Canadian mortgage borrowers are finding out fast that Toronto real estate isn’t always a path to riches. Equifax data shows Toronto mortgage delinquencies climbed in Q1 2024, and now sit at the highest rate in 8 years. Except back then the rate was falling as the market improved, and it’s heading in the wrong direction […]
One country’s discreet bailout is another country’s financial crisis, and that’s why Basel III was rolled out. The series of banking supervision measures are designed to improve banking resilience, with the latest measure designed to set minimum capital using a standard approach to risk. Canada was set to begin adopting the rules this year, but […]
Priced out of housing and now facing an eroding labor market, Canada’s young adults can’t catch a break. A new report from National Bank of Canada (NBF) warns that unemployment is on the rise across the country, but it’s surging for young adults (15 to 24 years old). The demographic is seeing unemployment rise much […]
Canada’s banks have dominated Greater Toronto’s investor mortgage market. CIBC data shows the Big Five captured 75% of investor mortgages on condos completed in Toronto in 2023. There’s just one problem-most of those mortgages are cash flow negative—the rent fails to match the payment, property taxes, and maintenance fees on the unit. The Big Five […]
Finally, some good Canadian real estate news—though it’s unlikely to be a lasting trend. New data from the Canadian Housing Statistics Program (CHSP) at Statistics Canada (Stat Can) shows more new condo apartments were owned by end-users in 2022. As interest rates climbed, prices stalled and investors no longer saw the same return potential. Owner-occupants […]
The Greater Toronto condo market has been dominated by investors for years. That’s changing really fast, according to a new analysis from CIBC Economics. Over 4 in 5 investors with a condo apartment rental completed in 2024 are losing money, collecting less rent than they’re paying out. It’s a problem that’s long existed, but may […]
Canadian real estate is facing some of the worst market conditions in decades. That was the take in CIBC’s latest research paper, which warns investment has disappeared from the market. The problem is amplified in the Greater Toronto condo market, where investors represent over two-thirds of buyers. Complicating the issue further is a weak condo […]
Canada’s central bank sees real estate becoming an even stronger part of the economy. Bank of Canada (BoC) announced a cut to its key interest rate this morning, as widely expected by markets. The central bank justified the decision by noting the progress made on inflation, as well as excess supplies and labor market slack. […]
Everyone in Canada will soon be able to afford a home. We just need investors to build more and rates to be cut, right? Anyone that can do basic math has probably been skeptical of that narrative and with good reason—even the people making those statements don’t believe it. Internal messages from the CMHC make […]
Canada chased rapid population growth to fill its soaring job vacancies. Now it’s running out of jobs, and still has near-record population growth. National Bank of Canada (NBF) believes this is a concerning setup for new immigrants who are arriving to the tightest job market in 7 years. Not only is this driving unemployment for […]
