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To add to the above, the high interest rates in the early 1980s, was the government's response to inflation. The government made it purposely difficult to borrow capital to curve inflation. These were the highest interest rates in Canadian history. Prior to the present boom, this was one of the hardest times to purchase a home in Canadian history.
This time inflation is occurring, but the government is doing nothing to stop it. Fixed salaries have been cut down dramatically in value. So this extends far beyond housing prices. Unless you have capital to begin with or are in a position to increase your own salary to compensate for inflation, you have it very hard right now. There is no way around that.
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