In a rare interview following the release of a third quarter report showing strong profits, CIBC chief executive Gerry McCaughey weighed in with positive comments about the health of Canadian mortgage and real estate markets.
On the state of the Canadian market and the effect it would have on CIBC’s mortgage business, “Mr. McCaughey was cautiously optimistic despite softening sales numbers,” according to the Financial Post.
Mr. McCaughey reportedly told the Business News Network that, “it’s healthy we see at least a slowdown here, at least a pause, for [the housing market] to catch a breath.” He noted that “Canada’s relatively strong housing market in recent years, especially when compared with the U.S., meant a brief cool-down in this point in time wasn’t necessarily a bad thing.”
Noting that overall market environment is “extremely challenging” and that “the economy is facing some uncertainties,” Mr. McCaughey nonetheless said that CIBC – a major player in Canadian mortgage markets – is well positioned to take advantage of a recovering Canadian economy.”
Mr. McCaughey’s comments should be a reassurance to homeowners who are concerned about falling home sales numbers in the second half of 2010.
