The boom started before the Canadian one. Americans were incented to go deeper in debt because they can write off interest and they had 0% down earlier. So people go into debt for more than they can afford because they figure they can just write off the interest. The problem is that the interest rate has come up and many of those barely-making-it folks will have little equity to soften the blow. And they also have credit cards, car loans, home equity loans (default on that and lose the house), and other forms of credit.

Canadians will see some contraction following interest rate hikes. However, they aren’t in quite as much debt, since we don’t write off interest. And we have a lot of foreign investment in markets like Vancouver, as well as a booming economy and no major war debts. But that doesn’t mean we’ll be fine.