Aug 25, 2020 by Sean MacKay
There has been a staggering decline in new arrivals to Canada because of the pandemic going on. According to Senior Economist Andrew Agopsowicz’s research note from RBC, the visa applications had also fallen 80 percent during this period showing that â€œthe slowdown could be lengthy.â€
The longer term impact of this precipitous fall on the countryâ€™s housing market, this is what Capital Economicsâ€™ Stephen Brown is fretting about.
â€œThe sudden plunge in immigration is a particular concern given the number of homes under construction is near a record high,â€ Brown wrote.
â€œEven if immigration dropped by just half, the ratio of units under construction to population growth would be far higher than at any point in the past three decades,â€ Brown continued. He also added that the home sales and new home building permits are still strong. With all these, 2021 still depends on how quickly immigration can bounce back.
What does this mean?
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