Prices for rentals \u0027getting out of control\u0027 even as housing market
Canadians bid farewell to lower interest rates in March 2022, when the Bank of Canada increased overnight rates for the first time in more than two years. It didn’t take long forto rise accordingly. According to Statistics Canada, the average conventional mortgage lending rate for loans with five-year terms was 3.28 per cent in 2021, but now it supasses five per cent.
“You’re gonna know right off the bat, whether or not you can afford that,” Sistilli said. “So another interest rate hike is not going to change the fact that you couldn’t afford it anyways.”Article contentFor Geordie Dent, executive director of the Federation of Metro Tenants’ Associations, renters in Toronto are experiencing the “perfect storm of bad conditions.”“We’ve had very low amounts of supply built in terms of rental housing for almost 30 years.
This combination of factors has made real estate investors hold on to their assets and opt to rent to stop their losses.Sellers have equity and not liquidity “Sellers at the moment have equity, but not liquidity,” says Foch, who also co-hosts “The Canadian Real Estate Investor” podcast.This advertisement has not loaded yet, but your article continues below.“Most sellers aren’t worried at the moment, but the rental market is strong, so we are seeing an increase in rental listings, as sellers who can afford to are capitalizing on the rental income, rather than liquidating the asset.
Canada Latest News, Canada Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Ottawa home prices drop $82,000 in one-year but prices on 'upward trajectory', OREB saysNew statistics from the Ottawa Real Estate Board show the average sale price for a new home in April was $747,123, down 10 per cent from April 2023.
Read more »
Tesla raises prices in Canada, the U.S., China and JapanThe hike was Tesla’s first on its two top-selling models at the same time in multiple markets, although prices across its lineup are much lower than in January
Read more »
Tesla raises prices in Canada, U.S., China and JapanTesla Inc has raised prices by $300 in Canada, its website showed on Monday, after the company slashed prices of its top-selling vehicles since the start of the year.
Read more »
Competition Bureau seeks input on RBC’s proposed takeover of HSBC Bank CanadaAgency says it’s looking for input from market participants and Canadians on a range of areas
Read more »
Competition Bureau seeks input on RBC's proposed takeover of HSBC Bank Canada - BNN BloombergThe Competition Bureau has put out a call for information to help it review Royal Bank of Canada's proposed takeover of HSBC Bank Canada.
Read more »
Competition Bureau seeks input on RBC's proposed takeover of HSBC Bank CanadaThe Competition Bureau has put out a call for info to help it review Royal Bank of Canada\u0027s proposed takeover of HSBC Bank Canada. Read on.
Read more »