A big Canadian real estate brokerage upgraded its price forecast, despite rising rates. Royal LePage now sees home prices rising 15.0% in 2022, an upgrade from the 10.5% previously forecast. Similar gains are seen for Toronto (16.5%), Montreal (12.5%), and Vancouver (15.0%) real estate, as well. It’s a fairly big jump for home prices that […]
Canadian real estate investors are about to face higher hurdles to enter the market. The Office of the Superintendent of Financial Institutions (OSFI), Canada’s bank regulator, confirmed new rules being rolled out in Q2 2023. The rules are a part of international Basel III guidelines, designed to reduce risk in the system. One critical change […]
Canadian inflation is hitting multi-decade highs and is projected to get worse. Derek Holt, Scotiabank’s head of Capital Markets Economics, argues the pace of inflation will force interest rates to double by the summer. The Bank of Canada (BoC) is now so behind controlling inflation that raising the overnight rate by an entire point at […]
Canadian households were hit with the fastest rise in living expenses in over 3 decades. Statistics Canada (Stat Can) data shows the Consumer Price Index (CPI) annual growth for March was the highest in over 31 years. High crude oil prices have been the focus of most media attention, but the issue is much more […]
Canadian passports were once prized trophies for entrepreneurs, but times are changing. That’s the takeaway from the 2022 edition of the Passport Index. The Index is produced by Nomad Capitalist, a global consultancy for high net-worth entrepreneurs that happens to have over 400k Youtube subscribers. They only gave Canada a minor drop in score, but […]
Canadian real estate price growth is running out of steam, falling from record highs. Canadian Real Estate Association (CREA) data shows home prices hit a record in March. However, most of that appears to be momentum, as the annual rate showed abrupt deceleration. Higher interest rates are cooling expectations, and we may now be past […]
Canadian mortgage payments are soaring as home prices hit record growth. Those payments might get more expensive for some as interest rates rise. It’s understandable that some are worried homeowners will face significant pressure. However, don’t expect renters to have any sympathy. As expensive as housing is, average mortgage payments are lower than the cost […]
Canada has never seen anything like the current residential real estate market. Sure, affordability is often a problem at the peak of a real estate cycle. However, the gap between home prices and disposable incomes has never been this wide. Home prices have persistently outpaced wages for this generation, and it’s not slowing. The gap […]
Time for your cheat sheet on this week’s most important stories. Canadian Real Estate Canada’s Oldest Bank Begs, “Could we PLEASE Stop With This Supply Myth?” One of Canada’s most prominent economists is getting tired of the false supply narrative. BMO chief economist Douglas Porter explained the supply narrative is vastly overstated. In an analysis […]
Soaring Canadian real estate prices have made it “normal” to borrow supersized mortgages. Mortgage distribution data showing the size at origination has shifted to the right. Low rates and higher home prices have facilitated households borrowing a lot more to buy a home. Just five years ago, the largest segment of borrowers had been borrowing […]
