«As we begin to evaluate home prices in the first quarter, we will monitor whether new headwinds — higher mortgage rates and changes in tax laws — will lead to any moderation in the rate
of house price growth.»
With the housing market on the verge of the spring home - buying season, this is good news in an environment where historically low mortgage rates will help offset the pace
of house price growth and lack of for - sale inventory in many markets.»
Widespread House Price Gains Have Accompanied Accommodative Financial Conditions (Diffusion Index
of House Price Growth and Global Financial Conditions)
We expect house price growth to moderate a bit to 4.4 percent in 2016, still well above the long - run sustainable rate
of house price growth.»
We expect house price growth to moderate a bit to 4.4 percent in 2016, still well above the long - run sustainable rate
of house price growth.»
Not exact matches
Some
of the possible excess in
house prices could in the interval be tempered by factors such as income
growth, regulatory changes and modest
price corrections along the way.
The central bank maintained its long - standing prediction that regions experiencing elevated
house price growth, such as British Columbia and Ontario, will face localized risks, but the most likely scenario remains a «soft landing» and stabilization
of debt - to - income ratios.
A report from CIBC World Markets recently predicted the stock market might fall 10 % — 15 % this summer due to a confluence
of factors, including a weak U.S.
housing market, increasing fiscal strain, expensive oil
prices, sluggish corporate earnings
growth and disruptions in global supply chains stemming from the Japanese crisis.
«Additional government support for home ownership, especially in the context
of housing markets experiencing rapid
price growth and restricted
housing supply, are likely to be counterproductive,» Morneau wrote.
Perth
house prices were up slightly last month as the pace
of growth across the nation's capital cities showed signs
of slowing.
«Overall, annual
house price growth nationally is most likely expected to slow to 1 - 4 % by the end
of 2017.
Montreal also fell into that category, but CMHC warned it might have to revise that assessment, given the rapid
growth of house prices in some neighbourhoods.
In tandem, if wages do not rise at the rate
of house -
price growth, then buying a property becomes more and more unaffordable.
«In line with the 2013 norm,» June
price growth was driven by single - detached and semi-detached
houses, particularly in the city
of Toronto, the board said in a report Thursday.
The company's latest
House Price Survey, released Tuesday, found that most regions showed healthy year - over-year price growth, with the average price of a home in Canada rising between 2.5 per cent and 5.4 per
Price Survey, released Tuesday, found that most regions showed healthy year - over-year
price growth, with the average price of a home in Canada rising between 2.5 per cent and 5.4 per
price growth, with the average
price of a home in Canada rising between 2.5 per cent and 5.4 per
price of a home in Canada rising between 2.5 per cent and 5.4 per cent
In December realtor.com ranked Las Vegas as the best
housing market going into 2018, with a projected
price growth of 6.9 %.
An uptick in commodity
prices, combined with two years
of supply cost cuts, created some room to get financial
houses in order and invest in production
growth in 2017.
Indeed, the strong
growth of investor
housing loans has driven the
growth in household debt (as a share
of disposable incomes) over recent years and contributed to a rise in both
housing prices and dwelling construction.
Oversupply: An oversupply
of used cars, multi-family
housing units in some markets and other segments is further contributing to decelerating
growth in
prices.
Nationwide
house prices increased strongly for several years up to late 2003, reaching a peak
growth rate
of around 20 per cent in that year.
At least some
of the
growth in
housing prices since the middle
of last year was a bit
of a catch - up from a period
of weakness.
Canada currently supplies over 1/3
of U.S. lumber consumption and if the current rate
of growth in
housing starts continues, the U.S. will need to increasingly rely on higher -
priced imported lumber from outside
of North America to fulfill their needs if they impose a quota restriction on Canadian lumber.
If anything should be clear from the bubbles
of recent years, the greatest risks are not when
prices are depressed, the economy is weak, and investors are frightened, but rather when
prices are elevated and an unendingly positive outlook for technology, or
housing, or global
growth, or private equity, or emerging markets, or commodities seems all but certain.
Posted by Nick Falvo under Bank
of Canada, banks, budgets, Conservative government, consumers, deficits, economic
growth, economic models, economic thought, employment, Europe, exchange rates, federal budget, fiscal policy, household debt,
housing, inflation, interest rates, monetary policy, oil and gas,
prices, Role
of government, social indicators, tar sands, US.
Latest data from Australian Bureau
of Statistics show
house price growth for the eight capital cities fell to 1 per cent in the December quarter compared to 5 per cent for the year.
And by that we mean bring an end to double - digit
price gains, bring about a steep correction in
house prices to levels the city's lowly middle - class incomes can afford, bring about an end to staggering household debt levels and ultimately, bring about the end
of housing as the economy's engine
of growth?
By median value,
house prices rose by 1.4 % in large tier one cities in December, outpacing a gain
of 0.3 % for smaller tier two cities and flat
growth in smaller tier three and four cities.
«Overlooked in the comparison
of income
growth and unadjusted
house price growth is that a change in household income is not the only factor that influences how much home one can afford to buy,» Fleming said.
Both Realtor.com and Zillow have predicted that Sacramento will be one
of the hottest
housing markets in 2017, with
price growth well above the national average.
Home buyers today have historically high levels
of house - purchasing power, and that's one important reason why, even as unadjusted
house price growth exceeds household income
growth, the talk
of an affordability crisis is over-stated for now.»
A new forecast for the Los Angeles
housing market suggests that home
prices could rise considerably slower over the next year than the previous 12 months, settling into a historically average rate
of growth.
Earlier this year, Zillow published a list
of what it felt would be the ten hottest
housing markets
of 2017, in terms
of price growth.
The adjustment in the Australian
housing market during 2004 should assist prospects for sustainable economic
growth, with the decline in
house prices and new lending during much
of the year alleviating the overheating which had previously been apparent in that part
of the economy.
In many cities, home -
price gains have outpaced wage and income
growth over the last couple
of years, and this kind
of trend can lead to
housing affordability issues.
Surveys and official data indicate flat or falling
house prices across the UK; according to the Nationwide and Halifax surveys,
house prices increased at an annualised rate
of 1.8 per cent over the past three months, compared with annualised
growth in excess
of 20 per cent in the first half
of 2004.
In large part this has been driven by
growth in share
prices and
house prices, although the demutualisation
of the AMP Society and capital gains from the first stage
of the Telstra float provided an additional boost to available wealth last year.
The run - up in credit
growth and the associated boom in
house prices in recent years presented two implications for the economy: they tended to boost
growth in the short term, but carried the risk
of a damaging correction if they continued too long.
They're often portrayed as a major cause
of rapid
housing -
price growth, spurring impassioned political rhetoric accompanied by targeted taxes on their properties.
If the whole thing — the rises in stock
prices, in corporate earnings, in the
housing market, even in job
growth — is driven solely by the flood
of money, or whether five years
of zero - interest rates and trillions
of dollars in bond purchases have succeeded at getting a more resilient economic engine for the United States up and running.
In 2008 to 2009, Canadian
housing was relatively cheap compared to the U.S., but after years
of breakneck
price growth north
of the border and declines down south, that's no longer the case.
Property values rose in 40 out
of 54 countries in the Knight Frank Global
House Price Index, the most since 2007, but Europe is lagging behind, with two - speed
growth emerging
In addition, it is likely that lenders did not account for the risk
of contagion in
housing markets — that weak
house price growth would significantly increase the likelihood that borrowers would default.
But he stresses that he did this analysis on his own because he's been asked so many times lately what could happen to the
housing market — which has already suffered a slump in sales and an easing
of growth in
prices since tougher mortgage lending rules were introduced last summer — if interest rates inch up from historic lows.
Slowing United States property sales had little impact on
house prices in the last three months
of 2015, which showed continued
growth.
According to Knight Frank's latest Global
House Price Index, worldwide home
prices recorded their weakest annual performance since the depths
of the recession in 2009, recording only 0.9 %
growth in the year to March 2012.
The trend lines (dashed) indicate that the stabilization
of price growth shown in Figure 1 coincides with
house prices returning to their long term trend path.
Though most
of the explosion in the Bakken region is already played out, and though a large portion
of the oil workers in the region have already found permanent
housing situations, I expect the
growth in the
Price / Book multiple coupled with steady earnings (if not growing earnings) to secure the safety
of this investment for the near future.
Appeal was determined by the number
of Google searches for property in the country in May 2014 and
price growth was measured in both the short term (six months) and long term (12 month) using data from Knight Frank's Global House Price I
price growth was measured in both the short term (six months) and long term (12 month) using data from Knight Frank's Global
House Price I
Price Index.
An additional complication for Australian monetary policy at present is posed by the rapid
growth of credit and its flow - through into strongly rising
housing prices.
A major contributor to the weakening has been a drop - off in the pace
of household spending, as wages
growth and the rate
of increase in
housing prices have both slowed.