Harbourwalk Condos Mississauga.High interest rates burst the real estate bubble? As the Bank of Canada aggressively raised interest rates by 50 basis points, the bubble-packed Toronto real estate market clouded and house prices continued to fall.Please Visit: Harbourwalk Condos Mississauga to Get Your VVIP Registration Today!
On Friday, the latest data from the Toronto area real estate board showed that prices in the metropolitan area fell 6.4% from the previous month to $936000 in April, the biggest monthly decline since April 2020.
As a result of higher interest rates, mortgage interest rates have risen sharply, housing demand has decreased and the number of home buyers has fallen. Home sales in Toronto fell 26% in April compared with the previous month. In addition, home sales in Vancouver also fell.
Spurred by low interest rates, Canadian house prices have soared by more than 50 per cent in the past two years, with a record rise in February, with benchmark prices rising to C $869000 (US $693000). The property market in Toronto, the most frothy, began to cool as the Bank of Canada raised interest rates the most in 22 years, with house prices falling for the first time in two years in March.
With the Bank of Canada’s interest rate meeting approaching on June 1st, the market expects the central bank to raise interest rates to 1.5% to curb inflation.
On Tuesday, Rogers, senior deputy governor of the Bank of Canada, said:
The strong growth in house prices in Canada is unsustainable, but it is not a bad thing for the economy. As interest rates rise, the growth of house prices will slow down slightly.
So why are house prices in Cambodia so high? The main reason is that Chinese people speculate in real estate. It can be said that the Chinese will fire the house wherever they go. In fact, Cambodia’s local residents do not have a very strong demand for houses. Cambodia is a country that believes in Buddhism, so many people become monks directly when they are young, and they have no desire for a lot of things.
Not only in Cambodia, but also in New Zealand, where Chinese people go on a buying spree, it can be said that our people’s love for houses is really strong. But in fact, such a large number of house purchases. Most of the houses are in an idle state, just want to sell at a high price, once someone buys it at a high price, they want to earn another wave, so it is more and more difficult for most ordinary families to buy a house. That is, a very serious evil cycle.