Quote:
Originally Posted by Vanity
All major banks in Canada have come out to say that Canada's housing bubble is going to begin bursting this year. Canada has been in a 14 year housing bubble and Toronto and Vancouver have been the worst in terms of how far up prices have gone. Condominium speculative developments have played a large part. They are overvalued somewhere in the 30-70% region, depending upon the condo. I would not invest in Canadian real estate. Not now.
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I don't think that's an entirely fair comment, its really that one should not invest in Toronto or Vancouver as they are the highest. But there are still areas in Canada that I think are undervalued...market is quickly catching up. For example, Burlington was voted the second best city in Canada to live in (Burlington, ON) - now it is not really undervalued in my opinion, but its not much of a bubble either...go 20 minutes away from Burlington to Stoney Creek and its actually quite devalued. I haven't really figured out why that is, perhaps demographics and the fact there isn't really much there...you have to drive, but overall, there are still parts of Canada that could represent a good investment.
I would not buy in Toronto though.