What housing slump? Canada's real estate recovery has been so fast, some analysts worry it signals a return to speculation.
Unlike the U.S., Canada never got into the risky business of subprime lending. But Canada, like the U.S., is offering housing incentives to stimulate is economy in the form of tax credits and historically low mortgage rates. The strategy seems to be working: home sale volumes are up 70% in January 2010, compared to a year earlier. Average home prices in Canada are up 23% over the same period. But is this too much of a good thing?
The Wall Street Journal cites Canadian economists who say home prices are rising faster than other economic indicators, including personal wealth and employment. Economist David Rosenberg says "This is exactly what happened in the U.S., when affordability had moved way out of whack with prices." Another red flag is mortgage interest rates. Canadian banks typically reset adjustable-rate mortgages every few years. People buying homes now at low rates will see increases soon.
Still, the Wall Street Journal reports that there are bubble skeptics who aren't seeing red flags like looser lending standards or a dramatic increase in land prices. For now, Canada's central back and finance ministry say there's no cause for concern.
FULL STORY: Housing Rebound in Canada Spurs Talk of a New Bubble
The Mall Is Dead — Long Live the Mall
The American shopping mall may be closer to its original vision than ever.
Report: Las Vegas, Houston Top List of Least Affordable Cities
The report assesses the availability of affordable rental units for low-income households.
Adaptive Reuse Bills Introduced in California Assembly
The legislation would expand eligibility for economic incentives and let cities loosen regulations to allow for more building conversions.
LA-to-San Francisco Night Train Closer to Reality
A train operator has entered into formal negotiations with Union Pacific to move the project forward with a projected launch date of 2025.
Lawsuit Aims to Stop Dodger Stadium Gondola
A proposed aerial tram project that would shuttle visitors to L.A.’s Dodger Stadium faces backlash from environmental and community groups.
Why Parking Reform Goes Hand in Hand With More Housing
To achieve the full benefits of ‘missing middle housing’ and make way for small-lot construction, cities must rethink parking mandates.
City of Yakima
City of Auburn
Baylands Development Inc.
HUD's Office of Policy Development and Research
Mpact Transit + Community
HUD's Office of Policy Development and Research
City of Birmingham, Alabama
City of Laramie, Wyoming
Colorado Department of Local Affairs
Urban Design for Planners 1: Software Tools
This six-course series explores essential urban design concepts using open source software and equips planners with the tools they need to participate fully in the urban design process.
Planning for Universal Design
Learn the tools for implementing Universal Design in planning regulations.