There are questions about the recent housing market rally that is happening right now. Specifically, people are asking the question “how long will it last?” It appears that the most recent gains are going to level off a bit which has already started to happen in many markets across Canada. We should still however realize very modest price increases in the near term, but only when contrasted with what happened in late 2008 and early 2009. Additionally, as a result of these modest price gains we should see more sellers venturing into the market, which further will ensure a general flattening out of prices over the next 12 – 18 months. Depending upon the outlook for inflation, we may see a slight rise in interest rates in the second half of 2010. Conversely, if inflation remains somewhat idle, then the interest rates will go unchanged resulting in a prolonging of this balanced real estate market.