Here's a paper from Feb 2010 called "The Elusive Canadian Housing Bubble" by some dude at the Schulich School of Business in Ontario.
I've only skimmed through the first few pages but it looks like it could be some interesting reading. (warning: 52 pg pdf)
http://storage.ubertor.com/cl6051/co...ment/11454.pdf
Quote:
This paper explores the subject of a possible housing bubble in Canada. It examines a diverse array of factors that may have contributed to the rise in house prices in Canada. The paper evaluates each factor individually and determines the health of the Canadian housing market using common valuation techniques.
Results suggest that economic fundamentals in Canada provide little explanation for the Canadian house price dynamics. Market fundamentals have become insignificant in affecting house prices, and the price-momentum conditions characteristic of a bubble now exist. The extreme decoupling of the market prices from the underlying fundamentals suggests an upcoming correction in housing prices in Canada.
|