Mr. Speaker, on December 11, the Minister of Finance announced changes to the rules on insured mortgages to address what he has since called pockets of concern in the housing market, by which we presume he is referring to Toronto and especially Vancouver. However, the CIBC chief economist has pointed out that these changes will have almost no effect on Canada's hottest markets. Instead, it will pour cold water on markets like Calgary, Victoria, Edmonton, and Hamilton, making it harder for some families to buy a home.
His report says that the largest impact will be on Calgary, “not exactly a city that needs additional cooling”.
The report also doubts that these changes will meet the minister's stated objectives.
The government wants Canadians to save while it borrows billions of dollars, breaks its election promise of a limited $10-billion deficit, damages the Calgary housing market, and fails to address its own concerns about the Canadian housing market.