Despite affordability concerns, Millennials are surprisingly optimistic about the GTA housing market

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It’s no secret that housing affordability remains a top concern for Millennials living in the GTA, as home prices continue to sit well above their 10-year average. But according to a new poll, the generation is surprisingly optimistic about the future of the market. Up to 41 per cent of Millennials said they believe that the GTA is well prepared to provide housing for the number of new residents that settle there every year, according to Ipsos poll data released today by the Building Industry and Land Development Association (BILD) and the Toronto Real Estate Board (TREB). That’s well above other age groups, including those 35 to 41 (31 per cent) and those over 55 (27 per cent). Millennials represent a major source of housing demand in the GTA, with hundreds of thousands expected to buy homes in the area within the next decade. “There are about 730,000 millennials living in the Greater Toronto and Hamilton Area (GTHA) who may be planning to move on from living in their parents’ homes and from sharing a dwelling with roommates in the next ten years, potentially creating 500,000 new households,” writes BILD president and CEO Dave Wilkes, in a statement. While they may be more optimistic than their older counterparts about the GTA’s ability to absorb new residents, Millenials do remain concerned about the area’s relative lack of affordable housing options. In fact, 94 per cent of respondents between the ages of 18 and 35 reported feeling concerned about the ability of today’s youth to afford a home in the GTA. Wilkes has long maintained that, ahead of the upcoming municipal elections, government policy should focus on the supply-side of the housing equation, in order to bring prices down and ensure there is plenty of relatively affordable housing for Millennial buyers. Previous government policy, including a mortgage stress test which came into effect in January, has largely focused on the demand-side of the equation. “There has been an over-emphasis on the demand side, and we really need to look at some of the current conditions to ensure proper supply comes on stream,” Wilkes tells Livabl. Some developers like Daniels have been leading the charge to empower and equip millennials and all first time home buyers with the tools required to get into the market with projects like Artworks Towers, Daniels First Home in Brampton and Markham and Sheppard. For more information on these opportunities you can email info@starioncondos.com or click here to register   Main Source: Livable

Category: Starion Blog

Despite affordability concerns, Millennials are surprisingly optimistic about the GTA housing market

AW10

It’s no secret that housing affordability remains a top concern for Millennials living in the GTA, as home prices continue to sit well above their 10-year average. But according to a new poll, the generation is surprisingly optimistic about the future of the market.

Up to 41 per cent of Millennials said they believe that the GTA is well prepared to provide housing for the number of new residents that settle there every year, according to Ipsos poll data released today by the Building Industry and Land Development Association (BILD) and the Toronto Real Estate Board (TREB).

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A permanent generation of middle-class renters?

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This week’s housing newsletter was written by HuffPost Canada senior business editor Daniel Tencer.
To no one’s surprise, Canada’s mortgage industry really, really doesn’t like federal regulators’ new mortgage stress tests. Its principal industry association, Mortgage Professionals Canada, released a report a few weeks ago on the impact of the tests that is almost apocalyptic in tone. It blames the stress tests for this year’s housing market slowdown, estimating that the reduced real estate activity will mean Canada will create 200,000 fewer jobs over the next three years than it otherwise would have. Continue reading ..

Canada’s sudden population ‘boomlet’ boosts housing

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This week’s housing newsletter was written by HuffPost Canada senior business editor Daniel Tencer, who’s a little worried about what strong population growth means for Canada’s clogged freeways. Many Canadian homebuyers are sitting on the sidelines these days, wondering if the slowdown in home sales this year is a sign of lower prices ahead.
Don’t bet on it, is the message coming from Bank of Montreal economists. Canada’s population growth has accelerated, and that means upward pressure on the housing market, and potentially higher-than-expected interest rates as well. In an analysis issued Thursday, economists Doug Porter and Robert Kavcic noted that Canada’s population passed the 37 million mark in the second quarter of this year, having grown by about 506,000 over the past year. It’s the fastest percentage growth Canada has seen since 1991, making it the fastest-growing country in the G7.

P2                                                                Chart: Bank of Montreal

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CMHC makes favourable announcement regarding self-employed borrowers

CMHC is giving lenders more guidance and flexibility on determining whether a self-employed person qualifies for a mortgage

 

Unknown-1OTTAWA — Canada Mortgage and Housing Corp. is making changes intended to make it easier for the self-employed to qualify for a mortgage.

The national housing agency says it’s giving lenders more guidance and flexibility to help self-employed borrowers.

Self-employed Canadians may have a harder time qualifying for a mortgage as their incomes may vary or be less predictable.
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Pickering to open Huge Casino, Retail District, Hotel and Waterpark called DurhamLive

More than 10,000 jobs are expected to be created in Pickering after the Durham Live site was chosen for a casino and waterpark to open in 2019.DL1

Great Canadian Gaming, the company selected to operate casinos in the Greater Toronto Area, made the announcement.

That means Casino Ajax, the facility that’s been operating since 2006, will close.

Ontario Gaming GTA LP, a partnership between Great Canadian Gaming and Brookfield Business Partners, will operate the Pickering casino, which will be built at Church and Bayly streets.

The Durham Live proposal includes hotels, convention space, an indoor water park and film studios, along with the casino. Ontario Gaming GTA LP says the site would create more than 10,000 jobs.

The casino itself would have about 2,000 employees, including 1,700 new jobs. Continue reading ..

Which factors could influence Ontario’s housing market this spring? Experts give their take

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You’ve probably heard plenty about how a new mortgage stress test and an interest rate hike are affecting the Ontario housing market. But these are only some of the factors that could affect the market in coming months.

A provincial election, slippery debt levels, and surge of homebuyer demand could all play a role in where the market ends up this spring.

BuzzBuzzNews has rounded up the latest commentary from industry experts to make sense of the many elements that could affect the market in the spring.

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Canadian jobs market ‘on fire’ | Unemployment falls to 41-year low

 

Job creation in 2017 reached a pace not seen in a calendar year since 2002, reduced the unemployment rate to its lowest mark in more than 40 years — and surely came as a profound relief to Canada’s embattled federal finance minister.

Statistics Canada’s job numbers Friday offered a year-end look at a healthy 2017 performance. The surprisingly strong run was capped off by a December report that led some forecasters to cement, or even move up, their predictions that the Bank of Canada would raise its benchmark interest rate, possibly as early as this month. Continue reading ..

Canada goes on ‘hiring splurge’ | Unemployment rate down 5.9 Percent

OTTAWA – A wave of job creation last month knocked the unemployment rate down to 5.9 per cent — its lowest level in nearly a decade. Statistics Canada says the economy churned out another 79,500 net new jobs in November and drove the jobless rate down 0.4 percentage points from 6.3 per cent the month before.

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Toronto-York subway extension is now officially open

The opening marks the first expansion of Toronto’s subway route since the Sheppard line opened in 2002. To celebrate the TTC is free on Sunday.

Amidst cheers and flashing cameras, Charles Levi quietly scribbled into his small, green notebook, documenting theVMC4
first ride on the Line 1 extension Sunday morning that took passengers beyond Toronto’s border and all the way to Vaughan.
“I came here for the opening just as I did when the last station opened 15 years ago. I stopped along every new station,” said Levi, who works at the Archives of Ontario, which is now just a subway ride from downtown. “It’s my day off and it has been a remarkable morning.”

The new extension is the first expansion of Toronto’s subway system in 15 years. Transit was free across the entire TTC network Sunday to celebrate the occasion. The $1.2 million cost for the free service will be fully covered by the Ontario government. Construction work on the extension began in February 2010 and was jointly funded by the federal government, Ontario, Toronto and York region.

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CMHC Releases 2017 Third Quarter Financial Report

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

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