Canadian Housing Market: Engineering a Soft Landing
Canadian Household Credit
Public policy changes have moderated growth in household credit
Total household credit grew at +3.5% annually in nominal terms in Q2/19 vs 2008 peak of +12.2%
annually
• Consumer loans excluding mortgages (cards, HELOCS, unsecured lines, auto loans, etc.)
grew at +3.4% annually in Q2/19 vs > 5% in late 2017
Mortgage credit grew at +3.5% annually in Q2/19 vs 2008 peak of 13%
HOUSEHOLD CREDIT GROWTH
CONSUMER LOAN GROWTH
RESIDENTIAL MORTGAGE GROWTH
25
20
20
%, 3-month moving average
15
y/y %
10
change
сл
5
0
-5
m/m%
change,
SA
00 02 04 06 08 10 12 14 16 18
Sources: Scotiabank Economics, Bank of Canada.
25
25
%, 3-month moving average
20
20
15
10
5
LO
0
-5
25
%, 3-month moving average
20
y/y %
change
15
y/y %
change
10
m/m%
m/m%
5
change, SA
change,
SA
0
00 02 04 06 08 10 12 14 16 18
Sources: Scotiabank Economics, Bank of Canada.
-5
00 02 04 06 08 10 12 14 16 18
Sources: Scotiabank Economics, Bank of Canada.
Scotiabank. 46View entire presentation