Canadian housing market faces 'moderate' degree of vulnerability: CMHC

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Canada's housing sector is facing a 'moderate' degree of vulnerability to market instability for the second straight quarter and showing signs of overheating for the first time this year, says the country's housing agency.

OTTAWA -- Canada's housing sector is facing a "moderate" degree of vulnerability to market instability for the second straight quarter and showing signs of overheating for the first time this year, says the country's housing agency.

"These are centres that are not the ones that are usually on our radar when we are thinking of price escalation and housing imbalances," he said during a media briefing. If those factors become imbalanced or risks increase in several areas at once, the agency posits that markets could be more vulnerable to troubles and people could begin struggling with their mortgages.

Some of these patterns have emerged in Toronto and Halifax, which CMHC moved from moderate to high degrees of vulnerability in the latest quarter as Ontario housing prices increased and Nova Scotia experienced overvaluation. In Vancouver, the quarterly pace of sales returned to levels not seen since 2017, leading to significant price increases.

 

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The government should stop interfering in them then.

Govt failed to make sure that houses are bought to live and not flip. Houses are investments for longer period of time and not for short selling

🤣

The problem is when interest rates go up as they are expected to those who are barely making it from overpaying will lose their homes... ‘08 all over again...humans never learn

ppl want make $$ not living than complaint no affordable housing

House prices in Canada seem to be about 65% over priced and the dream of owning a home is gone except for the very wealthy?

What does this mean exactly?

Houses are too expensive and rents are too both need to come down

high degree

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Metro Vancouver real estate market at 'moderate' degree of vulnerability: CMHCIt singled out excess inventory in new condos in the rental market, which has been hit hard by a drop in immigration and the number of international students and young renters working in the service industry who may have lost their jobs due to the pandemic. The sky is falling? They've been saying this for more than 30 years.
Source: VancouverSun - 🏆 49. / 61 Read more »