Subprime meltdown in Canada

[trent]

For all the people who still think Canada doesn't have subprime mortgage crisis in the making, you better read this:

http://www.theglobeandmail.com/servl.../National/home

Even if the borrowers were paying their mortgages on time, their properties might have to be foreclosed simply because the subprime Canadian mortgage lenders don't have the capital to renew the mortgages and bigger financial institutions won't touch those mortgages either.

[Canadian]

Wait until the so-called prime borrowers start to default in droves. This ride is both scary and fun .

[bullish]

Keep on dreaming guys. The housing market in Canada is just fine.

[trent]

It looks like it will take a little longer for the crash to materialize, however it's delusional to think that here in Canada will be different than UK, US and/or Australia.

[Canadian]

Originally Posted by trent

It looks like it will take a little longer for the crash to materialize, however it's delusional to think that here in Canada will be different than UK, US and/or Australia.

I share the same view, however prices in Toronto are not going down yet. I'm tired of waiting, however I would never buy at the top of the market with interest rates that low.

[trent]

Have patience my friend, have patience .

[Jason]

Actually the June 2009 average price is about 2% above June 2008 for GTA.

[trent]

Originally Posted by Jason

Actually the June 2009 average price is about 2% above June 2008 for GTA.

So what? These are the final days of the bubble, and it may take a few months longer for the crash to materialize, but one thing is for sure, there will be one.

[Canadian]

Jason, just curios how old are you? Have you seen a major housing downturn in your lifetime?

[trent]

Originally Posted by Canadian

Jason, just curios how old are you? Have you seen a major housing downturn in your lifetime?

I don't think he has seen bad times in the housing market yet.