Tariffs are automatically inflationary and will help keep mortgage rates high. Builders don't want to pay the higher costs of materials either. This is something that is NOT Canada's fault
2-18-25 “MBS are down -13bp (UMBS 30yr 5.5 at 98.84), around 16bp lower than Friday at this time. This morning, the February NAHB housing index showed that home builder confidence declined sharply from 47 to 42, far below the consensus of 46. Builders cited uncertainty about tariffs, high mortgage rates, and rising costs as areas of concern. The Dow is down 100 points.”
Expect this trend to continue.
