18-34 year olds more likely to live with mom and dad

It used to be that most parents would provide their kids with food and shelter until they left high school. Some would stick around home while attending higher education, but most would move out on their own and start taking responsibility for themselves.

Then a funny thing happened in the economy.  Stuff changed. Incomes declined while the cost of living went up.

For the first time in modern history 18-34 year olds in the US are more likely living with their parents than on their own, with roommates or with a romantic partner.

A big reason is a decline in economic opportunities. As the cost of living has escalated and wages have stagnated, young people face mounting student debt and daunting barriers to renting or owning a home, creating obstacles to cohabitation and marriage.

The trend is led by young men, whose fortunes have been declining since the 1960s. While they have always lived with their parents in greater numbers than young women, this setup became the dominant living arrangement for them in 2009. In 2014 35 percent of young men lived with parents, while only 28 percent lived with a spouse or partner (for young women, the percentages are flipped: 29 and 35, respectively).

read the full article here.

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Dean
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Dean

Or another theory – today young people are skipping “starter home” period and saving money for “forever” one untill 26-30 years old. The reason is that a starter home is as unaffordable as forever one, so what is the point to spend all your savings on a bad one. America’s residential market is experiencing a historic housing crisis. In just ten years, 9 mln households became tenants (source https://tranio.com/usa/analytics/house_prices_rental_rates_and_yields_on_americas_top_residential_markets/) This is the largest increase over any 10-year period since 1965

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[…] –Housing market concerns at BOC –Broker Economist on concerns –Vancouver ‘freakshow’ market –Peterborough up 24% YOY –Save for 23 years –4 out of 10 caught short on money –lack of compliance on money laundering –high cost of ultra-low rates […]

paulb
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http://www.paulboenisch.com

8888888
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8888888
8888888
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8888888

Look’s like the shoe is on the other foot literally .Let’s see how China like’s losing their job’s to other country’s. https://mishtalk.com/2016/05/26/we-need-new-labels-i-propose-100-robot-made/#more-38092

Combat roach
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Combat roach

Sounds like circle of life. Western industries got fucked up by Chinese cheap labor and later will get fucked up by even cheaper robots. If politicians could grasp the concept they should slow down if not stop further immigration from China to Western countries in order to keep some healthy balance.

wwwww
Guest
wwwww

This Chinese laundry detergent commercial is jaw-droppingly racist

http://www.vox.com/2016/5/26/11785124/china-laundry-detergent-racist-qiaobi

franko
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franko

Yup, and it looks like some crafty WOG has managed to tamper with the votes again.

Combat roach
Guest
Combat roach

Fuckers are in mid-century although I get spacey and his obsession with racism. Same case as hidden homosexuals being the bigest homophobes.

freako
Member
freako

Remember this?

Pop Goes Real Estate Bubble Blogger
‘Don’t go!’ say fans of Vancouver Housing Blog.
20 Feb 2007

http://www.thetyee.ca/Mediacheck/2007/02/20/VHB/

CanNeverThinkOfAGoodName
Member
CanNeverThinkOfAGoodName

I even remember your comments, Freako.

Newcomer
Member

Those crazy HAM buyers are must be choking the streets of Peterborough, where the dollar value of homes sold is up 24% yoy and
————–
“Right now, it’s kind of the perfect storm for the sellers,” he says.

“It’s different than I’ve seen in 32 years…I’ve never seen it so good for sellers.”

A shortage of inventory is leading to multiple offers and bidding wars on homes, particularly those priced under $300,000, says Currier. This is posing a challenge for buyers.
———–

http://www.mykawartha.com/news-story/6562855-current-market-a-perfect-storm-for-sellers-in-peterborough-real-estate/

I’m surprised that they are so interested in rural Ontario, but I guess there are just som many of them.

patriotz
Member

Peterborough is only a bit farther from downtown Toronto than Chilliwack is from downtown Vancouver. Many commute to the eastern GTA already and this will become more attractive with the completion of the eastern 407 extension.

Newcomer
Member
Newcomer

Have you been there? I have. Have you driven there? My sister ran a business there and found it impossible to attract tech employees because there was no one there and nobody was will to drive there. It’s a nice enough place if you like wide open spaces and farmer’s fields. But that’s about it.

I mean I get it that you want to disagree with everything that someone else writes, but if you think that Peterborough’s location justifies a doubling in houses prices, I’ve got a tear down in East Vancouver for you.

squeak
Member
squeak
Said by Mr Yan: “”The issue is who is [the city] supposed to serve?” he says. “The notion that this is a city where you can have a life cycle of being single in your twenties, having a professional life and then going and raising a family is being increasingly challenged.” Oh well, I guess that idea is a goner for Vancouver. I don’t think they can fix this problem effectively now, it is simply too late. But of course the simple and basic concept of the one hand should wash the other is only natural, even a non brainer, if a economy is going to work. But , it is different here. I think more young/productive Canadians are not looking at how they can somehow manage to live in Vancouver anymore, but planning how they can get out and… Read more »
Royce McCutcheon
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Royce McCutcheon

Yup. I am seeing more people taking active steps to leaving. The loss of those aged 25-45 is growing each year. Political leaders and even those with vested interests in the real estate game have to acknowledge that it’s happening (big change from even a year ago). Christ, a bank here now has a marketing slogan “Don’t give up” (https://www.vancity.com/AboutVancity/VisionAndValues/DontGiveUp/).

We have crossed the Rubicon as far as pretending that the future is being sold out. You even hear some existing owners talking about their gains being useless if the community around them is decimated. Still, I remain doubtful that this will register to a sufficient degree to tip the scales in the next provincial election.

Runawayscreaming
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Runawayscreaming

The flight money from China that is being used to displace Canadians out of Vancouver should be taxed to pay for the moving costs of the Vancouver refugees. Vancouver is Canada’s Syria.

space889
Member
space889

I thought renting was really cheap in Vancouver and it allowed people to have kids, take them to class, and go on long European vacations in summer to enrich their kids life and experiences? So why the angst about Vancouver and having to migrate?

Combat roach
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Combat roach

You remain to be an idiot.

Funkeymonkey
Member
Funkeymonkey

Its cheap compared to buying. FYI people in Vancouver don’t make that much. Its not hard to find a house for rent in west van for 3500ish look on craigslist. How many people can afford that monthly rent? How much a month to buy the same house? One of many https://vancouver.craigslist.ca/nvn/apa/5560786827.html

wwwww
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wwwww

Mailman bloodied after dog attack on Lucas Road, Richmond

>The female witness, and other neighbours the News spoke to on Thursday afternoon, said the dog had been living in a relatively new but vacant home and was walked on occasion by the maid, but only with a muzzle.

http://www.richmond-news.com/news/mailman-bloodied-after-dog-attack-on-lucas-road-1.2263172

space889
Member
space889

Sounds like why dogs should be banned!

BubbleTea
Guest
BubbleTea

Lots of HAMs (375) with addresses in Lower Mainland, having shell companies, Panama Papers reveal. Michael Ching and David Ho are just two of the more infamous.

welcome_to_your_new_reality
Guest
welcome_to_your_new_reality

YEP! want proof? Just go on No.3 road and pick any mini-mall and go inside to see the types of businesses with the “stand-ins” that they employ to get government approvals. You’ll sometimes find 3 ginseng and herbs shops with no customers in the same mall. Now, look into the revenues of these numbered “Ginseng dealers” and a very different picture emerges. You’d think business was growing at double digit growth as they are making $Millions in sales!! But the reality is completely different. Welcome to Vancouver — laundering capital of the world.

space889
Member
space889

These locust scumbag and spoiled brats need to be deported ASAP. Canada don’t need them spoiling our pristine lakes and environments.

http://www.cbc.ca/news/canada/british-columbia/south-surrey-harrison-grad-class-campsite-mess-appalling-garbage-1.3600456

bullwhip29
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bullwhip29
Funkeymonkey
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Funkeymonkey

I love E.J. Hughes art. Crazy prices for sure. A few years ago you could have bought his childhood home in north van for less than that.

space889
Member
space889

To be honest, I don’t get this whole art thing…it’s almost like what Dilbert said, the art market is all a racket. Seriously, what makes 1 painting worth millions while a near identical one worth almost nothing?

bullwhip29
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bullwhip29
space889
Member
space889

School here is a joke and mini-vacation. Since most of these students parent already have their own biz and/or lots of $$$, they just want an easy life for their kid to coast through K-12 and a foreign degree before having them get citizenship after grad, move back to China and directly into some sort of senior mgmt. apprenticeship. Actually hard work through school & work as for those poor kids in China who had to slog through the system with hard work so they can making even more $$$ for these rich families.

bullwhip29
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bullwhip29

Metro Vancouver mayors likely to raise property taxes, fares as province ponies up cash for transit
http://www.theprovince.com/news/metro+vancouver+mayors+likely+raise+property+taxes+fares/11942648/story.html

space889
Member
space889

Geez…more property tax & higher fares for Translink?? No wonder they are doing that fare survey thing. It’s all a smoke & cover to get more $$$ to feed that dysfunctional monster. How about actually hiring some competent people and run that place as a proper company first?

gord320
Member
gord320

Definitely some kind of re-alignment in the costs of running Translink. It is like a monster than just continues to drag money out of the people that need it the most.

bullwhip29
Guest
bullwhip29
fosolo1
Member
fosolo1

Famous last words from another shameless RE pumper :

“I think it’s an important issue; you know U.S. hedge funds and hedge funds around the world have been shorting Canadian bank stocks thinking this was a bubble that’s going to burst and it’s a big negative for the Canadian banks … [but] I don’t believe that’s the case,” Cooper said. “They are misinformed about how different the housing structure is in Canada, how different the banking regulations are in Canada.”

welcome_to_your_new_reality
Guest
welcome_to_your_new_reality

Cooper is a shameless C-word! She used to pump the US housing bubble pre 2008 and how the consumers were resilient in their efforts to spend and extend credit. Yeah, we sure did see how that credit bubble was manufactured.

And you gotta love how “concerned” the BoC is regarding housing structure and ate decisions. As if HAM gives a FcUK!

space889
Member
space889

Those hedge funds have been crushed so far and I’m not even sure if they are still in business. Investors are not generous when your performance sucks for 2 or 3 years.

Newcomer
Member

“the bottom line is yes, it is sustainable, unless barring some sort of cataclysm” like a price correction.

southseacompany
Member
southseacompany

“Concerns over Canada’s housing market mount at BoC”, BNN video

http://www.bnn.ca/Video/player.aspx?vid=877249

“The BOC cited higher housing vulnerabilities in its post-rate decision statement today. RBC Senior Economist Robert Hogue joins BNN to discuss this and breaks down the biggest regional risks facing Canada’s housing market.”

Many Franks
Member
Active Member

More fun international coverage, this time from the Beeb.

Vancouver’s ‘freak show’ property market

OPENHOUSEMASSACRE
Guest
OPENHOUSEMASSACRE

Bank of Montreal to cut about 1,850 positions in bid to trim costs
‘Customers are increasingly doing things in a digital way,’ says BMO chief financial officer Thomas Flynn
http://www.cbc.ca/news/canada/montreal/bmo-job-cuits-1.3600534

8888888
Guest
8888888

This is how your government feel’s about cost of housing.http://www.news1130.com/2016/05/25/coleman-housing-minister-whine/

8888888
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8888888
CanNeverThinkOfAGoodName
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CanNeverThinkOfAGoodName
I’m no economist so forgive my hubris in advance please, but I think that someone just straightened out de Jong on what growth really means. No growth if there are no returns on assets. Bidding up asset prices doesn’t create a demand that would generate returns those assets. (Right? If rents are too high we’re going elsewhere.) His face looks like he’s just been enlightened though he wishes it weren’t true. “Chovanec noted that China’s foreign investment strategy is similar to Great Britain’s during the 19th century — running trade surpluses, then using the proceeds to invest in foreign economic projects that promised big returns. “The difference is in the world’s economy, today, the world is awash with savings, looking for places to go,” he said. “The danger is that you get capital flowing out of China, and it bids… Read more »
OPENHOUSEMASSACRE
Guest
OPENHOUSEMASSACRE

Victoria home sold for $800k back on market for $980k weeks later
Realtor says market unprecedented; new resident says she’s shocked by prices and demand

http://www.cbc.ca/news/canada/british-columbia/victoria-housing-market-1.3600211

Anybody know how to download the Audio in the news article to my laptop ?

bullwhip29
Guest
bullwhip29

not only has HAM caused locals to run to the lifeboats, they are also doing a little insider trading and scooping up some empty seats for themselves too. in as little as a few years, some areas of victoria have become almost exclusively chinese. residents of ladysmith take note…

Combat Roach
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Combat Roach

Nice, progressive folks…

China Shames Taiwan’s New Female President For Being Single

http://www.huffingtonpost.com/2016/05/25/taiwan-tsai-ingwen-single-shamed_n_10133670.html

Runawayscreaming
Guest
Runawayscreaming

Stay classy PRC.

123
Guest
123

Borrowers are getting a free ride with low rates while punishing you as you try to save and Christy isn’t protecting you from foreign money flows, so I say to all those basement dwelling 20 and 30 somethings who are coasting off Mom and Dad….don’t feel guilty AT ALL.

paulb
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bullwhip29
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bullwhip29

i hear bidding wars pretty much everywhere on the island now, not just capital region. for those that say HAM is not a factor in Victoria, nanaimo and places like Sechelt, they are either wrong, just trying to be PC or simply in denial. not only are locals being displaced, but investors are going through each town with a vacuum and buying properties sight unseen in bulk (just like they buy handbags at a Coach outlet sale)

http://www.timescolonist.com/business/buying-house-in-capital-region-takes-willingness-to-beat-asking-price-1.2262425

Chinabuyeverything
Guest
Chinabuyeverything

These younger people are going to bankrupt mom and dad. This is a frenzy. None of them understand valuations etc

StupidityCheck
Guest
StupidityCheck

Well, the boomers did change the rules after they got theirs. Karma’s a bitch.

Newcomer
Member

Dude, the article you posted half an hour earlier says that less than 1% of Victoria buyers are Asian. I bet you dimes to donuts that not one single person born in China has bought in places like Ladysmith. The island is whiter than the Pillsbury dough boy.

Funkeymonkey
Member
Funkeymonkey

You are right I grew up there.

bullwhip29
Guest
bullwhip29

things are changing fast…

my point was that locals looking for less expensive options outside of lower mainland arent the only ones showing to the open houses. for the moment local industry players are not talking openly about foreign investment (yet) but it is certainly a factor. hop onto the ferry to the island or sunshine coast and look around. only a matter of time before the New Coasts of the world setup shop there and run roughshot on the locals who wont even know what hit them. imho shadow flipping will spread out to areas (under less scrutiny) like victoria where retirees and seniors are completely oblivious to whats going on in areas like richmond.

http://www.cheknews.ca/greater-victorias-real-estate-market-heats-up-with-overseas-buyers-88067/

bullwhip29
Guest
bullwhip29

bottomline, locals looking for less expensive options (out of necessity or by choice) wont have it as easy as they think. the general consensus is that one can cash out (or move for economic reasons) to areas that are still close to lower mainland with a comparable lifestyle for way less money and kick their feet up. this thinking is incorrect. imho anything within say a couple hundred clicks from vanc that is in a good location, large lot, possible view etc is being snapped up. case in point, look what is going on in the sunshine coast, things there went literally ape$hit a few months ago after being dormant for years.

123
Guest
123

Bullwhip are you sitting in front of that computer ALL DAY talking up the market? How many posts is that now?

space889
Member
space889

How do you know it’s HAM, not local money looking for alternatives? The Fraser Valley is going nuts and most of the buyers are as local & white as you can get. Maybe there is going to be a bridge to Van Island in the works?

And there are some people who actually live in Nanaimo and works in like Surrey as evidenced by one News 1130 Traffic Horror story.

franko
Member
franko

What’s the dif?
Local money is forced to look for alternatives because HAM has driven them farther out.

patriotz
Member

“Local money is forced to look for alternatives because HAM has driven them farther out.”

Nobody is “forced” to buy even where they live, never mind out of town where they have no motive other than speculation.

StupidityCheck
Guest
StupidityCheck

Most people aren’t Vulcans, they want a home without worrying about getting kicked-out, that they can modify, etc.. That means buying.

Newcomer
Member

The difference is that HAM is by definition rich and unaffected by things like qualifying for a mortgage. They don’t care about anything, the story goes, they just want someone to take those heavy suitcases of money off of their hands. Locals who buy above value are only going to be willing to do that as long as they think they are buying an appreciating asset. The mythical HAM is not governed by the laws of gravity. Locals are.

squeak
Member
squeak

The hammer hit the nail head.

bullwhip29
Guest
bullwhip29

most reports suggest buying in areas outside lower mainland (van isld, sunshine cst, gulf islds etc) is “local” money only, no HAM. i know for a fact this is not the case. i never suggested it was 100% HAM

Shut It Down Already
Guest
Shut It Down Already

bullwhip, Garth posted stats about Victoria. They don’t say 0%, so you score no points for defeating the “local money only” strawman. Regardless, the available data says that:

a) foreign participation in the market is very low overall – both on the island and the mainland
b) locals are overextending themselves, primarily because the majority believe that real estate is the safest investment class (and prices always go up… because it’s different here/this time!)

bullwhip29
Guest
bullwhip29
patriotz
Member

Of course, because the whole condo pre-sale business is based on the buyer’s expectation of being able to assign at a profit.

Shut It Down Already
Guest
Shut It Down Already

I think some pre sale buyers actually want to complete, not flip, because they see some sort of certainty in being able to pay the sticker price after waiting in line rather than submitting “best and final” offers and having to take their chances.

I know many locals who were trying to buy recently but kept losing bidding wars. At some point “simply” waiting 2-3 years for something you didn’t have to fight so hard for starts to become appealing.

patriotz
Member

“I think some pre sale buyers actually want to complete”

Sure they do, but a lot can change in someone’s life in 2 years. Assignments provide a way out for pre-sale buyers who are unable or unwilling to complete due to a change in circumstances, and I think many of these would not buy without this option being available. And it would be unwise to buy.

space889
Member
space889

I was wondering why I felt a sudden calm in the force today.