/biz/ - Business & Finance

For those of you who haven't been following, here's where we currently are:

1. Canada's housing didn't collapse in 2008 like the US market did. Their prices have been going steadily up all along:

http://soberlook.com/2015/02/the-canadian-housing-market-in-charts.html

2. Home prices in Toronto and Vancouver are well into bubble territory and well out of reach of most residents, as typified by this home which is being listed for $1.6 million CAD:

https://www.remax.ca/on/toronto-real-estate/na-9-fleetwell-crt-treb_c3764841-lst/

3. Most of this bubble has been caused by foreign speculators. In an attempt to "cool down" the market in Ontario, their government has passed measure which tax the hell out of people buying homes:

http://www.metronews.ca/news/toronto/2017/04/20/new-tax-rent-controls-part-of-wynne-plan-to-protect-tenants.html

4. Instead of "cooling down" the market, these measures have almost completely shut them down:

http://www.metronews.ca/news/toronto/2017/05/01/toronto-housing-market-frenzy-may-be-subsiding-say-relators.html

5. Meanwhile, Home Capital Group (the Countrywide of Canada) is in full collapse. 75% of depositors have pulled out their money, they have started an emergency line of credit, and they are looking for someone to buy out the company:

https://finance.yahoo.com/quote/HCG.TO?p=HCG.TO


6. Just like when the collapse was first beginning in the US, those with a lot to lose are screaming the loudest that there is no problem. For example, this guy who is blaming regulators for outing HCG for their irregularities:

http://business.financialpost.com/fp-comment/terence-corcoran-home-capital-group-didnt-just-fall-from-the-edge-of-a-cliff-it-was-pushed


Bottom line.... Those who remember the US crash of '08 will notice all of the same signs in Canada.