The Teranet Market Insight Forum on October 22, 2019 saw lenders, brokers, and financial professionals from across Canada come together to talk about the latest Canadian housing market news and trends.
The event, held at the TIFF Bell Lightbox Malaparte from 11:30 a.m. to 6:30 p.m., was jam-packed with insights into everything from the mortgage stress test, to how to prevent mortgage fraud, to housing supply challenges, to creating a more personal customer experience, and beyond.
Here are some of the highlights:
- Benjamin Tal, Deputy Chief Economist of CIBC World Markets
Benjamin Tal, the Deputy Chief Economist of CIBC World Markets, took to the podium first to deep dive into the Canadian and global economy. Tal touched on economic trends, including predictions, Canadian and U.S. interest rates, the mortgage stress test, and global trade.
On predictions for 2020: “When it comes to predicting recessions, the yield curve is the best economist out there,” Tal said.
On the future of Canadian interest rates: “We do not want to repeat past mistakes.”
On the B-20 mortgage regulations and mortgage stress test: “The biggest winner of the B20 story is clearly the rental market. … Only 7% of people buy a smaller house when they don’t qualify [for a mortgage]. All the rest are renting.”
On the Canadian housing market: “I believe the housing market has nine lives.”
- Andrew Hughes, Senior Business Development Leader, ESR, Teranet
Andrew Hughes of Teranet gave a history of Teranet and title trends in Canada.
- The Teranet system processes over 2.3 million registrations every year.
- 8 million properties have been automated in the Teranet system.
- Teranet has exclusive access to the Land Registry data in Ontario and just renewed their government contract for the next 50 years.
Heather Reid and Patrick Moody, Senior Strategic Account Executives, delved into key trends the Teranet data science lab identified from Ontario land registry data.
- People are holding onto their first mortgages longer. The amount of the second charge has almost doubled since 2010.
- With liens, context means everything. Looking at individual portfolios is key to understanding the lien and how it could affect the health of your portfolio
- The number of parties on title has increased across all housing types, which could indicate that affordability is an issue amongst first-time home buyers and non-first-time home buyers.
See more key Ontario mortgage market trends in the Teranet Market Insights Report: https://www.teranet.ca/commercial-solutions-blog/july-2019-teranet-market-insights-report/.
- Industry Panel: Tim Hudak, CEO of the Ontario Real Estate Association (OREA); Paul Taylor, CEO of Mortgage Professionals Canada; Dilprit Grewal, Senior Vice President of Mortgages, Secured Lending, and Project Delivery at CIBC.
The industry panel, moderated by closing keynote speaker Ron Tite, talked about issues and trends facing the Canadian housing market, including housing affordability, supply, the mortgage stress test, data availability, and automation opportunities.
Tim Hudak on housing supply in the GTA: “In 2016, for example, we were building half as many homes as in 2006. … It was like a cruel game of musical chairs. More people chasing fewer and fewer chairs.”
Paul Taylor on how to prevent mortgage fraud: “I think more access to data is generally the right answer. Data is the new bacon. ”
Paul Taylor on opportunities proptech: “I think technology is a great thing to help assist with any processes, but it’s not great at replacing people. Because of the size of the transactions we’re talking about here, these are emotional decisions that people are making.”
Dilprit Grewal on the trend of more people being on title: “We’ve seen a big change where mortgagors are having to add people to title [like their parents] to say ‘help me out with the down payment,’ but they’re also going on title so that we can ensure affordability going forward. Unless we see some other changes … some normalization in incomes to housing prices, I think we’re going to get used to this trend where more people are going on title.”
- Closing Keynote: Ron Tite, Speaker, Author of Do. Say.
Ron Tite, a speaker and the author of Think. Do. Say. shared about how personalization and the customer experience can help grow businesses and personal careers.
“It’s not mission/vision. Nobody is going to be inspired by your mission or vision statement.”
“It’s not values. People shouldn’t read about your values; they should experience them.”
“It has to trickle down to acting with intent,” Tite said. Tite went on to say that words don’t drive trust. It’s about doing the actions you say you will do.
Market Insight Forum attendees were given a copy of Think. Do. Say., which Ron Tite personally signed with a. quote from one of the afternoon’s sessions. If you’re interested in purchasing a copy for yourself, please visit this link: https://www.amazon.ca/Think-Do-Say-seize-attention/dp/1989025714/.
The Teranet Market Insight Forum was a wonderful afternoon full of Canadian housing market analysis and predictions, networking, and, of course, fascinating insights.
Dive deep into Teranet’s land registry data and commercial solutions today. Call 416-360-5263 or visit www.teranet.ca/commercial-solutions.