To that point, this is from a Maclean’s article earlier this week:

“Getting caught in the frenzy caused problems for aspiring landlords, Pasalis notes, as prices escalated and rental income no longer covered the carrying costs. Last year, 95 per cent of all investment properties purchased in 2016 were losing money each month, Realosophy estimated.”

http://www.macleans.ca/economy/realestateeconomy/gta-real-estate-sales-falling/

So someone is handing out millions of dollars and you want to AVOID them?

Price rent metrics are at insane highs (meaning houses are WAY overpriced when compared to the rents they can command on the market). Much higher than they were at the peak of the US bubble . So there goes the theory that high rents are supporting high prices. Current rents aren’t even close to supporting current prices.

10 years of price increases in the face of warnings of a bubble. That either tells us:

A) All those price increases were permanent and will never be reversed.
B) We’ve spent the past ten years inflating an even BIGGER bubble and there will be hell to pay.

Take your pick. I know which one I’ve bet on (with actual money on it).

This ppl don’t care…it’s corrupted money they just want to hide it…you missing the point…as long as it’s allowed ppl will buy it because at the end of the day Canada is way better place to hide money for third world corrupt peoples. And there are shit load of black money.

No I wish I was wrong…but I bought in 2009 at Toronto two of them and ppl last 10 year told me same thing it will crash and now it’s 200 percent higher…best thing I did was not listen to people 10 years ago….

The latest headlines are going to be hard for the industry to weasel around, and will have a major effect on public sentiment and expectations.

I feel sorry for them up until the point they expect others, esp. the government, and by default, other tax payers to bail them out. They made the decision to buy, made a decision to contribute to price increases, and made a decision to take on the risk. Let them own up to it.

Hey I could buy in Canadian for a discount right now too! About a 100-200k “discount” at least based off of last year. Foreign money or “dark” money could buy for a discount due to lower dollar. But that also means that those that got in before them down 100-200k Canadian plus the loss in conversion if they wanted to convert it back. If our currency can fall to its lowest value ever, and our house prices are going down, why catch the falling knife? Toronto and Vancouver are not the only two places in the world to park your money……………… especially if you care at all about protecting its value