Consumer spending and house prices are strongly correlated. That's no surprise to anyone.
Home equity extraction in Canada ultimately peaked at $89B in 2017. Of this, $49 billion was extracted through HELOCs (Home Equity lines of Credit) and $40 billion through mortgage refinancing.
Hence why Governments continue to try and aide the housing market. We now have Andrew Scheer promising 30 year ammortizations. The recent drop in home prices has already hit business confidence here in BC and consumer spending has slowed.