Canada Mortgage and Housing Corporation (CMHC) has released its 2017 third quarter financial report, as well as supplemental data on its Mortgage Loan Insurance, Securitization, and Covered Bonds business activities. New this quarter is the addition of Assisted Housing supplemental data.
“CMHC continues to deliver results for Canadians. The Government, through CMHC, is making unprecedented investments to help Canadians in housing need as part of the National Housing Strategy. Commercially, we continue to manage our mortgage loan insurance and securitization operations in the best interests of long-term financial stability.”
Wojo Zielonka, Chief Financial Officer and Senior Vice-President, Capital Markets
10 Stats that show Canadian Rental Demand is out of control
Photo: James Bombales
Rental vacancy rates across Canada plunged this year, as demand for rental units outpaced supply.
According to the Canada Mortgage and Housing Corporation’s (CMHC) 2017 Rental Market Survey, the national vacancy rate for purpose-built rental apartments fell from 3.7 to 3.0 per cent in 2017, the first decline in the last two years.
“Nationally, increased demand for purpose-built rental apartment units outpaced growth in supply,” CMHC senior market analyst Gustavo Durango said in a statement. “Demand can be attributed to historically high levels of positive net international migration, improving employment conditions for younger households and the on-going aging of the population.”
Your Tenant Secretly Wants to Buy Your Home
That’s a snippet of what we’ve been hearing lately. In short, the Toronto rental market is insane. The Toronto Star recently ran a story about average rent in Toronto passing the $2,000/month mark, an 11% increase year-over-year. But the average rent of a condo in Toronto has been above $2,000/month since July 2016, so it’s not really the price that’s the problem. It’s that supply is being pinched and demand is rising. This being the case, tenants are looking at other possible options and one of them is doing whatever it takes to pay their own mortgage and build equity instead of paying rent. Continue reading ..
Photo: Ashley Fisher/Flickr
Here’s how many first-time buyers are opting for condos across major Canadian markets
Many first time buyers in Canada’s biggest cities are settling for less square footage when entering the housing market, but a new study from Genworth Canada tracks just how many are opting for condos over detached homes and townhouses.
According to the residential mortgage insurer’s 2017 First-Time Homeownership Study published this week, first-time homebuyers in the nation’s hottest markets are resorting to more affordable condominiums over detached homes and townhouses. Continue reading ..
Condos are king in the Greater Toronto Area and Heres why
Records continue to fall in the nation’s hottest housing market.
Condo sales were up 79% year-over-year in February and far outstripped home sales for low-rise units.
“In the GTA in February, there were more than twice as many new condo apartments sold (as) low-rise units,” the Building Industry and Land Development Association (BILD) said in its latest report. “Altus Group recorded 3,542 sales of condo apartments in stacked townhouses and mid and high-rise buildings, and 1,541 sales of new detached and semi houses and low-rise townhomes.”
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“I think this may be my favourite of the stations,” said Joanna Kervin, the director for Third-Party Planning and Property with the TTC‘s project to extend the Line 1 (Yonge–University) subway northwest to Vaughan. Kervin led members of the UrbanToronto team on a sneak-preview tour of the Vaughan Metropolitan Centre Station, the northern terminal for the extended line, which the TTC is planning to open at the end of 2017. Continue reading ..
2016 Ontario Economic Outlook and Fiscal Review – Doubling the Maximum Refund for First-Time Homebuyers
The Province is proposing to modernize Ontario’s Land Transfer Tax (LTT) system to reflect developments in the real estate market, by:
To help Ontarians buy their first home, the Province is proposing to double the maximum refund for first-time homebuyers from $2,000 to $4,000, effective January 1, 2017.
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Bank of Canada makes rate announcement
The Bank of Canada held the target for the overnight rate at ½% Wednesday.
Canada’s economy shrank in Q2, according to the BoC; however it’s still predicting a bounce back by the end of the year.
“Second-quarter GDP was pulled down by the Alberta wildfires in May and by a drop in exports that was larger and more broad-based than expected,” the Bank of Canada said in its announcement. “Exports disappointed even after accounting for weaker business and residential investment in the United States, adjustments in the resource sector, and cutbacks in auto production.”
|INSIGHTS – Home sales set new all-time record in May|
Decade of Development to Transform Etobicoke’s Queensway
T’s not close to Downtown Toronto, and it’s not walking distance to a transit hub. Yet, in the stretch between Islington and Kipling Avenues, The Queensway could become one of Toronto’s most active development nodes. Though still lined with the strip plazas, warehouse industrial, and parking lots of older suburbia, the Etobicoke Street is attracting a huge wave of high-rise projects, with a 36-storey tower at 30 Zorra Street recently joining the neighbourhood’s proposed developments.
The east and south elevations (l-r) of 30 Zorra Street, image retrieved via submission to City of Toronto