Inflation and interest rate hikes have had \u0027a considerable cooling effect on Canadian spending\u0027 — especially in real estate, poll finds
A survey out today by Dye & Durham and the online Angus Reid Forum found that the three percentage points the Bank has already hiked has had “a considerable cooling effect on Canadian spending” — especially when it comes toOne in three Canadians say the swift and steady rise in interest rates this year has caused them to delay making a real estate transaction or major purchase.
One in five homeowners surveyed say they expect rising rates will mean it will take them significantly longer to pay off their mortgage than they had thought. Almost one in 10 expect they will need to take on more debt to pay for their current mortgage. Martha Vallance, Dye & Durham’s chief operating officer, says the knock-on effect that this slump in sentiment will have on businesses that rely on consumer spending and real estate transactions in 2023 is significant.
And worried we are, according to the poll. More than half, 53 per cent, of Canadians believe the country is about to enter a recession, while 30 per cent believe we are already in one.Article content