Canada’s central bank has officially started to help out with mortgage liquidity. The Bank of Canada (BoC) announced their intention to buy Canada Mortgage Bonds at the end of November. The Bank bought nearly quarter of a billion of the bonds less than three weeks later. WTF Is A Canada Mortgage Bond? Canada Mortgage Bonds […]
Canada’s largest bank believes real estate affordability will continue to deteriorate. RBC Economics updated their Affordability Index for Q3 2018. The index, which shows how much a household would pay for a mortgage, printed one of the worst levels in history. Analysts from the bank expect affordability to get worse in 2019, as interest rates […]
Canadian real estate owners borrowed another billion of their home equity. Office of the Superintendent of Financial Institutions (OSFI) numbers show the balance of loans secured by home equity hit a new record in October. The balance, which is slowing in growth, is primarily consumers borrowing for personal consumption. Loans Secured By Residential Property Loans […]
More Canadian seniors are withdrawing real estate wealth to make ends meet. Office of the Superintendent of Financial Institutions (OSFI) filings show the balance of reverse mortgage debt soaring in October. The annualized pace of growth is now at the highest level it has been in at least 8 years. Reverse Mortgages Have all your […]
Congrats, Vancouver! You’re Canada’s most indebted city, largely due to the recent rapid rise in real estate prices. Breaking down the Canada Mortgage and Housing Corporation (CMHC) numbers from yesterday, we can see where Vancouver spends its cash. In Q2 2018, over 80% of Vancouver Census Metropolitan Area (CMA) debt was tied directly to the […]
Toronto real estate pushed to new highs, bringing the city’s debt level with it. Breaking down the Canada Mortgage and Housing Corporation (CMHC) numbers from yesterday, we can see where Toronto spends its cash. In Q2 2018, over 80% of Toronto Census Metropolitan Area (CMA) debt was tied directly to the value of real estate. […]
Canada’s most expensive real estate markets are the most vulnerable to rate shock. Surprising, we know. Canada Mortgage and Housing Corporation (CMHC), using Equifax data, crunched the Q2 2018 numbers for debt to income ratios across Canada. The numbers show cities with the most expensive homes also have the highest DTI ratios. The high levels of […]
Canadian real estate price growth is cooling, with the market making unusual moves. The Teranet – National Bank of Canada (HPI) showed Canadian real estate markets made a rare decline in the month of November. The monthly decline was observed across the country, with only 3 small markets making a gain. Teranet-National Bank Feel free […]
Canadian real estate owners might be in for a surprise, if they have a variable rate mortgage. Bank of Canada (BoC) numbers show the estimated variable mortgage rate increased by more than a fifth The rise in rates leaves Canadians paying more to their banks, and making less of a dent on that debt pile. […]
One of Canada’s most important measures is showing choppy waters are ahead. Bank of Canada (BoC) numbers show the M1+, a measure of the money supply, continued to slow in October. The rate of growth is a leading indicator of economic growth, and is forecasting lean times ahead. The M1+ The M1+ is a narrow […]
