Agreed, this is the only real solution to restore affordability as monetary policy alone won’t cut it. Sadly no politician has the stones to back such legislation as there’s likely too much hush money from industry players to leave on the table.

Please be reminded that when the head of CHMC Evan Siddal predicted in 2020 that
the house prices would fall by 18%, he mysteriously announced his resignation soon after. It definitely ruffled someones feathers. So I would not put much stock in their statistics.

Perfectly explained. Worthy of introducing for context—the last head is now at a pension that’s doing a loooot of real estate development.

Most people miss the projects that pensions conduct because they do it under sub-brands they have a large share in. No one wants phone service from Ontario teachers, but no one cared when they bought Bell. LOL.

How did they quanitify the impact of a marginal consumer and its cashflow introduction, and the behavioral impact?

Answer: They didn’t. The CMHC is hell bent on churning out junk that’s more harmful than good. When they published foreign buying stats, it was complete junk that was proven wrong almost immediately. It was just a data point for the industry to use, since they’re a housing investment bank. They’re a for-profit, and we should stop pretending that elite bankers that head it are really just softies for more housing. It’s about profit.

When the BOC discusses people with variable rates being hurt, they’re also mostly referring to investors. Most people that use their home prefer the security of fixed rates, even on shorter-terms, than variable interest.

They were chasing the lowest payment to get more leverage, and improve profits—and it didn’t work out. A tragedy worthy of an English Lit class, don’t you agree? LOL