Your House Makes More Than You Do
- Keywords:
Normally asset prices start to raise red flags when they consistently outrun growth in underlying income or earnings. But across much of Canada, and notably Ontario, house prices are not only rising faster than family income, they are rising more than total annual income. Take Woodstock for example, where benchmark prices are up a cool $118,200 in the past year to January (or 31.7%), while the median family earned $86,970 (in 2018). Draw your own conclusions.
Read more
Sal Guatieri
Senior Economist
Sal Guatieri is a Senior Economist and Director at BMO Capital Markets, with two decades experience as a macro economist. With BMO Financial Group since 1994, his m…(..)
View Full Profile >Normally asset prices start to raise red flags when they consistently outrun growth in underlying income or earnings. But across much of Canada, and notably Ontario, house prices are not only rising faster than family income, they are rising more than total annual income. Take Woodstock for example, where benchmark prices are up a cool $118,200 in the past year to January (or 31.7%), while the median family earned $86,970 (in 2018). Draw your own conclusions.
What to Read Next.
BMO Blue Book: Wave of Pent-Up Demand on the Way
Douglas Porter, Robert Kavcic | February 24, 2021 Economic Insights
While the Canadian economy ran into a hurdle of COVID-19 second-wave lockdowns at the start of 2021, it is expected to rebound given monetary and fis…
Continue Reading>
Tell us three simple things to
customize your experience
