Toronto Real Estate Is The World’s Largest Bubble & It’s Officially “Crashing”
Toronto real estate was declared the world’s largest bubble by UBS just a few months ago, now prices are crashing.
Canadian Real Estate Bubble May Crash Until 2025 As Indicator Flashes Warning
Canada’s real estate bubble is popping, and another indicator is flashing a warning. Residential investment as a share of GDP fell again in Q3 2022, after peaking a year before. Such a large drop in housing investment has only ever preceded the popping of a real estate bubble. Central bank research also indicates real home […]
Canadian Detached Home Prices Are Plummeting, Here Are The Hardest Hit Markets
Canadian real estate is in the middle of a price correction, and single-family homes have been hit hardest. Canadian Real Estate Association (CREA) data shows single-family homes, which include detached and semi-detached units, saw prices fall sharply in November. Virtually every market is now off its all time high, with the worst performing down nearly […]
Canadian Home Equity Loans Surged After Regulator Warnings
Canadian homeowners have been using their home equity to secure an alarming amount of debt. Filings with OSFI, Canada’s bank regulator, show the value of loans secured by housing continued to advance in October. Over the past year, growth of loans secured by home equity has surged at one of the fastest rates ever. It’s […]
Canadian Real Estate Buyers Opt For Fixed Terms After Variable Shock
Overstimulated Canadian real estate buyers are no longer opting for variable rate mortgages. Bank of Canada (BoC) data shows mortgage borrowers preferred fixed rates in October. Most new borrowers had been opting for variable terms at the start of the year. That trend is rapidly shifting as rates normalize and fixed rates become cheaper. Canadian […]
Canadian Real Estate Prices Have Officially Crashed In 18 Markets
Canadian real estate markets went from boom to crash in less than a year. Canadian Real Estate Association (CREA) data shows every major composite index was down from its peak in November. Over a dozen of Canada’s real estate markets have even “crashed” as a sharp mix of reality and higher interest rates sink in. […]
Canadian Housing Affordability Hits Unsustainable Level: BoC Index
Canadian real estate has never exactly been cheap, but it’s rarely this unaffordable. The Bank of Canada (BoC) Housing Affordability Index (HAI) hit a 32-year high in Q3 2022. That means it’s nearly impossible for an average household to buy a home right across the country. The cost of housing has breached an unsustainable level […]
Canadian Real Estate Prices To See Double-Digit Drop, Delinquencies Climb: Fitch Ratings
Canada’s real estate downturn will continue next year, warns a credit rating giant. Fitch Ratings released its 2023 forecast calling even lower home prices next year. After 3-decades of strong price growth without correction, affordability has never been worse. When combined with high rates, weak demand is expected in the near-term as home prices adjust. […]
Canadian Mortgage Debt Hits 100% of GDP, Crisis Risk Surges
Canadian mortgage debt is slowing, but it’s way past the point of becoming a problem. Bank of Canada (BoC) data shows outstanding mortgage credit slowed in October 2022. However, slow growth is still growth—households now owe the equivalent of the country’s economic output. At this level, debt will pile up much faster than GDP grows, […]
Canadian Job Vacancies Fall Sharply As Population Growth Surges
Canada’s vast choice of unfilled jobs is quickly disappearing as the economy begins to tighten. Statistics Canada (Stat Can) data shows the number of job vacancies made a sharp decline in October 2022. That’s good news for moderating inflation as economic slack is absorbed, but also indicates we’re past peak growth and heading towards recession. […]
