Toronto’s housing market took the biggest blow. During the pandemic, interest rates hit historic lows creating an easy-money feeding frenzy. A housing bubble is a run up in housing prices fuelled by demand, which reaches unsustainable levels to the point of collapse. A 30 per cent drop in Toronto prices would bring prices back down to where they were in December 2020. “This will continue to push buyers on the sidelines.”There are already worrying signs that investors, who helped produce the bubble in Toronto’s housing market, are in serious trouble.

Source: thestar October 23, 2022 02:28 UTC