For every 1% increase in interest, real estate prices drop by 10% Here is how I see this playing out in the GTA. While a rate hike next week is unlikely to change market sentiment (if it happens), line of sight on hikes to follow can as the problem will compound the longer this is delayed. If new listings continue to lag as we are in real estate gridlock due to affordability, even with a rate...
Real Estate is in gridlock. Here is why: One of my favourite metrics of the Real Estate market is the active resale listings. I like this visual for the simple yet very easy to understand metric relative to history. We are looking at record low active listings in a city that has seen massive population growth over the last decade. In other words, if we considered population growth/home...