Friday July 31, 2015
Betting against the Canadian real estate market: is a bubble about to burst?
more stories from this episode
- Betting against the Canadian real estate market: is a bubble about to burst?
- One woman's mission to save a lion cub
- Stories from the darkroom: turning the lights out at Blacks
- Should we create a new country solely for refugees?
- Day 6 encore: James Ellroy and 'Perfidia'
- Riffed from the headlines 01/08/2015
- Full Episode
Speculation about the Canadian housing market right now is wild, with private investors and even the Bank of Canada warning that housing in this country could be overvalued by as much as 30 percent. This week, a Toronto-based mortgage brokerage called Home Capital Group became the second most-shorted company in Canada. On Wednesday, it announced it had severed ties with dozens of mortgage brokers who they say falsified documents about borrowers' incomes. These brokers were responsible for $960.4 million in single-family mortgages last year. Marc Cohodes is a former hedge fund manager who began shorting the company's stock in the fall of 2014. Now, he stands to gain from the company's potential downfall. Marc Cohodes spoke to Day 6's Peter Armstrong about what the Home Capital Group situation may mean for the Canadian real estate market.