Close X
Tuesday, November 26, 2024
ADVT 
National

Strong Evidence Of Problematic Conditions Persists In Real Estate Market: CMHC

The Canadian Press, 26 Jan, 2017 11:31 AM
  • Strong Evidence Of Problematic Conditions Persists In Real Estate Market: CMHC
TORONTO — Canada's federal housing agency says strong evidence of problematic conditions continues to exist in the national housing market.
 
Canada Mortgage and Housing Corporation says the most prevalent issues it has observed in the 15 markets it monitors are overbuilding and overvaluation, which occurs when house prices outpace economic fundamentals such as income and population growth.
 
CMHC first raised its overall risk rating for the national housing market to strong last October.
 
It said there is strong evidence of problematic conditions in Vancouver, Victoria, Saskatoon, Regina, Toronto and Hamilton.
 
Edmonton, Calgary, Winnipeg, Montreal and Quebec City show moderate evidence of such conditions, the agency said.
 
CMHC's housing market assessment is intended to be an early warning system to alert Canadians about problematic conditions developing in the country's real estate markets.
 
"Price acceleration in Vancouver, Victoria, Toronto and Hamilton indicates that home price growth may be driven by speculation as it is outpacing what economic fundamentals like migration, employment and income can support," CMHC's chief economist Bob Dugan said in a news release. 
 
"For this reason, homebuyers should ensure that their purchases are aligned with their needs as well as the long-term market outlook."

MORE National ARTICLES

Man Dies From Gunshot Wounds In Targeted Shooting In Richmond, B.C.: Police

Man Dies From Gunshot Wounds In Targeted Shooting In Richmond, B.C.: Police
The RCMP say officers responded to reports of shots fired in the 7000 block of Ash Street shortly before 9:30 p.m.

Man Dies From Gunshot Wounds In Targeted Shooting In Richmond, B.C.: Police

Three RCMP Officers Treated For Smoke Inhalation After Fire Evacuation

Three RCMP Officers Treated For Smoke Inhalation After Fire Evacuation
RCMP say three of their officers suffered smoke inhalation while trying to help tenants from an apartment building that was on fire in Nanaimo, B.C.

Three RCMP Officers Treated For Smoke Inhalation After Fire Evacuation

B.C.'s Only Independent MLA Vicki Huntington Cites Health Issues In Decision Not To Run Again

Vicki Huntington, who is not affiliated with any political party, says she has decided to step away from politics to focus on her health.

B.C.'s Only Independent MLA Vicki Huntington Cites Health Issues In Decision Not To Run Again

Canadian Bull Rider Ty Pozzobon Dead At 25

Canadian Bull Rider Ty Pozzobon Dead At 25
No cause of death was given by Pro Rodeo Canada in a statement posted on its website, saying only that Pozzobon's death Monday was a "tragic loss."

Canadian Bull Rider Ty Pozzobon Dead At 25

Jane Fonda, Chiefs Say Trudeau Betrayed Hopes For Climate Action

Fonda told a news conference in Edmonton that the message of Trudeau's first year is that you shouldn't be fooled by good-looking Liberals.

Jane Fonda, Chiefs Say Trudeau Betrayed Hopes For Climate Action

Calgary Mayor Nenshi, Conservative MP Rempel in Twitter spat over math remark

Calgary Mayor Nenshi, Conservative MP Rempel in Twitter spat over math remark
It began on Sunday when Rempel and Nenshi sparred on Twitter over the impact of a property tax increase on suburban business owners.

Calgary Mayor Nenshi, Conservative MP Rempel in Twitter spat over math remark