Greater Toronto real estate is doing some soul searching after soaring mortgage costs. Data from Altus Group and developer-group BILD GTA show new home sales cratered in March. Demand dropped across segments, but so did inventory. Despite scarce inventory, single-family home prices still saw the benchmark price drop. Toronto Single-Family Home Prices Slip, But Condos […]
Canadians are doing something uncharacteristic — they’ve slowed borrowing mortgage debt. Bank of Canada (BoC) data shows a big slowdown in new funds advanced for residential mortgages for February. A small seasonal monthly climb was present, but even so it was an oddly slow month. The past couple months look more like the slowdown of […]
Soaring mortgage costs are rapidly cooling the frothy American real estate market. Mortgage applications and pending home sales cratered, show leading indicators released this week. Demand is being throttled by rising mortgage rates, which are now at the highest level since 2009. Home prices have yet to respond to the fall in demand, but experts […]
It’s hard to believe, but Canada’s epic real estate boom might be ending. That was the ominous warning from Desjardins, one of the country’s large financial institutions. They see higher mortgage rates cooling demand significantly in the coming months. The market is forecast to cool so much they see real estate prices falling towards “real […]
The Canadian economy might seem booming — but not for everyone. Statistics Canada (Stat Can) payroll data shows elevated job vacancies in February. Wages increased, as one would expect with such high job vacancies. They just failed to keep up with the kind of growth expected in a high inflation environment. Average wages grew by […]
Canadian mortgage borrowers are going to be paying much higher rates soon. Desjardins’ latest consumer interest rate forecast shows the 5-year fixed rate mortgage climbing — a lot. Over the next few quarters, it can hit up to 7% — a rate that would have seemed impossible back in 2019. Elevated inflation may push borrowing […]
Canadian interest rates are on the rise and households apparently took that as a warning to borrow as much as possible. Filings with the Office of the Superintendent of Financial Institutions (OSFI) show home equity line of credit balances surged higher in February. Over 28 days, Canadians borrowed $2 billion more in HELOC debt — […]
From low-for-long to high-for-longer, Canada may not have inflation under control. A new report from BMO Capital Markets forecasts the Consumer Price Index (CPI) for Canada, and the US will taper into next year. Despite US inflation being much higher, it’s expected to fall below Canada’s rate and start 2024 at a more stable level. […]
High inflation has become such a risk to the economy, the central bank will do anything to slow it. That might include raising interest rates higher than already aggressive forecasts have called. This was the message from the Bank of Canada (BoC) at the Standing Committee on Finance today. The central bank Governor made it […]
Canadian households were in a mad dash to borrow debt before the recent rate hikes. Bank of Canada (BoC) data shows outstanding mortgage credit hit a new high in February 2022. Over the past year, households grew mortgage debt at the fastest rate since 2008. Canadian Mortgage Debt Hit A New Record High The BoC’s […]
