RE:RE:Deja vu all over again?Agree with your view of the stock market and will go into detail in another post of why I feel a contraction is due.
It was early in 2005 when reading the Sacramento paper on-line in my Northern California cabin in the woods that I learned that 23% of all the escrow closing in Sacramento county were with out of town buyers. These were of course speculators, or flippers in one of the hottest RE markets in the country. Contrary to what Alan Greespan later claimed that you couldn't identify a bubble until it burst, I realized that if nearly a quarter of your demand was speculative, you had an asset bubble and that eventually all who wanted or could buy had, and there would be no more greater fools coming into the market to pay off your bet. I closed escrow on my California RE in Jan. '06 six months before the curtain fell. Just a suggestion that your Canadian RE market might be subject to the same economic vulnerability.
You state your belief that "... real estate prices have gone through the roof because of the influx of foreign ownership and not because of the value of that home in general." while, observing that "...many people say that with immigration continuing in Canada that will continue to support the rising prises of real estate in Canada.". The crux of the matter is that foreign ownership and immigration are NOT the same thing. I would suggest learning how many of these foreign nationals intend to make Canada their home and to reside in those houses. Many nouveau riche Asians are seeking investments in safe, stable countries for their new wealth, and Canadian RE offers exception gains over other much more risky investments - but all that could "turn on a dime".
It occurred to me the other day that since the American government feels justified in placing sanctions on other countries and their leaders when our nation's values or principles are offended. Isn't it about time for Canadians to step up and take a stand for the rule of law? Obviously Trump and many of his donor/supporters have important business and financial interests in Canada. Freezing assets and placing sanctions against the Trump Organization, which is presently subject to litigation for violation of the U.S. constitution, would seem entirely reasonable and appropriate indeed. Our Congress appears complicit, so we as a people can't legally punish Trump for his treachery (yet), but YOU CAN! Many of us are fully aware of Canadian courage as we have fought shoulder to shoulder from Flanders to Afghanistan. Your people and your government are free to act, and to take LEGAL ACTION to hinder and prevent the autocratic takeover of your very important neighbor to the south. When you think of what it would mean to have a Russian Federation style oligarchy next door, just shaking your head and saying Tsk, tsk seems a bit weak. When volunteering for government service Americans swear to defend our constitution against all enemies foreign AND DOMESTIC, and now we are in a fight and calling upon our Canadian allies to join us. Think of what it is like to be a Ukrainian today, and you might appreciate that Trump is not only a despicable degenerate, but is in reality an actual national security threat to Canada as well.
Regards, b.