Canada is on the verge of a real-estate crisis similar to the one that crippled the U.S. economy in 2008. Robert Shiller, an economist who predicted the infamous U.S housing bubble, said he worries that what is happening in Canada right now is “kind of a slow-motion version of what happened in the U.S.”
Just like the buildup to the financial crises of 2008, a variety of factors have placed Canada’s housing market in a difficult position. For starters, Canada is neck deep in debt. Since 1990, the average household debt has risen from 75 percent of household income to 150 percent. Any break in the economy could spell disaster for these homeowners who obviously have learned nothing from America.