House prices are recovering and keeping homeowners from filing for insolvency
Mortgage credit quality is highly correlated to jobs and house prices
Average house prices forecasted to fall between 9% and 18% over the next year
Some homeowners resorted to HELOCs before government programs kicked in
There could still be challenges related to uneven demand
A report predicts home prices will drop by 10–15% through 2022
Canada's biggest banks have also lowered their prime lending rates for Canadians struggling due to Covid-19
Banks have fielded half a million requests for mortgage deferrals
Banks will allow customers to defer mortgage payments for up to six months
A new report suggests that easing housing market curbs could boost banks' credit risks