Quote:
Originally Posted by macker
Extra extra....read all about it......Talk is really getting bubbly.....
http://business.financialpost.com/20...mortgage-risk/
http://www.bloomberg.com/news/2012-0...mortgages.html
Meanwhile the Case Shiller came out today in the States and prices are down 3.7% year over year and the consensus was 3.3% decline. Home prices tend to go in one direction for long periods of time and the the US this is a half decade in one direction. If you are looking for a trend breaker it would be hard to point to currently. Peak home ownership happened a few years ago when it peaked at 69% home ownership.
Hopefully Canada doesn't have to go through what has happened and is happening in the US but how can things be considered that much different here. We are among the world leaders in debt to income with a ratio over 150% Canadian consumers have a $1.5 trillion debt load which is more than the Canadian gross domestic product. I don't think that a 20-25% correction would be out of line. |
BMO reported yesterday that they felt that the Canadian market would slowly decline. I know that goes against the feel good narrative that many in this thread like to see, but its a conclusion and prediction that is pretty hard to argue with for the most part. In other words, no bubble in Canada.