The Canadian housing market has seen a lot of highs than lows in the year 2017. The year started with many of the markets showing a 30 percent increase in the year-to-year gains. After a year of many highs and lows, the pundits are gazing at the crystal balls to see what is in store for the housing market in 2018. There are more stringent mortgage qualifying laws and other factors that are on the horizon in 2018.
A slew of regulations and issues happened in Toronto in 2017. Some of the were mortgage regulation changes, 15% tax on new home buyers, spring rains that led to flooding in April and May, and an alternative lender. But, despite all this, the housing market was at its peak in April and then started to slow down by July 2017. This showed that the housing market was more resilient than before in 2017.
From January 2018, the borrowers will undergo stringent tests to get a mortgage loan. The rate will be higher than the contracted mortgage rate. The home buyers will face many changes to the mortgage laws apart from increased mortgage rates. The long-term stance in the housing market in Canada looks very positive taking into account the strong fundamentals.