Canadian Apartment Properties Real Estate Investment Trust T.CAR.UN

Residential REITs and the Federal Budget 2022

[AlwaysLong683]

Article from BNN Bloomberg website summarizing the Federal Government's policies and plans re. Canada's residential housing market.

Here's an excerpt from the article that may target Residential REITs - no decision has been made, but looks like the Feds will be reviewing such entities over the coming months:

"The feds are planning a review of housing as an asset class to determine how major rental apartment corporations impact the market – building on a promise in the Liberal Party’s fall election campaign.

The budget indicates the review will take into account how “large corporate players” are taxed, though it said more details on the review would be released later this year."

[Mephistopheles3]

Thanks for that - the language is quite a bit softer I find vs. what they were saying back in election time.  Nice to see the REIT's bouncing back today following the budget yesterday.  I'm quite bullish on Capreit right now - it's just been getting hammered over the last few months, despite the fundamentals looking really good, even with rising interest rates.

[AlwaysLong683]

Yes, looks like it might close up over 2.00% today. Perhaps the Feds kicking the can down the road instead of enacting any policy now like they did with the new tax on Banks and Insurance Companies brought investors back to CAR.UN.....?

[Mephistopheles3]

Not just CAR, but Resi REIT's in general.  InterRent was up 4% today as well and one thing you'll see is that the final bid/ask spread for CAR was quite large and I think the ask finished at $52.78, meaning it had a little bit left to climb.   I don't see them targetting the REIT's at all like the banks/insurance companies.  I don't think trying to go after