Banks Warn of Growing Energy-Related Risks in Mortgage Portfolios
Across Europe, banks are trying to figure out how to handle a growing risk lurking in residential mortgage portfolios: energy consumption.
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Across Europe, banks are trying to figure out how to handle a growing risk lurking in residential mortgage portfolios: energy consumption.
South Korea’s top financial watchdog attempted to revive optimism over the nation’s corporate reform initiatives to investors in New York while soothing concerns over the short-selling ban.
Inflation-related releases across the Group of Seven will prime central bankers for crucial June interest-rate decisions, just as they meet in Italy to discuss the state of the world economy.
Big US bond investors have been aggressively shifting money into long-dated notes, betting that the unloved asset class will be one of the winners from eventual interest rate cuts.
A measure of underlying US inflation cooled in April for the first time in six months, a small step in the right direction for Federal Reserve officials looking to start cutting interest rates this year.
Jun 6, 2016
As housing prices continue to climb in cities like Vancouver and Toronto, a growing number of Canadians are using Airbnb to offset their mortgage costs, according to Aaron Zifkin, Airbnb’s Country Manager for Canada.
“We’re seeing a really interesting pattern now with the millennials,” he told BNN in an interview. “People who cannot afford to buy their first home are actually supplementing their mortgage payments by renting out an extra room or some space in their place.”
In Metro Vancouver, the average price of a detached home topped $1.5 million dollars in May, a 37 per cent increase from last year.
Similar homes in Toronto’s 416 area code region now fetch more than $1.2 million, a 15 per cent year-over-year increase.
With home prices rising, household debt is climbing, too -- especially when compared to disposable income.
Zifkin says Airbnb recently completed a study finding “more than 50 per cent of the income generated by Airbnb rentals are people that are using it for everyday experiences to pay for things like rent, mortgages, and average utilities.”
There are currently about 50,000 Airbnb listings across Canada.
Zifkin says the vast majority are listed by people who treat the properties as their principal residence. “The average person in Canada is renting out their place for only about four or five days a month, so this is only a very occasional behaviour.”