Housing prices have burstIn the past couple of months houses in the greater TO area have dropped 500k and in the burbs as much as 400k, all major cities accross Canada are seeing the same thing and intreset rates will continue to rise putting even more donward pressure on house prices as more and more people see their ability to obtain a mortgage disappears. Every 1% increase in interest rates take 10% of people looking to buy out of the market. The last time this happened it took over 3 years to bottom and it stayed at the bottom until all the forclosures where sold and that took 5 more years. Now most financial institutions are saying the bubble has burst and the race to the bottom has started. The losses reach as high as 60% of a houses value from the peak of the bubble to the bottom of the bust. As an example an average house price in Vancouver at the peak was 1,450,000, it could bottom out at 580,000, good luck to the flippers.