Random predictions for the future!
I've been having quite a bit of fun researching silly little things lately. Like Real Estate prices in different parts of North America and using ex-shipping containers in housing projects. Also, how wealth is created and destroyed in general. I find it fascinating how many areas there are that once were economically prosperous but now have huge amounts of abandoned housing, such as large parts of Michigan. There are even places in Florida and New York that are incredibly cheap due to the bad influences that abandoned housing tends to create. I wonder how long it will be until all of the urban land... yes, I mean all of it, is used. Urban sprawl can't spread on forever.
I find it fascinating just how valuable land in urban Alberta has become. Most sites I checked state two major factors. Firstly, $70 a barrel Oil, secondly Alberta is the only province without PST. Alberta still has lots of open land, it doesn't make a ton of sense in my mind that Oil extraction should boost housing prices in Fort McMurray as substantially as it has. Also, why are housing prices in Edmonton being strongly affected? Are there really that many people interested in a five hour commute to work?
Anyway, there are two underlying factors that affect the price of houses... and everything else for that matter. The cost of the labour involved and the cost of the materials.