I really don't understand this. At all.
They said it's only a matter of time before the "tipping point" is reached and the housing and credit markets crack in Canada.
Once again, a financial institution makes headlines based on a news release based on a report that no-one can read (at least, I can't find it). Why on earth do journalists think that this sort of thing is newsworthy?
Especially when no-one else can make head nor tail of it. I've not seen any evidence that the Canadian housing market is as wildly over-priced as it was in the US; if anything, it could be argued that house prices have been too low.
But hey, it got Merrill Lynch Canada some publicity. And that's all that matters, isn't it? Well done, you brave stenographers of the financial press!