I have said this very many times.  In fact it is likely the most asked question when I do talks about the state of the real estate market etc.  ”Should I buy Real Estate in the US?”  I ALWAYS answer Yes, BUT not yet.  This article by renowned editorialist Diane Francis supports my answer.  THE BOTTOM HAS NOT FALLEN OUT YET!You  can go ahead and buy I guess but know this:

1.  Sellers in the US have not accepted their reality and still have prices too high
2. taxes for foreign investors adds a lot of extra cost, check it out BEFORE you buy
3. Understand that mortgage money in the US is incredibly scarce, especially for foreigners. Which means you may need to hold Canadian debt, which is not as advantageous.
4. Finally and more importantly, the prices are still dropping, and I thin potentially by a bunch.  Why would you willingly buy a property today for a price that 12 months from now will SIGNIFICANTLY less

Be wary…

CMHC announced that it is expanding the very popular Canada Mortgage Bond Program to include 10 year bonds.  The Canada Mortgage Bond was created to bring greater liquidity to the markets as well as cheaper borrowing rates for lenders which of course get passed on to consumers.  With cheaper 10 year mortgage money coming, you may see more consumers opt for this strategy given the turbulent waters ahead as we navigate rising inflation over the next 12 to 18 months.