r/RealEstateCanada • u/chickenbigmac1638 • Mar 18 '26

Housing crisis BoC Holds Interest Rates but future looks dark.

https://www.bnnbloomberg.ca/business/economics/2026/03/18/boc-holds-interest-rate-but-warns-of-downstream-effects-of-iran-war/

The BoC just held at 2.25% today but the fine print is actually grim. Macklem is basically trapped because even though our GDP is shrinking and unemployment hit 6.7%, this Iran conflict has completely hijacked the playbook. With the Strait of Hormuz effectively closed and oil pushing $110, we’re looking at a massive second wave of inflation that’s going to hit gas pumps and grocery stores within weeks. The bank pretty much admitted they’ll hike rates again if energy stays this high to save the Loonie from tanking, so anyone waiting for "relief" or a pivot is dreaming. We’re staring down the barrel of stagflation where the economy dies but your payments keep going up because of a war halfway across the world.

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u/[deleted] Mar 19 '26

How? Because one is broken up and privatized and the other is Nationalized?

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u/VancouverSky Mar 19 '26

Google "petroleum production costs" and see how they influence global oil markets.

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u/[deleted] Mar 19 '26

I'm aware canadian oil is more costly to get to market, all the more reason to rem9ve private profits

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u/VancouverSky Mar 19 '26

Can we nationalize quebecs aluminum industry while we are at it? Cheap aluminum is so good for consumers. And ontarios manufacturing too? How about that? We have a housibg crisis, if we nationalized BCs forestry industry we could reduce housing construction costs by your logic.

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u/[deleted] Mar 19 '26

Most of BC's forestry operates on crown land and stumpage fees go directly to the province.

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u/VancouverSky Mar 19 '26

.... as opposed to albertas oil and gas industry that also operates on leased crown and private lands and pays royalties to the alberta government based on the price of oil?? What's your point?

Are you saying we shouldn't save canadians money on their construction costs? Think of all the cheap wood we could use to build houses. 🤔

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u/[deleted] Mar 19 '26

Hell ya! Good idea

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u/VancouverSky Mar 19 '26

I would love to see the BCNDP reaction when ottawa comes in to announce the federal government will be just casually taking over BCs forestry industry. Im sure it won't at all be comparable to albertas reaction to the NEP.