September 19, 2020

Calgary low entry-level housing market to feel impact of new mortgage rules

On June 21, the federal government announced some mortgage rule changes intended to keep in check the household debt levels of Canadians.

In particular, the booming condo market in Toronto was cited by many experts as one of the main reasons for the tightening of lending practices.

And there has been much speculation about how this will impact the Calgary housing market.

In a recent commentary, here’s what the City of Calgary’s Corporate Economics department had to say about the impact locally: “The Calgary housing market has two active sectors, entry level and move-up level. Low priced entry level housing will be affected most by this mortgage rule change. We anticipate a price drop in the below $300,000 market of about 8% as a result of this mortgage rule change. Houses valued at or above $450,000 should experience little downward pressure while houses priced over $700,000 will experience none.”

Speak Your Mind


This site uses Akismet to reduce spam. Learn how your comment data is processed.