Time for your cheat sheet on this week’s top real estate stories. Canadian Real Estate Canadian Real Estate Prices Are Overvalued By Up To 91%: Moody’s Canadian real estate is massively overvalued, said a global credit rating giant. Moody’s estimates the average urban market in Canada is 22% overvalued as of Q2 2021. Large overvaluations […]
Canadian real estate is very overvalued, according to a massive credit rating agency. Moody’s Analytics released its Canadian real estate model this week. The firm’s model shows markets are overvalued by up to 91% across the country. As disastrous as that sounds, the firm isn’t expecting a big housing crash. The baseline model shows low […]
Canada is in the middle of a real estate boom, but home builders are feeling less confident. The Canadian Home Builder Association (CHBA) released its Housing Market Index (HMI) for Q3 2021 this week. The index, which measures builder sentiment, pulled back in the last quarter. Higher construction costs and an updated stress test is […]
Canada is making a triumphant return to feudalism, where homeownership requires family wealth. A CIBC Capital Markets analysis shows 30% of first-time homebuyers received a down payment “gift.” Not a little help either, but it was the primary source of funds for the majority that received a gift. It’s now occurring at such a scale, […]
Mortgage industry veteran Rob Butler, founder of Butler Mortgages and one of the most important names in the industry, shares his insights on the “infinite up” culture and the irrational exuberance of Canadian real estate. Want more? Subscribe to our new YouTube channel for analysis, news, and interviews you won’t find anywhere else.
It’s time to take off the training wheels for Canada’s economy, which is now looking overstimulated. That’s the take from BMO‘s Douglas Porter, who sees stimulus coming to an end as early as this week. The Bank of Canada (BoC) is increasingly looking out of touch with reality. BMO, amongst others, now sees no justification […]
Canada’s central bank is increasingly feeling the pressure from inflation. Desjardins, the country’s largest cooperative financial group, accelerated its interest rate forecast. They see the Bank of Canada (BoC) hiking rates a quarter earlier than previously expected. Elevated inflation is what’s behind the change, and it’s going to push the cost of mortgages higher. The […]
Canadians aren’t just borrowing a lot of mortgage debt, they’re doing it at one of the fastest rates ever. Bank of Canada (BoC) data shows outstanding mortgage credit hit a new record in August. It wasn’t just the balance, which is now larger than the gross domestic product (GDP) of most countries. The rate at […]
The Canadian bond market is sending real estate a message — credit is going to tighten. Government of Canada (GoC) 5-year bond yields hit the highest level in a year today. Yields for the segment are now triple the level they were last year. Since GoC bond yields influence mortgage rates, this will drive the […]
Time for your weekly cheat on this week’s top stories. Canadian Real Estate Global Stagflation Reminiscent Of The 1970s Is Forming, And It’s Bad News: National Bank National bank of Canada’s chief economist warned of a new risk — stagflation. This is a period of high inflation and low economic growth, and the first signs […]
