Vancouverites could lose $200,000 if housing bubble bursts

Average prices could drop if mortgage rates rise.



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According to the Canadian Centre for Policy Alternatives, Vancouver homeowners could face massive losses if the realty market tumbles.

“All you need is a 1% increase in the mortgage rate above the two-year average in a given month and that’s what popped every single bubble in Canada [in the past], two in Vancouver and one in Toronto,” researcher David Macdonald told Business In Vancouver.

While he says a crash isn’t imminent, he thinks its bound to happen at some point.

One comment on “Vancouverites could lose $200,000 if housing bubble bursts

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