Brett Starke<\/a> says, in particular, the Bank of Mom and Dad would take the biggest hit.<\/p>\n\u201cEconomic uncertainty translates through the real estate market in some ways,\u201d said the heard of the Starke Realty Team. \u201cOne of the things people aren\u2019t talking about is how it will affect the bank of mom and dad because a lot of people from the east and west ends are millennials still relying on their parents for their first down payments or to help with the rent.\u201d<\/p>\n
He added that a trickledown effect would effect would manifest in Toronto almost instantly.<\/p>\n
\u201cTheir parents would be losing these jobs,\u201d said Starke. \u201cA lot of people who live and rent downtown grew up in the GTA. A lot of transactions we see for rentals and purchases are still fueled by the bank of mom and dad.\u201d<\/p>\n
Irma Rovella, a sales representative with REMAX Real Estate Centre, says that Toronto real estate will doubtless be impacted by turmoil in the automotive industry.<\/p>\n
\u201cReal estate has always followed the auto industry,\u201d she said. \u201cIf the money isn\u2019t there for people to spend, they\u2019re not upgrading their houses because that\u2019s a big investment.\u201d<\/p>\n
However, she cautioned that the tariffs are not yet a certainty.<\/p>\n
CanWise Financial\u2019s president and broker of record predicts a housing downturn in the form of downward pressure on housing.<\/p>\n
\u201cA hundred and sixty thousand jobs are a little less than 1% of the employed people in Canada,\u201d said James Laird. \u201cIt\u2019s significant, certainly, and if we lost 1% of the labour force it would put downward pressure on housing.\u201d<\/p>\n
While not everybody would find employment again, it\u2019s a safe bet that some, if not most, would\u2014even in different industries. The recent turmoil in Alberta\u2019s oil sector springs to mind, added Laird.<\/p>\n
\u201cWe can look at Alberta, where a lot of jobs were lost in the oil sector a few years ago,\u201d he said. \u201cThere was downward pressure on housing and the number of transactions slowed down as well, but I don\u2019t think anyone categorizes that as a housing collapse. It was a housing downturn. I think if the tariffs happened it would be a housing downturn again.\u201d
\n\u00a0<\/p>\n
Related stories:\u00a0<\/strong><\/em>
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\n<\/span><\/p>\n\u00a0<\/p>\n","protected":false},"excerpt":{"rendered":"
Toronto\u2019s housing market could in for a bumpy ride after the White House threatened to impose auto tariffs. According to TD Economics, it is estimated that the tariffs, if levied, could cause 160,000 net jobs to be lost north of the border. However, the overwhelming majority would be in Ontario and that spells bad news […]<\/p>\n","protected":false},"author":6,"featured_media":21242,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[4],"tags":[],"acf":[],"_links":{"self":[{"href":"https:\/\/www.canadianrealestatemagazine.ca\/wp-json\/wp\/v2\/posts\/7896"}],"collection":[{"href":"https:\/\/www.canadianrealestatemagazine.ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.canadianrealestatemagazine.ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.canadianrealestatemagazine.ca\/wp-json\/wp\/v2\/users\/6"}],"replies":[{"embeddable":true,"href":"https:\/\/www.canadianrealestatemagazine.ca\/wp-json\/wp\/v2\/comments?post=7896"}],"version-history":[{"count":2,"href":"https:\/\/www.canadianrealestatemagazine.ca\/wp-json\/wp\/v2\/posts\/7896\/revisions"}],"predecessor-version":[{"id":21241,"href":"https:\/\/www.canadianrealestatemagazine.ca\/wp-json\/wp\/v2\/posts\/7896\/revisions\/21241"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.canadianrealestatemagazine.ca\/wp-json\/wp\/v2\/media\/21242"}],"wp:attachment":[{"href":"https:\/\/www.canadianrealestatemagazine.ca\/wp-json\/wp\/v2\/media?parent=7896"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.canadianrealestatemagazine.ca\/wp-json\/wp\/v2\/categories?post=7896"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.canadianrealestatemagazine.ca\/wp-json\/wp\/v2\/tags?post=7896"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}