The Real Estate Bubble Grows North of the Border

A new report rates the real estate bubble risk of the world's economic powerhouses.

1 minute read

September 30, 2017, 9:00 AM PDT

By James Brasuell @CasualBrasuell


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Madeline / Toronto skyline

UBS has released its "Global Real Estate Bubble Index," which tracks "the risk of housing bubbles in global financial centers."

Topping the Index this year is Toronto, but Vancouver isn't far behind. Among U.S. cities, San Francisco has the most bubble risk, but it's still low compared to cities like Munich, Stockholm, London, and Sydney.  

Here's how a post introducing the index explains global trends in the real estate market:

According to the UBS Global Real Estate Bubble Index, the bubble risk in select world cities has increased significantly over the last five years. Real house prices of those metropolises within the bubble-risk zone have climbed by almost 50% on average since 2011. In the other financial centers we looked at, prices have risen by roughly 15%. This gap is grossly out of proportion to the differences in local economic growth and inflation rates.

Thursday, September 28, 2017 in UBS

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