In case you missed it, BCREA has released their latest Market Intelligence report covering the consequences of potential home price shocks in British Columbia.
The report can be read in full here and provides an analysis from BCREA’s economics team outlining the impacts that negative price shocks would have on different aspects of the provincial economy. For example, even a ten per cent home price shock could bring a loss of 26,000 jobs, 10,000 fewer housing starts and over $3 billion loss to the economy.
Nearly 70 per cent of British Columbian households own their home. A relatively minor 10 per cent negative shock to home prices would extinguish $90 billion of their wealth, or $70,000 of the average home owner’s equity.
BCREA’s Market Intelligence reports and further real estate analysis can be found on their website.