Wahi’s Weekly Roundup of Top Real Estate Stories

Home prices, Gen X boost cottage sales, mortgage delinquencies, and more.

By  Jared Lindzon | 2 minute read

Every Friday, Wahi brings you the most important real estate stories from the past week.

Provincial Bill Could Threaten Protections for Toronto Renters 

There’s an old rule in Toronto that requires developers who demolish a building with at least six rental units to replace them with the same number of units of the same size and offer them to the displaced tenants at roughly the same price for at least 10 years. Now the province could weaken that policy in the form of Bill 97, which gives the Ontario Minister of Municipal Affairs and Housing the power to tweak the city’s existing housing policy. The proposal inspired Toronto’s Chief Planner to draft a report addressed to City Council opposing the change.  

Canada Reached Real Estate Rock Bottom in April

When home prices began to drop many wondered just how low they would go. Well, according to RBC economists, the limbo stick reached its lowest point last month. In the bank’s Monthly Housing Market Update it declared April of 2023 as the “cyclical bottom,” explaining that last month the housing market finally turned a corner. Now, the bank’s economists say the country’s major cities are heating back up. With interest rates stable prices are on the rise, bringing sellers back into a market that’s low on inventory. As a result, the report states, “the coming months should be quite interesting.” 

Is Cottage Country Going Grunge?     

If you venture out to cottage country this summer don’t be surprised if you hear a little more Nirvana, Spice Girls and U2 echoing across the lake. According to a recent report by Re/Max, Canada’s leisure properties are quickly changing hands from Boomers to Gen Xers as part of a generational wealth transfer. In a survey of cottage country brokers, 91 per cent say Canadians in their early 40s to late 50s are driving demand for such properties. The report also speculates that rising consumer confidence will boost cottage sales through the summer season.  

Toronto Mayoral Hopefuls to go Toe-to-Toe on Housing     

As Torontonians prepare to go to the polls, housing is emerging as a key issue in the upcoming mayoral election. Later this month candidates will have a chance to showcase their plan to tackle the city’s housing challenges, now that most have confirmed participation in an upcoming housing debate on May 24th at George Brown College. The two-hour debate will be moderated by a panel of journalists, who will presumably ask the candidates to explain and justify their plans to manage affordability, homelessness, and funding solutions. 

RBC Braces for a Wave of Mortgage Delinquencies       

Despite shaky economic conditions, Canadians have done remarkably well in making their mortgage payments on time, but our stellar track record might soon come to an end. In a recent report, RBC economists warned the country’s mortgage delinquency rate could rise by a third, returning from the recent streak of record lows to something more in line with pre-pandemic norms. The economists say that a looming recession and rise in unemployment — on top of current challenges like inflation and high interest rates — will cause more Canadians to fall behind on their payments in the year ahead.