Canadian real estate prices surged higher as rates were cut, then plunged as rates climbed. According to a new BMO Capital Markets analysis, markets have retraced a significant portion of their losses despite higher interest rates. In fact, some real estate markets are even hitting new record highs alongside climbing interest rates. Tracking The Canadian […]
Canadian real estate prices may have just seen the end of a short-lived recovery. Canadian Real Estate Association (CREA) data shows home prices fell in July. It was a minor drop considering recent activity, but does end a five-month winning streak. Is this just a minor setback, or the correction picking up where it left […]
Official numbers won’t be out until tomorrow, but they’re expected to reveal market weakness. BMO Economics is calling a slowdown for July’s existing home sales and price data. Almost all of Canada’s major real estate markets have reported eroding market activity. This is expected to work its way into the national data, as higher rates […]
Canadian housing is getting more affordable, but it’s still way out of reach for most. National Bank of Canada (NBF) released its Q2 2023 Housing Affordability Monitor (HAM) showing improvements in most markets. Despite rising financing costs, home prices fell enough to improve affordability. It was the third quarter to show affordability improvements, but it’s […]
Canada’s ability to attract talent is making it a victim of its own success. Statistics Canada (Stat Can) data revealed minimal job losses for July 2023. However, the unemployment rate climbed as population growth doubled the rate of jobs. This helped drive the unemployment to the highest level since the start of 2020. Canada’s Unemployment […]
Canada’s real estate correction is all set to continue, following a brief interruption. High-profile macroeconomics firm Oxford Economics sees the Spring bounce as temporary. Their latest forecast shows the correction is only halfway, and will last well into next year. Higher mortgage rates and macroeconomic erosion may also prevent a rapid recovery. Canada’s Real Estate […]
Canada’s inflation surge is leaving almost as quickly as it appeared, but it’s not gone yet. BMO Capital Markets wrote to investors this morning, warning the Consumer Price Index (CPI) is about to get a boost from gasoline prices. A base effect that helped to lower the headline CPI growth is about to work in […]
Buckle up, Canadian mortgage rates are about to climb even further in the coming weeks. The Government of Canada (GoC) 5-year bond yield closed Thursday at a 16-year high. The yield directly influences a key mortgage rate, meaning interest costs are about to head in this direction as well. At least one Big Six bank […]
Canada’s economy has been a raging inferno of excess demand, and policymakers are throwing gas on it. That was the take in a new BMO Capital Markets memo warning that Federal spending is outpacing the country’s economic output, contributing to excess demand and higher inflation. As a result, the bank warns that interest rates have […]
Higher interest rates did something even a pandemic couldn’t—it slowed Canadian mortgage borrowing. Bank of Canada (BoC) data shows that mortgage credit continues to decelerate in May. When inflation is factored in, mortgage credit growth falls to a level rarely seen in Canada. Canadians Owe Over $2.1 Trillion In Mortgage Debt Canadian mortgage debt is […]
