I'm on a mlx email list from my realtor which sends listings whenever it fits our criteria. The past couple weeks 70-90% have been price reductions. Just yesterday I had 15 properties e-mailed to me, 13 of those were price reductions. I've decided to hold off and get a nice down payment, because worst case scenario I think prices stabalize and you will see little increase each year so it makes more sense to save at least for me. Best case scenario for me at least is that prices come down which I think will be the case is much of Canada. Alberta will be affected less because it is better insulated with the oil industry but any decrease is good for me.
Seriously many people who got 40 year mortgages with little to no down payment may get into some tight situations coming up. Subprimes hurt the U.S. and 40 year mortgages are much different from subprime mortgages in the U.S. People just getting houses that in reality were out of their range.
It will be interesting to see this is the time of year when prices increase so it should be an interesting summer.
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