Friday free-for-all! June 24th 2016

It’s the end of another work-week and that means it’s time or another Friday Free-for-all!

This is 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, let’s play the blame game!:

Blame Ottawa
Blame the ALR
Blame immigration
Blame hype
Blame empty homes
Blame early retirement
Blame tax dodgers
Blame yourself

So what are you blaming out there? Post your news links, thoughts and anecdotes in the comments below and have an excellent weekend!

Sort by:   newest | oldest | most voted
southseacompany
Member
southseacompany

“How will the world’s policymakers respond to Brexit?”, The Telegraph
http://www.telegraph.co.uk/business/2016/06/24/how-will-the-worlds-policymakers-respond-to-brexit/

“There is likely to be a coordinated response from the world’s largest central banks to provide liquidity in an attempt to soothe volatile financial markets.”

Oh joy…

CanNeverThinkOfAGoodName
Member
CanNeverThinkOfAGoodName

I see the failure of CC and feds and relevant others to address the Vancouver housing crisis in the same light as I see the failure of the “elites”, as Greenwald calls them, to understood what is going on with the Corbyn,/Sanders/Trump phenomenon. These people gung ho for uncontrolled globalization go on in their jolly way ignoring the way communities are affected, ignoring meaning of life questions, and they open the door wide open to authoritarianism and fascism to step onto the stage.

https://theintercept.com/2016/06/25/brexit-is-only-the-latest-proof-of-the-insularity-and-failure-of-western-establishment-institutions/

southseacompany
Member
southseacompany

On the other hand:
“HomeEconomyBrexit has awakened dangerous forces in the world economy
Brexit has awakened dangerous forces in the world economy: Canadian Business”
http://www.canadianbusiness.com/economy/what-brexit-means/

“Bank of America economists said shocks such as Brexit cause more volatility than used to be the case because banks and other financial institutions are less keen to circulate risky assets. That matters because banking is contingent on lenders having access to cheap collateral such as bonds. If bankers are scared, they will demand higher interest rates. Borrowing costs rise across the board. “

tokyorealestateman
Guest
tokyorealestateman

govts cant have higher borrowing rates–in japan–we are already bankrupt–just buying time at this point

ostritch
Member
ostritch

There was a lot of volatility in the markets this year and most of last with many predictions it would continue at least into 2017. Let’s not pretend this is all Brexit.

Brian Ripley
Guest

Is Brexit the trigger that Patrick Ceresna’s model of “currency war” begins with?

I have bulleted his talking points from his hour long video presentation “Are You Ready For a Canadian Real Estate Crash?” here:
http://www.chpc.biz/history-readings/china-shop-bull

Many of his points are in play: Commodity Bear, Currency Devaluation, Government Regulation (in Beijing and rumblings in Ottawa), a Change in the Story (is Canada still a safe haven? – Negative Net Trade and Investment, High Household debt, Earnings Drop, Credit Tightening… fill in the blank)

We shall see.

Brian Ripley
Guest

Is Brexit the trigger that Patrick Ceresna’s model of “currency war” begins with?

I have bulleted his talking points from his hour long video presentation “Are You Ready For a Canadian Real Estate Crash?” here:
http://www.chpc.biz/history-readings/china-shop-bull

Many of his points are in play: Commodity Bear, Currency Devaluation, Government Regulation (in Beijing and rumblings in Ottawa), a Change in the Story (is Canada still a safe haven? – Negative Net Trade and Investment, High Household debt, Earnings Drop, Credit Tightening… fill in the blank)

We shall see.

space889
Member
space889

Ok so when?? When will this mystical crash happen and by how much?? Cuz a 40% crash would only take prices back to 2014? which I remember is supposed to be bubble top back then??

Nom Nom Nom
Guest
Nom Nom Nom

I would go buy more real estate if I were you Space. Leverage up to the tits and prove to us how smart you are.

Ulsterman
Member

I think space889 is right. Any negative financial event and bears are sounding the”this is it!” alarm. This market has survived every one of these events and roared ahead. Like it or not, a calamitous 40% crash WOULD only get us back to 2014, when most bears thought the markets was already 5-8 years past its peak. I hate to say all that but it’s true.

StupidityCheck
Guest
StupidityCheck
Best place on meth
Guest
Best place on meth

Wow, look how fast the west side got devoured.

tokyorealestateman
Guest
tokyorealestateman

China is here and its people will continue to flex their economic might–it dont matter what u think–u can cry about the lack of leadership your politicians had but in the end it was Canadian owners who sold their properties–dont sell never sell

Im looking out my window at a beautiful building–Latour here in Shibuya–Sumitomo has owned that land for 150 years and they will never sell there jewels–they aint gonna sell it to anyone. dont sell never sell

Slava
Guest
Slava

It will be more like a 90% crash. What goes up insanely crashes down equally…

tokyorealestateman
Guest
tokyorealestateman

you re dreaming–wake up

tokyorealestateman
Guest
tokyorealestateman

there will be no crash–people here are only hoping so–dont sell never sell. u cant time markets anyway–and its the day you sell that they go up–dont sell never sell

Loon
Guest
Loon

I’m going to blame Brexit.
London RE will no longer be attractive and Chinese investors will pull out and plonk more cash down in Vancouver RE.

Loon
Guest

PROOF !

The outcome of the vote, explains Canadian Business Magazine Managing Editor Mark Brown, may be adding fuel to Vancouver’s already white-hot housing market. “And the one unexpected thing that we might want to watch is what this means for the housing market and that might sound strange, what does Brexit have to do with the Canadian housing market?”

He adds Canada and the US will be facing pressure to keep interest rates at or near historic lows which could invite more money into housing.

“[And] partly because it seems like a bit of a safer asset than other assets right now. Honestly, that’s going to put more pressure on government’s plan to cool the housing market.”

http://www.news1130.com/2016/06/24/how-the-brexit-vote-will-affect-the-local-housing-market/

Combat roach
Guest
Combat roach

I also wonder if some sewer clogging in some of the top tier cities is going to put pressure on Vancouver RE?

Loon
Guest
Loon

Surge in UK google search ‘Move to Canada’:

http://dailyhive.com/vancouver/move-to-canada-british-google-searches

CanNeverThinkOfAGoodName
Member
CanNeverThinkOfAGoodName

If they come to Vancouver, do you think they might be willing to drive small unassuming cars?

tokyorealestateman
Guest
tokyorealestateman

London s economics over the long term just got better cause they are gonna dump a socialist experiment gone mad–fundamentals seem to be improving in my eyes. dont sell never sell

southseacompany
Member
southseacompany

“Household debt responsible for housing bubble – Capital Economics”, Mortgage Broker News
http://www.mortgagebrokernews.ca/news/household-debt-responsible-for-housing-bubble–capital-economics-209349.aspx

“The latest study from independent research body Capital Economics stated that the factor that is most to blame for Canada’s housing bubble is not foreign money but household debt, which has ballooned to dizzying heights in the past few years.”

““House prices have been boosted by domestic credit growth, fuelled by relaxed lending standards. The decline in interest rates and interest servicing costs allowed households to expand their debt without increasing the proportion of their incomes needed to meet their overall debt service obligations.””

888888
Guest
888888
Ulsterman
Member

I think though that the tsunami of foreign cash has provided local people with the confidence to use debt to speculate homes.

Slava
Guest
Slava

What a way to state the obvious. The boomers mostly encouraged this and have been reaping the rewards for 20 years now.

ostritch
Member
ostritch

This isn’t that high school teacher HAM-denier Ben Rabbidoux again?

Madashell
Guest
Madashell

Brexit is about immigration. People in Britain would rather take a hit in the pocket than allow their country to be swamp with foreigners. I hope Ottawa is taking notes because we are loosing Vancouver and Toronto to China.

Ulsterman
Member

So true, my parents voted to leave and they don’t like the waves of immigrants nor the move towards a European superstate. Apparently that makes them really bad, stupid people amongst the UK’s liberal elites.

OPENHOUSEMASSACRE
Guest
OPENHOUSEMASSACRE

A Muslim family with 9 children entered the West as refugees, refused to enter the workforce, and immediately signed up for welfare, receiving over $6,400 month.The couple is requesting In Vitro Fertilization (IVF) treatment so that they can have at least one more child on the taxpayer dime.

http://madworldnews.com/muslim-refugees-welfare/

http://madworldnews.com/wp-content/uploads/2016/04/10001861_H11964295-600×399-1-620×413.jpg

OPENHOUSEMASSACRE
Guest
OPENHOUSEMASSACRE
Hyper-mega-Bull
Member
Hyper-mega-Bull

Petition for London independence signed by thousands after Brexit vote

http://www.bbc.com/news/uk-politics-eu-referendum-36620401

it’s just a matter of time before vancouver does the same thing and becomes the next singapore.

Madashell
Guest
Madashell

Vanapore? Chinapore?

HAMster
Guest
HAMster

Brexit is indeed about immigration and also about globalization. The people are fed up with being sold out by left-wing politicians at the expense of their children’s future as country after country are overrun by third world immigration. Some immigration is fine but the numbers have to be reasonable. We see health care and social services at the breaking point due to too many immigrants flooding in. In the UK, people are saying enough is enough! When will we get to this point in Canada?

space889
Member
space889

Left wing politicians??? You mean the right wing politicians aren’t busy selling out the country and middle class, all so their corporate backer can make an extra $??

Slava
Guest
Slava

The classical accepted right/left paradigm does not exist anymore. It is now only a method the elites use as a label to divide and conquer, with the controlled media being their primary vehicle.

Tim
Guest
Tim
So many kinds of wrong. * Refugees are very productive immigrants who integrate well. They’re working and reporting income within a couple of years, and their birthrates and just about every other measure match the norm within a generation. In fact they pay much more in taxes on average than “investor class” immigrants * We were sold out by the federal Cons and Libs, not the “left”. Since when has the left had enough power to sell us out? * If social services are at the breaking point due to immigrants who don’t pay taxes? Well look who cut the CRA enforcement budget: Harper. And who fails to reign in the real estate industry and its reporting requirements? Christie, and con if there ever was one. And it’s the *wealthy* immigrants who aren’t paying taxes, not the poor, not the… Read more »
HAMster
Guest
HAMster
When you say refugees I think you are really referring to immigrants. Refugees and immigrants are not the same thing. I don’t mention refugees but since you refer to refugees I challenge you to find any proof of your statements about refugees concerning taxes or jobs. Most refugees are uneducated, unemployable and cannot even speak English. It costs the Canadian taxpayer thousands of dollars to resettle and support a refugee and we certainly don’t need 100,000 helpless Syrians dropped into our laps. The UN can resettle a Syrian refugee for about $1,500 or we can spend $10,000 plus per each just to get them into Canada before the real bills begin to pile up. I think the choice is clear. As far as immigrants are concerned there is nothing wrong with a reasonable level of immigration but again it has… Read more »
Tim
Guest
Tim

“Skilled worker immigrants averaged C$34,000 after one year in Canada, and after 15 years were averaging more than C$60,000. Live-in caregivers averaged C$25,000 after one year, and C$34,000 after 15 years. Even refugees, who averaged about C$17,500 in earnings after year one, were earning an average of C$30,000 after 15 years.

Yes, that’s right. Refugees end up reporting higher wages to the Canadian taxman than millionaire migrants ever do. And two-thirds of all refugees declare income, bang on the Canadian average.

http://www.scmp.com/comment/blogs/article/1715970/canadas-millionaire-migrants-earn-less-refugees-so-why-bother-wealth

Tim
Guest
Tim

The average income for Canadian citizens is $40k. Your impressions are just false.

*except* for millionaire migrants. We’re getting the idle rich. They generally don’t work or pay taxes.

space889
Member
space889

Wait, so property taxes and sales tax don’t count as tax anymore??

Tim
Guest
Tim

Compared to income tax, or capital gains tax, both of which a crazy high fraction of “investor” immigrants cheat on? No.

The program was a total failure. The concept was they would start businesses here, or link commerce. That worked for the HK’rs, but the mainlanders didn’t do that at all. They’re just using Canada as a lifeboat, and not paying in.

space889
Member
space889

How much income tax do someone making $25K or $30K/yr pays after all deductions? How much is property tax on a $3M Vancouver house?

As for HKers, please they are just as bad as the current crop of mainland rich you people complain about all the time. 90%+ of the HKers that came in 90s didn’t pay any income tax, and once their kids grad from high school, the parents went back to tend their biz full time, while their kid attend univ here, all at reduced cost. Once those kids graduate? They promptly went back to HK to manager their parent’s family biz, never paying a dime in income tax here. But their parents sure have no issues collecting all the OAS, GIS, etc while living 6+ months in HK.

Best place on meth
Guest
Best place on meth

Idiot, the property tax will be paid regardless of who owns the house.

Better it be someone who pays income taxes, not some fucking locust.

Slava
Guest
Slava

No. Income taxes are what counts now.

patriotz
Member

“The people are fed up with being sold out by left-wing politicians ”

Uh, what left-wing politicians? David Cameron? Dubya’s good buddy Tony Blair? The UK hasn’t had a real left-wing government since the 1970’s.

Also the immigration that is causing such concern in the UK isn’t from the third world, it’s from the EU. You know, white people. The UK virtually cut off immigration from the third world decades ago.

ostritch
Member
ostritch

Wrong

HAMster
Guest
HAMster

Chalk another FAIL up for GT who said Brexit would not happen.

888888
Guest
888888

The realturd’s and Chrusty are jumping for joy ,so they can sell B.C even faster to investor,s .

space889
Member
space889

Well, he posted pretty quickly today on that mis-call and why it’s not that he’s really wrong, but just people are stupid. Kinda of like a lot of bear arguments about the RE market here.

Anyways, it would be at least 2.5 years and likely an election before this thing can potentially become official, assuming that the MPs will actually vote in favor of following the referendum results which is not binding. I wouldn’t be surprised if the elite simply trotted out some excuse in a year and say well, you know, 51.8% isn’t exactly a majority like say 66% or 70%, so no we will not be leaving EU.

Best place on meth
Guest
Best place on meth

Garth is always wrong.

And when he’s wrong he just calls other people stupid instead of admitting he doesn’t know shit.

space889
Member
space889

Hmmmm….sounds like a lot of people on this blog who were wrong about a certain local asset classes, and constantly belittle anyone who disagree, and blaming all their failures on others….

Slava
Guest
Slava

Nobody here is wrong, as it is yet to happen and coming closer by the day..
Garth has been proven wrong that HAM is not responsible for the speculative prices on Vancouver/Toronto Real Estate.
On this subject, he has adamantly put his foot in his mouth and shown himself to be a clown for all to see.

StupidityCheck
Guest
StupidityCheck

Shut up, locust. You are changing zero minds.

BTW, the bears have not been wrong about Van RE being overvalued. The fact it went from bubble to super-bubble just means it’s even a worse decision to buy now than it was before.

Now there are only two realistic options:
1. Lower Mainland is now (and will remain) a class-based society.
2. Massive, devastating crash.

Either way, it’s time for the have-nots to get the fuck out. Many have done so already.

tokyorealestateman
Guest
tokyorealestateman

the previous owners/bears/market timers shouldna sold into the rally u get nothing for selling–its tactical mistake dont sell never sell

tokyorealestateman
Guest
tokyorealestateman

dont sell never sell

Hyper-mega-Bull
Member
Hyper-mega-Bull

brexit just makes vancouver look better to foreign money. especially saudis who are a growing element in our market.

space889
Member
space889

So potentially in a decade, we might have Sharia law and 4 wives? And women will be treated more as properties than human beings?? Hmmm…..interesting…..

Hyper-mega-Bull
Member
Hyper-mega-Bull

?

space889
Member
space889

Saudis are probably the most religious conservatives Muslim there is and practice a very strict form of Sharia. Women in Saudi Arabia are not allowed to even go out of the house without a male relative escort, drive, have any kind of higher education, etc, etc, etc. Homosexuals are beheaded there as well. If they come in massive numbers, it will only add to the calls by existing muslim leaders here for Canada to recognize Sharia law and judgment and punishment handed out by the local Imams.

Hyper-mega-Bull
Member
Hyper-mega-Bull

yeah i’m not too worried about it

Loon
Guest

uhhh. They don’t buy London real estate because they want Sharia law and beheadings there. They do it so they can openly enjoy the western ‘cultural’ differences.

space889
Member
space889

Yes, booze, drugs, free sex, but they also want their traditions respected as well. Why else would there be calls for Western country courts to respect and uphold and even enforce decisions made by Imams in many matters that would normally be made by the courts?

patriotz
Member

But not by Saudis. Very few of them immigrate to Western countries in the first place, as opposed to just visiting to party.

Ulsterman
Member

I agree, my dad worked in Saudi Arabia from 1980-83. On flights back to London, the pilot would announce when the plane had left Saudi airspace and the Saudi Muslims would all break out the Johnny Walker Blue Label. Yup, the well-to-do very much enjoy western decadence.

888888
Guest
888888

Chrusty will take anybody with money, it doesn’t matter where they’re from.She just want’s money period.

space889
Member
space889

Sounds a lot like another profession….a very old profession…damn, what’s the name of it??

OPENHOUSEMASSACRE
Guest
OPENHOUSEMASSACRE

I believe the profession is called Prostitution and individual is called a Hooker.

Best place on meth
Guest
Best place on meth

The Saudis are coming now?

Yesterday it was the Mexicans.

Hyper-mega-Bull
Member
Hyper-mega-Bull

saudis are already here. probably more on their way. my guess is that they are a big part of the reason why condos are finally going up.

mexicans coming is a prediction. we’ll see if it materializes. my feeling is that it will. we have everything they need. visa free entry. direct flights. booming construction industry that is desperate for labor. city hall and it’s developer friends most certainly want them.

and this: Vancouver looks at becoming ‘sanctuary city’

http://www.vancouversun.com/news/vancouver+looks+becoming+sanctuary+city/11821402/story.html

treadeu has lifting mexican visas as part of his election promise, yvr begins direct flights to mexico city, and vancouver moves towards becoming a sanctuary city.

the developers are 3 steps ahead of all of you.

space889
Member
space889

Well doh…people don’t get rich by 3 steps behind everyone else…heck, even just running with the herd is not going to make you rich either.

ostritch
Member
ostritch

Hmmm. Interesting. You are probably right on the Mexican front. How/what have you seen of Saudi money?

Combat roach
Guest
Combat roach

Whoever comes can’t fuck up and shit the place as locusts of a certain background (PC).

space889
Member
space889

Sure why not…I don’t mind some Sharia laws here…and 4 wives…hmmm…..

ostritch
Member
ostritch

Saudi money much bigger than Chinese money.

ostritch
Member
ostritch

And louder. And painted gold. You’ll see.

space889
Member
space889
I remember just a few years ago, bears were laughing at the home owers who bought and were priced in forever, because those poor stupid souls destroyed their family financial future, ruined their kids. No more entertainment out in town, going to VSO / etc for culture, no more restaurants, no lavish trips to Europe in summer with the kids so they can see the world and absorb more culture, no healthy organic food, no emergency or retirement savings, craft dinner nights. So financially irresponsible! The bears were the smart ones, saving $$ in rent, having fun & living life, going to Europe / etc in summer so their kids can grow up all culture and world aware and such. now, housing are 30% to 100% more expensive and even more out of reach. Suddenly there is the believe that… Read more »
Hyper-mega-Bull
Member
Hyper-mega-Bull

it’s sad that people like patriotz misinformed so many people.

888888
Guest
888888

That’s what Chinese know, don’t trust the gov’t. Canadian’s born here trusted that gov’t care’s about their ability to afford shelter. NOT !!!

space889
Member
space889

Well, I’m sure if the bears starting giving say $25M to Christy & BC Libs per year and maybe buy a million copies of her auto-biography, they would sudden care A LOT about what bears want done about things like housing, immigrations, etc, as long as it’s not political suicides in the next election.

Ulsterman
Member

You’re right that bears have egg on their faces. The bulls won. But bears aren’t demanding CHEAP housing, just housing that is priced to local incomes. If one of your bull friends has made a million in tax-free gains in the past 10 years, is it unfair if they now only made $500,000. What exactly did they do to earn that $1m?

StupidityCheck
Guest
StupidityCheck

Bulls haven’t “won” anything unless they sell and move someplace else. Do you really consider people who are house-poor, living in so-so homes “winning”?
http://www.torontorealtyblog.com/wp-content/uploads/2013/02/Winning.jpg

Ulsterman
Member
That’s such a tired argument. Many, many homeowners who bought 5-10 years ago have a million in equity and it gives them options. They may not plan on leaving the LM soon, but they have options. As much as you hope it may be true, many are not house poor. Frequently they have mortgage payments of no more in mortgage than many today are paying in rent, because they bought for $500-600k with a down payment. Try living in a house with $500k+++ of equity in it and the security of knowing you’ll be mortgage free in 10, 15, 20 years. Also throw in the knowledge they aren’t getting evicted when the owner decides to sell or renovicted. Then tell me they haven’t won anything. Give me a break. Unless that is you’re one of the bears who have taken… Read more »
StupidityCheck
Guest
StupidityCheck

They only have “options” if they sell. Or do you consider the ability to borrow a million an “option”?

CanNeverThinkOfAGoodName
Member
CanNeverThinkOfAGoodName

Space, Space, Space.

Are you having trouble distinguishing between the concepts “cheap” and “affordable”? Maybe it’s time for someone to remind Space what this very important distinction comes to.

(Regarding Space’s “I remember just a few years ago…” post

CanNeverThinkOfAGoodName
Member
CanNeverThinkOfAGoodName

Whoops I meant “unaffordable”. Sorry.

tokyorealestateman
Guest
tokyorealestateman

exactly—so much sellers remorse on this blog and others–this is a warning and lesson for us all–and this is why buy and hold is the only viable strategy in real estate or stocks–because up-moves are so swift and violent and you cant see them coming–dont sell never sell

Its_the_ALR_stupid
Guest
Its_the_ALR_stupid
Best place on meth
Guest
Best place on meth

“Reduce or redirect immigration patterns

In regards to the big picture, Britain and other countries are reducing immigration rates. Studies, like that of UBC geographer Dan Hiebert, show well-off immigrants are a key driver of increases in urban house prices. Nine out of 10 immigrants to B.C. choose Metro Vancouver. Some countries have found ways to encourage immigrants to move to less populated regions.”

We’ve been overrun by immigrants from Asia for 30 years, time to give it a break and bring in the bulk of immigrants from Europe & Latin America for a while.

And a complete ban on people coming here from china.

OPENHOUSEMASSACRE
Guest
OPENHOUSEMASSACRE

i support complete ban on people coming here from china.

space889
Member
space889

You would support Hitler, Stalin, and Mao too if it mean you can buy your precious SFH on the cheap.

OPENHOUSEMASSACRE
Guest
OPENHOUSEMASSACRE

My family bought a SFH back in 1991 around shaughnessy area .It will be mortgage free end this coming July .My parents are luck to by a property at the right time.

My friends i went to school and my relative are not luck e to afford to a home when their time to buy a home.The average people who cant afford to live in Vancouver where they group up .

Thats why i am pissed at f king Chinese A holes.who comes and buy property and raise the price.

space889
Member
space889
OMG…you people are even more moronic that I thought…OMG…. Your family still own that Shaughnessy area house I take it? You now want your own SFH, preferable in the same neighborhood right? Well, guess what? So does everyone else. Even if there was 0 immigration from anywhere, you wouldn’t be able to get a house. Why? Cuz you have a class of say 30 students who are now grown up and want their own house in Shaughnessy, while the parents of these 30 brats still own their own house. So, unless 30 SFH lots magically appears in Shaughnessy, you aren’t going to get one unless some owners like your parents sell! Meanwhile, a good chunk of people who’s successful in Vancouver would like to live in Shaughnessy as well. Unless there is absolutely 0 or negative population growth, you had… Read more »
Best place on meth
Guest
Best place on meth

With zero locusts coming here in the last 5 years it would be 1.2 million.

tokyorealestateman
Guest
tokyorealestateman

中国語勉強するべきBest place on methさん
it s too late for tears mann…dont sell never sell

StupidityCheck
Guest
StupidityCheck

Shut it, locust.

ostritch
Member
ostritch

Meth. Watch how that aspect of the Brexit doesn’t actually pan out as advertised. Then you’ll get an idea of what’s in our future. Hint: more of the same.

Madashell
Guest
Madashell

Quote from article: Combat money laundering, including the property transfer system.
Canada’s naive honour system has failed to tax billions of dollars in trans-national property deals. Information sharing agreements between real estate officials, Revenue Canada and the immigration department are desperately needed to catch buyers and sellers who lie about whether they are residents of Canada for income tax purposes. UBC geographer David Ley says a host of money-laundering and tax-evasion schemes, including faking that a property is one’s primary residence, are getting exposed in London and New York.

space889
Member
space889

Aren’t RE industry obligated to inform CRA of all their dealings? Isn’t failure to do already mean money laundering and a whole host of other criminals under existing laws? Just enforce the laws on the books for Chris sake. What’s the point of new laws, studies, collaborations if nothing useful actually ever gets done?

I don’t see the Libs beefing up or even prodding CRA to actually clamp down on the rampant tax cheatings that’s going on. Heck. all buy & sell info are already public on the land title registry. It’s about as easy & quick as it gets to persecute the flippers and yet nothing is being done.

Tim
Guest
Tim

Public != public. Land titles have a fee that is nominal for one search, but effectively prevents large scale data mining and searching for patterns.

Also, as I understand it, it takes a court order to find the beneficial owner of a Canadian corporation.

But yes, neither the feds nor the province, nor CRA’s low-morale dysfunctional internal culture, have any interest in going after big fish.

Best place on meth
Guest
Best place on meth

“Aren’t RE industry obligated to inform CRA of all their dealings?”

Ha ha ha ha ha……as if.

When you have a real estate industry infested with corrupt chinese agents like New Coast Realty, nothing suspicious is getting reported.

space889
Member
space889

New Coast & co now handles majority of RE transactions in LM and Toronto where most of the house flipping and tax cheating are going on?? Seriously?

And most of the small time builders are Chinese now??

patriotz
Member
space889
Member
space889

Good for them….let’s see how well they do in 5 years compared to all the bears that’s screwing what a bunch of moron they are.

Nom Nom Nom
Guest
Nom Nom Nom

Space…. Please go choke on something.

Bear Vancouverite
Guest
Bear Vancouverite

This family has a take home income of nearly $240k a year. I used the CRA calculator to reverse calculate the husband and wife’s gross pay based on the information in the article and it works out to ~$280k for the husband and ~$145k for the wife, so a family income of $425k/yr.

They want to buy a $1.5 to $2M place, which is 3.5x to 4.7x their gross income. Isn’t that considered very affordable for them? This couple does not appear to be overstretching at all and I don’t think that the house will stress their finances outside of a job loss or injury.

patriotz
Member

Is real estate the best bet for this millennial?

Like many big-city millennials, Daisy has embarked on a promising professional career and now is looking to buy a condo to rent out.

Get that? Twentysomething wants to buy an investment property.

space889
Member
space889

To make it very simple for the brain dead morons on here who think if only there aren’t any Rich mainland Chinese coming here stealing my SFH!!!

Here is a quick picture illustrating this very economic concept called inelastic supply (SFH in Metro Van) and what happens when there is a demand curve shift (increasing in population). Unless you believe we would have 0 or negative population growth rate if there weren’t any Chinese immigration, you are still screwed. The only difference is that SFH might be $2M instead of $4M, and I doubt many bears believes a $2M SFH is a good bargain.

http://thismatter.com/economics/images/elastic-inelastic-supply-demand-changes.png

space889
Member
space889
Time
Guest
Time

So, an anti-ALR poster explained to us in a previous thread that the regional supply of SFH has been roughly zero sum for some decades now.

But the current population growth rate is below the average for that period.

Please explain then, why SFH prices are going exponential now, and did not before when the growth rate was higher?

space889
Member
space889

Decreasing supply, increasing demand that’s reaching past saturation point. Very simple.

Best place on meth
Guest
Best place on meth
patriotz
Member

Do you understand what supply and demand in RE markets actually are? Hint: they are not the total number of dwellings and the total population.

Understand this, and you will understand why almost all RE busts take place while population is growing, and why the current Vancouver bubble is taking place during a period of slow population growth.

Its_the_ALR_stupid
Guest
Its_the_ALR_stupid
I have no doubt we’re in a bubble, and prices will come down in the short term, especially for SFH. And for all the reasons you seem to be implying – cheap financing, speculators, etc. But let me as you a question as you seem to be someone who knows a thing or two about economics: do you think the long-term price trend for SFH is ever going to revert back to “traditional” valuation metrics of around 3:1 or remotely close to that? Because it sure seems to me (not being an economist) that if you keep the number of SFH units the same year after year, but keep increasing the population, an ever-smaller percentage of that population will be able to afford them. Which ought to raise the long-term equilibrium (“non-bubble”) price. No? I’ve notice you seem to be… Read more »
paulb
Member
Active Member

New
190
Sold
187

TI:8540

http://www.paulboenisch.com

history
Guest
history

‘Ability to pay’ appears to match ‘Inability to finance’

MikeS
Member
MikeS

Yikes. Just looked at the numbers from last year and the year before that…
June 25th 2015 TI: 13184
June 25th 2014 TI: 17209

ostritch
Member
ostritch

Ya. And 13K inventory is a smoking hot market. 8K is shortages all around. That’s why Ian watt could sell over asking before asking.

southseacompany
Member
southseacompany

“How Brexit could add more fuel to Canada’s hottest housing markets”, BNN

http://www.bnn.ca/News/2016/6/24/How-Brexit-could-add-more-fuel-to-Canadas-hottest-housing-markets.aspx

“And there’s speculation The Bank of England could cut rates as early as this Sunday and expand its bond buying.”

“As a result, you can expect the global cost of borrowing to fall further into historic lows – a process already well underway Friday with bond yields plunging.”

Madashell
Guest
Madashell

To all who argued the financial world would’ve collapsed without the bailouts: The political world is collapsing now because of the bailouts. Emanuel Derman

OPENHOUSEMASSACRE
Guest
OPENHOUSEMASSACRE

@southseacompany

is this ur youtube ur channel ?https://www.youtube.com/user/southseacompany/videos

if that the case can u upload all BNN videos on Vancouver housing ?

patriotz
Member

Ad on home page of today’s National Post:
https://tpc.googlesyndication.com/simgad/7149292409704088233

southseacompany
Member
southseacompany

I saw that ad full page in the Province last week. We need a Vancouver Bubble Museum for this stuff.

Ulsterman
Member

We’ve been making fun of these flipper / no-money-down!! course advertisements for years. I wonder if anyone here had taken the course and become a flipper say 5-10 years ago, how well they would have done. I can’t imagine they having lost money on many of their flips.

I’m not saying these promoter guys aren’t sharks of course,

southseacompany
Member
southseacompany

Of course they’ve done well. Expectation of gains is the key component of any bubble. These ads are classic signs of a bubble. Perhaps you remember this famous book that was big US seller in 2005.

https://www.amazon.com/Are-Missing-Real-Estate-Boom/dp/0385514344

OPENHOUSEMASSACRE
Guest
OPENHOUSEMASSACRE

Also don’t forget about another idiot Garth Turner who predicted a crash 8 years and still preaching on his blog about impending crash .
https://www.amazon.ca/Greater-Fool-Troubled-Future-Estate/dp/1554701082

patriotz
Member

“I can’t imagine they having lost money on many of their flips.”

But if you just put the money back in the market you haven’t realized the gain. Every indication I’ve seen is that for every one who gets out two more are doubling down. Somebody has to lose money at the end of this, because the sellers’ gains come only from the buyers.

YVR
Guest
YVR

AKA a Ponzi scheme.

YVR
Guest
YVR

Maybe you should take the course?

Some free advice for you. Flipping incurs work, huge transaction costs and is taxable as income. In a rising market buy and hold works better than flipping. You just need to sell prior to the bust. But then some guy wouldn’t be able to skim off the flip and sell the course.

OPENHOUSEMASSACRE
Guest
OPENHOUSEMASSACRE
specuskeptic
Member

That boot makes me physically ill. I’m quite sure she and her fundraising chair Bob Rennie will have consumers at the top of mind when designing policy…..

Best place on meth
Guest
Best place on meth

She deserves to be executed like every other corrupt communist chinese official.

YVR
Guest
YVR

Pretty much everything she has indicated will pump the bubble bigger. Although we are at extreme levels and more fuel may be enough to blow this thing up.

More transit = higher prices in those areas with the transit.
Support first time buyers = more buyers bidding on same units
Increase supply = Help developer buddies by rezoning their land which increases land prices and speculation.
Increase rental units = less stock available for sale.

OPENHOUSEMASSACRE
Guest
OPENHOUSEMASSACRE
Slava
Guest
Slava

This will eventually lead to a ban on non-residents owning residential real estate, and the party will be over.

888888
Guest
888888

Let’s see what these Liberal’s are made of when they have to come up with some real idea’s for the economy, instead of selling B.C to the highest bidder.Chrusty let’s see some idea’s.

Slava
Guest
Slava

Well Justine T. showed up here a week ago, with Christy sans the shit eating grin looking all flustered when J.T. called the house price situation here “critical”
Just a few months ago, Christy was proclaiming that there is no problem, and that those who can’t afford here should move to Fort St. John.
She is a psychopath with a low IQ, backed into a corner. Let’s wait and watch her squirm…..

done like toast
Guest
done like toast

SO Christy who said there no crisis had to wait for Justin to show up and tell her, “yes it is a crisis do something about it” – making her look like a fool. And then poor-little-do-nothing Gregor actually threatened to do something to make her do a 180 degree turn around and says yes it is a crisis and I am working on it for months.

What BS?

Months ago Rich Coleman was saying that those who complain about Far East money are whiners.

Duh!!! Where have you been for the last 5 years?? Counting the donation from the RE cartel.

888888
Guest
888888
bullwhip29
Guest
bullwhip29

Chinese bank card UnionPay gains traction in Canada
http://www.theglobeandmail.com/report-on-business/chinese-bank-card-unionpay-gains-traction-in-canada/article30620889

“The average transaction size for a UnionPay purchase in Canada is $2,500 (Canadian), an astonishing 25 times the overall average debit card transaction…”

bullwhip29
Guest
bullwhip29
YVR
Guest
YVR

The only thing you need to know is if you own one now is the time to sell it.

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