“A complete lack of new listings is the big story now,” writes BMO senior economist Robert Kavcic.
Kavcic says in the past, housing downturns that have evolved from a price correction into a crash — like the housing crisis in the United States in 2008 or southern Ontario in the 1990s — have been driven by forced selling.Potential sellers don’t want to sell in a downmarket and this time they don’t have to, thanks to a strong job market and limited mortgage delinquencies.
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