A few hours before the final game of the Stanley Cup yesterday, BoC governor Mark Carney was in Vancouver and delivered this speech on the risks in the Canadian housing market and he highlighted the crazy prices in Vancouver as being "severely" detached from any kind of fundamentals and that Vancouver is the worst such case in all of Canada even at today's ultra-low rates which, he warns, are going to rise causing severe financial hardship for homeowners in Vancouver especially:
http://www.bankofcanada.ca/wp-content/u ... 150611.pdf
"As I have observed, some markets are already severely unaffordable even at current rates."
And from today's Financial Post:
http://business.financialpost.com/2011/ ... e-canucks/
"Who can tell whether the housing market will all just settle down or end badly but as Robert Kavcic, an economist at BMO Capital Markets pointed out Thursday morning: “By pure coincidence of course, the last time the Canucks suffered a heartbreak game 7 of the Stanley Cup final (1994) was just before red-hot Vancouver house prices tumbled more than 26%.”"