Canada considers the United States of America her most vital and central economic partner.
The two economies show interdependence and strong economic bond with 80% of Canada's exports meant for the US market while two thirds of Canada's imports come from the USA.
Nonetheless, the economic conditions of the US market pale in comparison to Canadian real estate market.
Canada's market is thriving while the US market is still struggling to survive for more than four years now.
For us to understand why this is so, we have to go back for a little historical trip.
Only then can we see possible developments.
Going back to summer 2006, the US housing bombed and many people were affected.
It was a lot worse for most people.
It made Canada worried thinking that the worst can also happen to them which is understandable.
The Canadian market is booming and flourishing for many years already.
Then it has reached prices that are record high in 2007 with the 5.
2% highest average appreciation for the years 2000-2009.
Home ownership also reached its peak.
Thus, it was disconcerting to see Canada real estate market starting to go down in the last quarter of 2008 only to go into complete freeze in the winter of 2009.
This happened to Canada's real estate markets especially to Toronto and Vancouver, considered the strongest.
Declines of 50% or higher were experienced leading to fears of long and difficult recession in the real estate market.
Fortunately, in spring of 2009, the market bounced back showing skyrocketing sales even to the point of having sales exceeding 100%.
Now the Canadian real estate market is seeing steady growth and is doing a lot better than most real estate markets around the world.
There are plenty of reasons for Canada's bullish real estate market: Having low interest rates is one reason given by experts.
When Bank of Canada slashed rates to.
25% record low this low-rate policy helped Canada a lot.
Unlike Canada, however, the low rate policy did not help the US.
The US market was riddled with subprime loans equivalent to 22% share of all loans in 2006-2008 compared to Canada which is only 5% being under subprime category.
Canadian banks enjoy the reputation of being the world's soundest as per World Economic Forum's assessment.
This stance helped Canada from the subsequent credit crunch.
Despite rise of unemployment, the increase wasn't as severe as the US and economy is slowly improving with jobs being added starting last summer.
Canada's social system deflected personal bankruptcies.
Generally speaking, Canada's real estate market has risen over the financial crisis that has swept over the globe.
It is now considered to be on solid ground which is expected to continue growing with the added influx of foreign investors buying real estate properties mostly in Vancouver.
The Bank of Canada has committed to keeping rates steady until summer 2010.
The Vancouver real estate market is actually in pretty good shape.
It is also poised for investors with low transaction costs and almost zero restrictions on foreign buying of Canadian real estate properties.
Vancouver is a very attractive investment potential for anyone with the right capital and mindset.
If you are a potential buyer, investing on Canadian properties will be one decision you will never regret.
Definitely, you will be buying into a solid market with sound financial system in a robust and healthy economy.