Mortgage loan approvals by province

One metric that nicely captures both the credit and mass psychology components of the current Canadian real estate craze is the total dollar amount of mortgage loan approvals as a percentage of GDP.

[…]

The total amount of mortgage debt would be expected to rise, but in a healthy and sustainable real estate market, it would rise in tandem with GDP growth, meaning loan approvals as a percentage of GDP should stay range bound. That they haven’t is but one more indication that this is a market driven by unsustainable dynamics.

http://www.theeconomicanalyst.com/content/mortgage-crazy-look-loan-approvals-province

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Hubert
Hubert
9 years ago

Wow. Those graphs really make this bubble clear:
http://www.theeconomicanalyst.com/content/mortgag

BC is leveraged to the gills, 20% of GDP in Mortgage Loan Approvals? Where are all the rich foreigners who paid cash? How can we have that much wrapped up in mortgages in BC?

Li Kai Shing
Li Kai Shing
9 years ago

Where is everybody ?

Must be golfing with Carney Flaherty and Harper.

If not, who cares?

Keeping An Eye On Th
Keeping An Eye On Th
9 years ago

http://www.irishtimes.com/newspaper/finance/2011/

"The government-owned company currently insures $536 billion in mortgages and has just $11 billion in equity: just 2 per cent equity against its total exposure. It’s easy to envisage a scenario in which the taxpayer is left holding the bag."

Smoke and mirrors. Canada has socialized subprime.

vreaa
9 years ago

Vancouver RE 'Jumps The Shark'?

Candidate Moments

http://wp.me/pcq1o-2TA

The envelope, please…

bubba
bubba
9 years ago

Is the end in sight for big new homes?

http://blogs.vancouversun.com/2011/09/09/is-the-e

Inventory
Inventory
9 years ago

Sept 6 to 9, 2011

North Delta

New Listings 13

Price Changes 13

Solds 8

North Surrey

New Listings 48

Price Changes 35

Solds 20

Surrey

New Listings 92

Price Changes 44

Solds 36

Cloverdale

New Listings 35

Price Changes 18

Solds 14

South Surrey Whiterock

New Listings 87

Price Changes 36

Solds 35

Langley

New Listings 61

Price Changes 52

Solds 32

Abbotsford

New Listings 56

Price Changes 50

Solds 30

Mission

New Listings 32

Price Changes 15

Solds 11

Chilliwack

New Listings 52

Price Changes 22

Solds 9

Inventory
Inventory
9 years ago

Sept 6 to 9, 2011 Richmond New Listings 165 Price Changes 46 Solds 50 Vancouver West New Listings 289 Price Changes 68 Solds 80 Vancouver East New Listings 115 Price Changes 43 Solds 50 North Vancouver New Listings 99 Price Changes 25 Solds 23 Burnaby New Listings 142 Price Changes 44 Solds 52 Coquitlam New Listings 91 Price Changes 31 Solds 30 West Vancouver New Listings 51 Price Changes 20 Solds 15 Ladner New Listings 14 Price Changes 11 Solds 2 Port Coquitlam New Listings 36 Price Changes 18 Solds 17 Maple Ridge New Listings 58 Price Changes 58 Solds 22 New Westminster New Listings 49 Price Changes 15 Solds 22 Pitt Meadows New Listings 11 Price Changes 6 Solds 8 Port Moody New Listings 25 Price Changes 16 Solds 10 Squamish New Listings 14 Price Changes 9 Solds 6… Read more »

Li Kai Shing
Li Kai Shing
9 years ago

@Inventory:

Where are peepulz Re- Pub-Lick of Surrey data?

My dealer….errr pharmacist…. says 3 for 1 sale..buy a baggie + HST…. get 3 condos in Whalley- Newton

Inventory
Inventory
9 years ago

Sept 9, 2011 Richmond New Listings 34 Price Changes 11 Solds 10 Vancouver West New Listings 51 Price Changes 9 Solds 20 Vancouver East New Listings 19 Price Changes 6 Solds 13 North Vancouver New Listings 20 Price Changes 5 Solds 1 Burnaby New Listings 28 Price Changes 6 Solds 11 Coquitlam New Listings 33 Price Changes 7 Solds 12 West Vancouver New Listings 12 Price Changes 4 Solds 6 Ladner New Listings 3 Price Changes 1 Solds 1 Port Coquitlam New Listings 9 Price Changes 6 Solds 7 Maple Ridge New Listings 14 Price Changes 14 Solds 4 New Westminster New Listings 7 Price Changes 4 Solds 9 Pitt Meadows New Listings 0 Price Changes 4 Solds 0 Port Moody New Listings 0 Price Changes 4 Solds 3 Squamish New Listings 1 Price Changes 3 Solds 2 Tsawwassen New… Read more »

Best place on meth
Best place on meth
9 years ago

Pauls dailies are posted in the FFFA thread.

Weekly numbers for this holiday shortened week:

Listings 1202

Sales 418

Ratio 35%

September on pace for:

Listings 6090

Sales 2354

Ratio 39%

Frank
Frank
9 years ago

Here are Larry's numbers

Vancouver East & West*

New Listings – 70

Back On Market Listings – 0

Price Changes – 15

Sold Listings – 33

Vancouver All Areas*

New Listings – 244

Back On Market Listings – 1

Price Changes – 91

Sold Listings – 106

*Attached & Detached – Date: 09/09/2011 Time: 18:59 Pacific YatterMatters.com: Courtesy REBGV. Data believed to be accurate but is not guaranteed.

bubba
bubba
9 years ago

Talking to a property manager of a long- established Vancouver commercial landlord.

One tenant is a service station(Shell) … who pays triple net.

Rent = $ 170,000 per year

Taxes = $ 220,000 per year.

Side bar:

The average soil remediation/clean-up cost per closed gas station site is approx $2.3 Million. As a tenant they are obligated to pay it.

space889
space889
9 years ago

@jesse: Continue from last poast, the jurisdiction in which the VAT is being applied is in a way subsidizing the goods being sold in another jurisdiction where there is no VAT. So when a BC company sells products to Albert and now getting the HST refund, the lost money has to be made up somehow and likely being made up by taxing BC residents more.

As well, please remember that HST levied on the final product for things like services means that it is taxed not just on materials/equipment but also on labour and profits. Most of prices for services like haircuts, restaurant meals, etc are labour and profits. The savings from HST in these cases are relatively minor and even if fully passed on will not offset the extra tax on labour and profits.

bubba
bubba
9 years ago

Quick look at graphs…compared to other Provinces,…..BC looks pretty F*cked.

PS good scoop…thanks Mansur al-Hallaj. !!!!

Li Kai Shing
Li Kai Shing
9 years ago

Hoo boy #1