Canada’s largest bank observed the fastest deterioration of home prices in decades. RBC economists crunched the numbers on housing affordability for Q2 2021. The bank found the share of income needed to carry ownership costs on the purchase of a home has surged. Even with negative mortgage rates (or because of?), affordably made the biggest […]
Canadian real estate prices will get post-election support, but risks are piling up. Sal Guatieri, a senior economist at BMO Capital Markets, wrote to clients on the boom and risk of real estate. He sees policy enthusiasm and a lack of inventory boosting existing-home prices near-term. As prices continue to rise, he warns the risks […]
Dust off the disco ball and rolled up dollar bills, because the 1970s are back. At least the signs of 70s-style stagflation are forming, according to one of Canada’s Big Six banks. National Bank of Canada (NBC) chief economist Stéfane Marion warned clients of the rising risk of global stagflation. Rising oil prices, soaring food […]
Canadian real estate is in for a short-term boost, but market factors are likely to cool demand. BMO‘s Robert Kavcic’s latest research note covered Toronto real estate’s September boom. The bank’s senior economist sees a short-term boost to demand, as conditions tighten. This should be tempered by a rising rate environment in the not-so-distant future. […]
Ontario residents are leaving the province, but where are they heading? Statistics Canada (Stat Can) interprovincial migration data for Q2 2021 shows out West, mostly. Here’s where people fleeing Ontario have been heading during the pandemic. Ontario Lost Over 37,000 People To Other Provinces In Just A Quarter Ontario residents have been moving in unusually […]
Canada’s biggest bank found more people are trading life in the big city for Atlantic living. RBC economist Carrie Freestone crunched the numbers of interprovincial migration for Q2 2021. She found prime demographics are finding their way to Atlantic Canada. The migration was mostly from expensive provinces like Ontario and Alberta. Atlantic Canada Just Saw […]
The Canadian real estate slowdown is getting started, as another leading indicator fades. Statistics Canada (Stat Can) data shows building permit values fell in August. Since permits are for future activity, a decline means less building is coming. All the declines were due to a drop in residential permits, which has fallen sharply from its […]
Canadians have been house crazy during the pandemic, and it’s been a big boost to the economy. Now with housing returning to more typical volumes, it’s turned into a drag on the economy. Statistics Canada (Stat Can) data shows real gross domestic product (GDP) slipped lower in July. Even with a pullback, it’s making progress […]
Canadians are once again comfortable spending their recent home equity windfall. The balance of home equity line of credit (HELOC) debt reached a new record high in July. Growth has recovered from last year’s low, and is now at the highest level since before the pandemic. Canadians Owe Over $267 Billion In Debt Secured By […]
Canada immigration is improving from pandemic lows, but it’s still weak. A BMO economics analysis shows the net flow of non-permanent residents was minimal in Q2 2021. It’s better than the beginning of the pandemic when the flows were negative, but not by much. The bank sees this as a big contributor to the rising […]
