Friday Free-for-all!

Hey, it’s the end of another work week!

You made it to the weekend and that means it’s time for another Friday Free-for-all!

This is our regular end of the week news roundup and open topic discussion thread for the weekend, here are a few recent links to kick off the chat:

A petition for change
A variation
No more goofy superstitions
Reverse mortgages popular
Mo Debt
Royal Bank scraps limit
Uncle and Aunt-ecdote
Times they are a changin’

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

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Whistler or bust?
Guest
Whistler or bust?
Toronto and Vancouver will be the key housing markets to watch when new statistics are released this week, raising the spectre of the B word. “For lack of a better word, I would call it a bubble. A lot of people don’t like using that word because it doesn’t sound very scientific,” economist David Madani of Capital Economics said in an interview. “But anyone who hasn’t been asleep for the past 10 or 15 years will realize that there have been bubbles in stocks, commodities and housing markets in much of the developed world.” The question is whether it will soon be time for Toronto and Vancouver to start suffering a decline in real estate values. The Teranet-National Bank composite house price index (HPI), which tracks single-family homes in 11 regional markets across Canada, will show robust price growth in… Read more »
tell me
Guest
tell me

Curious who know or know of how common fake bids are these days…all a agent has to say is that there are multiple offers and he or she could be bluffing.so many times when a house has struck interest with me the listing agent all of a sudden says there’s another offer coming. …do share friends

_southseacompany
Guest
_southseacompany

Are your investments safe from US interest rate lift-off?, The Telegraph , UK

http://www.telegraph.co.uk/finance/11982723/Are-your-investments-safe-from-US-interest-rate-lift-off.html

“Global markets were shocked last week after a strong jobs report in the US made a December rate rise all but certain.”

“investors in the FTSE 100 have been lulled into a false sense of security by record low interest rates, and could be ill prepared by the speed of market reactions.”

would-be buyer
Guest
would-be buyer
Bond markets are moving due to expected inflation in the US, not Canada. Yellen doesn’t care about Canada when she lifts rates. Wages are expected to rise in the US. Canada, not so much. Canadians have been dumb. While the US deleveraged over the last 7 years, Canadians have piled on debt. The US consumer can handle a couple of rate increases. Canadians, not so much. Not to mention, a US rate increase will push our dollar down and Poloz will be in the difficult position of having to decide between a 50 cent dollar (and with it inflation -can’t imagine the cost of US imports at 50 cents) or lifting rates. My guess is that he will be forced to lift rates in 2016. In any event, even if there is wage inflation in Canada, it will be off-set… Read more »
Moldcity
Guest
Moldcity

Softy: is your theory that inflation and wages will go hand in hand?

VCI Admin
Admin

@58 why can’t it be both?

Best place on meth
Member
Best place on meth

Either VCI has been hacked or the Pope had a stroke.

Softy
Guest
Softy

“I look fwd to the fear and panic as bond yields drive borrowing costs upward for the first time in years and years.”

But is it not true that interests rates will rise only if there is inflation and if there is inflation wages will rise?

Westside Realtor
Guest
Westside Realtor

I look fwd to the fear and panic as bond yields drive borrowing costs upward for the first time in years and years.
If you think over leveraged borrowers are ready for it..then perhaps go buy a bunch of houses.

My call for SFH prices is down down down.

WSR

Shut It Down Already
Guest
Shut It Down Already

vangrl, no the admin is having issues with it too – the ad revenue isn’t enough to bother with upkeep.

vangrl
Member
vangrl

am I the only one having issues with this site?

tedeastside
Member
tedeastside
tedeastside
Member
tedeastside
southseacompany
Member
southseacompany

“This settles it: The Fed is going to raise interest rates in December”, Washington Post

https://www.washingtonpost.com/news/wonk/wp/2015/11/06/this-settles-it-the-fed-is-going-to-raise-interest-rates-in-december/

“Nine-year-olds are about to see something they haven’t their entire lives: the Federal Reserve is going to increase interest rates.”

“And it’s probably going to do that in December. That, at least, was the message markets took from last month’s gangbusters jobs report.”

Westside Realtor
Guest
Westside Realtor

US unemployment rate at 5% [yes I know of all the underemployment, etc..still looks solid], wage growth accelerating…

Could be in for a steady rise in rates and I suggest this could drive business investing, and gradually drive up global interest rates.

Lows for interest rates are in. The next phase of marginal buyers will be the first in close to a decade who will have borrowing capacity lowered by higher interest rates.

Suggest this will be a catalyst for much much lower prices over the next few years…

Dec 16th, does it all change?

Mortgage rates are set to go higher now.

WSR

Brian Ripley
Guest
Brian Ripley

“Interest rate going up: this one is very unlikely to happen”

According to my Canadian Yield Curve Chart

http://www.chpc.biz/yield-curve.html

I looks like the bottom in rates was set in 1Q 2015 and since then a modest higher low appears to be in place.

pricedoutfornow
Guest
pricedoutfornow
This article was intriguing. Private mortgages are thriving in Canada, I’m seeing a lot of these in my line of work. It’s pretty concerning, as the article states these mortgages have a term of 1 year. In a worst case scenario, these mortgages, just like the US subprime mortgages, could have a huge detrimental effect on the whole RE market. If real estate takes a dive, I could see the lenders (who are just regular people, in some cases, looking for a better investment rate)refusing to renew these mortgages, thus forcing some people to sell, perhaps at a price less than what they’d wish. Thus forcing the entire market down. Is this what’s to come? By all accounts we have a bubble in Canada, mortgage fraud (we saw that reported last week in the Globe), this week it’s risky mortgages,… Read more »
Whistler or bust?
Guest
Whistler or bust?

16, you’ll probably find as many examples of posts where people have extrapolated a short-term bond trend into imminent rate increases as you have signatures on your petition.

Not sure where you are going with this. I am only reporting the facts. The 5 yr Gov’t of Canada bond rate has not been this high for more than a year. Where it goes, I don’t know but currently it is going up.

So unless you are going to provide some actual information useful to decision making then perhaps you should just go away.

realist
Member
realist

@26 Oracle:
“Victor Wong of the Executive Director at Chinese Canadian National Council – National Office is belittling people who say foreigners are responsible for the crazy RE prices.”

Standard propaganda practice to wrap up a lie in ridicule. In social animals such as humans, ridicule, shaming, and shunning are highly effective tools to manipulate behaviour. It’s the favourite big stick of the politically correct.

You’re racist! Oh, you’re not white either? Indian, you say? Well, even more shame on you! still racist!

realist
Member
realist

@43 Shut It Down Already Says:
“if what you say is correct then there won’t be a single historical example of a real estate crash in an area with the demographics you describe. Does that sound likely?”

Well, we’ll find out eventually. As to the historical record, just how much residential land ownership by Sikhs in a foreign country do you have to base it on? I’d venture: less than Chinese land ownership in a foreign country.

Polozi Scheme
Guest
Polozi Scheme

@3

David Eby should be the next Premier of BC. He already beat Krusty Clark in her own westside Vancouver riding in the last election. BTW the westside is where she lives and owns an ever increasingly valued house thanks to the BC Liberal Govt’s own lack of housing policies – although we do have a Minister of Natural Gas and, oh ya housing..

https://www.youtube.com/watch?v=ZzdBMNzKe_Y

Shut It Down Already
Guest
Shut It Down Already

24, if what you say is correct then there won’t be a single historical example of a real estate crash in an area with the demographics you describe. Does that sound likely?

GreenSalad
Guest
GreenSalad

@ w…….Post # 3

Yes honourable speaker, this is a NATURAL GAS and (housing) bill…….

LOL!

Shut It Down Already
Guest
Shut It Down Already

16, you’ll probably find as many examples of posts where people have extrapolated a short-term bond trend into imminent rate increases as you have signatures on your petition.

Vanco
Guest
Vanco

HAM is really a global phenomena. Does the following look familiar?

https://www.bostonglobe.com/metro/2015/10/10/for-some-foreign-students-driving-passion-for-luxury/eYkBwYnXa4ZRDmT2s3mhUO/story.html

I am starting to think that housing at current price may still be a good investment.