Canadian real estate affordability is getting worse as the market adjusts to higher rates. A Bank of Canada (BoC) update to its Housing Affordability Index (HAI) shows a sharp climb in Q2 2022. An average household now requires nearly half their income to service a mortgage. It’s a level rarely seen in Canada, and experts […]
Canada’s large banks warn an “enormous” shock to real estate is coming, and a hard landing will start as early as this year.
Canadian real estate will see a second shock as mortgage pre-approvals secured at much lower rates fade, according to BMO.
Canada’s best performing real estate markets during the boom were in Southern Ontario, and now they’re the worst performing.
Canadian real estate prices are now back to the lowest level since November 2021, with annual growth likely to turn negative soon.
RBC no longer sees a soft-landing as a possibility, and now expects a moderate recession will kick off as early as the end of this year.
Oxford Economics now sees a moderate recession after the Bank of Canada now needs more aggressive rate hikes due to persistent inflation.
Canada’s second-largest bank is the latest to forecast declining real estate prices, but the good news is they don’t see a deep recession.
RBC quarterly filings reveal the bank is seeing its baseline expectations for Canadian real estate prices erode even further.
This week’s top stories include a “Big Six” bank warning Canada’s real estate correction is just getting started & big inflation revisions.
