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[dave]

I think you can get a very good idea where house prices and the overall economy in Canada are going in the not too distant future by checking out the following information from a credit market summary data table on Statistics Canada's web site:

The total debt outstanding in Canada at the end of December 2012 (bottom line of the data table) was $5.25 Trillion. From the end of December 2011 to the end of December 2012 the total debt outstanding in Canada increased by $269 Billion. For that 366 day period the total debt outstanding in Canada increased at a rate of $735 Million per day.

http://www5.statcan....2=33&id=3780122

With a total credit market debt of $5.25 Trillion and a gdp (at current prices) of $1.83 Trillion Canada's total credit market debt is 2.86 times the size of our gdp.

http://www.statcan.g...dsbbcan-eng.htm

Most people know all too well that the size of the hangover incurred the morning after is directly proportional to the amount of partying that went on the night before. The hangover that is coming to Canada and the rest of the so-called advanced economies of the world as a result of the debt-fueled party which has been going on for the last 40 years is going to be a doozy.