Friday Free-for-all!

It’s the end of the week and that means it’s time for the news roundup and open-topic discussion.  Here are a few stories I’ve noticed lately:

Canada slips on oils slide
Leading index slips most since 1982
BC Economy: The worst is yet to come
CMHC predicts 2009 house prices to fall in BC
Canadian debt loads in ‘danger zone’
Middle class squeezed in good times, what happens in recession?
Almost 5 million in US getting jobless benefits
What you can get for $1 million
Americas ports clogged with foreign cars

So what are you seeing out there? Post your news, links and thoughts here and have an excellent weekend!

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digger

NO -LYMPICS:

#253 no-lympics, I personally of one bldg where the max rent is $265 p/m. This is a tax subsidized tax payer built co-op. The co-opsters are all well heeled ( some are quite rich and have second and third residences) types who NEVER let a single mom or disabled person in. It's a 'friends and relatives club'.

NO -LYMPICS

Post # 256 patriotz

Excellent points:

Reminds one of Miemoller and WWII with the quote about not speaking up when others are taken away and then one is the only on left.

Seem to recall when Chrysler had troubles in the 1980's the others ie GM and FORD did not want to see them die. Why? Perhaps it was an economic version of Niemoller..Chrysler was an insurance policy to buffer them , and to give them a case via precedent for a bail out if need be.

Being the last man standing is more a cause for "me next"?concern than any even remote claim of victory.

patriotz

Ozzie is right inasmuch as the market bottom will be a tiny bit higher than if the Ritz were completed.

What he is ignoring, of course, is the reason why the Ritz was cancelled, which is because the RE market and general economy are headed to hell in a handbasket. Sort of like the Ford dealer cheering because the GM dealer has gone bust. Yes he's better off than if the GM dealer were still open, but the fact that the GM dealer has folded means he's headed for tough times too.

Vansanity

About the Ritz being dead: I saw Bob and Ozzie on the news last night. Ozzie said this is good because it will reduce the number of condos on the market, and therefore there will be less supply and stable prices.

So, this genius, in essence just said that $1.8M-$28M luxury condominiums would have actually competed with the $250-$500K shoeboxes like the Spectrum. And that this news will reduce supply now even though the Ritz wasn't scheduled for completion until 2013.

Pure genius and the sheeple just keep eating it up.

Vansanity

Observer – For those that haven't read Niall's book The Ascent of Money, it's worth the read. I think ella mentioned it earlier too, definately go read it, it's fascinating.

He predicts civil unrest in the coming while. They were just talking about this on bnn this morning. Gun sales are up and one gun manufacturer's stock is up 41% this year already and are now reporting they are out of finished inventory.

NO -LYMPICS

post 244 digger

Yes I have heard those stories, especially with Vancouver co-ops. I seem to recall a while back some parties around False Creek were benefitting from outrageously low rents till they were raised.

I've even heard stories about how some live in co-ops and rent out homes they own, a real double – dip by these hypocrites.

Totally abuses the intent of the co-ops.

patriotz

Seattle, which peaked July 2007, is now back to October 2005 prices:

http://seattlebubble.com/blog/2009/02/24/case-shi

The first US metro to peak – San Diego in November 2005 – is now back to October 2002 prices.

Supraboy

#247

Anonymous Says:

February 24th, 2009 at 8:54 pm

An honest landlord/seller

&ldquo ;http://vancouver.en.craigslist.ca/apa/1048860519.html"

$1000 for a dump, you go ahead and rent it off that person. Rental rates are still sky high. Time for me to buy a condo.

observer

http://www.theglobeandmail.com/servlet/story/RTGA

Interesting article by economics historian. Talks about many things.

scullboy

Lilly Darling, Food and recipes are meant to be shared, which means it's impossible to be jealous. That and I mastered ribs many years back. My ex's in-laws still ask for the recipe, which I stole from a Guyanese drag queen back in Toronto. 🙂 Plus, my dinners these days consist of things like stuffed loin of rabbit, hand – made lemon thyme fettucini with onion confit. Oh and hopefully Human778 will get this: You asked about culinary schools. The best in the city are VCC, which has an excellent reputation, and PICA which I attend. I hear PICA (Pacific Institute of Culinary Arts) is among the 50 best culinary schools in the world. The instructors are mainly French. Sadly that means no formal training in the preparation of dim sum. However if you're going to eat that sort of… Read more »

Anonymous
Anonymous
anonymous

No, the bust is pretty much over, now is a good time for a program like that. Renting and owning are similar costs right now, why rent.

patriotz

A Vancouver credit union has tackled this “problem” with a mortgage package designed to help tenants in non-profit housing buy their first homes.

Right on the cusp of a major RE bust and recession. Bankruptcy, here we come.

digger

NO-LYMPICS:

#241 no-lympics, many of the non profit co-ops are full of highly paid professionals who have worked through the social housing 'networking ' scam to get the cheap digs for themselves. There are False Creek co-ops ( on Lameys Mill Rd for example) full of actors , producers, lawyers, activist types on city payrolls who nepotistically keep the new applicants strictly amongst friends and yet get all the subsidized goodies that should be going to the disabled, the single moms etc. The system is Vancouver really stinks. You can bet any social housing units at the Olympic Village won't ne going to the needy, thats not the way it works in the COV.

darkwindows

Anonymous:

#240 anon, thats cool, as soon as prices fall 50% or more here as they have in the stated US examples it may be more affordable here to. We can only hope that we catch a break this cycle and see the low prices at the same time as low intrest rates. The article mentioned though that although affordability was getting closer it wasn't showing up in sales stats and that may be due to the prices continuing to fall in all 20 major markets as evidenced in this mornings Case Schiller filing.

NO-LYMPICS

WOW:

Saw Bob Rennie and Ozzie Jurock (or reasonable dopplegangers)on Global News story about the Ritz (Titz -Up) Carleton story.

They shall bless our RE market with their humbled presence.

Many that is one deep hole they dug…for some reason they apparently finished it. Wonder how long it will last?

NO-LYMPICS

No Money Down Mortgages Still a Good Idea? This One Works

http://thetyee.ca/News/2009/02/24/Mortgages/

Social housing tends to fall victim to its own success. After waiting for years to get in, residents tend not to move out — even after their incomes rise or their families shrink — because they know they won't find a better deal anywhere else. And the longer they stay, the longer the next generation of non-profit tenants must wait on a list.

A Vancouver credit union has tackled this "problem" with a mortgage package designed to help tenants in non-profit housing buy their first homes.

Anonymous

Wall street journal reports on the return of affordability in some us markets. http://online.wsj.com/article/SB12355212942366466

NO -LYMPICS

Thousands of police to lose jobs as forces feel the pinch Chief constables fear crimewave as recession bites http://www.timesonline.co.uk/tol/news/uk/crime/ar… QUOTE: Large numbers of police forces are planning to cut thousands of officers despite the threat of a recession-driven surge in crime and disorder. Representatives from dozens of police forces contacted by The Times last night gave a grim picture of falling numbers and “significant and painful” cuts. One of Britain’s most experienced chief constables said that forces were being dangerously weakened at a time when a strong police force could be essential to “hold the line”. Timothy Brain, Chief Constable of Gloucestershire since 2001, said: “There is a risk of increased crime and disorder as a result of the effect of recession and many police forces will be made weaker as a result of the latest grant and council tax… Read more »

NO -LYMPICS

Garth's blog talks a lot abourt Commercial RE The next few months are unknown, but will not be easy. In this context, my mailbag is brimming. Today a question from Rob in BC about commercial real estate: My question is, “do you think under any circumstances it may be a reasonable time to purchase a commercial property”? I have been a successful furniture retailer in the lower mainland the last 20 years. I have always rented our place of business and have now found a better location with a price reduced 25% from last year. I can buy the building for less than I could rent something similar for. I’m thinking serious inflation may start to develop next year and a large mortgage would get easier to pay as time goes on. I have no debts, personal or business and… Read more »

Lily pad

A bit off topic, but this is for COCO if she's out there.

A recipe I found and once you try it OMG. You will think you went to heaven:

http://www.theworldwidegourmet.com/recipes/spicy-

I tried it on Sunday and cooked the ribs in the oven for 2 hours surrounded with a mixture of tomato sauce blended with some canned chipotle peppers. OMG.

Today I am trying the same recipe with chicken. OMG. Can't wait.

Scullboy, you will be jealous!

Lily pad
Lily pad

Here are today's BNN clips on real estate from their week long focus on RE:

David Foot's analysis:
http://watch.bnn.ca/the-close/february-2009/the-c

Don Campbell (Investment Bull — ick)'s analysis:
http://watch.bnn.ca/the-close/february-2009/the-c

Supraboy

"#181 realpaul Says: February 23rd, 2009 at 5:04 pm Supraboy: #177 hang on soupy , soupy hang on. Sure theres lots of million dollar listings, the problem for the sellers is the dearth of buyers. I have some left over sushi , will you buy it from me for a million? Lets ‘circulate’ the wealth. I guess your Dad doesn’t let you take the newspapers down into the bsmt. If thats the case I would guess that the cat gets better information from his time in the litter box. Lay off the MSG and Red Bull." Obviously, you don't know a lot of people in town, the rich will always recirculate the money amongst themselves. There are so many buyers waiting on the sidelines with a lot of cash. As long as listings remain high, I doubt your dooming and… Read more »