(Source: Business Week / Bloomberg)
On the night hockey superstar Wayne Gretzky lit the cauldron to open the Winter Games, something was conspicuously absent in the host city: winter. With rain and temperatures near 50F, Vancouver was the focus of a weather-obsessed nation.
Right now, Canada’s business community is fretting about a different sort of climate event. The country’s housing market is so hot, and has become so untethered from its foreclosure-ridden U.S. counterpart, that alarms are beginning to sound about a Canadian real estate bubble. In Toronto, the average home in January sold for about $392,000 (U.S.), a 19% jump from a year earlier. In prime areas of Vancouver, you can find Lilliputian one-bedroom condos listed for $575,000 or more. Price increases are forecast for every province.
Read the full article, “What U.S. Banks can Learn from Canada” at Business Week / Bloomberg (Feb 18, 2010).