The latest International Monetary Fund Global Financial Stability Report (GFSR) looks at risks in the housing markets in key economies. These include the US, Canada, Australia and China.
Some of the points (mostly unsurprising):
- house prices in major cities around the world move in tandem …more likely that a shock in one country will affect housing markets elsewhere
- large declines in home prices are associated with economic contractions and risks to financial stability
And, this:
- Downside risks to house prices could also be relevant for monetary policymakers when forming their views on the downside risks to the economic and inflation outlook.
For the US:
- Downside risks to house prices in the United States appear to have fallen over the past decade
Not so good for Canada:
- Downside risks to house prices ... have increased over the past two years in Canada
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Link is here for more, its a long and detailed piece but may be of interest.