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The Real Estate Board of Greater Vancouver says single family detached home prices are up 16.8% over the last five years while apartment prices have risen just 0.2% during the same period.

At some point I can see the markets going in two different directions

“I don’t know about a crash in one and nothing in another,” said Doug Porter, chief economist with Bank of Montreal, talking about the two different classes of housing.

But clear differences in the market to the point they are going in opposite directions? That’s another story.

“I can definitely see that happening. A lot of the [condo] market in Toronto and to extent some other cities has been driven by geography and government policy. At some point I can see the markets going in two different directions,” said Mr. Porter.

While the last market crash, discounting the brief pullback in 2008, was driven by soaring interest rates, this one could come from oversupply in one segment of the market.

This has already begun in Quebec where the condo market is feeling the impact of collapsing prices and single family homes have managed to stay in positive territory.

Hélène Bégin, senior economist with Desjardins Group, says it comes down to a supply issue which is being felt most acutely in Montreal where 30% of existing home sales come from high-rise condominiums.

“I wouldn’t say there’s been a crash as much as an adjustment of 5% to 10% that will happen in the next year. We are just seeing the beginning of it,” said Ms. Bégin.

She says the market for single family homes has been better in terms of price because it is more balanced without a massive influx of supply.