This article was last updated on April 16, 2022
Canada: 
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A report published by TD Economics has anticipated that the most viable choice of investment in Canada, i.e. real estate, is most likely to enhance at 2 per cent annual rate of return over the next decade. The report states that “in other words home price gains should simply match the pace of inflation.”
However, the report also suggests that houses will still remain to be the most rewarding kind of investment, doing better than all other sorts of investments excluding the stock market. The report published on Monday predicts the residential real estate in Toronto and Vancouver to carry on doing comparatively better than the average of the rest of the country. The report, entitled as “long-run rate of return for Canadian home prices,” has been published in the midst of increasing worries regarding the future of real estate prices. Due to several convincing reasons, including slower economic growth, tighter mortgage rules and the prospect of higher interest rates, the charm of the housing market has lessened in the recent era. The report confirms that “with the slowdown in the Canadian housing market well entrenched, many are worried about the future value of their homes.”
Even though several are worried that long-term rise in house prices may result in a correction or a crash, the report of TD predicts the market will more likely slow down and then level off. TD chief economist, Craig Alexander, explained that after rising an average of 7 per cent a year for the past decade, the Canadian housing market “has undoubtedly cooled down over the past six months.”
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