Canuck Post ®

Apparently as many as 2/3 Canadians have converted to a new religion known as “Bubbleology”. To the faithful Bubbleologists, Housing Bubble is the mighty Devil and his coming is imminent. Because certain unscrupulous profiteers have provoked the wrath of the Lord. However, Housing Bubble is no Armageddon, it’s not the end of the world yet. It’s just that there will be great suffering among ordinary folks whenever Mr. Bubble Housing comes visiting. They believe the time is nigh, they believe the Great Suffering will take place in 2018, that’s when proponets of the “Great White Short” will be laughing their way to the banks… Open living area designed in a circular fashion and semi-enclosed by rotating glass panels in this home located in Hollywood Hills.  A Canadian Housing Bubble? Two-Thirds Say It’s Real Nearly half of Canadians are worried about what interest rate hikes will do to their mortgage payments. A majority of Canadians say...

Already nearly half of the folk surveyed feel they can’t afford a home, Upper, middle and low-income Canadians worried about housing prices: poll A new poll found about half of respondents who consider themselves poor or working class believe that the cost of local housing is beyond their means. The rate was 38 per cent and 37 per cent, respectively, with respondents who consider themselves middle or upper class. A new poll suggests that just over two in five Canadians believe housing in this country is not affordable for them, a finding that cuts almost evenly across income levels. The poll by EKOS Research appears even more bleak in some of Canada’s hottest housing markets, where only a small sliver of respondents said they believe homes are affordable… CBC Here comes another blow … The cost of home ownership is going to be higher: – Bank of Canada may hike interest rate for 1st time in 7 years next week After keeping rates low since 2010, central bank ma...

Toronto’s housing bubble is not Stephen Poloz’s problem refers. A weaker economy would necessitate low interest rates, which in turn fuel financial imbalances. That’s where the central bank is today — unable to keep inflation at the 2 percent target over the past two years in an economy it says still has plenty of slack. Raising interest rates to thwart an asset bubble would simply force the rest of the country to suffer for the excesses of Toronto and Vancouver housing markets. “From the Bank of Canada’s perspective, what you have is a potential financial stability concern that isn’t explicitly part of the Banks’s inflation targeting framework, while inflation remains well below target,” said Jean-Francois Perrault, chief economist at Bank of Nova Scotia. So, no, Stephen Poloz will not mess with the housing bubble. Probably not in a million years. Poloz to the rescue? No. Don’t bet the Bank of Canada will bust the housing bubble THEOPHILOS ARGITIS, BLOOMBERG ANALYSIS The old debate ab...