FFFA! bikes, bankruptcy, business & bankrates

Hey, will you look at the time?

It’s the end of another work week, and that means its time for our regular Friday free-for-all!

This is our end of the week news round up and open topic discussion thread for the weekend.

Here are a few recent links to kick off the chat:

Poloz: steady as she goes
Canadian housing market in danger
The Canso race car analogy
Vancouverites get worked up
Duncan mall in foreclosure
Detroit files for bankruptcy

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

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T
Guest
T

I kept hearing of some asian realtor convention on the radio today. What was that about?

GT
Guest
GT
Our body relies on B12
Guest
Our body relies on B12

Amazing points totally, you just acquired a brand new target audience. What might a person propose in terms of the post that you produced some days previously? Any a number of?

GT
Guest
GT

Latest household credit numbers from the Bank of Canada (to the end of May 2013)

http://credit.bankofcanada.ca/householdcredit

Newcomer
Member
Newcomer
Dr N
Guest
Dr N
I work in Detroit and I have done so for the past 15 years. The most amazing thing about the Detroit bankruptcy is that it took so long. It surprises me everyday that the power is still on (mostly – my UPS kicks in briefly most days), the traffic lights still work (except when it rains hard), and the potholes are (eventually) filled. The causes of the bankruptcy are multi-factorial, but the primary cause is deep and abiding mismanagement and corruption at many levels. It would be good if the bankruptcy proceedings would destroy the existing power structure in the city, but I am not holding my breath on that one. Not everything about Detroit is bad. There is a grittiness and an energy that I like. I love the architecture – Detroit has a wonderful skyline. Over the past… Read more »
Pdub
Guest
Pdub
I have been catching up on some things I missed while I traveled and was blown away when I noticed this one. I have been tracking the implied inflation rate of the Canadian Real Return long bond since 2002. In June that rate fell to 1.8%. The only other time I have seen it that low was from October 2008 to May 2009, the acute phase of the financial crisis. The bond market appears to be concerned about the threat of deflation in Canada. In contrast, the implied inflation rate for the US 30 year TIPS pulled back but only to 2.11%. In fact the spread between the US and Canadian levels are sitting near the highest I have seen. It appears expectations for inflation/deflation for the two countries are diverging. While the numbers have improved a bit they are… Read more »
Democrass
Member
Democrass

Here is what Paul Krugman, the nobel laureate who predicted the US real estate crash says about China:

Yet the signs are now unmistakable: China is in big trouble. We’re not talking about some minor setback along the way, but something more fundamental. The country’s whole way of doing business, the economic system that has driven three decades of incredible growth, has reached its limits. You could say that the Chinese model is about to hit its Great Wall, and the only question now is just how bad the crash will be.

http://www.nytimes.com/2013/07/19/opinion/krugman-hitting-chinas-wall.html?_r=1&

southseacompany
Member
southseacompany

Interesting article by Robert Shiller in UK’s Guardian;

“Speculative bubbles don’t just pop – they may deflate and reflate”

http://www.guardian.co.uk/business/economics-blog/2013/jul/19/speculative-bubbles-property-stocks-bonds

“One problem with the word bubble is that it creates a mental picture of an expanding soap bubble, which is destined to pop suddenly and irrevocably. But speculative bubbles are not so easily ended; indeed, they may deflate somewhat, as the story changes, and then reflate.”

M
Guest
M

Feels like 2008 in Canadian stocks? The post-recession high was in 2011 and the all-time high was in 2008. While US stock market at all-time high NOW. Some say because the US market is propped up with QE, do I have to give the money I made in US stocks back because it’s propped up :)?

bears
Guest
bears

so, which one of you bears will move to the BK or soon-to-be-BK city detroit, san francisco or san diego? you have this best place on earth so much, why havent you move there? At least, VREAA already packed her packs!
And since you have nothing to do today, please dont protest infront of the restaurant in the DTES – let the guys do their business, and make the hellhole better.

Vulture Fun
Guest
Vulture Fun

In October 2012 I posted this:

My Amateur Landlord Panic Index (ALPI), measuring rentals available in a certain range, has reached a new high of 710. I will post again when the 800 mark is reached. Over the years (since 2008) normal seems to be 350 to 500.

Well, I didn’t get a chance to post updates when it hit 800 or 900, because the last time I checked it was at 1029!!!!!! The wife speculates that it’s because of people wanting to lease to students, but my search terms are not student friendly (2 bdm, $1300 to $1800).

UBC in crisis mode
Guest
UBC in crisis mode

If you buy this piece of land at UEL, Van West (assessed at $5,000,000), build a house for $1,000,000, then sell for $7,000,000, you make some money (water views).

However, the seller is asking for $9,500,000 (?!):

http://www.realtylink.org/prop_search/Detail.cfm?areatitle=&ARPK=&ComID=&agentid=&MLS=V992729&rowc=4&rowp=1&BCD=GV&imdp=9&RSPP=5&AIDL=21&SRTB=P_Price&ERTA=False&MNAGE=0&MXAGE=200&MNBT=0&MNBD=0&PTYTID=5&MNPRC=6000000&MXPRC=9900000&SCTP=RS

Son of Ponzi
Guest
Son of Ponzi

# 12
If your ALPI fund is correct, the Amateur Landlords will soon be eating ALPO.

Son of Ponzi
Guest
Son of Ponzi

# 13
Must be the heat wave. Sellers are getting crazy.
This one in Steveston:
14-4388 Bayview St.
Assessment 933k
Listed at 1,295k
V1017906
It’s a fricking Townhouse!

franko
Member
Active Member
franko

Nuriel Roubini warns about hard landing for China.

Any economist not ringing alarm bells over China???

Hard to find a place outside of Asia that will be impacted more than the BC economy.

Son of Ponzi
Guest
Son of Ponzi

China is cracking down on corruption, starting with large foreign corporation (GSK).
http://finance.yahoo.com/video/china-gsk-crackdown-unnerves-business-114300678.html
Will they go after the “naked officials” owning properties in Vancouver next?

billy
Guest
billy

“Any economist not ringing alarm bells over China???”

and there were all wrong.Chanos is broke shorting China. FACTS bears FACTS. not bullshit that you hear in the news.

Mackler
Guest
Mackler

Duffy, Wallin, Trudeu would be serving hard sentences in China but not in corruption infested Canada.

franko
Member
Active Member
franko

Gee billy, thanks for setting us straight on China.

Now that’s obviously not the same Jim Chanos, billionaire, who runs the Kynikos Fund with one of the most enviable track records on Wall Street?

billy
Guest
billy

listen franco, the only thing that I (and whole world) can see crashing is little bit closer to the home (Detroit) Kapeeesh?

Whose making money?
Guest
Whose making money?

“While US stock market at all-time high NOW. Some say because the US market is propped up with QE, do I have to give the money I made in US stocks back because it’s propped up”

In 2007 the S&P 500 Index traded at a P/E of 20
Today the S&P 500 index trades at a more reasonable 14.9 times earnings.

Its not just QE money its value and growth of earnings.

Melba
Guest
Melba

Maybe the folks still buying Vancouver RE have been to Peru recently….

http://www.torontosun.com/2013/07/19/noises-in-womans-head-were-from-flesh-eating-maggots

One Migrant Economy
Guest
One Migrant Economy

http://www.bcrea.bc.ca/about/bcrea-blog/bcrea-blog/2013/06/27/interprovincial-migration-go-east!-%28but-stop-at-alberta%29

In 2012, BC finished the year with the largest net outflow of inter-provincial migration in over a decade. There are any number of factors that play into a person or family’s decision to leave the province, but generally the main reason is jobs and BC has been falling behind other provinces when it comes to creating jobs.

Moreover, since neighboring Alberta is leading the country in employment growth, it is no surprise that people are leaving the province to explore greater opportunities right next door. Indeed, unemployment rate differentials between BC and Alberta explain a great deal of observed net inter-provincial migration patterns.

billy
Guest
billy

a little photo album of crash for dumb bear downvoters
http://www.zerohedge.com/news/2013-07-19/photo-album-main-streets-dead-city

enjoy bears.

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