Yes .... House prices are rising, but condo prices are not. The cranes (in your video) are putting up lots of space so the demand is being met. Houses (as in I

Yes .... House prices are rising, but condo prices are not. The cranes (in your video) are putting up lots of space so the demand is being met. Houses (as in I have a basement) prices are still rising. Lots of foreign investment. People are buying house with CASH. 1 million dollar crappy places with cash. We even have a tumblr about how crappy some of the situation is http://fmlistings.tumblr.com/ http://fmlistings.tumblr.com/. Toronto is perceived as a safe place to invest. I agree that we have better regulation of the finance markets, but it's starting to get out of hand. But .... There are still cheaper places available. You just can't live in the city. You live in the suburbs and commute. Pickering, Milton, Barrie, etc. It's like living in Manhattan. You most likely can't afford it. So queens, brooklyn are cheaper options. Prices in Toronto (IMO) were low to start with. Vancouver prices were higher than us, but there was no justifiable reason for it other than it was "nice". Economically, Toronto is a better place for jobs. My thought is that we are catching up to what it should have been and ... The government is intervening. They are removing the easy credit without raising interest rates, by making it harder to afford a mortgage. If the market doesn't respond in kind, They will continue to make efforts to slow the market. I have faith in the Bank of Canada. The governor has repeatedly put us on notice that he will intervene if it is necessary and if we don't reign in our personal debts.