Interest rates are low, and borrowing money is dirt cheap. It's not a mystery. The feds are printing money and actively encouraging the banks to give it to people.
I bought a detached in Vancouver about a month ago, so I'm biased, but I don't see this ending. The federal government is using this as a major form of economic stimulus. It's good to see that things are picking up outside of Vancouver/Toronto too though. Although some of the hype was just realtors changing their selling tactics, with far more listing under market to drum up interest. All of this above asking stuff is propaganda. The market is only projected to rise about 5%.
It's actually pretty extreme in Vancouver right now. We went to multiple showings where listings were purposely clearly at least $300k below market. Then you get a shocking headline like "house sells for $400k above asking!".
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