Now we have ‘outsiders’ commenting on the Canadian housing market, I wonder what they’d say about Vancouver?
The rebound in the housing market has been key to Canada’s recovery from the recession. But it has left some facing a toxic combination of hefty debts and rising interest rates as the Bank of Canada pulls back from the emergency low rates used to juice the economy back to life.
The Organization for Economic Co-operation and Development warned in an annual review of the Canadian economy that record high debt levels have left many vulnerable “to any future adverse shocks.”
In the report being released today, the OECD said more measures could be taken by the federal government to keep marginal buyers out, suggesting an “overpriced” housing market needs to cool off before allowing more people to plunge in.
full article at the Globe and Mail, hat-tip to patriotz for the link!