Canada housing market Financial News

As rising interest rates are boxing many individual buyers out of Canada’s housing market, brokerage Royal LePage says in a new report that Canadians are increasingly teaming up with family and friends just to afford a home.

interest rates that led to a huge spike in real estate demand to the speed with which interest rates shot up to levels not seen in a generation, it’s been hard to keep up with the shifting landscape for mortgage holders.Now, with interest rates increasingly expected to stay higher for longer, many of the homeowners who locked in low rates years ago are likely bracing themselves for financial pain as their mortgage comes up for renewal.“Each month that passes, roughly two per cent of mortgage holders face renewal at sharply higher interest rates,” Royce Mendes, managing director and head of macro strategy at Desjardins, wrote in a Sept. 19 note to clients.Borrowers with fixed rates are expected to see an average payment increase of between 14 per cent and 25 per cent next year compared with early 2022 costs, according to the Bank of Canada.

The Liberal government’s latest plan to get more rental housing built is to expand a program that helps developers secure cheaper mortgage rates as higher interest costs affect the viability of new projects.

Prospective homebuyers had “more choice” in Canada’s housing market in August as a rise in new listings met a slowdown in activity, according to the national real estate association.

Canada’s housing market could face a chill this fall as prospective buyers and sellers wait to see where the Bank of Canada’s interest rate path will head, according to new polling released Tuesday.

Many Canadian homebuyers waiting patiently for construction to finish on their pre-sale unit are being met with cancellation notices from developers. The building environment is souring — leaving some unhappy customers scrounging to get their deposit, or more, in compensation.

As pressure mounts on the federal government to take a more active role in filling the housing supply gap, the minister in charge of the portfolio is exploring new — and potentially old — approaches to getting homes built.

A slowdown in homebuying activity is giving Canada’s housing market time to build up inventory, according to the country’s real estate association.

Chris Burke and his fiancee have been less than a year away from buying their first home for the past three years.

As Canadians grapple with interest rate hikes and high mortgage payments, there is a growing demand for houses with secondary units, like basement apartments and laneway homes, real estate experts say.

Buyers looking to upsize their homes drove the surge of housing activity between interest rate hikes in the first half of the year, according to a new report from Re/Max Canada.

Pressure from higher interest rates and a lack of affordable housing means renters living on minimum wage in almost every neighbourhood across Canada are falling behind, a new report shows.

This article is part of Global News’ Home School series, which gives Canadians the basics they need to know about the housing market that they never learned in school.

As the weather heats up in Canada, cottages prices are cooling down, but sticky inflation and soaring interest rates are dampening plans for prospective first-time buyers, real estate experts say.

A return to Bank of Canada interest rate hikes and growth in new listings started to cool off the housing market in June, according to the Canadian Real Estate Association.

Two consecutive interest rate hikes from the Bank of Canada are expected to cool the national housing market after activity heated up in the spring, but experts warn supply is too tight for further price drops.