Finance Minister Flaherty’s attempts to cool the hot housing market may be for naught — especially now that most banks are offering mortgage rates under 3%, says the Globe and Mail. So why does Ottawa continue to keep rates artificially inflated? 1) Rate obscurity Discouraging banks from publicly advertising rates that are under 3% keeps […]
Canadian real estate is turning from a seller’s to a buyer’s market.
Fitch Ratings says Canadian home prices are overvalued by about 20%, reports The Globe and Mail. However, the ratings agency asserts “effects of inflation and price momentum” will keep the current home prices propped and it may be years before they return to their “sustainable values.” While home prices are overvalued across Canada, they are […]
What should you tell clients as they shift to equities?
Declining mortgage rates and home prices are making it cheaper for Canadians to own homes. In fact, the costs of homeownership fell slightly for the second time in a row in Q4 2012, finds RBC Economics Research. “Residential property values are elevated in Canada and, for many households, ownership remains accessible only because of rock-bottom […]
The trend in total housing starts has been moderating since September 2012.
The Canadian real estate market has reached a turning point, with falling prices and property that won't sell.
Helping clients find the right home is crucial.
Is Canada’s housing market hurtling toward a U.S.-style Armageddon?
U.S. lumber prices are rising, thanks to an increase in home building. Futures contracts for the resource for a March delivery are $380 per 1,000 board ft, after nearing $400 in late December, reports ft.com. This is the highest since mid-2005, before the housing downturn. Read more. For Canada, an increase in U.S. home building […]