Many Canadian retail stores closed, but households are still finding ways to spend. Statistics Canada (Stat Can) data shows retail spending made a big jump in February. The rise in sales was strong in the building materials and gardening categories. Combined, both of those trends represented nearly a third of all annual growth. The combination […]
Canadian real estate is in a melt-up, and the Government of Canada (GoC) was warned not to pour any gas on the fire. Naturally, they’re getting ready to pour gas on the exact fire they were told not to. On May 3, 2021, the GoC will expand the First-Time Home Buyer Incentive (FTHBI) program. The […]
Canadians are now so used to large home price gains, that frothy returns just look normal. BMO senior economist Douglas Porter gave a little perspective, by looking across Lake Erie. In Cleveland, home prices are rising rapidly and beginning to look a little frothy for the market. On the Canadian side, prices in St. Thomas […]
Canadian real estate is such a big part of the economy, just its spin-off economic activity is now a huge deal. The Canadian Real Estate Association (CREA) has forecast big 2021 home sales, but the second half will be slower than the first. Next year they see a less exciting, but more typical year for […]
Canadians shopping for homes should make sure they really want that home — especially in cottage country. BMO senior economist Robert Kavcic sees the market cresting soon. In a research note to clients, he sees a few upbeat economic indicators, which may dump cold water on stimmy. People may debate whether or not big cities […]
The Canadian economy is recovering much faster than expected… just not in a healthy way. Canadian real gross domestic product (GDP) is down less than two points in Q4 2020. Digging into the numbers, we see the headline is better due to households doubling down on real estate mania. When housing is stripped from GDP, […]
Time for your cheat sheet on this week’s most important stories. Canadian Real Estate How The Canadian Government’s Supersized Budgets Inflate The Property Bubble Most people only think of the impact of government borrowing in the context of taxation — and they believe it’s not a huge deal. Governments can borrow a whack of money, […]
Canadian real estate markets are going to be very different after the pandemic. BMO‘s annual housing survey found first-time home buyers (FTHB) are moving to small towns. More young adults now find small-town living to be much more desirable than living in any of Canada’s big cities. Canadian First-Time Buyers Fleeing To The Suburbs Almost […]
Canadian homebuilding lagged in the past, but it now far exceeds population growth. CMHC data shows home completions started to outpace population growth last year. By the fourth quarter, there are now 18 homes completed for every person the population grows. Curiously, home prices have been soaring in growth. Canadian Homebuilders Are Still Hammering Out […]
The number of U.S. existing-home sales is falling, but it’s definitely not a drag on price growth. The National Association of Realtors (NAR) data shows existing-home sales fell in March. The drop in sales is largely attributed to falling inventory. This has created more pressure on home prices, driving them to new record highs. U.S. […]
