Canadian Housing Bubble

[Mike Lamch]

Hey,

I am a wondering what people are thinking regarding a possible Canadian housing bubble. Right now house prices in Canada are skyrocketing at a record setting pace, especially in the Toronto and Vancouver areas. I know that the Canadian debt levels are at an extremely high rate and I also know that wages aren't going up at a rate even close to the rise in housing prices. Also right now the interest rates are very low (around 2.5%). I'm wondering what kind of effect an increase in interest rates or a downturn in the economy will have on the housing market. Could it be possible that were in for a housing market crash similar to the one in the US back in 2008? There is so much conflicting information online so it is really had to know what to believe. I'm currently looking at buying my first rental property (student rental) in either London or Waterloo Ontario, and I am just worried about getting in the market at the peak of a bubble. I am wondering if its better to buy now or wait. Let me know your thoughts.