rennie landscape - victoria spring 2024

credit & debt BORROWERS ARE SPENDING MORE OF THEIR INCOMES TO SERVICE MORTGAGE DEBT THAN EVER, even as they take on less new debt overall. The mortgage arrears rate has risen, but it’s still historically quite low, even as fixed-rate renewers face big increases in interest costs. The amount of credit card debt in Canada is at an all-time high, including when adjusted for population. demographics BC IS EXPECTED TO GROW BY 2 MILLION PEOPLE OVER THE NEXT TWO DECADES, as increasing international migration has led to revised population projections. The number of international student permits will be capped going forward, but most temporary migrants are workers. The majority of movers to BC’s largest cities skew younger, which is helpful for the labour force. housing RENTAL RATES ARE RISING IN BC, as the purpose-built rental market remains undersupplied, both vacancy rates and turnover rates are quite low. Rents rise the most during times of high population growth. The share of first-time homebuyers has been declining in BC due to affordability challenges, and 2023 was a record year for construction starts. policy THE PROVINCIAL GOVERNMENT HAS BROUGHT NUMEROUS HOUSING POLICIES, new rules regarding density around transit stations, allowing multiplex developments on single-family lots, the BC Builds programs, and changes to DCC and CAC are aimed at increasing supply. New restrictions around short-term rentals are proposed to increase long-term rentals, while changes to the budget add a flipping tax as well as exemptions to the property transfer tax.

FOR MORE, VISIT RENNIE.COM/INTELLIGENCE

rennie.com

49

Made with FlippingBook - professional solution for displaying marketing and sales documents online