Paul Martin commentary
When the Middle East war broke out, initial thoughts focused on a short conflict with minimal disruption to global markets. But now that the oil flows remain stunted, economists are reconsidering their initial forecasts on how a spike in oil prices would hit consumers everywhere.
One report from TD Bank says it probably will change home buying patterns in this country.
They were already seeing softening demand in many parts of the country even before the Mideast conflict but now they are calling for a steep downgrade to their forecast for the remainder of the year.
House prices are falling in places like Toronto and BC as their populations decline, a development that has prompted buyers to sit on the sidelines to see just how far prices will go down. On the Prairies, though, the story is the exact opposite as higher oil prices and weak inventories are putting upward pressure on pricing.
As a result, the bank projects the number of house sales in Saskatchewan this year will actually decline before rebounding dramatically in 2027.
