Canada’s Inflation Rate Higher than Expected
A recent iPOLITICS article reports the annual inflation rate accelerated to 2.2%, which is above the Bank of Canada’s expected target. Stephen Poloz, the Bank of Canada’s governor, stated that despite the three interest rate hikes since last summer he maintained the current rate as the Bank watches the current trade related uncertainties out of the USA.
Read the full article by Andy Blattchford published on Mar 23, 2018
In other news…
Real estate sales are cratering around the GTA. And perhaps all of Ontario.
The tide seems to be turning in the GTA from a seller’s market to a buyer’s market. Some real estate brokers have reported that houses are staying on the market longer. Stubborn sellers, holding out for higher prices, are starting to realize they better take what they can get now rather than less later.
After years of rising prices and a several months of total insanity across Ontario, the housing market seems to be stabilizing. In January 2018 home sales in Canada dropped rapidly by 14.5% compared to the previous month. This was the biggest single-month decline in almost a decade. The drop was mainly caused by actions in the GTA where home sales fell off 26.6%. This drop has been similarly reflected in other communities across Ontario.
Will this downward turn in prices continue into a long term slump or rebound? The experts have their opinions one way or the other. But the fact is prices today are lower and may present a buying opportunity for home buyers that just was not available a few months back.