You’re not alone if you aren’t buying the “inflation is transitory” narrative. BMO Capital Market senior economist Robert Kavcic unpacked price change sentiment data. Small business owners see the cost of goods rising a lot over the next year. In fact, prices are expected to rise the most in at least a decade, by a […]
The whole world might be in a property bubble, but Canada is the second riskiest. That’s the take from Oxford Economics in their latest housing report this morning. Adam Slater, the firm’s lead economist, broke down fundamentals for global markets. He found double-digit overvaluations are widely seen these days. The firm believes a correction is […]
Canadian mortgage credit must be seen as too cheap to pass on, since everyone is borrowing. Bank of Canada (BoC) data shows the outstanding mortgage credit for May grew at the fastest rate in over a decade. The balance is also likely to climb at an even faster rate as well, despite the backdrop of […]
Canadian real estate prices have been generous to sellers over the past year, but not so much for buyers. The Canada Mortgage and Housing Corporation (CMHC) released the results of its annual Mortgage Consumer Survey for 2021. One of the more interesting stories told in the data is how buyers are navigating this market. It […]
Remember that time the head of Canada’s central bank said the housing bubble was good for the economy? Soak it up, because that may be the last time it ever happens. The Bank of Canada (BoC) finished its technical report on the Terms-of-Trade Economic Model (ToTEM). The model, which is used by the BoC as […]
More Canadian mortgage borrowers are betting the economy won’t get much better. At least, they’re unintentionally placing that bet with their mortgage borrowing terms. Data from the Bank of Canada (BoC) shows big growth for uninsured mortgage credit extended in April. It actually saw the largest annual growth on record, driven by a surge in […]
The Canadian renovation boom is slowing, or at least the debt to finance it has. Bank of Canada (BoC) data shows loans for home renovations made a sharp drop in the first quarter of 2021. The balance of these loans had seen a surge during the pandemic, but rolled back in the last quarter. It […]
Canada is experiencing a real estate boom, and it’s fueled by a flood of cheap mortgage debt. Bank of Canada (BoC) data shows mortgage credit reached a record high in April. That’s no longer a surprise since it’s a regular occurrence, but the rate of growth is noteworthy. Canadians added the equivalent of 6% of […]
Canadians are more sparingly applying for credit… except when it comes to a new mortgage. TransUnion data shows credit originations generally fell in Q4 2020. Every segment saw an annual decline with the exception of mortgages. New mortgage originations jumped over 25%, as more people dive into the housing mania. Canadian Mortgage Originations Rise Over […]
A large Canadian financial institution sees higher mortgage rates in your future. Desjardins’ mortgage forecast shows they expect mortgages to continue to climb from here. They see 5-year fixed mortgage rates hitting pre-pandemic levels by next fall. That is before the first expected hike to the overnight rate from the Bank of Canada. Canadian Mortgages […]
