Being inside a bubble creates an interesting atmosphere. To a certain degree logical voices from outside of the bubble need to speak up to recognize what is rather obvious yet lost for many within the bubble. There is no bigger housing bubble than the one currently happening in Canadian real estate. Not only is the bubble raging it has far surpassed what the US housing bubble reached at its pinnacle. Those in the housing bubble of course are intoxicated by the elixir of easy money. After all, simply sitting in your condo and having it go up $50,000 or $100,000 in a year for not lifting a finger sounds like a good investment. This happened all across the US from condo happy Miami, Boston, and Chicago to housing crazy California and Nevada. Yet the echoes are the same when one points this out. It is truly different here. The only true thing is that human psychology driven by unfettered greed creates bubbles over and over like the sun rising. Taking a look at the Canadian housing market, you realize that not only is a nationwide bubble in full force but some cities like Vancouver and Toronto are extraordinarily overpriced.Read the rest at Dr. Housing Bubble
This time it is not different – Canadian housing prices reach apex and set for deep fall. Foreign money speculation and crowding out local Canadian families. Canadian household debt at record levels.
by Dr. Housing Bubble