, ON............ 19.2%

Calgary, AB........... 13.4.5%

Oshawa, ON............ 11.6%

Kelowna, BC........... 9.8%


The two fastest growing small towns in the country were Sylvan Lake, near Red Deer, AB and Strathmore, outside Calgary. Those of you who have been following our newsletters and research realize that we have been, for the past 3 years, recommending over 90% of these regions as having strong fundamentals and the Real Estate market has followed suit.

Now, the not so good news if you are investing in the following towns. The following is a list of Top 10 mid-sized urban centers with the fastest shrinking populations (in other words a scary situation is beginning to develop for the real estate markets in these areas). Many of these regions are located in the forestry sector (which, as you have read here will be running into major problems in the coming years). B.C. forestry towns have the top 5 fastest shrinking urban centers (with population of 10,000 or more)

Kitimat, BC........... -12.6%

Prince Rupert, BC..... -12.5%

Quesnel, BC........... -8.1%

Terrace, BC........... -8.1%

Williams Lake, BC..... -5.1%

Campbellton, NB....... -5.0%

North Battleford, Sk.. -4.4%

Kenora, Ont........... -4.2%

Elliot Lake, Ont...... -3.4%

Bathurst, NB.......... -3.4%

Edmundston, NB........ -3.3%

That is why when we speak of specific town we mean what we say. We don't sell Real Estate to our clients and therefore can always safely tell you the truth about a region and why you will see that our 'Watch Out' list contained so many of these towns. Shrinking population equals shrinking demand on real estate over a long term which means TROUBLE for unsophisticated real estate investors who may have be caught up in the hype and purchased blindly in these regions. All we can say is please do your homework BEFORE you take action and please keep up to date on key statistics.

The census numbers are important to analyze, as they are used to make key government policy decisions, including how to divide up roughly $62 billion in Federal transfer payments to the Provinces and Territories. As you start to see shifts in the distribution of population it is key to understand that the housing market will follow where the people go.

We will continue to analyze and release figures as they become available. Discover the keys to today's market at the upcoming ACRE System Program; it truly is THE event in Canada to attend if you are sick of the hype and misinformation in the market.

Here are the details:


================ IMPORTANT NOTICE ==============

The ACRE System Program (15th anniversary) in Toronto, taught entirely by Canadian best-selling author Don R. Campbell, and special Canadian Real Estate guests, is coming up soon (April 14th & 15th) and is right around the corner. All of our new research including our new Top 10 Ontario investment towns will be released at this special weekend event. This event will be held at the Pearson Convention Center, 2638 Steeles Ave East (Steeles & Airport Rd). It will definitely sell out quickly due to the intimate room (huge rooms have sold out across Canada the last 8 years in a row. In fact, the last ACRE System we held in Vancouver sold out 10 days in advance, with 34 people on the waiting list

For all of the details and a special $200 subscriber discount click on the following link to read all the details:

Click HERE

If you would like to listen to an exclusive interview of Don R. Campbell talking about what you will learn at the upcoming ACRE System program click on the following link:

Click HERE





Final Thoughts


Congratulations on staying on top of the market, and NOT getting caught up in the fear and greed that surrounds Real Estate. If you know of a major transportation change that is occurring in your area, and you want to know how it will affect real estate prices, make sure you visit
www.reincanada.com and download the Gateway transportation Research Report (no charge). You can transfer these insights to your region and start to see the future value increases.



We are working on a substantial amount of exclusive research right now. As a matter of fact, April will see a huge amount of this research being released, including a massive report into the Pine Beetle epidemic's direct effect on real estate prices in BC and Alberta. In addition, our first major update to the Ontario Top Investment Towns Reports will be released a little later in the month.



All of our research is designed to help you become a knowledgeable and sophisticated investor who is not looking at the market through rose coloured glasses. We'll tell you the truth about the market, so you no longer GUESS - you KNOW. As this research is coming quickly, please feel free to forward this edition of the newsletter to everyone you know who would find value in having this knowledge. Then they can subscribe to this newsletter (and receive the early-bird notification of this research release) by clicking on this link and completing the form:

Click Here



As always, we wish you great luck in all of your investment choices and look forward to meeting you personally at an upcoming REIN™ Event in your area.



====================================================


We'd love to hear what you think of this issue

Please send your comments, questions, and ideas for upcoming issues to us at:

info@reincanada.com

Your feedback matters to us. What would you like to hear more about?


====================================================


Keep your eyes peeled for key, fundamentally strong Real Estate deals, and no matter who you are dealing with, always do your complete due diligence. Hope to see you at one of the next REIN™ Workshops coming soon to a city near you. If you are not yet a Member of Canada's most successful by far, and longest running Real Estate Program (15th Year), now would be a great time. Call Ray or Jen at the REIN™ Office today at 1-888-824-7346 for all the details.



It's your time to take advantage of this Real Estate Market...




Don R. Campbell and The REIN™ Team

"Turning Real Estate Dreams Into Realities... One Investor At A Time!"

To Tap Into The Latest Canadian Real Estate Strategies Visit
http://www.reincanada.com Today.

Copyright 1996-2006 by Real Estate Investment Network. All rights reserved.




P.S... The last ACRE System in Vancouver sold out 10 days before the event. If you are serious and want to learn the unbiased fundamentals of Real Estate make sure you are registered for the upcoming ACRE System event in Toronto. For all the details click on the following link.
Click HERE




P.P.S... As real estate investors, we are known targets for scams and 'hype-based selling artists' . That is why you are witnessing so many so called 'Real Estate Experts" coming out of the woodwork selling their wares at free seminars and workshops. In fact, be prepared for an onslaught of these types of invitations as our winter disappears. You'll see the marketing everywhere. It happens every time there is a boom - just be aware and do your homework and focus on what is real, not fabricated... and ask the TOUGH questions and don't act until you get an answer you are happy with. Be sophisticated in ALL that you do.



P.P.P.S.
.. Make sure you listen to an exclusive interview of Don R. Campbell talking about what you will learn at the upcoming ACRE System program click on the following link:

Click HERE



Foward this newsletter to anyone you know who would like an unbiased look at what's really happening in the Canadian Real Estate Market.


 
     

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