“A couple of weeks ago I hung out with a guy who doesn’t have a day job, he just renovates and flips. He was oblivious to the shift in the market, and quoted Global as saying prices were up (HPI). Another friend, who took out a home-equity loan to cover his daughters downpayment was even less aware (basically unaware that there is such as thing as a market that can change). When the truth gets out to the masses, we are going to see sales grind to a near dead stop.”
– N at VCI 15 Aug 2012 6:18pm
When the “truth” of the falling market becomes obvious to the vast majority, all buying premised on rising prices will stop.
In Vancouver’s case, that describes the majority of the buying in recent years.