Canadian Real Estate Market Entered Bear Territory, Expect It To Get Worse: BMO
Canadian real estate entered a bear market as higher rates killed excess demand, and BMO sees things getting worse in the coming months.
Canadian Real Estate Is Proving To Be A Story of Excess Demand: BMO
Canadian real estate sales are fading quickly as interest rates rise, proving this was an issue of excess demand from too much stimulus.
Canadian Real Estate Is Worse Than Official Data Shows, BMO Revises Forecast Lower
BMO made a downward revision to its Canadian real estate forecast as the bank notes a surge in cancelled listings and failed closings.
Canada’s Housing Supply Has Outpaced Household Formation For Two Decades: BMO
Canada’s oldest bank is doubling down on its claim the housing supply shortage is a myth. BMO Capital Markets wrote to clients on Thursday morning with another data point — completions compared to household formations. The bank’s analysis argues housing completions have outpaced household formations for two decades. However, easy credit and wave after wave […]
The Canadian Real Estate Bubble’s Supply Shortage Myth Is Unraveling: BMO
Canadian real estate suddenly had a shortage of supply after record low rates. Not in major boomtowns, but in small cities and rural municipalities. Canada had the biggest boom, but this was seen in almost every advanced economy. Right after rates were slashed to stimulate demand, everywhere had a sudden shortage. BMO Capital Market economists […]
Canadian Real Estate Psychology Is Crumbling Fast: BMO
Canadian real estate prices are falling about as fast as they climbed earlier this year. BMO Capital Markets long maintained Canada didn’t have a housing shortage but an excess of exuberance. As price gains slow, they are proven right as more people now expect prices to fall instead of rise. Following today’s rate hike, the […]
BMO Revises Bank of Canada Rate Forecast Higher, Expect 2008-Levels By Next Week
Canadians are about to see interest rates they didn’t think were possible in just a few days. BMO made revisions to its overnight rate forecasts this week. At next Wednesday’s meeting, they’re calling the largest rate hike in two decades. That will bring interest rates (and your borrowing costs) to the highest level since 2008. […]
Almost No One Believes A Soft Landing For The Economy Is Still Possible: BMO
Policymakers have been telling the public that a soft landing is still possible. However, virtually no one believes it, according to BMO Capital Markets. BMO chief economist Douglas Porter recently explained that market expectations are eroding. Yields and commodity prices are cratering against a backdrop of higher inflation. This isn’t typical unless serious doubts have […]
Canadian Real Estate Cooldown Is Just Getting Started: BMO
Canadian real estate has another indicator showing higher rates are tempering the market. A new analysis from BMO Capital Markets shows housing-related retail sales fell in April. They attribute this to higher rates, and see this as a direct follow up to falling real estate sales. Activity remains elevated but BMO sees things slowing further […]
Canadian Mortgage Costs To Hit “Inconceivable” Levels After Bond Yields Surge: BMO
Canadians should say good-bye to the 15-or-so year experiment with cheap debt, because it’s over. Government of Canada (GoC) 5-year bond yields continued to boom, accelerating this week. The yield now sits at the highest level since before the Great Recession and isn’t expected to slow down. Mortgage rates will see a big impact from […]
