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September 19, 2008

Canada's housing boom at an end now, too

I noticed an anecdote in a news story today about a homeowner named Heidi Samuda, who expected a sale within a few weeks when she listed her townhouse last month. Still on the market, she's dropped her price by $30,000.

Is she behind the times, expecting a quick sale nearly three years into a slump? Nope. She's in Canada, which boomed later and is now feeling the pinch that started here a while ago.

The Globe and Mail reports:

The property market has been slowing for months across much of Canada and the recent turmoil in the financial sector could slow things even more. Banks are toughening lending practices, fewer discounts are being offered on posted mortgage rates and several players have pulled out altogether.

Back in January, real estate sales were still so hot that one big lender sent more than 100 mortgage brokers to Paradise Island in the Bahamas for a three-day trip at the island's exclusive Atlantis resort. All bets are off for a similar trip next year.

How much of this change is a ripple effect from the U.S. market, I can't say. But the financial industry is so global now that one must assume some connection.

Posted by Jamie Smith Hopkins at 12:14 PM | | Comments (1)
        

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I like the new picture.

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About Jamie Smith Hopkins
Jamie Smith Hopkins, a Baltimore Sun reporter since 1999, writes about the regional economy. Her reporting on the housing market has won national and local awards. Hopkins is a Columbia native and has lived in Maryland all her life, save for 10 months spent covering schools in Ames, Iowa.
She trained to become a wonk by spending large chunks of time as a geek and an insufferable know-it-all.
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