Harbourwalk condos.The net worth of Canadian households plummeted by 1 trillion? According to the latest data released by Statistics Canada, the net worth of Canadian households fell by nearly 1 trillion Canadian dollars (equivalent to 5.3 trillion yuan) in the second quarter of this year due to the sharp fall in Canadian house prices.Please Visit: Harbourwalk condos to Get Your VVIP Registration Today!
In terms of household assets, the value of residential real estate held by Canadian households decreased by $323 billion in the second quarter, while financial assets decreased by $409 billion.
What is the concept of a reduction of C $1 trillion?
In response, Statistics Canada said it was the biggest decline since at least 1990 and even exceeded the 5 per cent decline during the global subprime crisis in the third quarter of 2008.
At the same time, the data also showed that Canadian household credit market debt as a share of disposable income rose from 179.7% in the first quarter to 181.7% in the second quarter.
As mentioned above, the sharp decrease in the net worth of Canadian households is mainly due to the impairment of Canadian real estate, so what is the current Canadian real estate market?
Canadian real estate has been soaring, which has also attracted a large number of overseas buyers, but in 2022, this situation has changed. Canadian house prices have fallen sharply, and the key factor is the change in the policy of the Bank of Canada!
In this regard, the Royal Bank of Canada (RBC) issued the most serious real estate bear market warning: Canada’s house price correction is the deepest in half a century!
As the Bank of Canada raised interest rates, the Canadian real estate market began to decline, and real estate is crucial to Canadian household assets.
