Housing

• The Effect of Mortgage Rate Resets on Debt: Evidence from TransUnion (Part I)

  Staff Analytical Note 2020-2 Katya Kartashova

  This note studies how decreases in mortgage rates affect the behaviour of borrowers in terms of spending on durable goods and repaying debt.

  Content Type(s): Staff research, Staff analytical notes Research Topic(s): Credit and credit aggregates, Housing, Interest rates, Monetary policy, Monetary policy transmission JEL Code(s): D, D1, D12, D14, E, E4, E43, E5, E52, G, G2, G21, R, R3, R31
• November 19, 2019

  Financial Stability in an Uncertain World (Full Remarks)

  Remarks Carolyn A. Wilkins International Finance Club of Montréal Montréal, Quebec

  Senior Deputy Governor Carolyn A. Wilkins provides an update on the Canadian financial system and discusses measures in place that increase its resilience in a challenging global environment.

  Content Type(s): Press, Speeches and appearances, Remarks Research Topic(s): Climate change, Financial institutions, Financial stability, Financial system regulation and policies, Housing, Trade integration

• Home Equity Extraction and Household Spending in Canada

  Staff Analytical Note 2019-27 Anson T. Y. Ho, Mikael Khan, Monica Mow, Brian Peterson

  We use rich microdata to measure home equity extraction in Canada and track its evolution over time. We find home equity extraction has been rising in recent years and has likely contributed materially to dynamics in household spending.

  Content Type(s): Staff research, Staff analytical notes Research Topic(s): Financial stability, Housing JEL Code(s): D, D1, D12, E, E2, E21, G, G2, G20

• The Formation of House Price Expectations in Canada: Evidence from a Randomized Information Experiment

  Staff Analytical Note 2019-24 Marc-André Gosselin, Mikael Khan, Matthieu Verstraete

  We conduct a randomized information experiment leveraging the Canadian Survey of Consumer Expectations. We provide causal evidence that respondents revise both their short- and medium-term expectations of future house price growth in a way that is consistent with observed short-term momentum in house prices. However, empirically, house price growth tends to revert to its mean in the medium term.

  Content Type(s): Staff research, Staff analytical notes Research Topic(s): Financial stability, Housing JEL Code(s): C, C9, D, D8, D84, R, R2, R21
• May 16, 2019

  Release of the Financial System Review

  Opening statement Stephen S. Poloz Ottawa, Ontario

  Press conference following the release of the Financial System Review.

  Content Type(s): Press, Speeches and appearances, Opening statements Research Topic(s): Climate change, Credit and credit aggregates, Financial stability, Financial system regulation and policies, Housing, Regional economic developments, Sectoral balance sheet
• May 6, 2019

  Risk Sharing, Flexibility and the Future of Mortgages

  Remarks Stephen S. Poloz Canadian Credit Union Association and Winnipeg Chamber of Commerce Winnipeg, Manitoba

  Governor Poloz talks about Canada’s housing market and how the mortgage market could evolve to give Canadians more choice, make the economy more flexible and lower the level of financial system risk.

  Content Type(s): Press, Speeches and appearances, Remarks Research Topic(s): Financial services, Financial stability, Housing, Recent economic and financial developments, Trade integration
• May 6, 2019

  Poloz talks mortgages: Innovation could improve flexibility

  Speech summary Stephen S. Poloz Canadian Credit Union Association and the Winnipeg Chamber of Commerce Winnipeg, Manitoba

  Stephen S. Poloz, Governor of the Bank of Canada, speaks before the Canadian Credit Union Association and the Winnipeg Chamber of Commerce.

  Content Type(s): Press, Speeches and appearances, Speech summaries Research Topic(s): Financial services, Financial stability, Housing, Recent economic and financial developments, Trade integration

• Disentangling the Factors Driving Housing Resales

  Staff Analytical Note 2019-12 Mikael Khan, Taylor Webley

  We use a recently developed model and loan-level microdata to decompose movements in housing resales since 2015. We find that fundamental factors, namely housing affordability and full-time employment, have had offsetting effects on resales over our study period.

  Content Type(s): Staff research, Staff analytical notes Research Topic(s): Econometric and statistical methods, Financial stability, Financial system regulation and policies, Housing, Recent economic and financial developments JEL Code(s): C, C2, C22, E, E2, R, R2, R21

• Non-Resident Taxes and the Role of House Price Expectations

  Staff Analytical Note 2019-8 Mikael Khan, Matthieu Verstraete

  In recent years, the governments of Ontario and British Columbia have imposed taxes on purchases by non-Canadian residents of residential properties in certain jurisdictions.

  Content Type(s): Staff research, Staff analytical notes Research Topic(s): Financial stability, Housing JEL Code(s): D, D8, D84, R, R2, R21
• March 7, 2019

  Economic Progress Report: Sensible Shifts in Household Spending

  Remarks Lynn Patterson Hamilton Chamber of Commerce Hamilton, Ontario

  Deputy Governor Lynn Patterson discusses updates on the economy and reviews the latest interest rate decision.

  Content Type(s): Press, Speeches and appearances, Remarks Research Topic(s): Housing, Inflation and prices, Recent economic and financial developments