Canada missed the U.S. housing bubble of 2005 – 2007 because of tighter mortgage rules… As a result, Canadian housing sailed through the Financial Crisis… Subsequently, because of favorable demographics, including high immigration rates, Canadian housing has dramatically outperformed the U.S.… But markets adjust… Interesting essay by Ritholtz asset manager Ben Carlson entitled Canada’s Housing Bubble Will Burst, noting that although Canadian housing prices are up on average 18% versus a year ago, they have reached an affordability tipping point, which has reduced sales materially… Carlson is calling an “avalanche alert”…
Recent Comments