Connect with us

News

Canada’s Housing Bubble Could Spell Disaster for Trudeau

Published

1 year ago

on

VOR News

According to experienced strategists, Canada’s housing market is in danger of collapsing since it has one of the greatest housing bubbles in history. The degree of debt that Canadians have taken on in contrast to their earnings has left many in a perilous situation if mortgage rates continue to climb, which is likely, according to Phillip Colmar, partner at MRB Partners, in an interview on Tuesday.

“Canada is probably sitting on the largest housing bubble of all time,” he said.

Colmar suggested that inflated housing prices in Canada are a result of the Bank of Canada’s monetary policy providing easy money for two decades for a variety of reasons. Currently, he sees risk in mortgage rates rising as Canadian bond yields rise, especially at a time when debt-to-income ratios are sky high.

“The worst part for a housing bubble is when you have [a] credit bubble underneath it,” Colmar cautioned. The amount of Canadian indebtedness in the system against income is tremendous — and debt servicing has increased dramatically.”

While Canadian banks are doing their lot to keep the property market from collapsing, Colmar predicts it will.

There is clearly a risk that if mortgage rates rise, unemployment rises, or we enter the next recession, this thing will wind up in a deleveraging cycle, he added.

Canada housing

Trudeau Hasn’t Helped in Canada’s Soaring Housing Cost

The rising cost of housing in Canada has become a key electoral issue for Prime Minister Justin Trudeau, as his main opponent focuses on generational frustrations over affordability.

This summer, Trudeau has played defence on the problem, naming a new housing minister and diverting some of the burden to other levels of government. However, with Trudeau’s party already slipping in recent surveys, housing has become a serious vulnerability for him.

“Failure to appear to be doing enough on housing could be politically disastrous for the Liberals,” David Coletto, CEO of polling firm Abacus Data told Bloomberg.

The issue is especially crucial for Canadians under 40, a critical group that Trudeau’s party could not have won the last two elections without, according to Coletto. His firm’s most recent survey showed Pierre Poilievre’s Conservatives leading the Liberals by ten points.

The average price of a home in Canada has more than quadrupled in the last decade, reaching $760,600 (US$572,470) in June. Trudeau’s government, which took office in 2015, has also steadily increased yearly immigration targets, with more than one million people coming last year, putting a strain on an already scarce housing supply.

Poilievre has pounded Trudeau on the issue, concentrating on young people’s rage. He told reporters outside the Parliament building in Ottawa on Tuesday that Canada’s home affordability is among the worst in the world.

“Rent has more than doubled,” he remarked. “Mortgage payments have doubled.” Down payments were required and doubled. All of this comes after eight years of Justin Trudeau.”

To be fair, rising housing costs have many causes outside of Trudeau’s control. Provinces and cities, which are in charge of land-use planning, zoning, and permitting, are to fault, as are real estate investors, overseas buyers, years of low loan rates, and other issues.

 

canada housing trudeau

Nonetheless, Canada’s aggressive immigration ambitions have outpaced housing construction, exacerbating the demand-supply imbalance. In the year to March, 4 to 5 international migrants landed in Canada for every new unit of housing construction that began. That is the highest ratio of new Canadians to new residences in statistics dating back to 1977.

Poilievre, on the other hand, dodged reporters’ inquiries on whether he will lower immigration targets on Tuesday.

Former Liberal member Adam Vaughan, who assisted in the development of Trudeau’s $82 billion national housing policy, said that the country is better off now than it would have been without his party’s policies. He claims that if the government had done nothing, federal spending on social housing would have been merely $1 billion this year.

More needs to be done, he says, and time would be better spent concentrating on solutions across levels of government rather than laying blame. Trudeau’s remark on Monday that housing is not a fundamental federal priority was “problematic,” according to Vaughan.

“It is a responsibility of the federal government, if not literally, then politically, and I would argue that it is morally,” said Vaughan, who now works at public relations firm Navigator.

Debt canada

According to Mike Moffatt, senior policy and innovation director at the Smart Prosperity Institute, the federal government has a number of instruments at its disposal to address the housing shortfall without increasing its debt.

These approaches include focusing immigration policy on construction workers, electricians, and others who could help increase housing supply, as well as postponing international student visa approvals until provinces order universities to provide additional accommodation for them.

If the government does act, “they had better act quickly because time isn’t on their side, and there’s a chance that one of the opposition parties could really start to own this issue,” Moffatt said.

Former Trudeau policy director Marci Surkes believes the government is working on a housing strategy as a core component of its fall budget update.

“This is ground that the Liberal Party should be occupying and owning,” said Surkes, who currently works as an adviser for the Compass Rose Group. “At this point, they should have been making more tangible progress.” And yet, given the economic circumstances, whatever progress has been made to date does not feel sufficient.”

The New Democratic Party’s Jagmeet Singh, whose party has agreed to support the Liberal minority government in Parliament, said on Tuesday that Trudeau’s “finger-pointing” will not fix the housing crisis, despite the fact that all levels of government bear some responsibility.

“We can’t ignore the significant levers that the federal government has,” he remarked. “The levers are so significant that I would say the federal government has incredible powers to actually solve this problem if they choose to do so.”

 

 

Related Topics:
Continue Reading

News

Taylor Swift Supports Kamala Harris as a “Steadyhanded” Leader.

Published

16 hours ago

on

2024-09-11

By

Taylor Swift

(VOR News) – Taylor Swift has put her support behind Kamala Harris in her bid to become the next President of the United States of America with her endorsement.

As a result of this decision, months of speculation regarding the musical performer who is considered to be the most famous in the world has been put to rest. Swift referred to Harris as “a gifted, steady-handed leader.” Harris was described in this way.

On Tuesday evening, just after the vice president and her Republican opponent, Donald Trump, concluded their presidential debate, Taylor Swift posted a message on Instagram. “I think we can accomplish so much more in this country if we are led by calm and not chaos.”

Taylor Swift stated in her writing.

Responding to Trump’s recent dissemination of a social media message that falsely claimed to be her endorsement, Swift disclosed that she had told individuals of her intention to vote.

This was done in response to Trump’s recent actions. My concerns regarding the dangers that are commonly connected with artificial intelligence and the dissemination of false information were heightened as a result of this. I came to the conclusion that I need to prioritise openness as a result of this,” she stated.

Swift made use of the signature phrase “Taylor Swift, Childless Cat Lady” in response to JD Vance’s assertion that “childless cat ladies” were in charge of the presidency of the United States of America.

The singer, who is thirty-four years old, does not have any children and his only pets are three. In 2018, she gave her official support to the Democratic candidate for the Senate in Tennessee, and she put her support behind Joe Biden and Kamala Harris for the 2020 election.

On Tuesday, the information regarding the several ways in which her followers can register to vote was posted on her Instagram account. The number of people that follow her on that platform is 283 million.

The song “Freedom” by Harris has become an unofficial campaign hymn as a result of the support of other well-known celebrities, such as Beyoncé, who granted her permission to use the song for rallies and advertising purposes.

Rolling Stone reports that Beyoncé wrote a letter to the campaign of Donald Trump, requesting that they stop using the term “Freedom,” after the campaign of Trump published a video that featured the term.

Taylor Swift has been the subject of numerous right-wing conspiracy theories, one of which asserts that she was involved in a scheme to ensure that Biden remains in the White House. These viewpoints have been directed towards Taylor Swift due to the fact that she is one of the most famous performers in the history of the world and a cultural icon in the United States.

Following the revelation of an Islamist terrorist plot to attack Swift’s followers during the show, authorities in Austria were compelled to cancel three of Swift’s concerts that were scheduled to take place as recently as the previous month.

Planned was for Taylor Swift Austria to host the rock shows.

During the early stages of her career, Taylor Swift, who began her career in Nashville, adhered to the customs of the country music industry and refrained from making public statements regarding political problems.

After some time had passed, she did, however, express regret for her silence regarding Trump in 2016. During the upcoming documentary that will be shown on Netflix, she is heard telling her father, “I need to be on the right side of history,” in the year 2020.

During an appearance on MSNBC, Swift’s running mate Tim Walz expressed his gratitude for Swift’s endorsement. He referred to Swift’s speech as “eloquent” and urged her supporters to support Harris. In addition, Walz sent his appreciation to Swift for her support of the Harris campaign.

In a speech that he delivered early Wednesday morning, Trump stated that he was “not a fan of Taylor Swift.”

“She is a very liberal individual who consistently endorses a Democrat, and it is likely that she will face repercussions in the marketplace,” he added. In his statement, he was referring to the fact that she consistently supports Democratic candidates.

SOURCE: FT

SEE ALSO:

Shares of Trump Media Plunged After the GOP Nominee Debated Harris.

Missouri’s Supreme Court Rejects a Republican Effort to Remove an Abortion Vote.

Continue Reading

News

Shares of Trump Media Plunged After the GOP Nominee Debated Harris.

Published

19 hours ago

on

2024-09-11

By

Trump Media

(VOR News) – The day after Trump Media, the company’s biggest shareholder, had a performance at the presidential debate that drew heavy criticism for disparaging Vice President Kamala Harris.

The share price of Trump Media fell by more than 13% on Wednesday. At Harris, the performance was aimed at. The act was directed at Harris.

Since the proprietor of the Truth Social app began actively trading as DJT on the Nasdaq at the beginning of March, the company’s stock price has dropped to its lowest intraday level. The price of shares has dropped significantly since that time.

A Trump Media share purchase is usually viewed as a political bet.

This is because Trump is the person that the Republican Party is now considering and has served as president in the past. This is because Donald Trump is serving as the Republican Party’s nominee at the moment.

Analysts forecast that the value of Trump Media would either rise or fall based on Donald Trump’s chances of winning the election. This will happen depending on how the election turns out.

According to a statement from Trump Media, the popularity of Donald Trump at least plays a major role in the success of the company’s operations.

The fact that stock prices dropped on Wednesday suggests that some of Trump’s fans may not have been happy with what they witnessed during the Tuesday night debate in Philadelphia. The subject was discussed on Tuesday.

In comparison to Trump, who frequently answered her bait in an attempt to deflect him from the issue at hand, Harris appeared to be more prepared, more fluid, and more composed. Political pundits agreed that both liberals and conservatives were right in their appraisals of Harris when they attacked him.

Trump was challenged by Harris’s team to take part in another discussion as soon as the first debate concluded. This was done to give the impression that the debate process was confident.

Trump Media might not acknowledge the comments’ accuracy.

On Wednesday, he persisted in his insistence that Harris was only interested in talking to him again because she had been “beaten badly.” He made this comment to bolster his earlier assertion. This was the claim he made in a post on Truth Social.

“Why would I do a rematch?” he posed to the audience throughout his performance. They were offered the chance to react.

It’s probable that the ten percent gain in Trump Media’s stock during Tuesday’s trading was due to investors’ high expectations for Trump’s performance in the debate.

Following its merger with a blank-check company, Trump Media—which was then privately held—saw a 75% decline in stock price from its intraday high in late March. The implosion, which had been ongoing for weeks, caused the stock price to fall up to 75% from its peak. The company’s progress on Monday and Tuesday offered a much-needed break from the collapse.

Vice President Joe Biden announced his decision to resign from the presidential race at the same time as the fall, endorsing Harris to take his place as the front-runner on the Democratic ticket.

It also happened in the days preceding the start of the period during which Trump and other executives of the corporation will be able to begin selling their stock.

With almost 57% of the shares, Trump is the only proprietor of the business. The stake was valued at more than $1.8 billion in the sum that was offered during the Wednesday morning auction.

When the lock-up agreement expires on September 19, it is unclear whether or not Trump plans to start the process of selling off his ownership stake in the business.

SOURCE: CNBC

SEE ALSO:

Missouri’s Supreme Court Rejects a Republican Effort to Remove an Abortion Vote.

RCMP Arrest Somali Man For Smuggling Eight Africans into Canada

Continue Reading

News

Missouri’s Supreme Court Rejects a Republican Effort to Remove an Abortion Vote.

Published

20 hours ago

on

2024-09-11

By

Supreme Court

(VOR News) – In spite of the last-ditch efforts made by Republicans to prevent the amendment from being enacted, the Supreme Court of Missouri made the decision on Tuesday to keep a proposal that would legalise abortion on the ballot for November.

This decision was taken with the intention of ensuring that the amendment would be on the ballot. In spite of the fact that Republicans were unable to stop the amendment from being passed into law, this decision was made.

According to the finding, the Secretary of State of Missouri Supreme Court, Jay Ashcroft, is required to “certify to local election authorities that Amendment 3 be placed on the general election ballot for November 5, 2024, and shall take all steps necessary to ensure that it is on said ballot.”

This obligation is stipulated in the ruling. This indicates that he is obligated to make certain that Amendment 3 is considered for inclusion on the ballot.

In the aftermath of the decision in Roe v. Wade, which was reversed in 2022, the state enacted an almost comprehensive ban on abortion, which would Supreme Court ultimately lead to the restoration of constitutional safeguards for abortion-related issues. If Amendment 3 were to be approved, the safeguards would be brought back into effect.

In accordance with the amendment to the Constitution, “the government shall not deny or infringe upon a person’s fundamental right to reproductive freedom,” states the amendment.

In the context of reproductive health care, “reproductive freedom” refers to the right to make and carry out decisions regarding all topics surrounding reproductive health care. One of the rights that people have is called “reproductive autonomy.”

A Supreme Court significant amount of effort was put out by advocates for reproductive rights in the state, led by Missourians for Constitutional Freedom, in order to guarantee that the proposal would be included on the ballot. By gathering more than 380,000 signatures on the petition, they were able to accomplish this goal.

The Secretary of State of Missouri Supreme Court, Jay Ashcroft, provided his consent for it to be listed on the ballot for the election that would take place in November during the month of August.

The election would take place in November. However, not long after that, Republican state Representative Hannah Kelly and state Senator Mary Elizabeth Coleman filed a lawsuit against Ashcroft for certifying the amendment. The complaint was filed against Ashcroft. Ashcroft was the focus of the complaint that was lodged.

They argued that the Act was flawed in a substantial way because it did not specify which laws it would invalidate through its certification, and that this was a fundamental problem. Because of the finding that was handed down by a judge in Cole County the previous week, which deemed Amendment 3 to be invalid because it “violated state law,” the efforts to decertify the amendment continued into the following week.

This was due to the fact that the judge who handed down the ruling ruled that the amendment was unlawful.

Just a few weeks after he had given his approval, Ashcroft announced that he was going to decertify the attempt. This news came far sooner than expected. Only three days had passed since he had given his consent before this news was made.

He was particularly concerned about “serious concern about whether the proposed petition satisfies the legal requirements for adequate notice to the public.” The decertification of the individual in question was challenged, which ultimately resulted in the case being brought before the highest court in the state.

The Supreme Court of Missouri confirmed that the efforts of the Republicans were fruitless just a few hours before the deadline for the submission of ballots for the main election.

Only a few hours remained before the Supreme Court’s deadline.

The Missourians for Constitutional Freedom organisation published a statement in which they said, “Today’s decision by the Missouri Supreme Court is a victory for both direct democracy and reproductive freedom in the state of Missouri.”

This comment was included in the statement that was issued by the organisation. Citizens, and not politicians, are given the authority to make decisions regarding this extremely significant matter as a result of the ruling of the Supreme Court.

To achieve this goal, it is necessary to make certain that Amendment 3 will be included on the ballot for the election that will take place on November 5th respectively.

As a result of this decision, Missouri will be the eleventh state to hold a vote on reproductive rights when the election itself takes place in the month of November.

This decision was taken as a result of the decision that was made before. In order for Amendment 3 to be enacted, it will require fifty percent of the votes that are cast across the board.

SOURCE: YN

SEE ALSO:

RCMP Arrest Somali Man For Smuggling Eight Africans into Canada

Disgraced Fashion Mogul Peter Nygard Sentenced to 11 Years For Sexual Assault

NASA Astronauts Stuck in Space After Troubled Capsule Returns to Earth Empty

Continue Reading

Download Our App

vornews app

Advertise Here

Volunteering at Soi Dog

Soi Dog

Trending