In Canada, the current housing market is facing a unique situation where increasing interest rates have not caused home prices to fall.
The shortage in housing supply is causing high home prices and higher mortgage payments for buyers. Experts predict that this trend could continue until interest rates decrease.
"We expect the Bank of Canada to gradually start cutting interest rates in the coming year, so that could be one element that helps improve affordability," said Kyle Dahms, National Bank of Canada Economist.
