In the last 2 months alone, housing prices have fallen 9%.
Buyers are unable to secure mortgage, because by the time they go to close, bank’s home appraisal shows the value has fallen drastically.
More and more buyers requiring lawyers to intervene on deals they can no longer close, and getting Sellers to drop price after already accepting the offer (sellers don’t really have a choice but to agree to concessions, because if the deal falls through, they face even worse prospects on the market).
Bank of Canada has already risen rates from 0.25% to 1.50% this year, and expected to go to 2.25% by next month, causing sudden and fast cooling in real estate sales.