During the month of July, Canadian Real Estate Association (CREA) released June data indicating that home sales and housing prices across the country are at an all-time high, with sales up a total of 63% for the month. Despite the recent pandemic, the Canadian housing market is continuing to heat up with more activity among buyers and sellers as lockdown restrictions ease. Read more below to learn about what happened over this past month:
Over the month of June, home sales across Canada shot up along with housing prices, whiched climbed at a steady pace, according to June data released by CREA.
The Canadian housing market is seeing substantial upward trends compared to its U.S. neighbour. With a number of policies in place designed to increase the amount of debt households can carry, Canadian home prices have grown 29 times faster than U.S. home prices.
The Bank of Canada announced that its benchmark interest rate will remain as low as possible until the economy bounces back from COVID-19 – which is positive news for borrowers, especially those in the market for a home.
The Canadian Mortgage and Housing Corporation (CMHC) tightened its underwriting policies for insured mortgages in June. However, with not all lenders following through with these new changes, this may not impact Canadian home buyers after all.