For years, home prices in Canada tracked those in the US, including during the crazy bubble years. But as US home prices peaked in 2006 and then skidded downhill unglamorously, Canadian home prices, after a brief swoon during the financial crisis, just continued to soar, unperturbed by reality and unhampered by any sense of gravity.

Now the average home price in Canada is $400,000, according to an analysis by BMO, one of the largest Canadian banks. In the US, where price bubbles are forming once again in a number of cities, the mean home price is $250,000. OK, we’re comparing average and mean, which aren’t the same thing, but the trends speak volumes (chart by OtterWood)

….read more HERE