Comments on: Canadian Interest Rates Are At 2001 Levels, But Home Prices Grew 3x Income: BMO

By: Ike

Ike — Sun, 03 Sep 2023 01:44:14 +0000

We all thought the hikes would make the dream of Canadian home ownership a reality …
It remains a dream.

By: JC

JC — Fri, 01 Sep 2023 04:16:51 +0000

“The issue should be obvious at this point. We literally just saw a low rate shock result in a surge of investors and eroding affordability. But apparently no one can remember what happened immediately before rates surged.”

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House prices will fall in response….historically, that has always been the case.

By: Frank

Frank — Thu, 31 Aug 2023 22:37:50 +0000

Good article. The offshore money laundering that went on specifically in Toronto and Vancouver housing market was well written, there was no ceiling and frequently homes were bought with cash, outbidding buyers driving prices higher. The Fed Gov recently put in place and inability to buy a home in Canada if you don’t live here. There is a loophole of course,any exchange students coming from the same regions instead of looking for a place to live , they come with money and buy homes outright to live in while attending school. When they are finished school, they return to their homeland leaving the home empty , the owners waiting for increase in property values to sell. The empty house tax has caused some to sell . Double edged sword.