Is there correlation between prices in residential and commercial real estate markets?

The simplest answer is affirmative: since prices in both residential and commercial real estate are controlled by identical supply and demand drivers, they are correlated. Low interest rates, low unemployment, increased trade, population growth, and stagnated innovation in transportation technology are some of the many factors influencing growth in real estate demand. Their opposites…

The economy in general: A Bank of Canada perspective

Growth in exports, if true, are likely to soften the impact of forecast declines in household spending (aka consumption) due to increased household debt-service costs. Calling into question the probability of increased US exports, however, the BOC report also cites NAFTA renegotiations, or “protectionist global trade policies”, as the “most important risk…