The Canadian Property Bubble Reaches Contagion, Making A Financial Crisis Likely
Prices just outside of frothy Canadian real estate markets are growing much faster than in the city. That’s typical of a bubble, and it’s called “housing bubble contagion.” In a paper titled Housing Bubble Contagion From City Centre To Suburbs, three Taiwan-based researchers argue bubbles spread outwards. Bubbles force investors and developers to look for “deals” outside of the city, sending prices soaring. The result is a larger bubble, with suburban prices being much more frothy. Looking at Canadian real estate data, that’s exactly what’s happening in Canada.
Original Article Source Credits: Better Dwelling, https://betterdwelling.com/
Article Written By: NA
Original Article Posted on: 18th June 2021
Link to Original Article: https://betterdwelling.com/the-canadian-property-bubble-reaches-contagion-making-a-financial-crisis-likely