Quote:
Originally Posted by powderjunkie
That's the $640k studio question. I think that positive feedback loop could easily emerge without any nefarious intervention (of which there is obviously some, but I'm skeptical that it's truly a root cause).
I'd ask the opposite...why is it not possible that demand simply >>>> supply?
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Supply will play a part, obviously. But I'd say the Vancouver & Toronto market is probably 20-30% over the top because of a few things.
Money Laundering
Foreign Investments
Corporate Investments
Zoning Stupidity (rich single unit owners making sure rental units can't be built in their area, whereas other cities were zoning for this)
Stupidity about thinking you can buy any real estate and make 30% returns in one year. Higher it pumps, the more idiots invested.