Under our rates view, many Canadian mortgage borrowers may be forced in the coming years to refinance their loans at higher mortgage rates.Here's Goldman Sach's analysis:The recent rapid rise in house prices in Canada presents a risk of eventual over-heating.A model of bust risk that accounts for house price-to-rent ratios, past changes in real house prices, investment-to-GDP ratios, real GDP growth and inflation puts the probability of a 5% or larger downturn in real house prices over the next 5-8 quarters at around 30%.

I already own a rental property in North Nashville (single family home 3bd/2ba) that I'm renting out, but I am currently looking for a primary residence in west Nashville (Croley Wood, Charlotte Park, or even Nations) based on proximity to my office in Belle Meade.Obviously, I have missed the boat in these areas and prices are inflated.

It won't be derivatives on the secondary market with questions about who actually owns the overly inflated note, this time.

Some careers the pay starts off great then has little increases to barely keep pace with inflation.

If income grew at 3% inflation, its about $57,288 currently.

@Kareem AaronIf your cash flow sucks, you may want to ride the wave of inflated values and then dump the properties.  

They have expenses too, just like you would if you self market, the good thing is, you don't carry that expense, but you'll get inflated comps and deflated rehab costs, but that comes back down to math.

But, the condo is in a great location, rental inflation could increase cash flow over years, the condo is much cheaper than other nearby condos because of the land-lease.

For example, if you are given the opportunity to take a 5% interest rate loan on a car or pay it in cash you should probably take a loan because on average the S&P grows roughly 7% accounting for inflation; investing in real estate, however, has potential for a much higher rate of return. 

Inflation will happen but rents should still keep going up annually unless a flat market.