Lots of chatter online seems to reflect that it's local buyers who are driving market activity, which means the majority are taking out mortgages that are stress-tested. We are only in trouble if mortgage rates rise above 5%. I'm not sure if I can see an environment where we are in that territory.
A townhouse in my old neighbourhood was listed at $1.1M and sold for $1.36M in less than a week. Considering the aesthetic of that property and the marketing for it, it was a probably a local millennial couple that bought it. That is what seems to be driving the market - millennials and Oregon-Trailers who are sick of living in condos and need space for their home offices, kids, and pick-ups or sports cars.
https://www.cbc.ca/news/canada/briti...ales-1.5926928