I guess Larry was right when he said he saw some more buyers coming in.
So what do we make of this all?
Maybe the bulls are right. Maybe the combination of low rates for ever, Mainland Chinese investors, limited land, Retirees from out East, Booming penny stocks (I know some local mining guys who have made several $Mill this year), lots of highly-paid professionals will keep a bid under our property for ever.
Hey it is possible. I had always expected a 30-40% correction and in Spring 2009, I said that we may have just got that with the combination of lower rates shaving 20-25% off mortgage payments and prices dropping 15%.
Was that it?
Now we just go onward and up-ward.
What about Fraser Valley and the OK and Victoria and Whistler? Do they play catch up or does the buying move back out to them instead of the slump moving toward the centre?
I wish I could answer that question. I frankly expected buyers to go on strike here as they have elsewhere in the Province, but that wasn't the case. I expected prices to start a quick downhill slide, and that has not happened- though our local celebrity Realtor, Bob Rennie is already complaining that the HST and Campbell are ruining the housing market!
Ruining! We haven't even had a proper correction yet!!
Must RE only ever go up?! Are we so precariously balanced that even when it stops going up, we have to gnash our teeth and wring our hands? Apparently yes!! Today it was the TD's turn to weigh in with warnings. 10% of us are on the verge of catastrophe and it is all because of mortgage debt and the blame is 100% at the feet of the B of Canada and Government. They are the pushers who enabled this to happen.
What about the poor folk who are waiting to buy? Are they lesser Canadians? The politicians keep talking about helping young and poor Canadians buy a home. The BEST way to help them is let prices drop to affordable levels. Stop meddling! Stop dropping rates and insuring mortgages for a start.
OK so is this a capitulation post. No it isn't. But once again I am baffled by the market and once again I am willing to quit or at the least go on a hiatus from blogging IF (Chad get you pencil ready):
October shows up with:
..and higher HPI.
because they do not add up and there is no point blogging about Alice in Vanderland.