Overvalued housing prices and how to read them: Don Pittis
I was reading about baseball cards over the Christmas holidays and it made me think of Canadian houses.
From the Bank of Canada’s warning to last week’s devastating analysis from Germany’s Deutsche Bank that claimed a 63 per cent overvaluation, it seems we are being told once again that we think our houses are worth a lot more than they really are.
As we wait for the latest figures from the Canadian Real Estate Association (CREA) this week, homeowners and prospective buyers will be looking for concrete signals about what to believe.
- Bank of Canada says Canadian house prices up to 30% overvalued
- Fears of a Canadian housing bubble overblown
The article I read about collectible cards ostensibly had nothing whatever to do with houses. It was light and charming, an autobiographical feature in the Economist’s Christmas double issue, about how a childhood craze for collectible cards had turned into a serious financial speculation.
Baseball cards that had sold in the thousands began trading at absurd prices. Canadian hockey star Wayne Gretzky bought one card for nearly half a million dollars.
…click on the above link to read the rest of the article…
