Canadian Cities Have Seen Investors Buy Up To 100% of Newly Constructed Condos
Most condo apartments built since 2016 have non-occupying ownership across Canadian real estate markets, according to 2020 property records.
Canadian Mortgage Debt Tops $2 Trillion, Likely To Soon Eclipse Size of GDP
Higher interest rates are slowing mortgage borrowing but debt is still growing fast. Bank of Canada (BoC) data shows outstanding mortgage credit climbed in May 2022. Falling home sales are beginning to erode the pace of borrowing. Even with the minor slowdown, mortgage debt is likely to surpass the size of GDP soon. Canadian Mortgage […]
Canadian Real Estate Expected To See A “Historic Correction,” Biggest Drop Ever: RBC
Canada’s largest bank sees the country’s real estate bubble popping like no other. Last week we explained RBC is getting ready to revise its forecast lower, and they made it official today. The bank explained to investors the correction will be larger than previously expected. They’re now forecasting the largest downturn in history for both […]
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 […]
Canada’s Inflation Hits A 39-Year High, Experts Say The Problem Is Far From Over
Canada’s inflation data came in lower than expected, but still advanced to a new high. The June Consumer Price Index (CPI) from Statistics Canada (Stat Can) showed the highest annual growth since 1983. It was less than the market expected but still accelerating and way above target. Experts see the elevated inflation requiring a contraction […]
The Canadian Real Estate Bubble Was Just Delivered Its Final Blow: BMO
One of Canada’s largest banks is calling the housing market’s time of death — 10am Wednesday July 13, 2022. That’s basically the message from a BMO Capital Markets note to investors on Friday morning. Canadian housing affordability was already stretched to the limit, requiring price cuts to keep moving . Add this week’s rate hike, […]
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 […]
Bank of Canada Warns “Inflation Is Too High,” Makes Biggest Hike Since 1998
Canada’s economy got a bit of a surprise this morning — a massive rate hike. Analysts expected the Bank of Canada (BoC) to make a big move, just not the biggest in over 20 years. The central bank is hoping to temper inflation expectations by showing they’ll do whatever it takes. Canadians now face the […]
Canadian Mortgage Loans Are Still Being Issued At Dirt Cheap Interest Rates
Canadian mortgage rates are surging higher but are mortgage rates now high? Bank of Canada (BoC) data shows interest costs for new mortgage lending climbed sharply in May. Rates are rising from record lows, stimulus-levels, and largely just normalizing. New mortgage borrowers were still paying less interest than they would have in 2019. Uninsured Mortgages […]
Canadian Consumer Insolvencies Are On The Rise, But Still Below Typical Levels
A lot more Canadians are suddenly seeking protection from lenders, but no need to ring the alarm — yet, at least. Consumer insolvency filings climbed in May, shows Office of the Superintendent of Bankruptcy (OSB) data. It was a substantial increase too, possibly raising concerns about rising rates. While volumes are rising, a base effect […]
