2023 Canadian Housing Market Outlook

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The opinions expressed herein are solely that of Tom Storey, not Royal LePage or the TRREB and should not be misconstrued as advice or the basis of an agency relationship whatsoever. Please consult your professional advisor prior to taking action on any decisions relating to the matters discussed in these videos. This communication is not intended to cause or induce breach of an existing agency agreement. This is not financial advice.

[mjor]

I work for a Canadian bank. Mortgage applications and helocs have gone down significantly. Home prices have to go down by a half. .

[vishalkanwar]

The thing is real damage is yet to come. Its not how high the interest is. Its for how long!!! And Central banks arent keen on reducing anytime soon

[SS-cdie]

My rent is almost my whole paycheck. Lived here my whole life and cant buy in my own city.

[rsaudi]

Working from home increased families disposable income. I estimate it to be like a 15% raise. No commute, parking, eating downtown lunches, fancy coffees, wardrobe. This increase in money allowed leverage to service debt, for new cars, new home Reno’s, vacations. That caused inflation, in low supply times.

Interest rates are not really biting hard on inflation. The first 4% hike and inflation only nullified the working from home positive effects. House prices will stay unusually elevated until cash flow goes upside down. Inventory is not going to appear unless living expenses get too high, forcing sales. It could take a decade to reset the economy if this new model stays as is with work from home normalcy. 

I expect sticky inflation, sustained high rates, and low unemployment. Ugly mess. The rate hike will max soon, and then just stay there twice as long as it historically should have to, then finally reduced inflation.

That’s my theory at least.

Employers need to demand people return to office. They will say….we can not afford that anymore.

[blktallhandsome]

I am always happy to see Tom in the media - atta boy

[nealmoyer]

Not everyone lives in the city, obviously those people are catered to but it would be nice to mention rural properties once in a while.

[AMYV]

I wish you could explain what cooling off period even means. If it’s in BC then we wouldn’t know or should I ? I want to know lol but I’m in the rental market again now being single with teen child. There is no way I’m anywhere close to buying. Almost out of the rental market. Who am I kidding. Things are bad. Can’t afford rent. It’s so weird when u say “ are we in a recession” With families living in cars 🤷🏼‍♀️. So What world is real. Yours or mine 🤷🏼‍♀️

[benshirk]

Interesting to note how the headline during the video continues to read 2021 vs 2022 average prices up even as Tom says prices are down year over year end.

[Sarahyangtoronto]

I am already at 6.35% now. Another two hikes will make my life a living hell.

[litomallonga]

2023 will be the year for the renters that’s going to happen here First in Greater Vancouver District.

[lornecadeau]

You are going to have a
Bigger crash then in the USA in 2008 your not having a 30 fixed rate is going to bring down the Canadian economy

[minhly]

Interest rate will increase 0.25% for the next three rate decision and will hold at 5% for the rest of 2023. Price will decline around 5% and rebound upward of 10% in 2024. When it comes to RE you need to 💎 🤚

[zapoandrew]

"Average monthly pay isn't that different" = not true. It's very different. Average monthly payments for homeowners have changed significantly over the past year. The average price of a home has decreased around 10 percent, fine. But the cost of mortgages has gone up significantly, resulting in an additional $1k a month required for a $750k property.

[cricketlovervaruns]

Canada jobs report jumped 20 times to over 100K when the expectation was 5K. Unemployment dropped to 5%. Guess BoC will raise another 25 bps in Jan and hold steady for the remaining year. Maybe another 25 bps in March if they don't like the data.

[TomStorey]

How do you think the 2023 real estate market will play out?

[michaelsoul]

How the hello the host came up with a conclusion that the price still went up in 2022 compared to 2021, this is so misleading.

[cortezranieri]

I think two more rates hikes at .25% each and then prices drop to match 2021 average prices

[CanadaTop]

We aren’t going to see Feb 2022 prices for the next few years.