Speculators: Flaherty will get you nowhere

Our Federal Finance Minister Jim Flaherty has something to say about the recent sales drop in expensive Canadian housing markets like Victoria, Vancouver and Calgary:

“I, for one, am not particularly concerned about the softening we’ve seen in some markets in Canada in residential real estate,” Flaherty told reporters, noting that Ottawa has twice tightened mortgage rules.

The most recent changes, which took effect in April, made it more difficult for some Canadians to qualify for a mortgage.

“This is entirely intentional, to tighten the market, so that we avoid the excesses that we’ve seen in other countries,” Flaherty said. “If we have to do more, we’ll do more.”

Quoted in the Calgary Herald.  Read the full article here.

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Taipan
Taipan
9 years ago

I was going to spend some time, reading this thread, but alas, i must go and update my database for my target market and log all of the price reductions and no sales.

Oh dear…………….

I will be a buyer when prices return to a sensible level, but there will be a lot of tears getting there, and lot of scratching of heads with people whispering, "whowouldathoughtitpossible"

realpaul
realpaul
10 years ago

Bwahahahahahahahahahahahahaha….the value of your litter box in The Electra has effectively gone to zero….

http://www.vancouversun.com/technology/Residents+

The COV paid the hotel bill for the interim based on 'the fire' but now the stink is so bad it unlivable ( says the owner)………bwahahahahahahahaha…..let the lawsuits begin over the non disclosure of the patent and latent defects by the original owners…….Just what was the ' mystery vault' and theneed to hide that mysterious 'said' vault that disappeared off the legal transfer docs when the building went strata?????This just gets betterer and betterer.

Even Mr. Runnie Farty Pants wouldn't try to flog this sick puppy….and never mind the litigation. But I'll bet there'll be a whole lot of listings coming up soon. wwwwoooooohhhhoooooooooooo !!!!!!!!!

andy
andy
10 years ago

Nothing to see here….move along…. Bubble or not, Canadian markets in for rude awakening David Rosenberg The Bank of Canada's decision to embark on a series of interest rate hikes is already throttling back on growth. Thanks to those hikes, we have a Canadian dollar that is at least a nickel above any realistic estimate of its fair value, and a pace of overall economic activity that is now falling at a surprising rate. The central bank’s decision to raise interest rates was based on Canada’s initially strong rebound from the depths of the recession. Unfortunately, the nature of that recovery may have sown the seeds for trouble ahead. By my calculations, every basis point of the Canadian economic recovery was the result of the boom in the housing sector. That goose is no longer laying any golden eggs. In… Read more »

realpaul
realpaul
10 years ago

Yup, feet up, watchin cable, slapping the fools,,,,,sweet.

Patiently Waiting
Patiently Waiting
10 years ago

I have been looking through Craiglist rent ads because I'm considering moving. Last time I looked this intensely was back in 2006-2007. There are way more pet-friendly apartments, or at least ads that don't specifically say NP or no pets. Its nice to see. Maybe there will be few less people who have to abandon their furry little friends.

Note: If I was irritated at all by the number of "no pets" ads, I'd come out and say it. I ranted about that a couple years ago here. At least in the suburbs, things have changed.

Paulb.
Paulb.
10 years ago

Anyone catch the global 11pm OV story? What a mess! I would imagine any developer even considering buying the remaing inventory would want a minimum discount of 50%.

Anonymous
Anonymous
10 years ago

@realpaul:

Who sits on a computer blogging while in Hawaii?

Your parents won't let you out of the hotel room?

Anonymous
Anonymous
10 years ago

realpaul lets stop discussing your shared room in Richmond and back to Vancouver Condo. otherwise please go bye bye no one cares about your right wing rhetoric. it's sillier than dave claiming a line up at the ov

Anonymous
Anonymous
10 years ago

@realpaul:

"guess where I am"

Hawaii. You already told us. You're obviously excited about it. Don't travel much?

realpaul
realpaul
10 years ago

Dear Frank, the world is larger than the space up your ass…..too bad your education and smarts have served to stick you in that shithole you call a life.

Here let me help you…..WWWWAAAAAAAAAAAAAAAAAAAAAAAAAAAAAHHHHHHHHHHHHH. feel better…….. frankie?

The sun just went down here…..guess where I am….nope….. its not Newton.

Frank
Frank
10 years ago

Realpaul- you are a little Bigot, and you would laughingly have us believe that you have lived in BOTH Hong Kong and India.

Sure buddy – whatever you say. Anywhere else you have lived, Monaco? Biarritz? Rio?

Wish there was some way to put your drivel on ignore.

Gusy please install an 'ignore' button

realpaul
realpaul
10 years ago

The 'room for rent' signs are posted in the ethnic grocery stores…each room is usually asking 450 to 600 from what I've seen……shared facilities…own bedroom….I suppose the ensuite rooms fetch a slightly higher price. Having lived in HK and India …I can say this is common. I saw a garage suite in Richmond not long ago…..I didn't see much insulation, it would have been drafty in the winter. I have also seen plenty of garage half conversions of townhouses with the tenant door leading into the rear yard. There are also 'mandarin schools' and math classes etc etc going on in converted garages…all unlicensed. The city is going to leave the immigrant lobby alone the same way that the language police only pick on white owned businesses selling packaged produts that don't have both official languages. Ever gone in to… Read more »

Bilbo Bloggins
Bilbo Bloggins
10 years ago

Saw huge lineup at Library Square today in Vancouver.

I go see what the fuss is all about.

Oh, it's a little job fair. People waiting hours in line to apply

for $12/hr jobs so they can take out their first mortgage.

Buy now before these people do.

VHB
VHB
10 years ago

Days elapsed so far 16

Days remaining 5

Average Sales this month 105

Average Listings this month 233

Projected sell/list 45.1%

SALES

Projected month end total 2208 +/- 75

95% Conf Interval lower bound 2132

95% Conf Interval upper bound 2283

NEW LISTINGS

Projected month end total 4896 +/- 91

95% Conf Interval lower bound 4805

95% Conf Interval upper bound 4986

MONTHS OF INVENTORY

Inventory as of August 31st 15962

MoI at this sales pace 7.23

Note: This is a simple linear projection of month end totals.

This provides the answer to the question

"What will month end totals be, if things continue

on the same pace we've seen so far this month?"

SuperSmartBull
SuperSmartBull
10 years ago

It's all about the airport and Cape Fear college…eat your heart out Ian Watt.

http://www.youtube.com/watch?v=kHPge92bzag

Keeping An Eye On Th
Keeping An Eye On Th
10 years ago

"Larry thinks sales will spike in the coming weeks."

Does it really matter what Larry thinks?

Burpy
Burpy
10 years ago

@junius: How exactly is she freaking out? Please ellaborate.

Best place on meth
Best place on meth
10 years ago

@junius:

Did Larry hear that from Ian Watt?

5 Vancouver BC
5 Vancouver BC
10 years ago

@Best place on meth: Make sure you read it right because small numbers of sales can ignite the prices more higher than the large numbers.I believe bears in Canada are the only losers in this world since decades as they are surrounded by…..

☆**♥5 Vancouver BC*♥☆

*☆**♥☆**♥☆**♥☆**☆*

☆**♥WAVING FLAG**☆

junius
junius
10 years ago

Larry thinks sales will spike in the coming weeks.

Paulb, any thoughts on this?

Also, I miss the 300+ listing days – do you see a return to these glory days?

thanks.

My Mom in Edmonton (she's a realtor) is FREAKING OUT.

Yes!

junius

NO-LYMPICS
NO-LYMPICS
10 years ago

BIFF:

What I see in some locales is South Asians build a monster house using almost exclusively South Asian labour(including grandpa ), live in the place a few years then often sell it to Asians. Of course, this would be for capital gains, but it is quite a big racket. The downside is the dependency on the Asian market.

Anonymous
Anonymous
10 years ago

whats the inventory at paul? i think thats the real number we shoud be looking at, who cares if theres 200 listings in a day if 150 places expired or got pulled off the market

Best place on meth
Best place on meth
10 years ago

@paulb.:

Another day in bear paradise.

As always, thanks Paul.

paulb.
paulb.
10 years ago

New Listings 237

Price Changes 101

Sold Listings 78