Canadian real estate developers are being squeezed by inflation, and it’s turning ugly. The Hazleton Development Corporation obtained Companies’ Creditor Arrangement Act (CCAA) protection on April 20, 2022. The developer cited rising costs as one of the primary issues putting a 265-home project at completion risk. In this particular case, costs rose less than typical […]
Time for your cheat sheet on this week’s most important stories. Canadian Real Estate Canadian Real Estate Markets Are Up To 108% Overvalued: Moody’s Canadian real estate is seriously overpriced — with cities up to 108% overvalued. Moody’s Analytics estimates urban cities are 22.9% overvalued as of Q4 2021. Toronto (43.6%) and Vancouver (22.3%) also […]
Canada’s central bank is aggressively hiking rates but also expecting more inflation. The Bank of Canada (BoC) rate decision got all of the attention yesterday, but that was expected. It’s the BoC forecast that was a surprise, as they hiked their inflation expectations. The consumer price index (CPI) annual growth numbers received an uptick for […]
Most Canadian businesses now expect significantly higher than usual inflation. The Bank of Canada (BoC) Business Outlook Survey for Q1 2022 was released today. One of the key insights is business inflation expectations, which show future sentiment. The survey found a record share of businesses see elevated inflation for at least two more years. […]
Time for your cheat sheet on this week’s top stories. Canadian Real Estate Canadian Real Estate Is About To Experience A “Full-Scale Attack,” Warns Big Six Bank Canada’s oldest bank warned investors of a “full-scale attack” on real estate this week. Climbing mortgage interest costs are just the start. Foreign buyer taxes, vacancy taxes, and […]
Opening Statement by Stephen Punwasi Better Dwelling Appearance before the House of Commons Standing Committee on Finance March 24, 2022 Good afternoon Committee, and thank you for the invite. My name’s Stephen Punwasi, and I’m the chief data analyst at Better Dwelling, Canada’s largest independent housing news source. Some of you might be familiar with […]
Canadians are used to seeing their purchasing power vaporize, but not this fast. Statistics Canada (Stat Can) data shows annual growth for the consumer price index (CPI) hit 5.7% in February. The measure of inflation is at the highest level of growth since August 1991. Meanwhile shelter, one of the largest weights in the CPI […]
Canada’s economy is leaning on real estate once again. Statistics Canada (Stat Can) data shows building construction investment hit $19.1 billion in January. Investment is 3.4% higher than a month before, and 12.0% higher than it was last year. There’s a bit of a catch though — the growth disappears once adjusted for inflation. It […]
The global energy shock is driving costs higher everywhere, and Canadians can feel it at the pump. BMO Capital Markets took a stab at estimating the consumer impact from rising prices. Their research shows gas was ~$1.80/liter on Monday, up from $1.60/liter last week. That’s on top of the increase from last year, sending costs […]
Expectations for higher inflation in Canada are rising as it spreads to more components. BMO Capital Markets’ latest forecast contained upward revisions for the consumer price index (CPI). The measure of inflation is expected to rise faster this year as the commodity prices soar. The gap between the Bank of Canada (BoC) forecast and BMO […]
