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Toronto Real Estate Market

Why didn’t the mortgage deferrals crash the housing market?

Back in the early days of Covid, almost 800,000 Canadians applied for mortgage deferrals.

So the Canadian Mortgage and Housing Corporation warned us that many people might be unable to pay back their mortgages upon deferral expiry.

As a result, we may see streets filled with foreclosure signs and CMHC forecasted a huge housing price drop possibly up to 18% over a 12 month period.

Now that we’re in 2021, over 93% of the mortgage deferrals have expired.  

Opposite to the forecast, the housing market across Canadian cities has been booming.