RBC Economics pointed out that the level of affordability of houses in Vancouver and Toronto, the stability of the leasing market in Calgary as well as stages of multifamily buildings in all four of the main significant markets are likely risks posed by the housing market.
Economists made a general note in the January Canadian Housing Health Check saying; “little indication that any major market faces a potentially destabilizing downturn in the near term,” concerned about the market. It was noted in the report that the increase of house prices in Vancouver has been made vapid, and the market seems to be adjusted by the 15 per cent foreign buyers’ tax as it turns out, nonetheless, the report showed that the housing market in Toronto seems to be in a heat.
RBC’s economists believe that the threat linked to the steps and measures that the government are planning on using to deal with the housing affordability remain eminent, in mostly areas like Toronto. Despite the fact that there is a high chance of interest rates going up, it might not be possible this year. Nationwide, the figure for the lender’s affordability in the third quarter of last year was 44.3 per cent, with a “danger zone” measurement of above 45 per cent.