GO Back Facebook Twitter LinkedIn Email Statistics Canada recently published a profile that sheds light on the significant role immigrants play in the Ontario real estate market. The study reveals that elderly, frequently immigrant residents are investing in housing near home, influencing the provincial residential real estate landscape. The findings emphasize the significance of immigrants…
Blog Category: Finance
Canadian Bank Earnings at Risk from Office Real Estate Exposure
GO Back Facebook Twitter LinkedIn Email Canadian banks are facing risk to their earnings due to their exposure to commercial real estate, particularly the office segment, according to Gabriel Dechaine, an analyst at National Bank Financial. While commercial real estate loans only represent around 10% of the lending portfolios of Canada’s six largest banks, they…
Mixed Uses and Office Conversions: Transforming Urban Cores for a Post-Pandemic Future
GO Back Facebook Twitter LinkedIn Email As the pandemic continues to impact traditional office settings, concerns arise regarding the revitalization of downtown cores. With the rise of remote work and hybrid models, many employees have yet to return in pre-pandemic proportions to large metropolitan offices. This transition has prompted innovative projects with the objective of…
Extended Mortgage Amortizations: Fueling Canada’s Housing Bubble and Moral Hazard
GO Back Facebook Twitter LinkedIn Email Mortgage amortizations, which allow debtors to extend their repayment terms, have bolstered the thriving Canadian real estate market. Concerns have been expressed, however, regarding the possible consequences of this practice. Recently, the Office of the Superintendent of Financial Institutions (OSFI), Canada’s bank regulator, acknowledged that removing the ability to…
Rising Mortgage Interest Costs and Rent Prices Drive First Increase in Annual Inflation
GO Back Facebook Twitter LinkedIn Email Since its apex in June 2022, Statistics Canada recently reported the first annual increase in inflation. The increase in inflation can be partially attributed to rising mortgage interest rates and rent costs. The past year has witnessed a rapid increase in mortgage interest rates, resulting in increased mortgage payments…
Strong Sales and Tightening Supply Propel GTA Housing Prices
GO Back Facebook Twitter LinkedIn Email The housing market in the Greater Toronto Area (GTA) is experiencing a clash between robust sales and a diminishing supply, resulting in an increase in property prices. In April 2023, the average price of a property in the Greater Toronto Area increased by 4% from the previous month to…
Bank of Canada Keeps Rates Steady with Potential for Future Hike
GO Back Facebook Twitter LinkedIn Email The Bank of Canada has left interest rates unchanged, but it is still uncertain how it will proceed with rate hikes given the current inflation rate. The announcement was made on Wednesday, with the bank stating that it is maintaining its key overnight rate at 4.5%. Governor Tiff Macklem…
Canadian Banks Offer Tax-Free Savings Account for First-Time Homebuyers
GO Back Facebook Twitter LinkedIn Email Canada’s National Bank and Royal Bank of Canada have become the first major banks to offer the new tax-free First Home Savings Account (FHSA) to prospective homebuyers. The FHSA was announced in the federal budget in 2022 as a savings account that combines the features of a Registered Retirement…
BMO Capital Markets Finds Canada’s Housing Supply in Line with Historical Norms
GO Back Facebook Twitter LinkedIn Email BMO Capital Markets recently conducted an analysis of Canada’s housing market and found that there is currently no significant lack of supply. However, the report highlights a concern with the country’s exuberance for rapid population expansion, which could lead to a shortage of supply in the future. The analysis…
Major Canadian Banks Now Offer Tax-Free Savings for First-Time Homebuyers
GO Back Facebook Twitter LinkedIn Email The Canadian government recently launched a new tax-free savings account called the First Home Savings Account (FHSA) that combines the best features of a Registered Retirement Savings Plan (RRSP) and a Tax-Free Savings Account (TFSA). The account allows first-time homebuyers to save for a down payment on their home…
