Housing prices were on a meteoric rise before the COVID-19 pandemic struck two years ago and have been further juiced by rock-bottom interest rates, demand for more space and supply that can't keep up.t, released Thursday, says house prices in most major cities could have been considered affordable in early 2015, based on costs but also on buyers' ability to borrow.
Giroux is also warning that those who recently bought homes are more vulnerable to rising interest rates and could find themselves unable to cope with a sudden shock like a job loss. The report released Thursday adds to the evidence before members of Parliament who, Giroux said, have repeatedly come to his office with questions about the cost of housing.Giroux's report said that at the end of last year, the average house price nationally was $811,700, an increase of 43 per cent from the $565,800 recorded in December 2019, a few months before the pandemic washed over the country.
Giroux said rising rates will likely offset any increases in household income for the average income earner, meaning their ability to borrow, and therefore afford a home, will remain relatively flat.Prices would have to drop to make home ownership more affordable to the average buyer, Giroux said. One possible avenue is to boost supply, which Giroux's report notes didn't keep up with the population boom between 2015 and 2019.
Oh really....
Thanks for the 'warning.' What a joke.
Housing $ has almost doubled since Trudeau took over. 400k new Cdns last year with another 400k coming this and the following year. Historic low rates. No supply. Government needs to remove the red tape on development and get building. They say they want to help you. BS
Stupid if there is a sale, there is a seller and there is a buyer. If there is a buyer then they are affording. What logic are you using?
Have you priced a 2x4, windows, insulation, shingles etc….yep housing is expensive !