Movie Moment: Dr. HouseDebt
See the full-size version suitable for framing or using as desktop wallpaper here.
The Big Six Canadian banks (in unison): We’re concerned easy-money tax payer insured mortgages are encouraging people to go into more debt than they can handle and they won’t be able to pay off their uninsured debt.
The Finance Minister: Right now, there is no compelling evidence of a housing bubble in Canada.
The Big Six Canadian Banks (in unison): We fear the wide ranging economic fallout of a US-style binge-and-collapse in housing.
The Finance Minister: There are certain tools available to the government if we choose to use some or all of them.
The Big Six Canadian Banks (in unison): Please sir, let go of that lever.
The Finance Minister: Yee-haw!
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February 16th, 2010 at 9:23 am
That image is perfect !!!!!!
CMHC = Canadian Moral Hazard Corporation
February 15th, 2010 at 12:27 pm
@averagejoe86:
I only have two things to say to people who feel like you.
1) Keep those feelings front and centre next election cycle.
2) Write to your representatives in Ottawa! We need to bombard these people with letters or they’ll never get it through their thick skulls that people actually care about this stuff.
February 15th, 2010 at 12:07 pm
Flippers in my area had been taking advantage of the 5/35 and had been using it to buy, keep and flip. The house across had been flipped 8 times in about 15 years. Each time the price had gone up about 100 thous. Get rid CMHC!
February 15th, 2010 at 11:30 am
Sorry right, I’d blanked Chipman from my mind, because of what a humongous prick he is I suppose. I’d actually forgotten all about him.
February 15th, 2010 at 11:28 am
@Gordon C.:
Which makes sense. People who bought high are screwed no matter how slowly prices go down, and the faster prices go down, the fewer people will buy high. I wonder why more people don’t understand this.
Compare the quick bust in BC in the early 80’s with the endless post-1990 bust in Japan. Which economy recovered faster?
February 15th, 2010 at 11:23 am
@Drachen:
You’re thinking about Paul B. on the North Shore. Chipman is very much on duty on his blog. Which is worth reading, if you’re interested in a not-totally-biased realtor’s POV.
February 15th, 2010 at 11:14 am
Its also David Dodge (formerly the BoC) and some of the lead economists of the World Bank that are worried about inflation and asset bubbles in housing. Countries like Canada and China could have serious consequences to a “pop” in house prices. Most of these economists want to let the air out slowly to get to bottom. Which implies that they have some control over the psychology of the masses. In otherwords, somehow they are going to keep people buying as prices decline. Now, that’s a magic trick. My thoughts are different, I say let’s get to the bottom fast and then we can start to re-build. Kind of like tearing a band aid off a cut.
February 15th, 2010 at 11:07 am
@Vansanity:
Chipman’s been gone a year, his successor does a lousy job.
Go to Agent Will for up to date stats and graphs.
February 15th, 2010 at 11:03 am
Chipman’s numbers are weekly. Posted every Monday.
February 15th, 2010 at 11:00 am
Anyone know where I can see daily or weekly stats? Are we able to access MLS Xchange now?
I see Chipman’s numbers are monthly and Paul’s site is no longer tracking.
February 15th, 2010 at 10:50 am
The Bay is selling condos in their Olympic souvenier shop. There was a 30 minute line up of hundreds of rich Asians and Europeans waiting eargerly for their chance to own “the ultimate 2010 souvenier”.
One women showed her shoping list: red mittens, canada sweater and condo. And not just one of each item. She had was buying 6 of each to take back home and distribute to relatives.
February 15th, 2010 at 10:48 am
Inspired by patriots comment on the big banks urge tighter mortgage rules story.
February 15th, 2010 at 10:34 am
@crabman:
Moe (harper) is the one who pulled the lever, Curly (Carney) jumped first to make sure Flaherty would have a softer landing (he plans to catch him before he hits the ground).
February 15th, 2010 at 7:35 am
Nice to see F riding the rocket DOWN. Very telling.
February 15th, 2010 at 7:19 am
I see Larry on that rocket, but where are Moe and Curly?
http://www.clown-ministry.com/.....tooges.jpg