My neighbor's decided to sell their house a month ago and decided on an asking price of $800,000.
After 1 open house, she sold it more than that. Unreal

IMO who cares if it drops 15%

It's currently more than 100% increased from what it was TEN years ago. Go back 15 years and it's 200%... but I'm talking just ten! I know this for a fact because I bought a place in 2003 and 1 bedrooms brand new were $179,000 in 2003 for a decent sized one... same place now is $350,000.

15% is a fucking drop in the bucket. I'm sure everyone would panic anyway.

I think as the financial crisis unravels, the world will enter into a multi-decade depression. Canada will not be immune and I believe our real estate sector will be particularly hard hit because housing is so over-valued. In short, I think RE prices in the GVA will decline 50% over a 10 year period in real terms (prices will be less dramatic in nominal terms).

I can see a price decrease (especially in apartments) but I don't think houses will drop that much.

Oops double post.

Urbanation - Toronto Condominium News: Record Quarter For Toronto Condo Sales

Have a look at the latest CHMC report on the GTA as well. Another ~42,000 new units are been constructed in 2012...

Here's a quote from the article:

The 338 active projects and 84,698 active units were also record highs. The average of 18.0 sales per project, however, was lower than in Q1-2011 (18.3) and Q1-2010 (20.4)

The Vancouver area as already started dropping. People have to stop taking in asking price data and start looking at the selling price....that and stop watching GlobalTV for real estate news and do some real research.

Detached homes will be safe, particularly if you're in a city north of the Fraser and close to transit and ammenities. I'm sure there are loads of local buyers who are sitting on a couple hundred grand in liquid who are waiting for price drops of 100K on that starter bungalow on Fraser St, north Kaslo St, or Dumfries.

Many of my married friends are pulling in at least in the mid-100s in combined annual income. A starter home under 600K with a basement suite is definitely within reach.

i honestly can not wait for condo prices to tank and they will. pretty bad infact. when they do, ill finally be able to afford to buy my own place! i could easily rent right now, but i cant justify paying someone else's mortgage.

Yeah, there is a huge difference in house vs. a condo.

I'm always surprised at the condo market because I tend to look at it differently than others. A condo to me is a depreciating asset. You don't own land, you don't own the building. You own the fixtures inside which break and look dated. Every so often, a group of your most annoying neighbors decide that they would like something new and force you to pay for it.

How that appreciates is beyond me.

I think people need to get off the whole "paying someone else's mortgage" idea. If it's that big of a deal, there are plenty of buildings that are professionally managed in the West End, Fairview, Cambie Village, etc whose suites are not individually owned.

As I've said on various threads as a condo-owner who's aware of all of the pitfalls of strata ownership, there's nothing wrong with renting, especially if you're in your 20s.

If you're an owner, the strata/maintenance fees for condos is what really hurts!

Oh that reminds me - I owned (sold it recently) a 1/2 duplex in the Marpole area. For my 2012 taxes, it showed that my land appreciated (makes sense), and so did the house itself (wtf)!

its a liability