Canada Courts Housing Bubble IMF Sees as Risk With Record Rates: Mortgages

"Banks are competing to offer mortgages at rates as low as 2.99 percent as their funding costs drop on investor demand for the relative safety of Canadian bonds amid Europe's fiscal crisis. That's fueling real estate purchases, potentially inflating a housing bubble and adding to record household debt, which the International Monetary Fund says poses a risk to the nation's economy."