Canada’s largest bank sees much higher home price growth in the near future. RBC shared the update to their national home price forecast for 2021. The bank now expects prices to grow almost twice as much as they previously thought. In their previous forecasts, they had expected significantly more government action. With no new policy […]
Canadian households have been saving at one of the highest rates ever recorded. They saved an extra $167 billion last year, and everyone thinks it’s going to be spent in their industry. Statistics Canada (Stat Can) data shows this might sound a lot larger than it actually is when broken down. It’s definitely going to […]
The recent surge in lumber prices helped to push home prices higher, but now they’re crashing. Lumber prices closed today nearly 30% below the all-time high reached in May. The recent surge in prices pushed builder costs up by tens of thousands of dollars. This sent new home prices much higher, leading to an interesting […]
Canadian housing mania is consuming more and more of the country’s capital. The country is now devoting a record share of gross fixed capital to build homes. It’s really hard to appreciate this number without looking at the rest of the world. The share of investment devoted to homebuilding makes the US bubble look like […]
Time for your cheat sheet on this week’s most important stories. Canadian Real Estate Canada Is Running Out Of Land. It Does That Every Few Years Canada is running out of land, and it turns out it does this every ten to twenty years — at least in the mind of residents. We dive through […]
Canada is really depending on real estate to spackle shut the holes in the economy. Statistics Canada (Stat Can) data shows real estate commissions and fees hit a new high in March. The segment of gross domestic product (GDP) is growing so fast, it’s now a whole point of the country’s output. It also represents […]
The price of a commercial lease in Canada is getting more expensive, unless it’s retail. Statistics Canada (Stat Can) data shows commercial rents increased in March. Gains were led by offices, and an industrial space boom. Retail was the only big loser, with prices taking a dive across the country. Canadian Commercial Rents Increase, But […]
Inflation is transitory… or it may not be. It depends on whether the data is considered reliable enough that day. Bank of Canada (BoC) released a home price exuberance model, showing the market bubbles. Even more interesting is a footnote for the model they used. They feel inflation data on rent is unreliable, because it […]
Canadian homebuyers are paying large premiums to live in some cities. National Bank of Canada (NBC) data shows most cities are cheaper than the national home price in Q1 2021. Two big exceptions are Toronto and Vancouver, which fetch massive premiums. Let’s take a look at how much more people need to pay in contrast […]
The Canadian property bubble is at the part where some people now only see the expensive real estate that can be used for housing. One of Canada’s national newspapers recently ran a staff-written piece on why public parks are a waste of space. Instead, they suggest parks should be used for more housing or run […]
