Economics
Housing Agency Dials Back Warning of Overvaluation in Toronto
- Job growth, population gains drive change in CMHC assessment
- Vancouver now lone big Canadian city showing major strains
Toronto’s market now shows “moderate” overvaluation, down from “high” in the federal housing agency’s previous quarterly assessment.
Photographer: James MacDonald/BloombergThis article is for subscribers only.
Homes in Canada’s biggest city are showing fewer signs of being overvalued, taking some pressure off a market that remains highly vulnerable, the federal housing agency said.
Toronto now shows “moderate” overvaluation, down from the riskiest rating of “high” given in October, Canada Mortgage and Housing Corp. said Thursday from Ottawa. Both the national and local housing markets still show a high degree of overall risk, according to the agency’s quarterly assessment.