Residential Mortgage Industry Report with CMHC Deputy Chief Economist Tania Bourassa-Ochoa 

They spend 3/4 of the interview outlining consumer and household stress in Canada throughout 2024 but then conclude with a suggestion of economic strength for 2025 on the premise of low supply. The bullish pivot to 2025 doesn't make sense. This call could be as bad as their prediction for significant housing losses back in 2020 during the pandemic.

What many people don't realize is that building a house costs momey. People seem to think that you build a house for peanuts then jack ip the price and make a ton of profit. I built my house in 2019 and I did most of the labour. It's a 1600 sqft house with 600 sqft garage. Material and administration costs were $300k. This doesnt include installing water, power, driveway, land cost, labour, "contracting time", etc. This is 2019 dollars. If people are expecting $150k houses, then they will be waiting a long time.

2025 - expecting a economic momentum 😂😂😂 CMHC is still pumping the supply shortage narrative 😂😂😂 When was the last time you checked the MLS? There is plenty of supply across the country.

In the last few minutes of the video, the CMHC Deputy Chief Economist described the effects of inflation and high interest rates on middle to low-income earners who have outstanding loans. Viewers would have benefited from more informative visualizations in the Power BI charts (contained in the online Residential Mortgage Industry Report) that focus on outliers, such as well mortgage loans that likely equal to or exceed the net realizable value of the mortgaged properties.

The Bank of Canada calculates inflation on the assumption that shelter costs are 28.34% of household income. That seems implausibly low to me, in light fo both personal experience and a Habitat for Humanity survey finding that 49% of Canadian households were putting a majority of their income toward shelter costs. Does that 28.34% number make sense to CMHC?

Vancouver Listings shot up to a level we haven’t seen since 2019. Over 7,000 active listings. This means all the measures of extending amortizations to 100 years is getting to a point where homeowners are saying, F that, I’m going to sell. However, I’m going to sell at a price which I like. So are the other 7,000 home owners. As time goes on, a few owners are going to lower their price to get ahead of the curve down. And we haven’t even talked about a historical number of condos coming to completions. There are new towers in this city which are empty. Builders not willing to lower price and still hoping for lower rates. US has already forecasted zero rate cuts for 2024. Canada cannot vary from US for more than say 0.25% and one or two meetings.

Love how she did everything in her power to not say sub prime borrowers

Ladies on fire

BS anecdotal talks. Unbleavable she is from CMHC?!!