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Big Bank Earnings Wrap: What RBC and CIBC Reveal About Your Mortgage

  Royal Bank and CIBC reported record or near-record profits before the market opened Thursday, closing out a jam-packed bank earnings week that also included BMO, Scotiabank and National Bank. Beyond the headline numbers, though, the details tucked into these reports say a lot about where mortgage rates, lending standards and household credit stress are actually heading — and it's a more reassuring picture than a lot of the tariff-and-tension headlines this month might suggest. RBC: Record Profit, Credit Quality Barely Budged Royal Bank of Canada posted net income of $6.0 billion for the quarter ended July 31, up 11% from a year earlier and a record for the bank. Diluted earnings per share came in at $4.23, up 13% year-over-year, while return on equity climbed to 17.9%. The number worth watching for anyone with a mortgage isn't the profit line — it's the provision for credit losses (PCL), the money banks set aside for loans that might go bad. RBC's total PCL was $1.0 b...
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Canadian Real Estate Association Forecasts Surge in Home Demand for 2025, Condo Market Remains Flat


The Canadian Real Estate Association (CREA) has released its housing market forecast for 2025, predicting a significant increase in demand for homes across the country. According to CREA, the combination of over two years of pent-up demand and lower borrowing costs is expected to drive a rebound in home sales. The national average home price is projected to rise by 4.7% to $722,221 this year.

However, the forecast for the condo market tells a different story. While demand for single-family homes is expected to surge, the condo market is anticipated to remain relatively flat. This divergence is attributed to changing buyer preferences and the lingering effects of the pandemic on urban living trends.

The forecast also highlights regional variations, with provinces like Alberta and Saskatchewan expected to see higher price gains due to already high sales levels and low inventories. Conversely, Ontario and British Columbia are expected to experience more modest price increases due to their already high housing costs.

Overall, CREA's outlook for 2025 suggests a dynamic and evolving real estate market, with single-family homes leading the charge while condos take a backseat.



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