OTTAWA -- The federal government is ready to clamp down further on mortgage rules if the boom in the Canadian housing market turns into a bubble, says Finance Minister Jim Flaherty. In an exclusive interview with Canwest News Service and Global National, Mr. Flaherty said the government is closely monitoring the redhot housing market for signs that it is reaching "irrational" levels. "The reality is we have low mortgage rates . . . so we can expect some upward pressure on housing," he said. "That's OK, as long as it doesn't become a bubble. We're watching that." If you are procrastinating buying a home read this article; Flaherty Impact.pdf (301.17 kb)