Sixteen months after the implementation of the federal government’s B-20 mortgage stress test regulations, TD Bank released an examination of its effects. Basically, the stress test did what it was supposed to do, but had some unintended consequences.
Even as housing prices have cooled throughout the GTA since the 2016 market peak, the average house still fetched $873,100 as of March, while the typical condo unit costs over half a million dollars, at an average of $522,300.
The key to building more affordable housing lies in the availability of public surplus lands, which is government owned land that is “vacant or underutilized, that is no longer needed to deliver government goods and services (Infrastructure Ontario).
As millennials continue to be priced out of many urban housing markets across the Greater Toronto Area, Montreal is becoming an affordable haven for younger buyers, but the wide selection and relatively low prices won’t last forever.
As home prices continue to rise in Ontario, first-time buyers are getting slightly less optimistic and are seeking out larger financial gifts from friends and family, according to recent survey results.