The International Monetary Fund (IMF) has been monitoring international home prices and we may have the ingredients for an international problem like the United States Real Estate market did in 2008 and 2009.
To ease your mind, the US numbers are looking good compared to the numbers of Hong Kong, New Zealand and China.
Problem: home values in the above sectors are experiencing increasing value far outpacing the median income.
We saw this with the US and know the outcome. Although speculation, I am a firm believer of what goes up must come down, and everything is cyclical.
The Rent vs Owning a home in Canada model shows it is around twice as expensive to own versus rent. This is a problem.
Again, the United States Real Estate markets are looking good with slight to moderate appreciation and buying a home in the US today is a better move than most markets in my opinion.
Comments (10)Subscribe to CommentsComment