CMHC looks to define foreign money

How would you go about trying to determine how much foreign money is going into Canadian real estate? The CMHC is now trying to figure that out.

A core team of analysts at CMHC held several meetings to discuss how best to tackle the data gap. Researchers had initial meetings with agencies including the Canada Revenue Agency and Fintrac, CMHC confirmed. The Financial Transactions and Reports Analysis Centre of Canada monitors money laundering and out-of-country transactions of at least $10,000. The documents show CMHC also planned or had meetings with the Bank of Canada, British Columbia’s housing and property assessment agencies, and the department of finance to start a data working group.

So why are we missing that information and how much real estate is owned by people outside the country?

After meetings with realtors, lawyers and condo developers in Vancouver, CMHC market analysts pointed to the lack of transparency in the market. Realtors often don’t see residency status or identification such as a passport, and that information isn’t stored electronically at the brokerage. Lawyers and bankers who run the transaction aren’t obligated to pass on residency information and buyers don’t regularly check a citizenship box when paying land-transfer tax.

“Conveyance is done through the lawyers and bankers,” minutes from a meeting show. “Money transfers should get passed onto Fintrac. Whether this is taking place or not is an issue.”

Previously, CMHC has tried to glean the scope of foreign investment with a survey of property managers that found less than 6 per cent of condos were bought by people who reside outside the country.

Read the full article over at the Financial Post.

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johnberk
Guest
johnberk

I’m glad that something finally happened. The current situation is unsustainable from all perspectives – even realtor ones. We need to be really careful about who buys property and for what reason. Ill defined capitalism and speculative behavior don’t actually help, because it would mean that all of us would finish under the bridge, not being able to compete with the foreign capital.

tedeastside
Member
tedeastside
tedeastside
Member
tedeastside
Tiger
Guest
Tiger

Chinese passenger opens plane’s emergency door to ‘get some fresh air’ while waiting for takeoff.According to Chengdu Business Daily, The man explained that he thought the handle to the emergency exit door was a lever he could use to roll down the window

http://www.dailymail.co.uk/news/peoplesdaily/article-3485329/I-just-want-fresh-air-Chinese-passenger-opens-plane-door-moments-off.html

Shut It Down Already
Guest
Shut It Down Already
space889
Member
space889

Guess this prove that Caucasian does everything better and we Chinese have lots to learn still!

ChinaOne
Guest
ChinaOne

Can me and cousin be unblocked now. We no do crime. We just tell truth. I sitting at bubble tea place in Richmond now. So this not my IP.

I will not post that HAM is problem. I will say myth only. I will say I am racist. I hate my own kind. Happy?

Can you now unblock me? Thanks you.

voter
Guest
voter

You and cousin must become more like Canadian ,don’t say anything about anything and just let Government do what they want .Government know best.

Oracle
Guest
Oracle

Patriotz :

Allow only Canadian citizens to buy Residential Real Estate. That simple.

The BC Libs know exactly what’s going on. They are playing renters for fools.

Oracle
Guest
Oracle

Anyway to get the USA to expand the TN visa to include more occupations.

Get subsidized education in BC, work in the USA.

Leave Vancouver for the money launderers and the BC Libs.

space889
Member
space889
space889
Member
space889

A radical proposal to fix Vancouver’s real estate crisis: Build high — really, really high

http://news.nationalpost.com/news/canada/radical-proposal-to-fix-vancouvers-real-estate-crisis-build-high-really-really-high

Someone cares
Guest
Someone cares

Tweet from David Eby regarding Housing meeting March 16

Crusty is burying her head in the sand and this guy is doing something. This will make the Libs sit up and notice or they will be on their butts next election!

PS – I hate the NDP. I can’t forget the 1990’s.

David Eby (@Dave_Eby)

2016-03-10, 12:53 PM
We had to move housing meeting from St. James to Hellenic Hall at 4500 Arbutus due to overwhelming demand. ow.ly/ZjFRS #VanRE

space889
Member
space889

So I’m guessing he’s not getting a lot of $$ from the RE industry? Maybe this is his way to give the RE industry a hint?

ostritch
Member
ostritch

He cares. He’s doing his job. But he’s a Dipper so his party will do nothing to identity the ethnicity money. That’s RACIST. Maybe he will save what’s left of precious point grey, but then the money will just go elsewhere in the city.

patriotz
Member

Identifying the “ethnicity money” is not the point, it’s doing something about policies that channel this money into residential RE.

southseacompany
Member
southseacompany
“Monetary policy and the markets: What if the helicopters took off?”, The Economist http://www.economist.com/blogs/buttonwood/2016/03/monetary-policy-and-markets “INTEREST rates are negative in much of Europe and Japan, and it may be a while before the Federal Reserve follows up December’s quarter-point increase in rates. So that doesn’t leave the authorities with a lot of room, in terms of altering the level of rates, to ease policy if another downturn hits.” “One option would be “helicopter money” – the central bank could create the money to fund a fiscal stimulus, either by direct transfers to consumers* or by funding public projects such as infrastructure. The idea would be to stimulate demand and potentially increase inflation, which is below target in many countries.” “Helicopter money has more appeal to leftwing politicians since it can be classed as a redistributive policy.” “So how would the markets… Read more »
ostritch
Member
ostritch

Not gonna happen.

space889
Member
space889

Isn’t this part of the reason why we have this talk of minimum basic income? Basically giving everyone over a certain age a guaranteed basic income, that seems pretty much like free helicopter money.

southseacompany
Member
southseacompany

And also part of the reason Trudeau is talking about spending an extra $150 billion over the next five years.

One of Trudeau’s advisors is the American economist Larry Summers, who advocates that monetary policy has failed and economies need massive fiscal policy stimulus.

http://news.nationalpost.com/full-comment/john-ivison-why-justin-trudeaus-new-guiding-light-could-have-a-dramatic-impact-on-canadian-public-policy

Not gonna happen? Well, JT’s saying it is.

southseacompany
Member
southseacompany

“European Central Bank, Federal Reserve policies leave Bank of Canada firmly in the middle”, National Post

http://business.financialpost.com/news/economy/european-central-bank-federal-reserve-policies-leave-bank-of-canada-firmly-in-the-middle

“The eurozone finds itself at the top end of monetary stagnation — while the U.S. Federal Reserve appears to have turned the corner, with a return to steady growth and borrowing levels now back on an upward trajectory.”

“At the same time, the Bank of Canada finds itself in the middle of the policy landscape as it holds interest rates steady and awaits fiscal stimulus this year from the federal government to help lift output and employment.”

southseacompany
Member
southseacompany

“ECB surprises with more stimulus, including interest rates below zero.”, CBC News

http://www.cbc.ca/news/business/ecb-stimulus-europe-1.3484899

“The European Central Bank cut all its main interest rates, expanded its bond-buying stimulus program, and offered new cheap loans to banks, making an unexpectedly aggressive effort to boost inflation and economic growth in the 19 countries that share the euro.”

bullwhip29
Guest
bullwhip29

well it would appear that none of this was a “surprise”

patriotz
Member
‘We’re not realtors!’ Former ‘wholesaler’ reveals hidden dark side of Vancouver’s red-hot real estate market Vancouver’s real estate market has been very good to Amanda. She’s not a licensed realtor, but buying and selling property is her full-time job. She started about eight years ago as an unlicensed “wholesaler” in Vancouver. She would approach homeowners and make unsolicited offers for private cash deals. Amanda made a 10-per-cent fee on each purchase by immediately assigning the contract to a background investor. It is seen as the lowest job in property investment, but it is low risk and very profitable. Amanda has done so well that she now owns two homes in Vancouver and develops property in the U.S. Unlicensed wholesaling is an illicit and predatory business that is quickly growing in Metro Vancouver because enforcement is virtually non-existent. Vancouver has had… Read more »
Ulsterman
Member

I’m not familiar with this process. Was Amanda’s “skill” buying the house below market value? Why did the background investor go through her and not just purchase property using their own agent and pay the normal real estate agent fees. Wouldn’t they be less than 10%?

As much as i dislike the money real estate agents make, one has got to tip their hat to someone as entrepreneurial as Amanda, who in 8 years has presumably become a millionaire.

bullwhip29
Guest
bullwhip29
once again more toxic propaganda from the msm. whether true or not then intent is to get the masses jacked up about the RE mkt. no different than the bs stock tips you hear and should disregard as some random stock is bid up, flipped back and forth and then dumped on massive volume to those that can’t help themselves. what we are clearly seeing here is complex market comprised of three distinct tiers. firstly, there is sort of a fictitious dark pool style over the counter market specifically catering to those laundering big chunks of cash. in all honestly, it makes little difference to them what the property is and what the final price tag is as long as the transaction closes and the money is washed thru the financial system sight unseen. when a given target property is… Read more »
GreenSalad
Guest
GreenSalad

……..these are some of the signs this market is clearly broken and it is only a matter of time before the body count becomes too large to simply sweep under the carpet……
In the end, all of this effects REAL FAMILIES and their FUTURES

southseacompany
Member
southseacompany

“Low interest rates have given us too much of everything: Mayers”, Toronto Star

http://www.thestar.com/business/personal_finance/2016/03/09/low-interest-rates-have-given-us-too-much-of-everything-mayers.html

“If you’re that rare breed called a saver, at 0.50 per cent your $1 doubles every 144 years.”

“Rates were lowered dramatically in 2008 to save the global banking system. It worked, but what has happened since is that cheap money has led to borrowing because, well, the money is cheap.”

“Consumers have piled on debt, which — no surprise — sits at a record. And there has been over-investment in mining, energy and some industrial assets. A lot of that extra investment went into China’s 20-year infrastructure spending spree, though not exclusively. China’s boom was fuelled by cheap money from its central bank.”

southseacompany
Member
southseacompany

“Fears grow over ‘frothy’ housing markets in Vancouver and Toronto”, BNN video

http://www.bnn.ca/News/2016/3/8/Pace-of-housing-starts-picks-up-in-February-CMHC.aspx

“A surge in home construction is stirring new worries about Canada’s hottest housing markets.”

wwwww
Guest
wwwww

Looks like someone got tired of loosing arguments and decided that rigging the voting was the only way they could “win” (or maybe “save face”?).

It’s kind of pathetic that people don’t have better things to do than to rig votes.

realist
Member
realist
In England , little difference. From Private Eye No. 1412, 19 Feb – 3 March 2016 David Cameron’s response to Britain’s property market being used as a receptacle for the world’s looted billions is rapidly moving into familiar all-mouth-and-no-trousers territory. Asked by Ben Bradshaw MP at prime minister’s questions last week to “take some meaningful action to tackle the dirty Russian money and property here in London that helps to sustain the Putin regime”, Cameron promisingly replied “We are doing more than other countries in respect of transparency and beneficial ownership – who owns what in terms of companies – and we are going to do the same with property.” This appeared to be a major change, allowing the public to see who really owns property and not the offshore companies they hide behind. Is this move, which Private Eye… Read more »
paulb
Member

New
285
Sold
267

TI: 8194

http://www.paulboenisch.com

Loon
Guest
Loon

Frustrated Burnaby family outbid on 16 homes in two years

http://www.news1130.com/2016/03/09/burnaby-family-outbid-16-homes/

wizard sleeves
Guest
wizard sleeves

Woooo this rain is awesome. Makes for good skiing. Also went golfing last weekend.

What the f*ck did you do Ted. Visit your Mexican lover in jail. Get the Chipotle squirts.

The_shit_that_Garth_says
Guest
The_shit_that_Garth_says

You mean to say CMHC is going to actually tell you how much illicit $billions were laundered through its businesses. And I mean businesses as there are so many schemes with numbered companies that it would take armies of auditors to actually try and figure out how or what were the funneling mechanisms out of China!

franko
Member
franko

Why bother?
Just let Trump nuke’em.

wwwww
Guest
wwwww

Trump is going to do something to China that’s much, much worse thank nuking them. He’s going to fight them on trade. Dumping cheap goods is the foundation of their entire economy and society.

Imagine the flood of HAM that will escape China once trump is elected.

space889
Member
space889

Trump isn’t as stupid as you people think….

Best place on meth
Member
Best place on meth

No, but you are.

space889
Member
space889

Oh, that stings! No wait…this comes from a guy who’s been wrong for a decade, and a petty little racist hater….

crabman
Guest
crabman

It still votes itself up. What a fucking clown.

Tiger
Guest
Tiger
Shut It Down Already
Guest
Shut It Down Already

I guess some people get a kick out of trawling for China-bashing articles all day.

Should somebody counter with a link to the story of how the (Caucasian) parents of an Alberta kid treated him for meningitis via naturopathy rather than seeking proper medical assistance because they thought ginger root, cider vinegar, and olive leaves would sort him out?

You’ll find stupid in every place where you can also find people. Don’t be too surprised when you find more instances of it in the places with the largest population. Or did you not pay attention in stats class at school?

Egad
Guest
Egad

No. Somebody should counter with a store of a Caucasian selling their baby for an iPhone. Apples to apples. I bet you won’t such a story.

Shut It Down Already
Guest
Shut It Down Already
Jjjj
Guest
Jjjj

I don’t have a story about meningitis but I have one on bear paws. Is that good?

Best place on meth
Member
Best place on meth

If I wanted to sell a bear paw, how many chinese babies can I get for it?

The exchange rate has been fluctuating wildly and I don’t want to get ripped off.

crabman
Guest
crabman

We need to fund a Kickstarter campaign to buy Panda paws. In a country full of shameless wanna-be entrepreneurs, we should be able to wipeout China’s panda population in no time. #rhinorevenge

space889
Member
space889

At least that’s not as gross as the eat worms & insects movement in Vancouver.

And what does this have to with Vancouver RE again??

Tiger
Guest
Tiger

Chinese Parents Sell Their Newborn Daughter for an iPhone

https://www.google.ca/search?q=0%3A55+Chinese+parents+sold+baby+daughter+on+social+media+fo&oq=0%3A55++Chinese+parents+sold+baby+daughter+on+social+media+fo&aqs=chrome..69i57&sourceid=chrome&es_sm=122&ie=UTF-8#q=Chinese+parents+sell+baby+daughter+on+social+media+fo&tbs=qdr:d

Best place on meth
Member
Best place on meth

Something seems very fishy about this story.

There’s no way a chinese baby is worth as much as an iPhone.

space889
Member
space889

Still going to be worth more than what I would pay for your hell spawns.

space889
Member
space889

Anyways, what does this have to do with Vancouver RE? Or just more race baiting?

Oh wait…forgot, stereotyping 1 billion people located in a specific country is not race baiting…

space889
Member
space889

Or this poor baby – Teen Mom Throws Newborn in Trash Because Baby Looked Like Her Ex:
http://latest.com/2014/04/teen-mom-throws-newborn-in-trash-because-baby-looked-like-her-ex/

space889
Member
space889

At least the kid is being cared for by someone who actually wants a kid. Unlike these poor babies:

13-year-old is mother of newborn baby abandoned in trash, police say:
http://www.latimes.com/local/lanow/la-me-ln-mother-newborn-dumpster-13-20141013-story.html

patriotz
Member
Taxing vacant homes would increase housing stock says economist< Taxing those vacant units would bring in an additional $90 million and encourage more people to rent out secondary properties, say some economists. “That is key. We [would] provide an exemption for rentals,” said Josh Gottlieb, economics professor at UBC who came up with the proposal with colleagues. “If you’re subject to this tax, all you have to do is rent out this property and you won’t be subject to it anymore.”… Vancouver’s current property tax rate is low compared to the rest of the country, making it an attractive place for investors who prefer to not rent out their properties, said Gottlieb. “If you want to just go plop money somewhere and let it sit there without using the property very much, Vancouver would be a great place to do… Read more »