Unreal estate

[mockingspike]

I've been wondering how to measure whether Calgary real estate is overpriced relative to other places. As far as I can extrapolate from articles that are three years old or so, the average two-bedroom rent in Calgary is a little over $800 (I'm assuming $830), and the average residential sale price is $325,000, thanks to a 30 per cent runup in

Comments

[electric_yogurt]

Boy have I got things to say about that. Housing prices more so than rental prices. But the two are related, albiet in a roundabout way relating to the supply and demand of houses and rental accomidations.

Next time we do coffee, ask me about . . .
Current house prices.
Current mortgage rates.
Future house prices.
Future mortgage rates.
The 3-5 year housing/economy forecast.
The 5-10 year housing/economy forecast.
False equity.
And the trap of borrowing against it.
The coming 10% mortgage interest rate.
And the foreclosures you'll see because of it.

Oh, there's going to be a lot of houseless people in the not too distant future. Mark my words. Things are going to continue on the current trend for a bit still, peak, drop and then average out.

And as a side effect, rental units will become very scarce and very expensive. Mark my words.