Home Authors Posts by Kunal Sawhney
CREA data tells us the March 2021 peak of over $716,000 is now a thing of the past. The average price in August was $663,500, about the same as July. For four straight months, prices headed south before leveling off.
A buildup of high mortgage debt remains an outlier, and a likely cause of concern but only in the event of a slower-than-expected economic revival.
“Has the market peaked” or “is the bubble nearing its burst” are questions that are dominating the housing market of Canada.
What does housing demand rely on? Is it the need to buy something or having more-than-enough disposable income?
In the past couple of months, the sales figures have slowed, according to data from CREA. Does this mean Canada’s housing market growth has reached its peak?
Canadian households are “loaded with mortgage debt”. If the Bank of Canada’s warning is anything to go by, the decline in household income will be coupled with a fall in housing prices.
Houses in Canada are becoming increasingly unaffordable. The trend has defied all predictions. The growing inequality calls for a course correction in Canada’s housing market.