bravo festival south vmc.Under the epidemic,house prices in Canada are too high.Although it has experienced a COVID-19 pandemic,the analysis of the risk of the Canadian real estate market shows that there is still a risk of inflated house prices in the Canadian real estate market this spring.Please Visit:bravo festival south vmc to Get Your VVIP Registration Today!
According to CP24,the CMHC study found that although the overall risk rating of the Canadian real estate market is still medium,prices in the Pacific coastal cities of Victoria and the Atlantic coastal cities of Halifax and Moncton are increasingly separated from economic fundamentals.
The above economic factors refer to the main factors that affect house prices,such as population growth,income growth,employment growth,and the level of mortgage interest rates.
Economists believe that the CMHC’s risk assessment of the Canadian real estate market in the second quarter of this year can no longer reflect the current state of the real estate market because of record home sales and strong house prices in the Canadian real estate market in July and August.
CMHC acknowledges that the report’s analysis of overvalued house prices relies heavily on the income of Canadians,so the authors think the risk may be underestimated.Many Canadians’income comes from government relief,which is only temporary.At the same time,the grace period of the suspension of mortgage contributions provided by commercial banks is also coming to an end,which will also affect the trend of the Canadian real estate market in the future.
CMHC economist Bob Dugan said that despite the stable performance of the housing market this summer,home sales and new construction will decline sharply as the economy recovers slowly.I don’t think we’re out of the woods yet,and of course I hope our predictions are wrong.In May and June,CHMC gave warnings,including a sharp fall in house prices,but the market reacted by hitting record highs for home sales and prices in July and August.Bob Dugan said that while the entire Canadian property market was not overheating,some areas did pose a medium risk.