Exuberant Canadians are hooked on real estate, and consequently are following the central bank unusually close. A new report from BMO shows households have shifted price growth expectations with Bank of Canada (BoC) announcements. As the rate tightening cycle comes to an end, the bank sees the potential for the next round of central bank […]
Time for your cheat sheet on this week’s top stories. Canadian Real Estate Canada’s Immigration Plan Is Not Viable In Any Version of Reality: BMO Canada’s population growth strategy is quickly turning into a disaster. Not only has it driven interest rates higher, and failed to grow the economy—immigrants are finding themselves in precarious situations, […]
Canadian households are bracing for a mortgage rate renewal crisis, but how bad will it be? The Bank of Canada (BoC) estimates the majority of households will see payments rise over the next few years. Is it really a crisis though? If following the guideline for affordability used by policymakers, an increase is likely well […]
Canada may have record population growth but what happens if immigrants see the mass exodus of citizens? Statistics Canada (Stat Can) data shows Q3 2023 emigration, or reverse immigration, surged to an unusually high level. Canadians fled the country for a new home in such a large number, a 3 month outflow has only been […]
Time for the holidays, which means it’s time for window dressing season—even when it comes to inflation. The Statistics Canada (Stat Can) Consumer Price Index (CPI) stalled within spitting distance of the central bank’s target range in November. Downward pressure was created by falling energy costs, helping create a temporary halt of a carbon levy. […]
Time for your cheat sheet on this week’s top stories. Canadian Real Estate Canadian “Systemic Risk” Due To CLP Mortgages Is Bigger Than You Think OSFI, the country’s bank regulator, has mentioned combined loan plans (CLPs) are a systemic risk. Mainstream discussion of the issue was largely void though, as it was unclear how big […]
Another day, another newly built home is torched. Toronto Fire Services responded to a residential fire on Thursday morning around York Mills. The newly built, sprawling mansion, listed for sale at $14 million, was mostly lost by the time they could put the fire out. Toronto Police are now looking for four suspects caught on […]
Canadian real estate is rarely this out of reach, and it’s always followed by recession. That was the take from BMO, noting further erosion in the Bank of Canada (BoC) Housing Affordability Index (HAI) in Q3 2023. Higher rates are finally slowing down the pace at which it worsens, but it hasn’t been this bad […]
Canada’s problems with a little-known risky mortgage product are more significant than expected. OSFI, the country’s bank regulator, has targeted combined loan plans (CLPs) for the past few years. CLPs enable interest-only payments, allowing borrowers to carry mortgage debt perpetually. The regulator called these a “systemic risk” that inflates home prices, so it’s clearly a […]
North American interest rate hikes are now largely out of the picture, and rate cuts are the new story. That was the take from BMO after the Bank of Canada (BoC) announced a hold on the 6th, with the US Federal Reserve expected to do the same on the 13th. Now the question on everyone’s […]
