The Valley of the Sun has always been a favorite hotspot for our Canadian neighbors looking to escape the chill of their long wet winters. But now, more than ever, Canadians have a tremendous opportunity to own investment properties or vacation homes as the Canadian dollar steadily rises in value against the U.S. dollar. The moving combination of falling U. S. real estate prices and the rising loonie have created a once-in-a-lifetime bargain for Canadians looking for property in the U.S. sunbelt states.

 In Canada, anywhere you go “you’re either going to get rain all winter or snow all winter,” said Wendy Whiting, president of Global Mortgage Corp. of Vancouver, British Columbia. But there’s another important factor beyond the current exchange rates contributing to the surge of interest in Arizona real estate.  The Canadian real estate market has been on fire for some time now, Whiting said. In Vancouver, it’s tough to find a house in the $600,000-$700,000 range. Most are closer to $1 million, she said.  “Everybody has equity in their home, and the baby boomers are becoming more prevalent. They are inheriting money from their parents, and it’s now possible to work from any place in the world,” Whiting added. Buying in Arizona is “easier than it’s ever been.  Flights are cheap. The dollar is strong. We all have money.”

 Canadians now have more buying power here than in decades and a growing number are seizing the opportunity to dive into Arizona real estate.  The exchange rate hasn’t been this low since 1976, and there are some great bargains in the Valley’s residential market.

Buying U.S. real estate (your Arizona vacation home) can act like an exchange rate hedge and a portfolio diversification strategy for many Canadians. The crazy low U.S. dollar has opened up new opportunities for Canadians who would love a place in the sun!

 No better time to buy in sunbelt

 By the numbers

$322,700 - The median price, in dollars, of U.S. homes purchased by Canadians.

68% - Percentage of Canadian home buyers who purchased U.S. homes for vacation use.

47% - Percentage of Canadian buyers who purchased U.S. homes with cash.

11% - Percentage of all international U.S. home buyers who came from Canada.

6% - Percentage of all international home-buying transactions Arizona represented.

SOURCE: National Association of Realtors Profile of International Home Buying Activity in 2006-2007