US home buyers are busy with purchases, but there are fewer present than a few months ago. National Association of Realtors (NAR) data shows home sales fell in August. The drop was accompanied by a decline in inventory as well. Despite the relatively neutral market position, price growth is starting to slow. US Existing-Home Sales […]
Canadian home prices are moving faster than wages, leaving a lot of cash-poor, house-rich Boomers. The Ontario Teachers’ Pension Plan Board (OTPPB) must see opportunity, because they are buying a large reverse mortgage lender. The pension announced its acquisition of HomeEquity bank today. It might not be a familiar name, but their flagship product might […]
Elevated levels of inflation may stick around longer than central banks have let on. The Organization for Economic Co-operation and Development (OECD) released its 2021 summer outlook. The intergovernmental agency for advanced economies revised Canada’s inflation forecast higher. Not a little either, they now see double the rate of expected inflation next year. The agency […]
Canadian employers are making jobs faster than people can fill them. In two separate reports, BMO economists took a dive into rising job vacancies and wages in Q2 2021. They found job vacancies hit a new record high last quarter. A lack of labor doesn’t appear to have much urgency though, as wages are still […]
The Canadian election is over and the country’s leadership remains largely unchanged. However, a laundry list of election promises mean big changes to real estate are coming. Most of the promised plan seeks to create more demand for housing, which softens price drops. Expect more of the same currently being done, but with a revamped […]
Canadian real estate is expected to be slow for the rest of this year, but it won’t last very long. The Canadian Real Estate Association (CREA) shared their 2021 forecast. In the forecast for this year, they see minimal movement from the current average sale price. Next year they see huge gains returning, especially in […]
A few months ago, central banks were worried Canadians wouldn’t borrow debt. Now Canadians are borrowing at one of the fastest rates in history, and have an astronomical pile of it. Bank of Canada (BoC) data shows outstanding mortgage credit reached a record high in July. There are some signs mortgage credit is slowing, but […]
Time for your cheat sheet on this week’s top stories. Canadian Real Estate Canadian Households Spend More Income On Debt Than Any Other G7 Country: BIS Canadians devote much more income to debt payments than their G7 peers. Households in the country had an average debt service ratio (DSR) of 12.4% of income in Q4 […]
Canadians are seeing higher inflation and one of the country’s biggest banks thinks you might want to get used to it. BMO senior economist Douglas Porter wrote to capital markets customers to clarify a position in a national newspaper. The outlet had isolated his quote, and used it to downplay concerns about inflation. In reality, […]
Canadian households devote an astronomical amount of income just to carry their debt payments. Data from the Bank of International Settlements (BIS) shows Canadian households have a very high debt service ratio (DSR). The ratio dropped in Q4 2020 slightly, but it’s still much higher than any other G7 country. Not even the US housing […]
