Canada’s falling bond yields provided cheap mortgage credit, helping to boost home prices. Now it’s reversing course, with Government of Canada (GoC) 5 year bond yields rising sharply. The yields directly influence fixed mortgage rates, and over just a few days they’ve nearly reversed the discount given after the US banking crisis. Higher rates will […]
Canadian real estate might be seeing higher prices, but more buyers can’t pay their bills. Equifax data reveals the mortgage delinquency rate climbed in Q1 2023. Households are also increasingly falling behind on payments, a sign that further mortgage delinquencies are in the pipeline. This is occurring as lenders scramble to extend the length of […]
Canada’s Boomers went all in on real estate investment, looking to double down on their windfall. That was the takeaway from a new Canadian Housing Statistics Program (CSHP) study looking at investor demographics in 2020. The Statistics Canada (Stat Can) study found that most resident real estate investors are at least 55 years old. Younger […]
Time for your cheat sheet on this week’s top stories. Canadian Real Estate Canadian Real Estate Prices Propped Up By Longer Repayment: Bank Regulator Canada’s bank regulator admits that longer repayment schedules are propping up prices. The country’s banks have seen an explosion of longer amortizations, with nearly 1 in 4 mortgages now having a […]
Canadian real estate prices are back to climbing aggressively just over a year after the correction began. Canadian Real Estate Association (CREA) data shows the price of a composite benchmark, or typical, home surged in April 2023. The unusually large increase observed also happens to be similar in size to increased leverage from falling mortgage […]
Politicians in Canada’s largest city just approved a new law that may help prop up its bubble. The City of Toronto adopted a broad upzoning measure this week, converting single-family zoning into multiplex zoning with up to 4 units. The City is notoriously slow when it comes to increasing zoning applications, so this was pitched […]
Canada’s expected to fall into recession later this year, but it may already be there by a traditional definition. Real gross domestic product (GDP) per capita data shows the country is in a per capita recession, one of the traditional definitions. These events are associated with an eroding standard of living, and it’s expected to […]
Canadian real estate prices are climbing on the country’s booming population. More demand means higher home prices, right? Not so fast, it may not be as straightforward as the narrative. Statistics Canada (Stat Can) data released today shows immigrant income levels from a survey conducted in 2021. Recent immigrants to Canada earn significantly less than […]
Canada’s ambitious plan to grow its population through immigration hit a roadblock—it’s running out of applicants. Government of Canada (GoC) data shows applications received for permanent residency fell sharply in February. Despite record population growth, a soaring cost of living and slowing economy has resulted in a trend of fewer applications since peaking in 2021. […]
Time for your cheat sheet on this week’s top stories. Canadian Real Estate Canadian Real Estate Prices Set To Rip Higher After BOC Signal: BMO Canada’s real estate correction might be over less than a year after kicking off. BMO observed home buyers returned to the market shortly after the central bank “paused” hikes. At […]
