In the year 2000 the bank lending interest rate in Canada was 7% but by last year it had fallen to 2.7% while incomes increased, more than doubling the amount that homebuyers could borrow
While recent figures show that a greater proportion of Canada’s wealth is heading west that could change as Ontario is leading the way on job creation.
New statistics from StatsCan show that Toronto is still Canada’s largest metropolitan economy but there is a trend towards the western provinces contributing a higher proportion of the country’s GDP.
Concern is growing over the sustainability of prosperity growth in the commercial sector.
The property market south of the border is improving with stability in interest rates boosting confidence.
New figures from the Canada Mortgage and Housing Corporation show that housing starts were down in October; mainly due to a slowdown in condo construction.
The Bloomberg Nanos Canadian Confidence Index shows that Ontario has overtaken Alberta after 17 months behind.
After announcing that it has seen an increase of 28 per cent in its mortgage business in the past year, partly due to not being restricted by tighter regulations that banks do, it may be a surprise that Home Capital has applied to become one.
Canada’s largest non-bank lender is enjoying a boom in business fuelled by the big banks’ tighter lending requirements.
A new report by Brookfield RPS shows that the speed at which house prices in Toronto, Vancouver and Calgary are growing compared to the rest of Canada is increasing.
With the average price of a single-family house in Calgary you could own a whole island.