Hub Podcasts The Bank of Canada holds on rates. How much further will real estate prices fall?
Jul 30, 2025
Ron Butler, principal broker at Butler Mortgage and host of the Angry Mortgage Podcast, dives deep into Canada's real estate landscape. He discusses how the Bank of Canada's interest rate decisions are impacting housing prices and emphasizes the urgent need for deregulation to tackle the housing crisis. Butler advocates for more low-rise, family-friendly developments to stabilize the market and critiques current investor-driven practices, calling for a focus on affordable housing solutions.
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Toronto as Real Estate Epicenter
- Toronto and Windsor are epicenters of Canada's real estate collapse, with Toronto unemployment nearing 10%.
- The Bank of Canada is cautious, seeing economic risks but no clear nationwide crisis yet.
GTA Condo Market Bubble
- The GTA condo market faces losses exceeding $50 billion, mainly impacting buyers, especially pre-construction purchasers.
- The bubble resembles the Dutch tulip mania, driven by unrealistic investor expectations rather than rental demand.
Cut Taxes to Lower Housing Costs
- To revive home building, eliminate GST and provincial taxes on new home builds and slash development fees drastically.
- Developers will pass cost savings to buyers since zero sales leave them no choice but to reduce prices.