Real estate ?values' will drop 50% in cities such as Toronto, Vancouver and San Francisco and 25% in many other cities around the world. Here's why.
2. Canadian Real Estate Prices Will Fall 28% By 2020!
The Organisation for Economic Co-operation and Development (OECD) House Price-To-Rent Index, and a linear regression model predicts Canadian real estate prices will fall 28% by 2020. Here are the details.
3. B.I.S. Flags Canada for a Financial Crisis Next Year ? Here's Why
Now that Canada has been flagged for a recession next year, it'll be interesting to see how Canadians respond. Will they abstain from further binging, or are they too busy shopping for new homes to hear the warnings.
4. Global Home Prices Are On the Rise ? Here's A Country By Country Ranking
Global home prices are on the rise, and numbers from the International Monetary Fund (IMF), the monetary policy arm of the UN, show that Canada ranks amongst the top ten of all of their housing indicators. While that sounds like a good thing, the IMF generally warns that too much growth means overvaluation. Overvaluation requires a correction, and if it goes too high, even a crash.
5. What's Coming? Definitions Of A Real Estate Correction, Crash & Capitulation
If you're from Canada and the U.S., chances are you'll never see market capitulation. However, you'll likely see many corrections, and maybe even a couple of crashes. Here are the definitions of the meanings of the words: correction. crash and capitulation.
In the past few decades, the concept of home ownership has been completely turned on its head. Previously, homes were considered a very long-term consumption good…[No one] ever considered tripling the value of their homes by retirement time and selling them to move beachside yet, somehow along the way, this became a reasonable investment expectation. Even today, home buyers still make their purchases with the hopes of escalating prices. It begs answers to these questions: Is a house just a home? Should a house be expected to behave like an investment? Is the housing game nothing more than a Ponzi scheme where the end buyer before the market corrects becomes the "greater fool"? Let's try and answer those questions.
7. Buying A House Today Will Turn Out To Be A Ruinous Experience In 5 Years Time ? Here's Why
The world will soon realise that all the assets that have been inflated to bubble levels will lose most of their value. Indeed, if we look at what could happen to house prices in real money (gold), the risk is such that buying a house today is likely to be a very costly and perhaps ruining experience.
Over long periods the inflation-adjusted price of homes in the U.S. has tended to increase by a little more than 1% per year. That doesn't mean owning a home is a good way to make a 1% real return on your money though. This article explains why.
9. The ?dumb money? is finally buying real estate
Last month the most people in eight years decided that if they were going to buy a new home, now would be the time to do it - but how much longer can this trend continue?
10. Global Liquidity To Cause (or has already caused) Housing Bubbles In U.S. & Internationally
It is clear global real estate prices are heating up again and, due to interest rates being lower now than in the previous cycle, real estate prices in the U.S. and globally may actually surprise us with several more years of growth before they peak as global liquidity searches for the few relatively safe assets (in the least dirty shirt fashion) as a way to protect against reflation and devaluation in non-U.S. countries.
