Canadian housing market dips in September as borrowing costs rise

Canadian housing market: The Canadian housing market comprises residential property sales, listings, prices, and mortgage-financed demand across the country. It is relevant to the news because national home sales declined in September as higher fixed mortgage rates and broader economic uncertainty discouraged buyers; the Canadian Real Estate Association said many markets took a step back after several months of modest improvement. Sales: National home sales fell in September from the previous month and were also lower than a year earlier. Outlook: The Canadian Real Estate Association lowered its near-term sales outlook, while expectations of a possible Bank of Canada rate increase added to buyer uncertainty. Mortgage rates: Higher fixed mortgage rates, influenced partly by rising bond yields, reduced prospective buyers’ borrowing capacity and weighed on activity.