In addition to elucidating the current market stats (a rehash of the last few months whereby sales are DOWN, new listings are DOWN and prices are UP), TREB goes onto further point the finger at the Federal Government’s mortgage stress test as the cause.

“The OSFI mandated mortgage stress test has left some buyers on the sidelines who have struggled to qualify for the type of home they want to buy. The stress test should be reviewed and consideration should be given to bringing back 30 year amortizations for federally insured mortgages. There is a federal budget and election on the horizon. It will be interesting to see what policy measures are announced to help with home ownership affordability,” said Mr. Bhaura.