Sentences with phrase «eroding affordability»
But higher rates only further erode affordability, while increased down payments hurt those struggling the most: first - time buyers.
moneysense.ca
While historically low rates are helping to offset the faster appreciation of home prices relative to incomes, a higher mortgage rate would erode affordability under these conditions.
«Eroding affordability in B.C.'s Lower Mainland has reached unsustainable ground.
«In the absence of other changes to our economic outlook, mortgage rates would have to cross the 7 % threshold just to erode affordability back to its long - term average [of 23 %],» she wrote.
«In the coming weeks, it is possible that six months of pent - up demand will be unleashed on the market, sending prices sharply upward again; this when the pre-intervention 2016 trend was a natural market slowdown based on eroding affordability.»
«If mortgage rates should move higher, then that just erodes affordability further in those markets that have had very rapid price growth and those markets that have very high house prices,» said Nothaft.
In British Columbia and Ontario, this trend reflects eroding affordability for single - family homes.»
Current inventory conditions are also eroding affordability, especially for first - time homebuyers in the market for starter homes, which would require 39.1 percent of their monthly income.
«Canada is currently enjoying one of the longest housing market expansions in history; however, as we move into 2008 it is anticipated that slowly eroding affordability will cause demand to ease, allowing the market to move toward balanced conditions, with lower levels of price appreciation, and fewer homes trading hands.»
«Our research shows that even as the labor market began to strengthen, homebuilding failed to keep up and is now contributing to the stronger price appreciation and eroding affordability currently seen throughout the U.S.»
Although more research is needed for confirmation, these trends suggest that while the inventory shortage may be improving the equity position of current homeowners, it may also be eroding affordability at the same time.
«A rise in mortgage rates coupled with home price growth further erodes affordability,» says Frank Martell, president and CEO of CoreLogic.
While historically low rates are helping to offset the faster appreciation of home prices relative to incomes, a higher mortgage rate would erode affordability under these conditions.
«More stringent mortgage qualifications and rising interest rates will further erode affordability and household purchasing power,» Muir says in a news release.
This further erodes affordability and forces buyers to seek alternatives, such as a cheaper home (and mortgage) or a higher amortization on their mortgage loan.
On the one hand B.C. is forecast to have an increase in activity and a few sentences later, coupled with Ontario, B.C.'s trend is judged to reflect «eroding affordability.»
However, the challenges of tight credit, limited inventory, eroding affordability, and high debt loads have limited the capacity of young people to own.»
«A severe shortage of homes for sale continues to push up home prices and erode affordability, which in turn is subduing home sales,» says C.A.R. President Steve White.
If not, severe housing shortages and faster price appreciation will erode affordability and remain a burden for buyers trying to reach the market.»