While it may have been the sixth consecutive month-over-month decline for Canadian housing activity, August’s home sales only dipped 1% from July—the smallest decrease seen during this slowdown period. “Along with a stabilization of demand/supply conditions in many markets, [it] could be an early sign that this year’s sharp adjustment in housing markets across Canada […]
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Deciding on the qualifying interest rate In the past, I argued that the qualifying rate should be the higher of 3.75% or the actual contract rate. Given what’s happening now, was I wrong? Actually, I think what’s happening now vindicates my position. The argument for the 3.75% test rate had two major parts: The policy […]
Read more "A deep-dive into mortgage stress tests"
A report by TD Bank suggests the average price of a home in Canada could fall 20 to 25 per cent from its peak seen earlier this year to the first quarter of 2023. The report also estimates the number of home sales will fall 35 per cent over the same time period. TD economist […]
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Vancouver, BC – August 11, 2022. The British Columbia Real Estate Association (BCREA) reports that a total of 5,572 residential unit sales were recorded by the Multiple Listing Service® (MLS®) in July 2022, a decrease of 42.4 per cent from July 2021. The average MLS® residential price in BC was $923,449, a 3.6 per cent increase from […]
Read more "BC Home Sales Continue to Slow"
Over the last three to four months, Vancouver’s real estate market has experienced a dramatic cooldown. Of course, this market correction comes after a well-documented and record-breaking two-and-a-half-year run that saw home sales and price growth across the Lower Mainland reach unprecedented heights between March 2020 and the first quarter of 2022. According to Kevin […]
Read more "Vancouver’s Housing Market Embraces Change, Prepares for Fall Rebound"
It’s no surprise to most would-be homeowners: anyone looking to buy a home in two major British Columbia cities must have a six-figure income. A just-published report from mortgage rate comparison site RateHub.ca suggests those hoping to buy an average home in Vancouver need to earn about $231,950 to meet the requirements to obtain a mortgage. That […]
Read more "Here’s how much you’d need to earn per year to buy an average home in Vancouver"
Vancouver’s housing market has, according to the local real estate board, entered a “new cycle marked by quieter home buyer demand.” In its monthly report, the Real Estate Board of Greater Vancouver said it’s seeing a slower demand, coupled with a gradual rising in supply. The report released Wednesday says 1,887 residential homes sold last […]
Read more "Vancouver’s housing market has entered a ‘new cycle.’ Here’s what that means."
Overall sales in the Fraser Valley fell for the third straight month as prices for all property types continued to soften, bringing greater balance to the region’s real estate market. In June, the Board processed 1,281 sales on its Multiple Listing Service® (MLS®), a decrease of 5.8 per cent compared to May and a 43 […]
Read more "Fraser Valley real estate market cools as prices soften and supply increases."
Sometimes you just don’t know how good or bad you have it. Take the mortgage business, for example. When it comes to mortgage pricing, Canada is a unique animal compared to many other countries, including the United States. Being married to a U.S. mortgage broker has made that all too clear for this author. And […]
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The oft-feared correction in the Canadian housing market is now running far and wide, according to Robert Hogue of RBC Economics. Taking early reports from regional real estate associations into account, “higher interest rates have taken a huge toll in July,” Hogue wrote in a new analysis. This was especially apparent in the traditional powerhouse […]
Read more "Housing correction now in full swing, says RBC’s Hogue"