More government intervention may be needed to cool Toronto house prices: Scotiabank
TORONTO — Further government intervention will be needed if Toronto house prices continue soaring after the spring homebuying season, the head of Canadian banking at Scotiabank said Tuesday.
James O’Sullivan said the Toronto housing market is one that policy-makers should be most concerned about these days, given prices that have risen by nearly 30 per cent over the last year.
“Double-digit price increases are not sustainable and they’re not healthy,” O’Sullivan said after Scotiabank’s annual general meeting.
“This market has been going straight up for a very long time. So it’s going to come to an end at some point and it’s a question of how it ends. And we want to see it correct smoothly, we want to see a soft landing and what that would argue for is actions sooner rather than later.”