/biz/ - Business & Finance

>>56065285
> Three major Canadian banks have disclosed that about 20 per cent of their residential mortgage borrowers – representing nearly $130-billion in loans – are seeing their balances grow as their monthly payments no longer cover all the interest they owe.

TWENTY PERCENT. WTF.

>>56065841
Good. I want to see this country burn.

>>56065841
those are the PRIME lenders and thats data from months ago. its much worse now. its over

What can I do to speed up the collapse?

>>56066321
donate to the liberal party of canada

>>56066248
People are dipping into savings and investments to pay the mortgages, including running up credit cards and lines of credit which are far more expensive in terms of % rate, but they refuse to go into arrears on the house/houses.
If we take that into account, and also the number of people who's incomes is either now or soon will be unable to pay the mortgage monthly, I think that we are looking at north of 50% of Canadian borrowers. That's a fuckload of people.
20% is massive for like, actually decent borrowers, but I think the wider market is literally on a razor's edge. In 2024 we're going to see a lot of borrowers re-rate and the number of mortgages will roll into probably 5%+ rates (even if they QE i think the bond market will fall off a cliff and yields will go up) and I think we see actual defaults.

>>56066248
Agreed it's stale.
Each month more people have to renew their rate and a subset of them will end up in negative amortization.
How is this not a bigger story? Nuts.

>>56067567
In the meantime all those people stretched to pay their mortgage aren't eating out or doing any discretionary spending.
Businesses go bust or lay people off, they then can't pay their mortgage, meanwhile the never to be paid amortization increases keep piling up on the banks books, all to avoid price discovery.

>>56067977
There's no business in Canada retard. The business of Canada is importing shit skins to prop up their housing market and saputo cheese

can't we ban all Canadian ips from posting on here?

https://www.youtube.com/watch?v=Qt2AuVQKpq0

>>56065841
>>56065955
>>56066248
>>56067567
>>56067977
>>56067988
>>56067965
These Chinese will just end up buying their homes

>>56065285
Ooh yeah rate cuts

>>56065841
These are variable rate mortgages. Most people are fixed rate. And I think most homes are not under mortgage. So this is a small percent of the market.

>>56069260

*Fixed rates for a maximum of five years. Then they default back to the variable rate of the day.

Folks with “fixed” rates are relaxing - only to find out in a few years that their mortgage rates will double or even triple.

The intent is to strip Canadians of all property ownership.

You will Own Nothing. And you WILL be “Happy.”

>>56069260
no it's variable *and* people whose fixed rate period ended, which is 20% of mortgages every year, you stupid fuck.
in any case it's still 20% of *all active mortgages*.
these set the price of all homes, even those without mortgages. again: you stupid fuck

>>56065841
wtf leafs are your mortgages all variable over there? that is going to be hell eh

>>56065955
Based

>>56068900
The Chinese currently getting rug pulled as their own housing bubble pops?
It'll be pajeets, 10 to a 2 bed apartment.

>>56071403
Fixed rate terms are 5 years here by default, you can get longer terms but the rate goes up significantly.

>>56073275
canadian 5y yields up and up and up
risky as fuck == high yield

>>56072851
china surpluses are a big part of the canadian bubble.
what happens when they turn the tap off?

>>56073275
That's because of some dumbass regulation they put in place for government insured mortgages being capped at 5 year terms

>>56065285
>just slave for 90 years bro

>>56072851
their housing market isn't going to pop because the government won't let it. chinese are not free to remove their money from china without explicit approval of the chinese government.