Here are The Globe and Mail’s top housing and real estate stories this week, with the lowest mortgage rates available in Canada today, commentary from our mortgage expert and one home worth a look.
Mortgage debt like a ‘ticking time bomb’
Economists are issuing a dark warning, writes David Parkinson. A report from economists at Desjardins Capital Markets says Canada’s mortgage debt is “a ticking time bomb” and that the pain for mortgage holders has barely started. The bulk of mortgages taken out during the pandemic, when rates were at their bottom, will hit renewal time in 2025 and 2026, when Desjardins forecasts homebuyers will face dramatic increases in their monthly payments.
Canadian housing market rebounds in April
The national home price index claimed 1.6 per cent to $723,900 from March to April, according to the Canadian Real Estate Association. Home sales climbed by 11 per cent from March to April, reports Rachelle Younglai. Despite the market showing signs of rebound, the number of new listings was at a two-decade low last month.
This week’s mortgage rates: Look to lock in rates now
Bond yields drive fixed mortgage rates and those yields are up over 40 basis points in seven days. (A basis point is 1/100th of a percentage point.) Several lenders have already started boosting rates as a result. So if you’ve got a purchase, refinancing or renewal coming up in the next four months, and want a fixed rate, lock something down, writes McLister.
Developers launching hundreds of new condo units in Toronto
As buyer demand returns to the condo market, real estate developers are launching hundreds of new units in the Toronto region, reports Younglai. Developers are saying that two main groups of buyers are back: those looking for a home to live in and investors who are looking to profit from quickly rising rent prices.
Home of the week: A work from a pioneer of the West Coast style
4069 Madeley Rd., North Vancouver, B.C.
The house offers 3,550 square feet of space on three levels, including the basement. At the centre is the sunken living room with a fireplace surrounded by a bank of glass, a gallery above overlooks the double-height space, and a few steps up from the living room is the dining area. A corner of the main floor has been designated as a music room, with the piano sitting next to a window at eye level. Upstairs, the primary bedroom has an ensuite bathroom and a balcony facing the treetops.
The house is surrounded by greenery, overlooking city-owned parkland, with the Vancouver skyline in the distance.
Guess the price
a. The asking price is $3.125-million.