Somebody over at TD bank looked in their crystal ball and saw interest rates rising.
They say that a combination of factors including increasing supply, softening demand and the expectation of rising interest rates mean that home price across the nation are overvalued by about 10%.
It says markets such as Toronto, Vancouver, Montreal and Ottawa are likely more overvalued than markets in the Prairie and Atlantic regions, and will likely see more of an impact.
The national housing market and worries about a real estate bubble have been key concerns for policy-makers for several years.
Recent indicators have suggested the market may be headed for a soft landing instead of a bubble bursting, but concerns have persisted.
Full article here.