Canada's housing bubble began to show the first signs of trouble in July. The Canadian Real Estate Association said Wednesday that sales fell by a seasonally adjusted 14.7 per cent from July 2015 and are now at their lowest level since January 2008. On 2 August, British Columbia's 15% transfer tax on homes involving foreign investors came into effect, with data for the first half of August showing sales dropped 51% year-on-year, with detached home sales down 66%. The trend has increased speculation that a Canadian housing crash has begun, with the Bloomberg Nanos Canadian Confidence Index reporting that the percentage of respondents expecting a decline in house prices has increased from 12% to 20.5%.
Canada's housing bubble began to show the first signs of trouble in July. While apartment prices rose 27% year-on-year and detached house prices 38%, total sales fell 19%. On 2 August, British Columbia's 15% transfer tax on homes involving foreign investors came into effect, with data for the first half of August showing sales dropped 51% year-on-year, with detached home sales down 66%. The trend has increased speculation that a Canadian housing crash has begun, with the Bloomberg Nanos Canadian Confidence Index reporting that the percentage of respondents expecting a decline in house prices has increased from 12% to 20.5%.