Hating the mortgage-free

This is a weird story.

Guy buys a house in Toronto and pays off the mortgage in 3 years by working all of the time, living in his basement and spending little to no money.

And people are angry?

But after CBC News reported Cooper’s story late last year, reader comments flooded the internet, either praising or reviling the 30-year-old’s financial achievement.

“What is he going to do next, buy a car and sell one of his kidneys to pay for it?” snarled one reader.

An era of cheap interest rates has helped ignite an escalating and troubling household debt binge. The topic has become such a touchy one it can spark polarized opinions, finger pointing and even contempt.

Read the full article here.

Sort by:   newest | oldest | most voted
Bull! Bull! Bull!
Guest
Bull! Bull! Bull!

>This is a weird story… And people are angry?

it’s envy, plain and simple. you know, the same reason why this blog exists and the reason why people who can’t get together a down payment pray for the evil home buyers to be punished for their sins by the Great Rate Spike! oh Great Rate Spike, strike down these sinful debtors with your powerful compound interest of justice!

Royce McCutcheon
Member
Royce McCutcheon

Attacking the guy is BS, but I think a lot of people are rolling their eyes because it sounds like a story that legitimizes the status quo.

Makes me think of something I heard about in high school history: Alexey Stakhanov
https://en.wikipedia.org/wiki/Alexey_Stakhanov

Yunak
Member
Yunak

Practical guide and good analysis on how RE business is conducted in Vancouver by usual Chinese investor:

Criminals may be drawn to real estate as a channel to launder illicit funds due to the:

» ability to buy real estate using cash
» ability to disguise the ultimate beneficial ownership of real estate
» relative stability and reliability of real estate investment
» ability to renovate and improve real estate, thereby increasing the value.

Criminals are also motivated to buy property for further profit or lifestyle reasons.
Compared to other methods, money laundering through real estate – both residential and commercial – can be
relatively uncomplicated, requiring little planning or expertise. Large sums of illicit funds can be concealed and
integrated into the legitimate economy through real estate.

Strategic analysis brief
Money laundering through real estate

http://www.austrac.gov.au/sites/default/files/sa-brief-real-estate.pdf

bird
Guest
bird

@1 BBB: This blog exists for envy? Hmm. I don’t know. There are definitely some envious people here, but it’s not like there’s no one here who doesn’t have a down payment. I think it’s reasonable to draw a line between an interest in Van RE that’s based on envy and one that’s based on perceived value.

For some people Vancouver house prices are obviously worth it, for others not so much. I’m in the later category. I have friends with houses in Vancouver and I can’t say I’m envious. It would be great to have an asset that has risen tremendously, but the owners I know are struggling a bit (although not like the guy in this article, thats extreme!) and I’m not convinced that it’s worth it to live in Vancouver, but to each their own.

Best place on meth
Member
Best place on meth

@5

A fairly in depth read about money laundering, but I think the 10 methods they listed are only a “Top 10”.

I’m sure the mainland crooks that have infested Vancouver have many, many more ways of laundering money, they are quite clever at their craft after all.

patriotz
Member

@6: “For some people Vancouver house prices are obviously worth it,”

People are willing to pay today’s house prices because they think they will be able sell for more in the future.

That’s not my definition of “worth it”, which is what you’re willing to pay to consume something.

Bull! Bull! Bull!
Guest
Bull! Bull! Bull!

@6

ok, i see now that i was overgeneralizing with my post.

bestplaceonearth
Guest
bestplaceonearth

“I’m not convinced that it’s worth it to live in Vancouver”

are you packing? Detroit is in need of people.

there you have it, a simple answer that bbb nailed it.

“it’s envy, plain and simple. you know, the same reason why this blog exists and the reason why people who can’t get together a down payment pray for the evil home buyers to be punished for their sins by the Great Rate Spike! oh Great Rate Spike, strike down these sinful debtors with your powerful compound interest of justice!”

squeak
Member
squeak
The Article about Mr. Cooper: “He worked up to 100 hours a week at three jobs: pension analyst; financial writer, and supermarket clerk” Scary. The lesson here is to really question the quality work of pension analysts, financial writers and who else. What kind of quality work can you expect from someone who is working 100hr/week, who is burned out, tired and likely sleep deprived. Would you like this kind of health professional for your ie very ill child/wife? Ooops.. I am truly sorry, very regrettable, I really did not mean to..I was sure to give the right dose of .. Which funeral home do you want us to contact? I would not trust this guy with my money, my income was earned by output of high quality and integrity work which means I don’t get drunk, eat properly, and… Read more »
Cooldeep
Guest
Cooldeep

@11

Maybe you should get in touch with BBB, thank him in person and provide him with something nice and lovely in return for your excitement over his post?

Chabar
Member
Chabar

@12

“He worked up to 100 hours a week at three jobs: pension analyst; financial writer, and supermarket clerk”

Same as any mainland student, housewife, grandparent and immigrant even without speaking English.

bird
Guest
bird

@11 “are you packing? Detroit is in need of people.”

That seems like an extreme shift, from Vancouver to Detroit? That’s how you see the options?

@10 You know what I like about you BBB? You seem like a real person who thinks things through and can admit when they’ve overstated things. That’s much better than some of the one-note repetitive commentary.

Vanco
Guest
Vanco

How people respond to the story shows who they are.

Wel adjusted/health adults: The guy worked hard and did well. What a good example of self motivation and sufficiency! Let me see what I can learn from it even though I may not follow him 100%

Losers (have to put down others to fell good about themselves): He’s a fraud. He must have lied because I cannot do it. I am sure he is divorced/fired/had a heart attack because of what he did.

ostritch
Member
ostritch

Patzy,

What future? Our place went up 37% in the last 17 months.

Chabar
Member
Chabar

@18

Thanks for the enlightenment. I was always devotee of traditional Chinese wisdom. Especially when it justifies lie and fraud.

paulb
Member
Active Member

New
168
Sold
63
TI:6925

http://www.paulboenisch.com

Oracle
Guest
Oracle

Good grief!

Guys get over it. Rate hikes are going to nothing to this market. Too much cash coming in from overseas and 50,000 people a year immigrating. Many politicians are heavily invested so prices will continue to go up for detached.

I’ll check up on you guys next week.

Whistler or bust?
Guest
Whistler or bust?

50,000 people to BC a year? Please site source. I read in BC Business it was much less than this.

bird
Guest
bird

@23

Yeah, but who are you gonna trust for statistics, BC Business or Oracle?

AtomicFrog
Guest
AtomicFrog

This has got to be the dumbest person I have ever heard of.

If he uses the 200K in down payment to buy 2 houses, spreading out the amortization period on 2 mortgages. Then, work 100+ hr per week. He does not have to pay off the 2 mortgages in 3 yrs. He can easily sell one of the 2 houses and make a handsome profit after yr 3, which can then be used to pay off the other mortgage. He certainly believes in real estate in the first place. To NOT take advantage of historical low rates in the last 3 yrs for leverage is just plain dumb IMHO.

ostritch
Member
ostritch

He ain’t greedy.

I'm with Stupid ^
Guest
I'm with Stupid ^

To answer in the previous thread what 700k buys these days.

Not fucking much.

It is fucking hilarious what people are asking for these days, the kind of property I am in the market for is not HAMs cup of tea so I have no fucking idea who are paying these prices and how.

wpDiscuz