BMO really, really wants you to know that Canadian housing isn’t in a bubble
BMO can’t seem to leave the real estate market alone these days. Last week, BMO Nesbitt Burns was on the case, telling buyers and sellers that Canadian real estate was only slightly overpriced. As if to drive the point home, umbrella organization BMO Financial Group weighs in today with a report by its chief economist, Sherry Cooper. Both reports move quickly to assure Canadian property owners that there is no bubble and that the future does not look like the U.S. circa 2009.
In Toronto specifically, sales are down slightly for October—2.5 per cent year over year—but prices are up 4.4 per cent. In fact, only Alberta and P.E.I. saw a drop in prices, while all other provinces enjoyed a slight boost. More than anything, this report points to an end to the craziness of the past three years as it tries to toss water on the doomsday scenario predicted by market watchers earlier in 2010. “There’s not much here for either the wild-eyed optimists or the ranting pessimists,” concludes the BMO Financial Group report, “which is a good thing.”
• Canadian Housing not in a Bubble—BMO [Marketwire]
• Canadian Housing has Goldilocks Moment [BMO Financial Group—PDF]
• Canadian Housing Pricey, not Dicey [BMO Nesbitt Burns—PDF]