Thursday, September 6, 2007

Say hello to the Canadian real estate bubble




Good news. America is not the only country suffering from bubblefever. Our good friends north of the border have also caught the virus. Here is a wonderful "two-up, two-down" from Vancouver.

The property currently holds a tenant, or as the Canadian realtor writes - "a tanant". It seems that Canadian realtors have the same spelling difficulties as their more southerly counterparts. Apparently, the tenant (tanant) is also "very nice". The realtor said nothing about the character of the current owner. However, the picture says quite a bit about his moral standing.

The realtor also tells us that the property is "neat and clean". Unfortunately, the photo suggests otherwise. That matress is certainly full of bugs and other unmentionable Canadian creepy-crawlies. Those blue bags and other sundry rubbish items would be better placed in the municipal rubbish tip rather than the garden.

It is on the market for $468k. Those are Canadian not American dollars. Aren't our dollars worth more than their dollars? Does that mean that our dollar is better? Or am I suffering from money illusion? Are there any economists out there that would like to take up those questions. In any event, this property is overvalued in any currency.

My grateful thanks to Tom for this one. The property can be found here. If there are any other horrible houses that our Canadian brothers and sisters would like to share with us, this blog is happy to oblige.

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