A Lot More Rate Cuts Needed to Save Canadian Housing Market

New home sales in the GTA hit a 27 year low through the first half of this year. Retail sales are plunging and CPI inflation is back in the target range. The Bank of Canada will cut rates next week but it won't be enough to revive things in the near term.

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[nicolasbenson]

I see the rising interest rate as a very big problem, as more investors will definitely pull out more money from the Stock market. This might have worked when I was still invest-ing with a couple thousand dollars, but it is more difficult now to decide whether to pull out more than $365k from my port-folio. I know some inves-tors still make that despite the strong bear market. In wish I could pull that feat

[Ajlyu]

The bigger picture to consider is how sick our economy is, where we're practically begging for a .25 rate cut. The better solution really is to let the bubble burst so we don't have to survive on this low interest rate drug addict mentality.

[MB-grbr]

Saving from what? The housing market is way overpriced. Even 50% correction is not enough.

[BenjaminCooper-sdow]

Purchase (2) modest investment rentals. (I own 4.) It is a part-time hands-on business and a ticket to a comfortable retirement if you are willing to deal with the headaches. I buy clean low-mileage cars in cash and I carry no balance on credit cards. I "retired" 10 years ago and my portfolio is worth more now (inflation considered). I will not outlive my resources if I live to be 100.

[yuzuchuhai]

I'm so done with stupid people and their addiction to debt. Rates need to climb back up to 20%, then the fools can offload their multiple properties they can't afford, and if they can't - BANKRUPTCY TIME! Time for some tough love and personal responsibility!

[PaperDoctorZ]

Everyone in Canada knows the CPI is wrong. My car insurance went up 46% for no reason at all. This means that we are not in the range. This means that interest rates need to be higher, not lower.

[MapleCanada-wg]

While Canada is burning with inflation, joblessness and homelessness, and realtors enjoying fine wine. This sums up Trudeau's Canada.

[dinagallis]

Bank of Canada need to stay behind the curve to fix their prior error of staying behind the curve 👍🏼

[davids]

Sorry, but I didn't get past the title of this video. You have it completely backwards. Rates need to go higher to proper historic levels of interest rate in order to save the market. The low rates is largely what got us into this mess in the first place.

[Barr]

Amazing how YouTubers don’t know basic economics and say we need more rate cuts. Rates cuts result in more inflation, collapsing dollar, higher costs of living, which leads to job losses and a worse recession.

[inviparisa]

You know, with the current housing crisis and the state of the economy, it's tough to even think about buying a home these days. Prices are skyrocketing, and it seems like everyone is feeling the pinch.

[davidhughes]

Every time Steve says “Behind the curve” drink 2oz of Pinot.

[Jones-zm]

His words remain the same❤️️
In 2020 (the COVID year), I cashed in my life savings and gave it all away. My total giving amounted to 40, 000 dollars, Everyone thought I was crazy, maybe suicidal. Today, I received 85, 000 dollars every two months. I have a property in Calabasas, CA, and travel a lot. God has promoted me more than once and opened doors for me to live beyond my dreams. God kept to his promises to and for me.

[butwhytharum]

How are lower interest rates going to do anything but get people more into debt?

[faysdt]

Invest in the financial markets before retiring by diversifying across assets, allocating a small portion of your portfolio, staying updated on market trends, and considering long-term holding to balance risk and growth

[Barr]

If they do rate cuts now, inflation will come back worse, and they will be forced to hike rates even higher than before. This is exactly what happened in the 1970’s. They cut early claiming inflation was beat. Rates were then raised to an unimaginable 20 percent.

[Matt.k]

Everythings more expensive
.Higher mortgage payments
.Building materials / maintenance
.Property taxes
.Insurance
. Utilities
. Capital gains tax
The shelter component for owners is not coming down

[mondocanuck]

What Steve mentioned around 7:00 mark is shown by the large percentage of homeowners who actually use food banks. They can't afford groceries, but continue to pay their mortgages, property tax, property insurance.

[ngoctruongpaulnguyen]

Think about how much real estate and construction is a percentage of our economy? Economic stability? One of the reasons why no one should invest in the TSX is because our economy is based on Energy (O&G), Real Estate, and Finance. Its a wakeup call to stop building these 20 year bubbles and diversify our economy especially in advanced manufacturing and tech.

[HAIDARAVEN]

5 k a month to service a mortgage…. …. That’s the problem