VanRe

Bank of Canada Governor Stephen Poloz admits in testimony before the Senate Committee on Banking, Trade, and Commerce that it is the Bank of Canada's low rates, and not China, that is primarily responsible for inflated housing prices. In refreshing and remarkably direct questioning on October 19, 2016, Committee Chairman David Tkachuk asks, "aren't we at fault for the ease of people getting into a house, and it's driving the prices up?" The central bank chief's answer surprised me. He says it is indeed true.

With west-side single family home prices soaring over 20% year-over-year, you would have to have your head in the policy sands to not understand that Vancouver real estate prices are on the cusp of a full-blown hyper inflation. Those that are in denial are riding on the assumption that what happens on the Vancouver west side stays on the west side. It does not.