BoC WARNS TORONTO, VANCOUVER HOME PRICE GAINS UNSUSTAINABLE
Jun 09, 2016
By Bob Komsic
Soaring increase in the price of homes in Toronto and Vancouver can’t continue.
That from Bank of Canada governor Stephen Poloz who says economic fundamentals don’t justify this trend continuing.
The central bank boss says there’s an increasing probability of an eventual correction.
He concedes the bank’s been talking to the government about how to deal with household imbalances but declines to share that advice publicly.
Finance Minister Bill Morneau said Wednesday that Ottawa’s conducting an in-depth examination of the country’s real estate markets to determine what measures might be necessary to ensure Canadians can still afford to buy homes.