Monday 12 January 2015

What does 2015 indicate with lower oil prices?



There is no doubt in my mind that the price of oil will come into play and it will affect our buyers from Alberta, who make up close to 20% of our transactions. Realistically, if we maintain the same activity as 2014, then we are in for a strong year. Prior to the drop in oil prices, 2015 looked like it was just going to continue to move right on as it did in 2014. But even with a significantly lower oil price, December was one of our strongest months for increased activity and January has started off strong too.

Should the oil prices remain low for a relatively short time, which we all think they will, then we may not see much affect at all. If 2015 sees a full year of low oil prices, it may start eroding consumer confidence which has been the main driving force for a strong 2014. The next few months will be interesting.

No comments:

Post a Comment