It is always a bit difficult to answer that question, because we have to be mindful of the effect that that could have on the markets.
In our last review, published in December, we noted that several fundamental factors impact price increases, such as demographics, interest rates and low mortgage rates, as well as constraints on supply which we discussed earlier. These are all factors that keep the price of homes high, but there is at least something concrete and real.
In June and December, the Bank of Canada said that it was a little concerned by the fact that expectations could become self-fulfilling prophecies. People think that the cost of homes will be higher in the future, so they buy today and this causes the cost of homes to increase. That is to some extent what is happening. Expectations can change rapidly when there are shocks.
That is an abiding concern, but the fact remains that fundamental factors linked to jobs and incomes support the price of homes in Greater Toronto and Vancouver. Nevertheless, we still have concerns along the lines of those you have expressed.