Quote:
Originally Posted by _Q_
I think there's a misunderstanding.
I agree that there isn't a no-go interest rate zone. Understand rates will go as high as they need to and us home owners need to be comfortable with higher mortgage payments and lower equity.
The over leveraged households that bought $1.3 million homes in Toronto on a $150k salary using their parents money for down-payment won't be so lucky.
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I just don't think there should be that many of them, becuase they would have had to pass the stress test. Will people have to make extremely difficult choices, like going camping instead of Mexico? Maybe. Tough to care on that one, becuase they'll probably choose debt over FOMO.