Close X
Sunday, November 10, 2024
ADVT 
National

Scotiabank CEO Concerned About Housing Market Corrections In Toronto, Vancouver

The Canadian Press, 01 Mar, 2017 12:09 PM
    TORONTO — The CEO of Scotiabank (TSX:BNS) says he's concerned about the possibility of a housing market correction in Toronto and Vancouver.
     
    Brian Porter, who was asked about his outlook for the Canadian mortgage market during a conference call to discuss the bank's first-quarter results, said he's supportive of recent government changes introduced to reel in house price growth.
     
    "Trees don't grow to the sky and markets will correct at some stage here," Porter told analysts Tuesday after the bank reported net income of $1.49 billion during the first quarter of the year.
     
    Ottawa introduced a series of changes to mortgage rules last October, including one that requires all insured mortgages undergo a stress test to make sure that borrowers would still be able to repay their loans if interest rates rise or their circumstances change.
     
    Previously, stress tests were not necessary for fixed-rate mortgages longer than five years.
     
     
    "I think we're going to need some time to see those take hold, and we will see that through the spring mortgage season," Porter said.
     
    Porter highlighted the bank's "very conservative mortgage book," saying more than half of its portfolio of mortgage loans is insured.
     
    "So really the message is we're governing ourselves accordingly," he added.
     
    Scotiabank chief financial officer Sean McGuckin said that if prices continue to grow, more government intervention may be useful.
     
     
    "I wish I had a crystal ball. I just don't have one in terms of where prices will go," McGuckin said in an interview.

    MORE National ARTICLES

    Ontario Police Arrest 18 People In Cross-Border Drugs And Guns Investigation

    Ontario Police Arrest 18 People In Cross-Border Drugs And Guns Investigation
    VAUGHAN, Ont. — Ontario Provincial Police say 18 people have been charged in a cross-border investigation into illegal guns and drugs, including the deadly opioid fentanyl.

    Ontario Police Arrest 18 People In Cross-Border Drugs And Guns Investigation

    One Of 3 Quebecers Accused Of Smuggling Drugs In Australia Abandons Bail Bid

    One Of 3 Quebecers Accused Of Smuggling Drugs In Australia Abandons Bail Bid
    A lawyer for Melina Roberge of Granby, Que., was scheduled to file a bail application today, but a court clerk in Sydney says the lawyer withdrew the request.

    One Of 3 Quebecers Accused Of Smuggling Drugs In Australia Abandons Bail Bid

    Police Investigate Anti-muslim Rally Outside Toronto Mosque And Alleged Hate Speech Inside

    Police Investigate Anti-muslim Rally Outside Toronto Mosque And Alleged Hate Speech Inside
      Constable Jenifferjit Sidhu says police received a complaint this week about the incident, which took place last Friday.  

    Police Investigate Anti-muslim Rally Outside Toronto Mosque And Alleged Hate Speech Inside

    Iranian Woman Facing Deportation From Canada Granted Temporary Residency

    Iranian Woman Facing Deportation From Canada Granted Temporary Residency
    The federal government granted the reprieve to Roghayeh Azizi Mirmahaleh on Thursday, five days before her scheduled deportation to Iran.

    Iranian Woman Facing Deportation From Canada Granted Temporary Residency

    Man Accused Of Killing Off-Duty Police Officer Remanded For Alleged Bail Breach

    Man Accused Of Killing Off-Duty Police Officer Remanded For Alleged Bail Breach
    HALIFAX — A man accused of killing an off-duty Nova Scotia police officer has been remanded in custody until next week after allegedly breaching his bail conditions.

    Man Accused Of Killing Off-Duty Police Officer Remanded For Alleged Bail Breach

    B.C. Budget Cuts Are A Strategic 'Bang For The Buck,' Clark

    Clark says a one-per-cent cut in the PST would have saved middle-class taxpayers $200 a year, while a planned 50-per-cent cut to medical premiums announced in Tuesday's budget will save them up to $900 a year.

    B.C. Budget Cuts Are A Strategic 'Bang For The Buck,' Clark