Two articles caught my attention today. You’ve probably heard that average home prices in Canada – particularly in Toronto and Vancouver – have been climbing like crazy.
One article today covered Moody’s warning about the dire impact of a pending housing correction in Canada. They put us in a bucket with Sweden, Australia, and New Zealand – all four countries where homes are overvalued and due to crash, bringing death and destruction to the overall national economy. Falling house prices will be a terrible thing.
The other article I read on the subject of house prices in Canada today was upbeat. It said that the Premier of Ontario and the Prime Minister of Canada would be meeting in coming days to talk about ways to cool the housing market because it has become unaffordable. No one can afford to purchase homes in Canada anymore. The high value of homes in Canada is a terrible thing and the only way to help the economy is to introduce some new artificial measures to bring those prices down.
The two articles agree on one thing: whether house prices are unstoppable or about to come crashing down on their own, it’s a bad thing. Just like that dog who seems very grouchy whether he’s going up OR down those stairs – you should be angry about house prices in Canada no matter which way they’re going.