Oh Bank of Canada Relax, what's wrong with you?; Don't fall prey to the condo naysayers. The condo market was supposed to have crashed 6 years, ago, then 5 years ago, and so on and so on. You are instructors of finance and economics. You must see, that the condo market in Toronto right now is returning to the 10 year historical average of about 18,000 units. Why are you adding fuel to the flames, to ignite a Canadian Made Economic Crisis? Don't do it, dont fall for it. You can see the error in the calculation below, as it (The Bank of Canada) uses figures from the 1960's to determine the historical average. Are they morons? We know that in the 1960's the big push him home construction was single family suburban style homes, now that lifestyles have changes, patterns have changed so too have the types of preferred building accomodation. Get with the times, Bank of Canada, don't be stupid.
The Toronto Condo Bubble Myth
Use the Average to Determine if there is a Bubble - Fools!
For those that want to see the Bank of Canada's Concerns here is the posted article from the National Post Today
The Bank of Canada sounded an alarm about Toronto’s condominium market Thursday in its Financial System Review, warning that a correction here could bring on a shock that would spiral through the whole economy.
The bank said Canadian households, weighed down by record personal debt, are vulnerable to two shocks: A big drop in housing prices and sharp decline in the job market. And it singles out the condo market as a potential catalyst.
“A specific concern is that the total number of housing units under construction has been increasing and is now well above its historical average relative to the population,” it said, adding this development is entirely accounted for by multiple-unit dwellings in big cities.