Canada likely sitting on the largest housing bubble of all time: Strategist - BNN Bloomberg
Canada likely sitting on the largest housing bubble of all time: Strategist - BNN Bloomberg
The Canadian housing market is at high risk of unravelling, according to one expert.
God I hope so
When it pops most people still won’t have money (because recession) and corporations will scoop in and buy up all the assets oh boy!
Making corporate ownership of housing illegal is a pretty good first step to popping the bubble.
I bought a house before the pandemic (just barely, and with a lot of help, but still) and even I want it to pop. It's ridiculous. Even setting aside my objections to housing as an investment, a house should not be your entire retirement plan.
Sorry, I wouldn't hold my breath for the real estate market to improve.
As long as all the inventory is accounted for, they will just sit on it to keep prices up and rip off whoever needs a house.
It's not just them, it's everyone, just say different times. The moment the world allowed, & even heralded, wealth extraction over wealth creation everyone lost. Well, not everyone, a small number of people won impressively, like generational wealth levels, but we speak of them fondly. We assign labels like entrepreneur & genius to those folk.
Canada..... You better pop that motherfucker
It doesn't work that way.
Housing is a rich-person's game now. Any time there is a decent deal, you'd better believe some company is going to snatch it up before you do.
Investment companies have slowed down purchases of housing by 45% in the US . It can happen in Canada to
how
The “how” is relatively simple: build more housing, and stop letting people buy it if they aren’t going to live in it.
The hard part isn’t knowing what to do, it’s finding the political will to do it. There’s a whole lot of people highly motivated to keep the bubble going as long as possible.
Same way you pop a zit.
Squeeze it.
I'm guessing this isn't going to be as good as rent and house prices plummeting is it?
Nope.
Rent might drop but it will be associated with a lot of economic uncertainty which generally results in layoffs, preemptive price increases for goods, etc. The 2008 bubble in the US led to The Great Recession.
As for purchasing houses? Prices will likely drop significantly. But interest rates on loans and requirements to be eligible for them go up drastically because banks are hurting from all the foreclosures they had to eat.
Except that major companies understand that it benefits them to buy those houses. So expect Canadian Zillow to buy up a lot of the cheaper houses to turn into rentals and the like.
Prices aren't going to drop because the moment they do, a corporation will swoop in and buy it to make sure prices stay high.
Sorry, this is the reality we have now. Every day people are paid to look at houses and buy anything even remotely under market value.
Oh goodie more pain
Didn't we all know this anytime we saw House Hunters and they wanted $700k for some of these shitboxes?
Remember, it's not a bubble and it won't ever pop. Housing prices will always increase forever, just at different rates.
You should have posted this to lemmy.ca instead
The biggest housing bubble of all time isn't world news?