London Ontario Real Estate Market May UPDATE Sales PLUNGE 20 Percent

#londonontariorealestate #londonontario #lstar

London’s real estate market continued to stall in May, with sales down 20.8% from the previous May, prices down year-over-year, and remaining relatively flat month-over-month – even though affordability has remained unchanged.

Links:

Lstar – Our Latest Statistics:

Bank of Canada first to cut rates in G7, economist bets are on another in July:

 
Bank of Canada delivers rate relief to consumers, paving way for stronger spending:

‘Game on’ for Canada’s housing market?:

Canadian Real Estate Prices Set To Rip Higher After BOC Signal: BMO:

Indicators of financial vulnerabilities:

Canada 5 Year Government Bond:

Despite knowledge gaps and financial constraints, home ownership remains largest priority for Canadians, TD Survey:

BMO Survey: 72% of Aspiring Homeowners are Waiting for Rate Cuts Before Buying:

Mortgage debt a ‘ticking time bomb’ as renewals come up, economists warn:

Mark Mitchell – Mortgage Broker London Ontario
920 Commissioners road east
London, Ontario N5Z 3J1
Phone: [phone] (Call or Text)
Brokerage Lic: 10464
Broker Lic: M16001479

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Commentary on this Channel should not be considered financial advice.

[BarrettCharlebois]

I freaking love this channel. The memes/cutaways are comedy gold

[hagbard]

Pretty much given up. Not buying another house till the prices get realistic and they're no where close to that now nor do I think they'll ever be.,

[BuccaneersBliss]

I think youre right about buyers sittng on the sidelines until next year. We are.

[brandon]

I think you're gut is mostly right, I think the other factor is just how bad inflation is and the income gap for most people. Maybe I'm projecting too much but my gut is that most people quite simply can't afford a house anymore, or at the very least younger people who would be at that "time to buy a house" stage are so far away from it they are waiting for significant price drops. Personally I'm 25 and can't even really afford to rent a place with all my bills and expenses as well as school costs, putting together a down payment is not only a long shot but if I could get that money together I would have many other things that money would need to go to before I could put it towards housing. As always thank you for your videos and information! Your perspective and ideas are always greatly appreciated, thank you for the funny memes and everything too, always make me laugh and enjoy even more

[travisbaynham]

Who would've thought that prices being over inflated would affect people wanting to purchase? Great video as always, Mark!

[vkinkela]

As a banker on the west coast, enjoy hearing your take on the Ontario … keep up the great work

[yanngagnon]

I think that, at these prices, we've run out of buyers that 1) are trading up from properties in which they now have significant equity due to price appreciation and 2) we're getting help from family who could borrow at very low rates using HELOCs on existing properties.

In other words, it was a game of musical chairs that has just ended.

[johnboy]

it needs to stall and keep on stalling. No ordinary common working person can buy a house or afford to rent a decent apartment. Hold the rates or problems on horizon.

[theoffspring]

The prices of houses would have to stay flat for 20 - 30 years to become affordable again.

[Brian-dggh]

The government needs home prices to stay high so they can continue over taxing people in order to support their bloated salaries. Everyone gets mad about home prices when it’s high taxes and government waste that are the real problem.

[joebazooks]

im waiting to buy. the market needs to correct before i dump my life savings into a property

[shilpadp]

Mark, You are absolutely correct, some of us are waiting out to see how the market behaves next year. We cant decide to go for fixed or variable, so better to wait out.
The fun part canadian media offering a job to you is so funny but truly they must consider the option.

[parkerbohnn]

Off topic but news of the day.
Wage gains came in today at 5.1 percent year over year. The jobs report came in at 27, 000 jobs created in May and Tiff still has a job at least for the time being. Obviously he was forced to cut rates as both these already known figures should have prevented any rate cut. The 5 year Canadian treasury bond yield climbed 3 percent on the news.

[louislebrun]

Excellent video, you could further back your gut feeling with an analysis from 2007-2008 correct me if i'm wrong but prices dropped after interest rates started to ease.

The 2007-2008 correction was shallow in Canada and deep in the us... this time the price level and household debt may suggest that the correction would be much stronger in Canada than in the US.

[Buildituniversity]

I wonder what percent of previous buyers were real estate gamblers. Looks like they’re holding on to their money with the possibility of a drop, or at least no gain.

[spankymcduff]

Calgary home sales 'ticked down' in May due to limited supply...crazy out this way.

[Mama-bblf]

You are spot on, plus first time buyers struggle to meet the banks criteria to purchase thier homes.

[Wink_Dinkerson]

I'm waiting until next year to buy....so, you're pretty good at reading minds.
.

[pvwhatsup]

I'd say your gut is spot on! That's what I'm waiting for at least. If Boc rate cuts signal anything, it's that they're less worried about people's ability to spend. Time will tell.

[whiskeyinthejarful]

I agree w your gut feeling, Mark! Also feel like no one is really mentioning or taking into account the fact that boomers are all about to find their big family homes totally unmanageable at the same time - in about 5 years or so. My own personal gut feeling is that this will help drop prices of these big houses too so I’m personally waiting for the “forever home” purchase until that starts to play out.