Canada’s foreign buyer ban has been in effect for hours, so it’s time to start loosening it, no? Just 86 days after passing restrictions on non-resident buyers, the country has quietly loosened restrictions for non-resident investors, and temporary residents. Most likely because the ban was largely just a distraction from the speculation coming from inside […]
The world’s largest alternative asset manager looks a little strapped for cash. Blackstone made headlines over the past few years for its real estate shopping spree. Deploying what seemed like unlimited capital, it bought everything in sight. Heck, they probably even outbid you for grandma’s home. That’s come to an abrupt end, as it defaults […]
Canada was no exception to the retreat of global bond yields after the US banking crisis hit last week. The Government of Canada (GoC) 5-Year Bond yield plunged at one of the fastest rates in a generation. It wasn’t alone, with most yields falling—potentially signaling lower borrower costs. That is, if the panic-driven drop sticks […]
A Canadian regulator is sounding the alarms on private mortgages, but are they too late? The Financial Services Regulatory Authority of Ontario (FSRA), which oversees mortgage brokers, recently issued a warning on the risks of private mortgages. They have observed a boom in consumers using these high interest loans, often paired with interest only repayment. […]
Canada’s “Big Six” banks are now some of the country’s biggest real estate bears. Quarterly regulatory filings reveal their forecasts used for risk planning, and capital allocation. Despite seeing long-term value, just one Big Six has forecast home prices rising over the next year. Most don’t see a quick recovery either, with some expecting prices […]
Canada’s central bank didn’t break its pause, but signaled it will still drive borrowing costs higher. This morning, the Bank of Canada (BoC) announced the overnight rate will hold at 4.5%, surprising few. They did just announce a pause at the last meeting, so reversing course was unlikely. However, that doesn’t mean borrowing costs won’t […]
There’s a Canadian real estate correction? Apparently no one told Toronto. TRREB data shows home prices didn’t just climb in February, but made a 5-digit jump. Prospective buyers with their buyer-feet ice cold in the snow, stood puzzling and puzzling—asking, how can it be so? It came without rate cuts. It came without speculators. it […]
Canadian real estate prices are falling with higher mortgage rates, but has it made it easier to buy? Bank of Canada (BoC) data for December’s new uninsured mortgage loans shows the highest rates in well over a decade. Interest costs are rising faster than prices are falling, meaning worse affordability. The hiccup is due to […]
Canada’s real estate bubble isn’t just consuming the economy, it’s sucking up non-traditional opportunities. Statistics Canada (Stat Can) data shows the underground economy was booming in 2021. The cause of the sudden boom? Housing, which propelled the size of the informal and illicit economies almost as quickly as home prices climbed. What Is The Underground […]
Canada’s economy is just too darn strong, and it’s become a thorn in the central bank’s paw. That was the takeaway from Bank of Canada (BoC) Governor Tiff Macklem’s speech to the Standing Committee on Finance to discuss inflation this morning. Inflation is easing but remains more than three times its target. If meaningful progress […]
