Quote:
Originally Posted by kr4l
Don't get me wrong, I'm in the same boat as everyone else here.
But realistically, how much do you think housing prices will drop when shit hits the fan? With the prices at what they are, if they drop 50%, like I said before it's still unaffordable. Mortgage rate high? Still unaffordable. Vancouver will never be affordable if you're looking for a house to raise a family. Rent or move somewhere else. There's nothing wrong with that.
Id love to see the market crashe hard and every house is at say $500k in Vancouver. It'll be Chinese New Year every day in Vancouver (not just Chinese, many other wealthy people from all places in the world but just using them as an example)
Calgary is very different. Like all of Alberta it relies heavily on o&g. Housing was retarded when it was booming, not so great anymore. I don't see the China flocking that way neither. I'm also from Alberta so I've seen the boom and what it does to the economy and housing market.
Crash or not, everyone is just going to complain about it
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It's all about a game called "the last fool". When there's still fools (both local and foreign speculators) in the market believing that price would continue to increase, the market would have the power of moving forward.
The problem or the "shit" is when there is no more fools or it becomes too expensive to bet.
Take Calgary as an example, they relied heavily on resources to bump up their RE. When resources collapsed, it didn't hit RE during the first few months as fools still believed the RE could move forward without resource industry.
IMO, look at pure transaction numbers (ignore the price). When the trend changes and buyers start to dry, that's when shit hits the fans.