Peak housing prices were during Feb 2022 for most of Canada (I think). Houses now selling for $1.0M now were selling for upwards of $1.3 - $1.4M (these are the more extreme locations). Ironically apartments and condos have been maintained if not gained. But towns and specifically detached in suburbs have dropped the most.
Ohh, trust me prices have 100% dropped (here). I'm not sure if you guys realize, but here we had mortgage rates as low as 1.0% for variable and like 1.6% for fixed back during Sept/Oct 2021 (which allowed people to hold for 3 months for a Feb 2022 peak pricing). Now they are closer to 5%-7%. That jump means + $2,000 to $3,000 monthly swing for some in terms of their interest vs. principal payments on variables haha.
yeah, literally no one is going to finance a house right now. But you have to have buyers (buying at lower prices) to bring the prices down, which is probably why prices aren't moving in many places.
Housing has def cooled. banks are WAYYY tighter on lending now. The lending tests have increased. people now need to be able to safely pay +3% over current rates, meaning up to 10% mortgage rates to secure $1.0M in lending.
Yeah rent has gone bonkers in the US too. That's probably temporary, due to a boost in demand as people defer home buying, and maybe something to do with all the meddling the government has done in the rent/landlord market.
At least this forum defaults to economics and insightful discussions (for the most part). Other forums I've been in default to .... much stranger things LOL.I love how this CTR threads has turned to a macroeconomic analysis
Yeah canadians are more indebted than ever. Inflation is higher than ever. Rent is higher than ever.
Wages have not grown as proportionately. Feds will not stop the contractionary monetary policy until inflation falls to a safe amount. Which may not happen as easily.
my guess it’s going to get a lot worse. All secondary markets will fall before any changes are made, watches, cars, houses, etc.
Question is will flippers selling their old cars for much cheaper, drop the ceiling of new cars resale…it’s possible
Single-income house ownership doesn't exist anymore. Its dual income or bust.I make over twice the average income in my city and I can't even buy a average house even with 20% down.
I make way more than average house hold income here. I'm NEVER getting married again.
Oh, I'm talking about dual income @ the professional level. Not the average factoring in retail or min wage type. Unfortunately, if you aren't in a trade, profession, or OnlyFans/influencer @ dual income, owning property is probably not happening (house that is, apartment/condo maybe).
