yonge city square condos review.The turmoil in the Canadian real estate market is not over yet. TD’s economic experts predict that the Canadian real estate market will be hit hard.Please Visit: yonge city square condos review to Get Your VVIP Registration Today!
With current lending rates high, home sales are likely to fall again. At the same time, the Bank of Canada is expected to raise interest rates twice by the end of 2022, meaning buyers will face higher mortgages. Therefore, the real estate market will be further restrained.
TD economic experts said that according to the July market trading data, house prices are expected to continue the downward trend in the first quarter, falling 19%. On the other hand, as the Bank of Canada is unlikely to stop raising interest rates this year, the shock in the real estate sector is not over yet.
Looking back at 2020 and 2021, after the central bank cut interest rates to an all-time low of 0.25%, the real estate market was unprecedentedly hot. In 2022, the Bank of Canada has raised interest rates four times in a row, reaching 2.5%. As inflation continues to spread across the country, the Bank of Canada hopes to fight it by raising interest rates sharply.
The economist Orlando points out that inflation appears to have eased in July, but that is unlikely to cause central bank policymakers to change direction. The central bank is expected to raise interest rates again in September and December, reaching 3.25% by the end of the year.
The Canadian Real Estate Association (CREA) reported that national home sales in July 2022 were 5.3% lower than in June and 29.3% lower than last year. At the same time, the number of new properties fell 5.3% in July from a month earlier.
In July, the benchmark average price of housing fell 1.7% from the previous month, up 10.9% from a year earlier, while the real average selling price of houses across the country fell 5% from a year earlier.
