- Jan 2010
[h=2]Where to find cheap houses: Canada-U.S. gap gets wider[/h]
Canada-U.S. house price gap widens
The gap between Canadian and American house prices - they're well above pre-recession levels in Canada and still depressed in the United States - continues to grow.
(snip ... )
"While it goes without saying that U.S. and Canadian real estate markets have been in different universes recently (while sharing the same hemisphere), the gap just keeps on going," Mr. Porter said.
"The average home price in Canada is now gliding along at $360,000, more than twice the median existing home price in the U.S. (converted into C$ terms) ... Nothing says prices need equalize, but a gap of more than 2:1 is not sustainable. Three ways it can narrow: a) the C$ falls, b) U.S. prices recover, or c) Canadian prices drop. Or, some of the above, or all of the above."
more: Where to find cheap houses: Canada-U.S. gap gets wider - The Globe and Mail
Wow, that's a big divergence. And, looks like a steep climb for median house prices in Canada, with only a small recession dip. Is Canada facing a bubble pop soon?