FFFA! ALR! Extrapolate! Citizen! banish!

Hey! Look at that!

It’s the end of another week.

Let’s get this party started!

It’s Friday Free-for-all time. This our regular 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:

Get well Skook!
What is fair value?
-Cheapest places to buy citizenship
Do away with the ALR?
Who’s the racist?
Good investments in Canadian RE?
Some local condo incentives
Euro rates go subzero
Extrapolations for fun and profit

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

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FedUp
Guest
FedUp
Read this on Yahoo Finance this morning: As IPO nears, Alibaba prepares employees for $40 billion windfall (link: http://finance.yahoo.com/news/ipo-nears-alibaba-prepares-employees-004716569.html) The most interesting part of the article: [QUOTE: BMW dealerships in Hangzhou have fielded enquiries from Alibaba employees asking if they have models in orange, Reuters Insider television has reported. But the Chinese government’s austerity campaign is likely to keep a lid on too much ostentatious spending, and because the stock listing will be in the United States most of the money employees receive from eventual stake sales would likely be kept offshore rather than flow back to Alibaba’s Chinese base. “Check real estate in Vancouver, not so much Ferraris and real estate in China,” said a person closely involved with the IPO who was not authorized to speak publicly on the issue. END QUOTE] Vancouver should brace for a new… Read more »
johnyboy
Guest
johnyboy

If an Chinese IPO puts up our RE prices then we know we are really screwed and we should just leave this city and given them the keys.

Actually not all is lost on this front. Lets see where June’s sale and average price sits. The May bounce in price was tiny and it came after a big drop in April. Maybe we will continue down this month. Of course the central banking whores are dong their best to thwart us

Janitor Yellen
Guest
Janitor Yellen

To put it in terms Canadians understand:

[QUOTE not making this up!]
“The Vancouver Millionaires (later known as the Vancouver Maroons) were a professional ice hockey team that competed in the Pacific Coast Hockey …”
[END QUOTE]

http://en.wikipedia.org/wiki/Vancouver_Millionaires

Vancouver’s residents have a long history of chasing fake millions only to finally becoming chump maroons and then going out of existence enirely.

For those who still question the origin of this cancerous debt bubble worldwide, the choice of a Chinese company to IPO in New York on NYSE and Nasdaq leaves no doubt. Near the end, Rome had their borderline mentally retarded rulers before confidence in the empire was forever lost. In today’s era, this decline will happen at the speed of light.

LOL! Check out the mugshot on the Alibaba guy:

http://www.bloomberg.com/news/2014-05-06/alibaba-keeps-nyse-nasdaq-waiting-for-listing-venue.html

jajaja
Guest
jajaja

Metalic gold Lamborghini. N sticker. Triple 8 license plate.

http://imgur.com/lWlblhV

Many Franks
Member
Active Member

A couple more CMHC tweaks, though they look to be non-issues to me…
CMHC drops mortgage insurance for condo developers

Canada Mortgage and Housing Corp. says it will no longer offer mortgage insurance to developers to finance the construction of new condo buildings.

The Crown corporation has not actually provided any of the controversial insurance since 2011, but is now officially removing the product.

CMHC also said that it is tightening up its standards for homeowners who have a down-payment of more than 20 per cent.

patriotz
Member

@5: “CMHC also said that it is tightening up its standards for homeowners who have a down-payment of more than 20 per cent.”

It’s not a legal requirement for mortgages to be insured if the down payment is >= 20%, but lenders can make it a condition if they want to.

So what message is that giving us?

mayo
Guest
mayo

@CMHC CHANGES… so either you have under 20% or over 20% you will be forced to get insurance? That means they think the market is overvaluated by at least 20% or they want more cash from savers to cover the sheeples with 5% down… fackung communism schema

Skook
Member
Skook

Ben Rabidoux tweeting lots of interesting data & charts this morning.

Says, “Latest jobs report in Canada shows y/y job creation lowest since 2010, full time employment growth NEGATIVE for first time since recession.” Check out his chart.

He’s also posted charts for major market “Sales/New List Ratio”. Here’s his twitter account:

https://twitter.com/BenRabidoux

LL
Guest
LL

Unemployment rising, labour participation the lowest since 2001 and the most near sighted government in history continues to flood the country with TFW’s that once here they forget about completely. Nice to find out from a Chinese newspaper that Alexander is yet again pandering to the corruptly wealthy in HK with a new pay for passport plan. Once here their full time occupation becomes how to avoid paying for anything.

Romeo Jordan
Guest
Romeo Jordan

“I’ve it when a plan comes together.”

Relax. Enjoy the show. Get comfortable, it starts slowly but gets more exciting as we go.

Burnabonian
Guest
Burnabonian

http://www.reuters.com/article/2014/06/05/us-lockheed-martin-canada-f-idUSKBN0EG2P820140605

I wonder whether they will be built here using a Canadian supply chain.

Melba
Guest
Melba

….I wonder whether they will be built here using a Canadian supply chain….

Of course they’ll be built here, but only using TFWs. 🙂

pete
Guest
pete

Serious question, does anyone have a rationale why there are so many sales right now. Everytime I mention anything about the housing market contradicting the beliefs of this board I get downvoted.

I seriously want to know what’s happening at the moment that’s causing everyone to buy.

Low interest, those haven’t changed in awhile, yet there are so many sold signs all over the place.

cris
Guest
cris

Pete,

I think people think the elevated price and increase will stay forever. It will be the norm. It was the norm for 10 years now. (according to my wife)

Vancouver RE is kind of like an orgasm which it doesn’t last for 5 seconds. It lasts for years. It makes it hard to do anything else in the meantime.

Burnabonian
Guest
Burnabonian

Where are these sales coming from?

VREAA would say “mania” — pure and simple.

My belief is that sales are a trailing indicator; one of the last things to change. Kind of like determining how badly a ship is damaged by counting the number of people you can see in liferafts.

Just because the residents of Vancouver are still busy rearranging deck chairs doesn’t mean that the engine room isn’t rapidly filling with salt water.

Are the electric bilge pumps keeping up for now? How long can they run on battery? How long can I keep this metaphor…afloat?

Only the sea knows for sure.

Janitor Yellen
Guest
Janitor Yellen
@13 pete. Realtor owned 0% down properties are marketed with sold sticker to find out who in the area is worried they’re missing out. Truth in advertising laws should force another sticker to be applied when they find someone to overpay. That sticker should say “FLIPPED”. Realtors have no transaction costs, so if they can get fools to notice some funny signs, they can make money like a high frequency stock trader. The real reason for most buying was disclosed a couple threads back. It’s the story of a weak man who can’t get sex from his wife without upping the ante every 6 months with shiny new borrowed assets to keep the wife happy. IMO, if the only attraction for the woman is how much the the man can borrow, he should probably use a hooker. It would be… Read more »
taylor192
Member

Sales are ruled by emotion, as they have been detached from fundamentals for a long time. Sales are high cause emotions are good.

We continue to see good news of price increases in the media. What we don’t see if that SFH are driving prices up, while condos have stagnated for the last few years. The uneducated buyer thinks all prices are up, buys a condo, never knowing it hasn’t increased in value for a couple years, and probably won’t for many years.

Reality Check
Guest
Reality Check

Pete,

Its uncontrolled non-permanent immigration.

My relatives are coming this way too. I had no choice as they kept hounding me and saying ‘everyone else is leaving for Canada’. I just notarized the documents they need.

I kid you not.

The Trend is your Friend
Guest
The Trend is your Friend

“I’ve it when a plan comes together.”

Relax. Enjoy the show. Get comfortable, it starts slowly but gets more exciting as we go.

________

Hey Romeo,

Remember when you used to say “the trend is your friend”…back in 2008 and since then?

What a useless bear cheerleader…

RealityCheck
Guest
RealityCheck

The Flood will continue.

These students who set up shop will one day end up in Vancouver or Toronto.

http://www.cbc.ca/news/canada/nova-scotia/international-grads-now-have-immigration-route-to-n-s-1.2667279

If you’re thinking of buying, Buy in Vancouver or Toronto. RE will only hold up in immigrant areas. All other areas of Canada are dependent on CMHC, interest rates, etc.

patriotz
Member

@13: “Serious question, does anyone have a rationale why there are so many sales right now… I seriously want to know what’s happening at the moment that’s causing everyone to buy”

Since every transaction has a buy and a sell side, couldn’t you just as well ask what’s causing “everyone” to sell?

Obtrusive Entitled Immigrants
Guest
Obtrusive Entitled Immigrants
@18 Reality Check. Are you talking Surrey or Richmond? If you’re talking Surrey, then I blame threat appropriate responses of rank and file American police and judges for driving the economically burdensome extended family immigration interest from parents, grandparents, etc out of the US: http://abcnews.go.com/US/judge-ordered-sikh-remove-rag-head-aclu/story?id=20400720 Further, “the DOT officer demanded that Mr. Singh turn it over. Mr. Singh tried to explain that he was a Sikh and that the kirpan was a sacred religious article,” the ACLU wrote in a letter of complaint to the DOT. “In response, however, the officer laughed at him and mocked his religious beliefs. ” Instead of allowing extended family to live together in an absurdly huge house in Surrey, the only option for extended immigration should be a domicile in secular and suspicious Quebec. Quebec can then properly earn their transfer payments by forcing… Read more »
crikey
Guest
crikey
@#21 – Yes, and likewise consider that when there is a lot of trade volume in a stock it is not a foregone conclusion whether it is the buyer or the seller who made the wise move. One thing we do know, local sellers haven’t been making any gains on property bought over the last few years, and especially so after considering realistic carrying costs (mortgage, property transfer tax, repairs, maintenance, etc, etc) . If they bought in the last few years, and have to move (divorce, job, death, sizing-up, etc, etc), after considering all costs they are losing big bucks. The days of huge YOY gains have been over for quite a while. Today’s buyers must be happy to be buying property that is depreciating in real terms. Or, they’re still reading headlines from years ago. @#16 Janitor Yellen:… Read more »
pete
Guest
pete

Thanks guys, to me everything is completely irrational at the moment, I just don’t see the reason for everyone to be buying.

When you look around businesses are closing or not doing as well as they use to the only places that have shoppers are discount stores, it seems like to me.

Yet the housing market is still insanely robust. But there’s no money for other parts of the economy.

I hope sales will catch up to reality soon.

tedeastside
Member
tedeastside

vancouverites are crazy for Costco, everything else is closing, dont know how a small business would survive in vancouver with vancouverites being the most Costco and Real estate obsessed people on earth

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