I’m glad RealAnon showed up to tell us a bank giving a moderate forecast is really an agenda to lower prices so they can scoop up all the houses. I know if I got unlimited free money to lend people money to buy homes, I would want to not use it and just borrow from other people to buy homes.

You do realize that other than Spain and a handful of other countries Canadian real estate is beyond cheap compared to the EU right?

Ahhhh…the beautiful hum of kakakakakaka! Take a deep breath of concrete dust and asphalt paving fumes….! Smell the wonderfully fresh slaggy smoke of steel manufacturing…..! Go on a rousing tour of scooter-watching…..

Btw, I lived in Hamilton and my kids still do. Love the city. My parents live in Sarnia. I love that town too. The underdog character, community…hate to see the affordability erode.

Heck you don’t need to go to Malibu. Just do like all the McMansion owners in Vancouver do, plant a perfectly good palm tree, and watch it shrivel and die because you spent twice as much to live somewhere half as nice.

Exactly how much longer can a deeply irrational asset market remain irrational? Anyone who claims to know is kidding themselves. It’s all guesswork and speculation really.

Where have you been for the past decade+? Cap rates have been trash in the main cities in Canada for ages now. Landlords are expecting a wind-fall every year on capital appreciation and will accept extremely low rent just to offset their costs. That’s not going to change just because prices have gotten even more ludicrous.

Canada’s housing market is too big to bail. If the price trend reverses direction, the Government of Canada will be as powerless to stop the crash, just like they were powerless to stop the run-up.

This is just bank analysts trying to justify their existence by pulling a number out of thin air. They didn’t see the 2008 crash coming, and banks won’t see the next housing crash coming either.