Ottawa's new housing rules overdue, ex-TD chief Ed Clark says

Former TD Bank chief executive Ed Clark thinks Ottawa is making the right decisions to avert a hard landing for the nation’s housing market. In an interview on BNN, Clark said targeted measures, including new stress tests for insured mortgages and the launch of consultations with the banks over risk-sharing, are welcome, if somewhat overdue.

“Four or five years ago, I proposed the very measures, which the federal government has now done, and I think we should have done those measures sooner, but it’s good that we’ve done them now,” he said. “I think they’re the right changes.”

Clark acknowledged concerns of unintended consequences limiting the ability for first-time homebuyers to enter the market, but said the overall health of Canadian housing has to be the main priority.

Comments on CMHC and the new mortgage rules at around 5:40 minutes.

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