A few months ago, central banks were worried Canadians wouldn’t borrow debt. Now Canadians are borrowing at one of the fastest rates in history, and have an astronomical pile of it. Bank of Canada (BoC) data shows outstanding mortgage credit reached a record high in July. There are some signs mortgage credit is slowing, but […]
Time for your cheat sheet on this week’s top stories. Canadian Real Estate Canadian Households Spend More Income On Debt Than Any Other G7 Country: BIS Canadians devote much more income to debt payments than their G7 peers. Households in the country had an average debt service ratio (DSR) of 12.4% of income in Q4 […]
Canadian inflation looks less transitory by the day, as costs surge higher and higher. Statistics Canada (Stat Can) data shows the consumer price index (CPI) made a sharp climb in August. Growth is now well in excess of the base effect, and not just an illusion. One of the biggest drivers has been shelter costs, […]
Canadian household indicators are showing their debt problems are rapidly resurfacing. Statistics Canada (Stat Can) data shows the ratio of household debt to disposable income surged in Q2 2021. This measure indicates debt is growing faster than the rate of income. Debt as a ratio of income has actually never seen such fast annual growth […]
Canadian debt is dirt cheap, but it won’t be this cheap forever, warns BMO. Douglas Porter, the bank’s chief economist, expects the cost of borrowing to remain “low for long.” He just doesn’t see it being quite as low as the current stimulus driven environment. As governments taper stimulus to fund its spending, borrowing rates […]
The Canadian economy still has a long way to go before it’s recovered — possibly further than thought. RBC economist Josh Nye said today’s Bank of Canada (BoC) rate decision was widely expected. The central bank made no changes, reiterating the importance of quantitative ease (QE). Canada’s largest bank sees a risk of QE tapering […]
The Canadian economy defied odds, and became more dependent on real estate investment. Statistics Canada (Stat Can) residential investment data shows a surge in current dollars for Q2 2021. The most recent quarter showed a massive climb — much bigger than GDP in general. This pushed residential investment’s share of the economy to a new […]
Time for your weekly cheat sheet on this week’s most important stories. Canadian Real Estate Canadian Housing Investment Is Falling, And Will Be A Drag The Economy: BMO Canadian real estate investment is starting to slow, and a big bank thinks it’s just the beginning. The GDP sub-component of residential investment made an annualized decline […]
Canadian subprime credit inquiry volumes are falling, but still lead the market. TransUnion updated some of its credit indicators for Q2 2021 today. Overall improvements are seen in credit health, with high-quality borrowers leading in growth. However, the subprime segment has been contracting at a smaller and smaller rate. Smaller contractions can mean the segment […]
Time for your cheat sheet on this week’s top stories. Canadian Real Estate One Of Canada’s Largest Real Estate Lobbies Lost Their Sh*T Over An Election Promise One of Canada’s largest real estate lobbies isn’t very happy with one of the new election promises. The Liberals promised this week to ban “blind-bidding” if re-elected. The […]
