Comments on: New Mortgage Stress Test Projected To Remove 50,000 Canadian Real Estate Buyers

By: Justin Thyme

Justin Thyme — Thu, 07 Dec 2017 19:29:23 +0000

When the mortgage industry starts offering a guarantee, that they will refund a mortgage if the value of the house decreases, THEN I will take what they say with some credibility. Otherwise, i can only be treated as some misrepresentation to keep their profits high at the cost of the homeowner. They get paid, not based on the interest rate, but on the commission as a percentage of selling price.

By: Justin Thyme

Justin Thyme — Thu, 07 Dec 2017 19:20:43 +0000

Whenever you remove such a large pool of consumers from ANY market, the market responds by lowering the price.

When sellers can not sell their house because there are no buyers that qualify, they have to lower their asking price until a potential buyer CAN qualify,

The surest way to lower house prices is to restrict the demand. The best way to restrict demand is to make them unaffordable. Making it easier to buy (more affordable) by keeping the iterest rates low just isn’t addressing the original problem.

By: Trending this week: Shelters needed, sales down YOY, price data online

Trending this week: Shelters needed, sales down YOY, price data online — Thu, 07 Dec 2017 17:00:11 +0000

[…] New Mortgage Stress Test Projected To Remove 50,000 Canadian Real Estate Buyers (Better Dwelling) […]

By: dana

dana — Thu, 07 Dec 2017 16:08:04 +0000

In reply to M.. I wish it will be 30% from the peak, as I have a bet with friends... :(

By: dana

dana — Thu, 07 Dec 2017 16:04:23 +0000

In reply to Tim.

Be careful what you see; in Toronto, we have a lot so called “promoters” they can get you people lined up for anything to make it more attractive, but reality is – they are paid to line up! Real Estate industry is not regulated; it is managed by Board of Director from the industry. Most of them are RE brokers.

By: Tim

Tim — Thu, 07 Dec 2017 14:59:56 +0000

In reply to M.. NO one is mentioning Calgary. Heard 15-20% cuts on some downtown condos from year ago levels.....

By: Tim

Tim — Thu, 07 Dec 2017 14:57:48 +0000

In reply to Pam.

What is crazy is but only 6 months ago there were videos of line up in Brampton for new builds…….pushing and shoving….lol how things change….

By: Neo

Neo — Thu, 07 Dec 2017 02:32:45 +0000

In reply to M.. That's not saying much. Last Spring was insane. If prices just stay flat we will see a 20% year over year drop.

By: Pam

Pam — Thu, 07 Dec 2017 02:18:39 +0000

In reply to Jim.

Hi Jim,
What area are you in…i am also planning to sell mine next year. Maybe Sep next yea, i wanted to sell now but can’t sell due to some family issues. Hoping prices don’t go down too much! but i think 20% -30% seems easy to correct by next year. I am in Brampton…saw some houses listed for 800k then relisted at 680 but not getting any offers…this is crazy!

By: M.

M. — Thu, 07 Dec 2017 00:55:34 +0000

There has already been a substantial correction in some areas,selling for less than asking,no more biding wars,inventory increase in DECEMBER? Large number of them are vacant and staged .more part time jobs then full time,canadian GDP dropping, tsx edges down.A 20% drop by spring easy.