Down faster during the bust than up during the bubble: a special feature in some cities. Vague humor wafts around the charts.
“Not enough” v. “Too much.”
As the Bank of Canada’s rate hikes and QT goose mortgage rates, some practically funny price spikes are getting unwound very fast.
The ridiculous price spikes now face Bank of Canada’s monster rate hikes, QT, and spiking mortgage rates.
“Housing market is pulling back as anticipated, following unsustainable growth during the pandemic.”
The BoC’s QT started much earlier and is way ahead of the Fed’s QT.
Over 50% of mortgage originations have been variable rate this year. Other mortgages are “fixed rate” typically for 2 to 5 years, after which they adjust.
Blame whatever. Just don’t blame money-printing and interest-rate repression.
“Why the current tightening cycle is unlike anything we’ve observed in the past.”
But wait… Many home buyers had mortgage rates that were guaranteed when rates were much lower.