Canadian housing prices are set to surge again in the coming months as investors and first-time buyers scramble to buy before interest rates go up, ignoring a warning from the Bank of Canada that there is a high risk of a sudden price drop.
The Canadian Real Estate Association says home sales across the country saw their largest month-over-month increase since July 2020 in October, even as new listings fell by about 20 per cent from a year ago.
Ontario is planning to establish a housing affordability task force, as both prices and the number of home sales have grown in the past year, though it's a pledge the opposition parties dismiss as meaningless.
Canada Mortgage and Housing Corp. says the country's housing sector moved from a moderate to high degree of vulnerability during the second quarter, with Toronto, Ottawa and Montreal among the markets shouldering the most risks.
Nearly one-third of would be home buyers have given up on ever owning property amid a steady rise in housing prices during the COVID-19 pandemic, a new survey commissioned by the Ontario Real Estate Association has found.