June 19th, 2026 Mortgage Industry Update
The Bank of Canada announced on June 10th that its overnight rate will remain at 2.25%. Economic activity in Canada has been weak and uncertainty about US trade policy persists. The conflict in the Middle East is ongoing and oil prices remain elevated. The prime rate remains 4.45%.
Additionally this week:
– CMHC: Canada’s housing stock would be approximately 30% larger today and home prices roughly 10% lower had the country’s residential construction industry matched the responsiveness of American builders between 2006 and 2024.
– TRREB: 1,535 condo apartment units sold across the GTA in May, 4.2% yearly increase. Average selling price fell to $639,468, 6.4% annual decline. Correction was sharpest in 905 region, where average condo prices slipped 9.5% yearly to $573,531. In 416 decline was 5.0% to $673,841.
– TRREB: Total of 6,583 home sales in May, up 6.3% annually, and 10% monthly. Average selling price was down 4.6% yearly to $1,069,700. 17,698 new listings, down 18.9% from last year. Inventory decreased 13.3% as there were 26,927 total active listings in the GTA.
– CMHC insured 71,733 multi-unit residential units in Q1, up 30% from 55,383 in 2025. By comparison, transactional homeowner insurance totalled 10,459 units, up from 10,030 in Q1 2025. Increase helped lift total insured volumes to 89,301 units, compared with 66,160 a year earlier.
– Statistics Canada: Economy edged into a technical recession, first time since 2020. GDP fell by 0.1% on an annualized basis during Q1. Follows 1% contraction in Q4. Economists were anticipating a 1.5% annualized increase in Q1, aligning with the Bank of Canada’s projection.
– Realtor.com: In Q1 2026, Canadians remained the No. 1 source of international home-shopping demand on the US platform, accounting for 37.8% of international traffic. Up from a tariff-shocked low of 34.8% in 2025, but still below the 41.8% share recorded before the trade war.
– BILD: Total of 1,100 new homes were sold across GTA in April. Nearly triple 384 recorded in 2025. Overall figure remains 55% below 10-year average of 2,418 for typical April. Benchmark price for new condo was $1,029,164, while benchmark for new single-family homes was $1,421,835.
– Equifax: Rate of mortgage delinquencies in Ontario sat at about 0.36% in the first quarter, a jump of 52% year-over-year. In B.C., the number jumped 36% to 0.25%. Average balance of delinquent mortgages also climbed 13.2% to $355,500.
– RBC Economics: Monthly retirements have climbed to approximately 25,500 workers, roughly 0.12% of the labour force, compared to approximately 14,000 per month two decades ago. Youngest baby boomers will turn 65 in 2029, meaning current surge has further to run well into 2030s.
– Equifax Canada: Insolvency volumes climbed to their highest level since 2009 in Q1 2026. Rose 18.8% yearly to a 17-year high. Total consumer debt rose to $2.66T, up 3.8% yearly. Non-mortgage debt, however, fell by more than $487M, its first decline in several quarters.
– Statistics Canada: National retail sales climbed 0.9% to $72.67B in March 2026, surpassing analyst expectations of 0.6%. Increase was driven almost entirely by a 12.4% surge in sales at gasoline stations and fuel vendors, itself a direct consequence of ongoing conflict in Iran.
Stay tuned for the next update!
For any questions and concerns please do not hesitate to call Harpreet Singh The Mortgage King at (416) 795-1919.
