RE Crash 2009

Canadian Real Estate Slows Inexorably- Part III

This article is very misleading. For starters it compares year end Real Estate Board numbers with the October Teranet Index. In Vancouver the local Real Estate board index dropped 4.1% in November and 2.8% in December. I'm sure the Teranet index will show a similar drop when it releases numbers for these months. Given the current 2.8% month over month decrease you are looking at an annualized decline of over 30%. The Vancouver market is in free fall and there is a record number of units under construction in the city which will just add to the inventory problems. We are already down 14.8% from the peak in May and I expect we will see another 20% decline in 2009.