Time for your cheat sheet on this week’s most important stories.
Canadian Real Estate
CMHC Warned Buyers Not To Buy A Condo. Some Are Now Officially Underwater
People that bought a condo after the pandemic was declared aren’t doing so hot. Across Greater Toronto, buyers of a benchmark condo in April have seen the minimum downpayment wiped out. In Greater Vancouver, just over half of down payments have been lost. In both regions, this trend was even worse in the pricey centre.
Canada Is Now Completing 2 Homes Per Person Added To The Population
Canada’s sudden slowdown of immigration has the number of homes completed rising much faster than population. In Q3, the ratio of homes completed to people added to the population hit 2.26 homes per person. This is a massive jump, not seen before the Great Recession.
Canadian Households With Budget Shortfalls Have 8 Weeks Of Funds Left: TransUnion
Canadian households facing a budget shortfall have less than two months of funds before they run out of cash. TransUnion estimates the average consumer in this category is on average $921 short per month. Even with income support, they estimate this gives them an average of 7.2 weeks before running out of money. This is the highest the dollar shortage has been since the beginning of the pandemic. It’s also the fewest weeks of cash flow households could support since the spring.
Canadian Mortgage Credit Sees A Sharp Uptick To Highest Growth Since 2018
Canadian mortgage debt made a sharp uptick in annual growth. Mortgage holders owed over $1.71 billion in September, up 5.67% from last year. The debt isn’t just a new record, but it’s also the highest growth in years. The last time the annual rate of growth reached such a high level, was in 2018.
Toronto Real Estate
Toronto Real Estate Prices Made A Massive Monthly Drop, While 905 Gets A Boost
Greater Toronto real estate prices look like they’re on fire, but it’s actually seeing mixed performance. TRREB’s typical home price in October was unchanged from a month before, showing stalling. In the expensive City though, the typical price of a home dropped $8,800 from a month before. In other words, the suburbs saw prices rise enough to make the region’s number flat, but prices made a sharp decline in the City.
Vancouver Real Estate
Greater Vancouver Detached Home Prices Jump, While Condos Stall
Greater Vancouver real estate prices are also seeing mixed performance, which looks better as an aggregate. The composite is soaring, with detached prices making a sharp monthly increase in October. Condo apartments are stalling though, having not made any movement over the same period. Detached homes are still below their all-time high made years ago, and condos still haven’t retaken April levels – nevermind the all-time high.
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