This has defied gravity for a long time, and I never understood it. We had international hot money rolling in and prices went to a ridiculous peak. Then the money rolled out, which was something like 5 years ago. Since then, everything has been the 'living dead'. In 1990, we had the third child coming and wanted to move out of our tiny city house. In the course of a month, the price dropped 40%. I kept reducing the price, and it sold. The market was clean and the house we were after also dropped.
This market has not been clean. I suspect the banks were doing something dirty to keep the zombies walking. All shattered now. The monster house up the road was worth 4mil at the peak, recently was asking 2.8 and went down to 2.6 before being removed from the market. They pasted a phoney 'Sold' sign on it, and we were surprised. We have lots of monster houses not being sold.
The monster houses are probably at 50%, condos at 50% and regular housing 30%. Our major ice cycle has delayed Spring to May, and this probably crashed the market.
ps sorry, this is not a crash. A crash is dynamic. People start buying the garbage. This is just the continuation of the zombie market, supported by the banks. This went on a long time in Japan, but they finally created a 'bad bank' which took up the losses.
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