Looking at the trends forming on housing we are in a situation for continued de-acceleration. Now this is a big claim, but the headwinds from interest rates rising and the closing window of foreign from China are causing issues. We do however have some tailwinds at entry-level housing with a larger-than-normal immigration policy.
I expect weakness in the commuter...
It was drawing the same line from the peak in April 2007 to Nov 2008 housing bottom. We could be looking at a similar turn of events, but again, I think it should be accelerated. (The amount of debt as the reason) If this comparison carries similarly, it is 16 months from the peak in Feb 2022 to August 2023. We'll see... I do think Power of Sales are starting to...
You can see the TTRE softening and likely to roll over in 2023 to be a buyers market. Charted below is the two major 5-year fixed rate expiring terms. (They are roughly ~2 years apart) Keep this in mind when buying or selling. To better time the market so much as you can?
I used the TTRE/CA05 to show the likely outcome of where we are vs where we are going. Likely a "bear" market for Canada in 2023. As much as there can be one. I would prefer to call it a buyers market more so than the usual sellers market Canucks are so used to. The chart clearly shows the two 5-year fixed-rate cycles roughly 2-3 years apart.
