Josh Sigurdson talks with author and economic analyst John Sneisen about the crashing Toronto real estate market as house prices drop harder than they have in 30 years.
March sales in Toronto dropped 40% from last year, the lowest since 2009. The average selling price for all homes dropped 14% from a year earlier, the biggest drop since 1991.
Detached home prices dropped the most which is notable as condo sales are the only thing that has gone up. There’s a reason for that. People can’t afford the detached homes anymore, but they are largely downgrading to condos.
The Toronto Real Estate board in a recent report said,
“The share of high-end detached homes selling for over $2 million in March 2018 was half of what was reported in March 2017, further impacting the average selling price.”
To top it all off, active listings went up 103.1% since March of 2017. That is a massive rise in homes for sale, a recipe for disaster.
We’ve been warning about this for a long time. We remember well the euphoria of people in Toronto telling us it would just keep going up forever. The bubble was growing larger and larger. People were looking at their house as an asset. Their eyes became glassy and the hockey stick reached its peak and now we see a massive drop out. We will soon see similar in Vancouver. We reported on BMO’s collateralized debt obligations which many of us remember from 2006 and 2007 before the bubble burst.
Collateralized debt obligations (CDOs) are packages of a bunch of mortgages, mostly bad mortgages with a few good mortgages. The package is rated by the top few good mortgages, often triple A. That is insane.
The level of derivatives manipulating the markets into temporary prosperity will burst the bubble and cause long term pain.
We need to be self sustainable and not fall for the fake speculation.
Stay tuned for more on this story from WAM!
Video edited by Josh Sigurdson
Graphics by Bryan Foerster and Josh Sigurdson
Visit us at www.WorldAlternativeMedia.com
LIKE us on Facebook here:
Follow us on Twitter here:
FIND US ON STEEMIT:
BUY JOHN SNEISEN’S LATEST BOOK HERE:
Help keep independent media alive!
Pledge here! Just a dollar a month can help us stay on our feet as we face intense YouTube censorship!
Buy Tickets for G. Edward Griffin’s much anticipated Red Pill Expo 2018 in Spokane, Washington by clicking the link below:
World Alternative Media
“Find the truth, be the change!”
You might also like
More from NYC Housing
Inwood Rezoning Critics Stage Occupy Protest In Counciman's Office NEW YORK (CBSNewYork) – A group of 11 protesters opposed to zoning …
This upload is part of a blog. If there is any unintended copyright infringement please notify the channel operator. I …