Using a bunch of local firefighters are props behind him, F stood outside a firehall near Ottawa and tried to quell the global angst this pathetic blog had created. “I would like to see the (housing) market correct itself,” the elfin deity said. Regarding calls by the banks to murder the 30-year mortgage, and by academics to dump the 5% down payment, the finance minister said this was ‘a bit much,’ since banks are the ones who determine risk.
“We have bank executives in Canada saying ’You know, really the rules on insured mortgages should be tightened up’. They must forget that they are actually the ones that issue the mortgages — it’s their market, it’s not my market.”
Ah, if only that were true.
By every measure, Canada’s exceeded the orgiastic housing excess that preceded the American real estate implosion, including the government’s key role in making shelter unaffordable for the average family.
A greater proportion of our economy’s now dependent on building, selling and financing real estate than was ever the case in the US…
And look at this. The amount of exposure Canadians have to houses has exploded… (more)