Week 3 of September – Sales activity has jumped slightly with buyers shaking off the laid-back vibes of Summer and getting serious about finding a home.
I received these 3 bullet points from a lender at Dominion Lending Services – for what it’s worth, it helps paint the landscape of the market.
- delinquencies are on the rise: the number of mortgages in arrears has increased to 0.28% Canada-wide, with the most growth seen in Ontario and BC. Thankfully we’re exponentially better than the US, who is at 1.85% and climbing
- the condo market, especially in Toronto, Vancouver and Calgary, is spiralling: the supply is up over 400% since 2022; investor interest has tanked, dropping 75%; prices are down over 13%, and the entire situation is dragging the housing market down
- mortgages have become the biggest risk to the Canadian financial system: with over 51% of people with a mortgage needing to renew before 2027 comes to a close, and payments going up across the board, there’s a big problem with excessive loan-to-value and debt-servicing ratios (which are the backbone of healthy lending and a strong financial system)
Here are the most current rates:
I am an optomist and can’t help but see the glass as half-full. Anyone looking to buy should be seriously lloking as now is the time to buy.
I am always available for a call/coffee/chat to discuss the market and your needs – just reach out.
