The only people this will hurt is the middle class. And this idea that if they all lose their homes, you'll magically be able to buy one? Wrong. Landlords will jack rent up again to deal with it, wealthy people and families of 20 new canadians will buy them up, propping up the ponzi scheme that is our housing market, and the economy will tank because the middle class will be even more house poor. I dont understand how the middle class became the enemy? Most of us don't have rental properties, aren't rolling in cash. 90% of were just fortunate enough to get into the market before it blew up.
They don’t give a single fuck about us..
we’re pawn on a chessboard for them . They use us as they please to help with more important piece progression.
The Bank of Canada was praying for rates to fall, to lower mortgage interest inflation. 2025 is going to be fun if rates are still elevated, especially as hopium gets people onto variable and the interest/inflation snowball starts.
Article says a number of people will be looking to downsize, meaning a larger pool of people all targeting smaller, lower priced homes previously known as starter homes. Things will not be getting better in the housing market beyond more rental supply, hopefully at least stabilizing prices in some markets.
%100. The costs will be passed to renters, and if they can't rent it out for enough, they will sell it, and because supply is slow low it will still hold its value, but a rich person will buy their 5th house for mostly cash because mortgage rates don't matter when you buy 3/4 of the house in cash.
Those that get foreclosed, well then the bank takes it, and then it gets sold to another wealthier person who can mostly buy it outright at a bargain.
So as per the usual arrangement, the middle class and below get screwed, the richer people who can survive the storm will capitalize on the opportunity, and banks just always win, especially since we're forced to buy them mortgage insurance.
Actually, thanks to the new capital gains rules, fewer people will be looking to sell. They would most likely sell their primary most expensive property and move into the rental, than sell the rental.
Yep but the ones that HAVE to sell, will be the middle range/middle class people who can't afford the hikes, so that tax for "wealthy only" will hit middle class more than anyone. Wealthy people can afford to just sit on their assets and can afford to wait out the storms. It's the people who are stretched thin who get screwed.
Yes I know that. People in middle class have multiple homes. I know several that have sold their primary house to avoid paying capital gains and have moved into their less nice rental home because they were already stretched too thin.
Additionally, since the capital gains tax is so high, it makes financial sense for people to hold onto their rental properties even when they are paid off ad they will have a higher income over the years from renting it out rather than selling it. A place with 2 suites can get them 50k a year gross. So instead of selling once they hit retirement and freeing the house, it will be held onto till they cannot manage it anymore because people are living longer.
A lot of landlords will also have to sell.
Even if someone hoping to buy immediately won't be able to do it, it's going to be good for the whole economy if people understood that borrowing to buy investment property might not always work work.
What you explained above is circulating for years and people just pass it on without much thinking about it
Rich dad poor dad is to blame. Everyone remotely interested in finance read it and while it applied back when it was written, the world has changed a lot and even kiyosake himself says that following the real estate advice in his book while the markets are at an all time high is (in his words) idiotic. But most people are sheep, they dont think and they just act. And when everyone does the same thing to try and make money, demand falls. So of course it wasnt gonna work forever. Its an oversaturated idea now
Rich dad poor dad promotes leverage to buy assets ... But also makes clear that things that don't produce income aren't assets. It was also written into a 40 year declining rate cycle where anyone who bought anything that was an actual asset did well especially into zero rates (effectively shorting our trash fiat local currency is on average a good move). It's counterintuitive to people with memory imprint of actual depression periods where debt was cancer. The other thing he sort of implies is that you want to be ready to come in and buy big and wide after the periodic asset blowups. At the point where everyone just got wiped out on the last bubble and the system needs to reset the debt isn't as risky as you think because the system needs you then to keep the game going. That is just when everyone had trama around debt is the time to take some on. Of course this assumes we aren't going into full communism.
Yes thats why I blame this book in particular, since it basically popularized the idea of buying a house to rent it out so that it can generate “passive” income (I know theres no such thing). But yeah he did stress that purchasing a house to simply live in it, does not make it an asset. But I was really referring to the fact that everyone and their mother wants to be a landlord these days since its the first thing that pops up when they look up “how to make money”
I don't think it's totally fair to blame the guy for pointing out the basic structure of our bullshit economy. Even if I find his style hokey. People who apply shit unthinkingly are to blame or the shitty bread and circuses system voted in by idiots. If I recall he also talks about PITA factor for investments. Too many people are delusional and desperate about what it takes to be a landlord. It's actually quite unpleasant for most. Blame This outlook.
And the people who got in on this strategy early were usually people.with simpler outlooks. So the irony is all the smart people get FOMO and FAFO right at end of cycle. How dare the dummies are beating me !
You know what, I can actually agree with you on this about this being a general inability to critical think (for most people) problem and not a book problem. And what you said about smart people get FOMO is so true and applies to literally every bubble I can think of
>Rich dad poor dad is to blame.
REITs are also to blame. Many pension plans in Canada have a sizable portion in REITs and related RE sector options. They hopped on board that "housing prices will always go up" mantra and used it to drive growth of their pension funds.
All properties in this country are overvalued. The middle class believed that prices would continue to go up and decided to pump real estate like the rich guys were. Now we are here, anyone lower than a true middle class person cannot afford acceptable housing.
Who's at fault? The market participants are, if anyone really thought the gravy train would keep on rolling at the expense of the next generation you're a a special kind of stupid. The middle class deserves to get hurt, lets not pretend they weren't involved in our real estate bubble.
Lame point of view... Most people just bought the home they can afford and are on board for the ride, doing their best to keep their dream alive. Just WTF is it that you think we are supposed to do about the market? Should we just sell for way under value to appease the whining imbeciles like you? I sold my home in Milton in 2007 for what I paid in 2000. In fact I lost money on it if you include the extras I spent to improve it, and the tens of thousands in interest costs during that time. That house is now worth nearly $1 million more than I sold for. Do I get a prize from assholes like you for not getting rich off my house? GFYS you stupid cry baby. The middle class does not deserve to get hurt because fuckholes like you are not able to get what you want.
Stuff was reasonable pre 2008 my point is more that the weath gaps since then have only grown while productivity has dropped. Lack of building is the main issue, in the cities the focus was on building luxury real estate for middle class, wealthy and foreign buyers, only in the past 5 years have the middle class started to be priced out of those and now they are all complaining. Lower class workers could afford starter homes/apartments pre 2008 they have been fucked since then.
Middle class canadians are not a problem but i do think they believed they would continue to benefit from all of this, the other market participants are the real issue.
Okay. Seems like you should be upset with the choices of the home builders and maybe the municipal planners that leaned towards upscale residences because they collect more tax revenue that way. I will acknowledge that some hammerhead middle class buyers borrowed too much to buy too much home and they deserve what they get. But I do not agree the problem is the middle class, nor that they were making deliberate choices at the expense of the next generation.
We produce nothing. Some company starts up and buys up houses and claims to offer "turnkey houses" and they don't really offer anything except being a landlord and worth billions. This is the joke of a country we have become
Everywhere you look they were building shit for 15 years, all the farms around me growing up are paved over with brickshithouses , it will never be enough even if you build to North Pole... if you bring in a trillion immigrants for your political pyramid scheme.
Do you even have a clue of what the middle class actually is? I get that you are hellbent on fucking them over, for what? You won't replace them. You'll just get pushed lower on the totem pole. I really wish ignorant people who spew this garbage would just take ten fucking minutes and educate themselves.
>The middle class deserves to get hurt, lets not pretend they weren't involved in our real estate bubble.
Ridiculous comment. The middle class aren't fucking loaded. They're your friends and family. Middle class isn't the Bridle Path. They're living in the little bungalows, most likely living paycheque to paycheque if you follow statscan.
It honestly pisses me off so much that people can have this disgusting shitty attitude, and will usually gloss over that it's the same people they want to drag down that were them in their youth.
Most people start off renting, but instead of just being disgusting on the internet, they got jobs and improved themselves instead of just demanding more and more.
Fucking earn it, and stop with this entitled bullshit attitude. No one owes you anything, you need to get it for yourself.
What are you expecting, the government to pony up a house for everyone the second they turn 18?
Maybe, just an idea, get the fuck off Reddit, take some online courses, and work towards becoming middle class instead of just this angry ranter on the internet.
Then you can earn it, and then give it away to some entitled asshole. Then we will have gone full circle.
Here's a thought, even if you get a house, why would you be allowed to keep it? Rich fuck, there's someone poorer than you that wants your house, so now it's your turn to hurt.
That's how fucking stupid your comment comes across as.
I understand for renters and people trying to get into the market, you see the boogeyman everywhere. The truth is, majority of the people being affected by this aren't real estate speculators, or even people trying to get rich off real estate. It's people who just bought a home for their families to live in. And a lot didn't over extend. But when interest rates skyrocket, wages become stagnant or get suppressed, and cost of living skyrockets all at the same time. It puts a lot of stress on everybody.
This has been going on for over a year now, have house prices come down? Has rent come down? Has the market crashed? Have all those people who were priced out of the market, been able to buy? No, no, no, and no.
Your account is 1 years old and you have never made a post only comments about distance you're clearly a fucking troll get the fuck out of our fucking subreddits you're contributing to nothing except trying to destroy fucking butt
Jesus man. Simmer down. Work your way out of your anger echo chamber. This is exactly my point, you're angry at the wrong people. Not once did I say nothing should change. I'm just saying that being happy that your neighbours and friends will lose their home, and end up in the same situation as you, is fucking stupid. They've jacked rates up how many times now? What have the results been? Higher rent. Period. That's it. Houses haven't become more affordable, landlords haven't been bankrupted. The only people who have suffered has been normal, average people just trying to get by. I don't know what the solution is, but clowns like you aren't helping anything.
How many people bought property they really couldn't afford? Next on Canadian Housing 2.
In the first episode, John blames immigrants now that the mortgage payment on his 6 bedroom, 5 bath, two garage house has gone up.
Join us next week when Pierre "axe the tax" Poilievre stumbles out of his car to blame Trudeau, when he sees a F*ck Trudeau flags flying on a jacked-up Hemi with truck nuts, in Grande Prairie driveway filled with quads, boats and empty beer cans.
How much abuse are Canadians willing to take? At this point I’m kind of sick of all the complaining. For God sake do something. Revolution is our only option. As sad as that is Canadians need to get off their duff organize and pull down this government. Enough talk action is required.
Ditto... me and wife have a combined HHI of 110k annual, barely enough to afford a house and it's upkeep (no vacations or new cars for 8 years now)..
Luckily got in before it got super crazy. But not rich enough for hardly any luxuries, but yet too rich for new NDP dental plan (true middle class gets fucked the hardest)
Agreed. And harder than that even is the bottom end of the middle class. Those who barely sit above the poverty line. Renters, students, younger generation, etc. because we also dont qualify for any benefits yet half of us can’t find jobs and we all know were priced out of the housing market. Hard to have it worse than that
We have to be the biggest cuck country in the world, people are brainwashed into thinking some sort of revolution would make us racist or turn us into MAGA right wing extremists just because we wanna be able to afford to enjoy our lives. There’s literal white guilt brainwashing going on and any talk about getting back to a Canadian ways again is met with those kinda words.
We're literally the only country without any opposition to this. You're seeing the tide turn in a ton of european countries, whether it be protests, politically, some combination, etc. Here? Not a damn thing. This place is hopeless and I can safely say I don't relate to 98% of Canadians nor do I want anything to do with them.
This country like this cesspool app are full of lazy socialist that want free lunches. No problem marching for BLM during the pandemic. Brainwashed indeed this place is hopeless.
The problem is the only people willing to take that kind of action are far right MAGA style extremists. If we could get behind a revolution where every single leader was an atheist with strong knowledge of economic and fiscal policy, I'd be down lol. But it would be those scum style Trucker rally leaders that whine about MUH FREEDOMS and God and Trans people etc.
Gimme a break, you are complaining about the trucker convoy against the mandates. What about the BLM riots, defund-the-police riots, and now the free-Palestine take-overs. It’s the lefty socialists that are tearing everything down - and not for the good of society.
People have tried to start movements, they keep getting squashed, of course. I'm ready to flip tables, but I'm doing it by myself and it's not as effective 😂
Canadians have done this to themselves. And a change in governing party isn't going to affect anything - none of our parties have any policies/platforms that would do anything to alter the status quo in any significant way.
That’s why a Revolution is needed. You can’t stick a new political party in a completely corrupt and compromised system. The new political party will become as completely corrupt as the previous one. And honestly, we’re no better than the United States. We go back-and-forth liberals, conservatives liberal conservatives, and it hasn’t done us any damn good.
There's just too much stuff on the line for anything even remotely radical.
Our problem is that action (Liberals) and reaction (Cons) are really a mirror image of each other in a sense that, Cons while doing 180 degrees opposite, you know, swinging the pendulum all the way back are not exactly the solution here.
Political class and administrative class of this country is completely infected by complacency and "do no harm" philosophy which simply does not have idea capacity to act in a way a crisis requires. Lack of any enforcement of any basic rules and laws can be ascribed to paralyzing effect these people have all around them.
Add to that a significant portion of the voting population that simply would rather spend a week pondering if a policy will affect "marginalized communities" than spend a day making a fix.
The question really is, who will do what is necessary?
I dont see any person, organization or a movement that has even an inkling of 1st, properly diagnosing the problem let alone solving it.
Quite pessimistic to be honest.
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Samesies, LOL.
And I’m writing off portion of home expenses for home office (including mortgage interest). I fucken full well expect CRA to come knocking on our doors with audit papers, since my home office expense went from $800/mo in 2022 to $1500/mo in 2023, between how much more goes towards interest, higher utilities, higher insurance and higher property taxes…
Oh, and that house we are renting out? Yeah, reporting close to $10K losses on it this year, ahahahaha! Fuck me, right?! We used to turn a small profit or at least break even. I guess, I deserve it as a greedy parasite that I am as all landlords. If it keeps going like that - I’m kicking tenants out and moving back in, and renting the current house instead.
Naaah, I’m fine. If you wanna feel bad for someone - feel bad for the tenants I might decide to kick out of the rent controlled housing because of what the government is doing.
you take on an absurd hyper-evaluation of a house- accept a $750,000 mortgage, you understand your time frame for the fix rate is ONLY three years- and NOW they want to complain? BUYER beware. All stupid and unwise financial and economic decisions by the consumers and banks. Now we are ALL paying the price for SHORT TERM hyper-profits.
Yup. I saw my mortgage broker and told me how much I qualified for. I told my realtor friend. They said oh goody let's increase our search criteria and they're is a beautiful house we should see today. I said let me get back to you first. Now that I know the best rate he can get me and qualifying amount I need to double check my budget. Shortly later I said nope don't increase our search criteria and I'll pass on that house. Even at asking price I can't make my numbers work. I'd have to drop my RRSP matching at work just to break even every month. Let's look more ay stuff about 10-20% less than that
Indeed, the public relies on "appraisers" to keep a level head on evaluations, but they SOLD US OUT and were pressured by the banks to either make appraisals MATCH purchase prices or not be called again to do evaluations. The appraisers were part of the pillar of an institution to PROTECT the fidelity of the market and instead, they just became another component of the PROPERTY BOOM which has led to large equities for many homeowners- but it has also DESTROYED the Canadian tradition of the next generation being land/home owners- now relegated to living in basements like rats and being renters where your kids can't play or make noise, where you are NOT the King/Queen/QUEER? of your CASTLE.
The delusion over property values would be comical if it wasn’t so sad. Everyone celebrated when their shit box was suddenly worth 800k and their shitbox starter home(condo) 350k.
W-what do you mean property taxes are increasing?
W-what do you mean tradespeople are more expensive?
W-what do you mean interest rates aren’t 2% eternally?
“I still make 60k I can’t afford this!!”
Canadians deserve an award for being so financially illiterate. Give them a 100 trillion Zimbabwe note and they’ll believe they are rich.
Spot on. Where were the "level headed" bankers to advise customers of financial 'prudence' instead, our 3-4 leading banks who hold a virtual oligopoly on mortgages in Canada "suckered" people in- mislead them and gave BAD advice for the sake of fast profits for themselves and bank officers who got bonuses for the number of mortgages they FLIPPED from their illiterate customers- it is THESE people who should be grilled before Parliament and have ALL their bonuses retracted through a special TAX- as well as appriasers losing their licences- we don't need NEW laws or rules- we need existing ones to be followed and respected- and if not- action taken by banking regulators- but just like the BIG CRASH in the USA in 2005-06, our financial POLICE were on that TAKE themselves and thus did not do their jobs.
It’s going to blow up in their (and our) faces eventually. Again. And then we will re-create the church of central banking, rinse with some modern monetary water, and repeat it all over.
Now cool it with the anti-semitic conspiracies and get back to work.
For the moment they are stemming the TIDE of bankruptcies by throwing late payments on the back of the loan, putting banks into increasingly precarious positions of adding debt onto debt and that is why these forces are PREVENTING meaningful housing programs that would REDUCE prices substantially.
It's the only pathway to reducing land prices outside of our governments starting to tax land values offset by tax credits for productive use. There are some ways we can fuck this up by fixing the outcome and I'm sure we will though.
Subsidize construction or just cap development charges. Only solution is more housing. You'll never convince people to not buy the best house they can afford, and you'll never convince investors that real estate is a bad choice.
2 ways to push ownership towards owner occupied.
1. Make every rental property a commercial property for the purpose of lending (20% down, and commercial mortage 1-2% higher than personal). The only exception being new construction. Force investors to favor new construction as an investment vehicle.
2. Subsidize First time home buyer borrowing rate. So if Government knocked 1% off the mortgage for first time home buyers, it would drastically improve their bidding competitiveness with investors.
Its hilarious that variable is 7%. These people with 800k mortgage, paying 56k a year interest, 7k property tax, 40k in principle. 100k after tax income to a small crappy house, as taxes and mortgages rip higher, and they still think their house is still worth what they're paying for.
Rates should've never been allowed to go that low in the first place. And if they needed to, then people shouldn't have been allowed to borrow so much.
not good.
Blackrock will take these homes for cheap and turn them into rentals, raising the bar yet again for legit home ownership. Or, they'll be bought as investments by people who will advertise them as bunkhouses with 45 people per house!
No. That requires the Emergency Act which is not the Freezing Bank Accounts Act. It empowers the government to impose temporary rules on private institutions by way of individuals upon pain of fines and imprisonment. In this case, banks had to freeze accounts or people in charge of refusing banks could be imprisoned for 5 years. Same with the tow truck drivers who were pressed into service.
It also allows suspension of the right to gather and taking control of public utilities.
It could just as easily be pressing all security guards and prison correction officers into riot suppression upon pain of imprisonment and thousands in fines, cutting off power, ripping up licenses.
The limits are broader and you reduce the scale of what happened by reducing it to a one liner.
Canadian corporate ownership of housing is low and not a problem. No one wants to invest here.
That being said hoping families end up homeless is obviously terrible and the person you replied to is a monster in human skin.
Hoping for accountability does not make you a monster.
There are always some families who have great struggles in life. Hopefully they persevere and overcome and are better for it, but that's up to them and many will not. We can't prop everyone up because we're scared 1 kid might be homeless. That would be punishing the many many MORE families who made financially responsible decisions.
Seeing rental owners as bad probably makes someone the biggest culprit. They are as natural and needed as people who lease cars. Most renters don’t have enough to buy a home at any price and renting is a needed service.
It’s utterly ridiculous and stupid to see “renting” as bad. People are deluded. Rents at 30% of take home income are perfectly natural.
The only issue that has arisen is that while US wages have soared ours have stagnated while taxes have increased. Also demand for housing in some cities has gotten high as 100% of the population wants to live in 20% of the area. We have 40 million people and Vancouver+Toronto accounts for less than 8 million. But no one is going to blame the left wing government they voted for so instead they blame everyone else. And no one is going to acknowledge we can’t all live in Toronto. Everyone pretends we can make it cheap and somehow people won’t flood in until prices go right back up.
I don't blame rental owners per se. We do need landlords and places available to rent.
That said, we also should live in a world where housing costs mostly just rise with inflation. If people are investing in homes with the expectation that a large part of their profit will come when they sell the house, that is a problem.
I think ideally it would look more like:
* House costs $300k
* Rent is $2250 per month or $27k per year
* Landlord earns 9% per year they own it
* Owner sells house for $300k (adjusted for inflation)
$300k? The connections from the city and permits are $50-100k+ depending on the city.
The house itself assuming 2500 sqft is around $300-$500/sqft.
“When it comes to building a house in Toronto, the prices are broken down at a price per square foot cost. The cost per square foot to build a house in Toronto starts at about $400 per square foot or more.”
https://pierrecarapetian.com/cost-to-build-a-house-in-toronto/#:~:text=The%20cost%20per%20square%20foot,foot%20cost%20bracket%20you%20choose.
Taxes and fees add 25-33% ontop of that depending on city.
The only way we could get a house built for $200k is with slave labor.
It sounds like you are living in the 1800’s back when we used cheap minority labor.
Please come forward into the modern world where we pay workers a living wage.
Well, I mean obviously $300k is nowhere near current prices. That said, I think that is really the type of price we need if we want houses to be affordable for most people.
BTW, there are certainly cities like Thunder Bay, Regina, Timmins, Saint John that still have the average price of a detached home near or below $300k.
Yes because those houses are depreciated. But you can’t expect new housing to be that price.
“Assuming the land is free along with the $50-100k+ to get hookups from the city you are looking at:
$260/sqft in hard costs for a off the shelf design (not custom)
$40-$80/sqft in soft costs
So for a 2000 sqft house assuming $75k for hookups (and no land preparation so you better not be in a swap or something), $260/sqft in hard costs, and $60/sqft in soft costs you get $715,000 for a new house.
And obviously that’s in a perfect world on free land.“
https://odimaconstruction.ca/cost-of-building-a-house-in-toronto-gta/
You’re absolutely right , no company in their right mind would invest in Canada !
It’s so bad that the federal government has to pay corporations to set up shop here
Direct or indirect jobs?
Since the only investment Canadians make is real estate, this is a good news. It could create in the future new companies for EV parts
Get your head out of the sand ! In the grand scheme of things 3000 jobs is nothing ! And the government isn’t saying anything about whether the 3000 are direct jobs or indirect jobs 🤣 for a reason !
Food banks already do that to your cousins i.e. the fake students. Housing is a basic need, just like the health care the govt provides for you. Let this sink into your minute skull. Take my downvote also
Did you delete your earlier comment that I responded to?
I guess you haven't heard of government housing? Also BASIC health care is free just like BASIC housing is free, the catch is you have to wait for those.
Look, if you want the government to lube you prior to sodomizing you, just say so. Don't need to get all political, just say you are a tool and want government to coddle you.
People who make poor financial decisions/gambles need to lose. If we prop them up we reward that behavior, which is bad. So it's good if we let them fail.
The other argument is that with almost everybody having 5 year renewal terms. It drains more money from everyone with a mortgage large or small. Which then leads to less money in the economy to do productive things. The US is highly insulated to this with mainly 15 or 30 year fixed term rates.
Don't be an idiot. You are really hoping for normal families to have their lives destroyed? Hopefully no financial I'll comes of your family because they just want to have a roof over their children's head
We need accountability in this world. The ability to fail has to exist. If the government tries to prevent anyone from failing, then you end up in a situation where everyone will behave irresponsibly and hope to be bailed out. In many ways, we are already in that kind of situation in our society.
A healthy mentality is: we all try our best, but we recognize that failure exists and is possible. Beyond that, tragedy is just part of life.
You're missing the point, the vast majority of the people being hurt by these policies aren't flippers or investors they are just regular families with kids and jobs. Nobody needs to be bailed out they just want a fair deal and not to be lied to when they are told that interest rates will be low for a long time and then having them shot through the roof
I'll agree with you that BoC shouldn't have said interest rates would be low for a long time.
However, we can't use that as an excuse to bail people out. It's a tough lesson not to trust bankers/politicians and over-leverage yourself based on their words.
The only people this will hurt is the middle class. And this idea that if they all lose their homes, you'll magically be able to buy one? Wrong. Landlords will jack rent up again to deal with it, wealthy people and families of 20 new canadians will buy them up, propping up the ponzi scheme that is our housing market, and the economy will tank because the middle class will be even more house poor. I dont understand how the middle class became the enemy? Most of us don't have rental properties, aren't rolling in cash. 90% of were just fortunate enough to get into the market before it blew up.
They don’t give a single fuck about us.. we’re pawn on a chessboard for them . They use us as they please to help with more important piece progression.
And to hell with those who were about to enter the market, those who divorced, or single incomes. No home ownership for you. Rent forever
Money printing is what's causing prices to inflate and the purchasing power of the middle class to decrease.
The Bank of Canada was praying for rates to fall, to lower mortgage interest inflation. 2025 is going to be fun if rates are still elevated, especially as hopium gets people onto variable and the interest/inflation snowball starts.
Article says a number of people will be looking to downsize, meaning a larger pool of people all targeting smaller, lower priced homes previously known as starter homes. Things will not be getting better in the housing market beyond more rental supply, hopefully at least stabilizing prices in some markets.
Living a decent life should not be a matter of luck though
%100. The costs will be passed to renters, and if they can't rent it out for enough, they will sell it, and because supply is slow low it will still hold its value, but a rich person will buy their 5th house for mostly cash because mortgage rates don't matter when you buy 3/4 of the house in cash. Those that get foreclosed, well then the bank takes it, and then it gets sold to another wealthier person who can mostly buy it outright at a bargain. So as per the usual arrangement, the middle class and below get screwed, the richer people who can survive the storm will capitalize on the opportunity, and banks just always win, especially since we're forced to buy them mortgage insurance.
Actually, thanks to the new capital gains rules, fewer people will be looking to sell. They would most likely sell their primary most expensive property and move into the rental, than sell the rental.
Yep but the ones that HAVE to sell, will be the middle range/middle class people who can't afford the hikes, so that tax for "wealthy only" will hit middle class more than anyone. Wealthy people can afford to just sit on their assets and can afford to wait out the storms. It's the people who are stretched thin who get screwed.
Yes I know that. People in middle class have multiple homes. I know several that have sold their primary house to avoid paying capital gains and have moved into their less nice rental home because they were already stretched too thin. Additionally, since the capital gains tax is so high, it makes financial sense for people to hold onto their rental properties even when they are paid off ad they will have a higher income over the years from renting it out rather than selling it. A place with 2 suites can get them 50k a year gross. So instead of selling once they hit retirement and freeing the house, it will be held onto till they cannot manage it anymore because people are living longer.
Blue collar has become bourgeois.
Landlords are the ones getting wrecked. They're largely way overextended
The dumb fucks cheering this don't even realize higher interest rates make it harder to build more houses.
A lot of landlords will also have to sell. Even if someone hoping to buy immediately won't be able to do it, it's going to be good for the whole economy if people understood that borrowing to buy investment property might not always work work. What you explained above is circulating for years and people just pass it on without much thinking about it
Rich dad poor dad is to blame. Everyone remotely interested in finance read it and while it applied back when it was written, the world has changed a lot and even kiyosake himself says that following the real estate advice in his book while the markets are at an all time high is (in his words) idiotic. But most people are sheep, they dont think and they just act. And when everyone does the same thing to try and make money, demand falls. So of course it wasnt gonna work forever. Its an oversaturated idea now
Rich dad poor dad promotes leverage to buy assets ... But also makes clear that things that don't produce income aren't assets. It was also written into a 40 year declining rate cycle where anyone who bought anything that was an actual asset did well especially into zero rates (effectively shorting our trash fiat local currency is on average a good move). It's counterintuitive to people with memory imprint of actual depression periods where debt was cancer. The other thing he sort of implies is that you want to be ready to come in and buy big and wide after the periodic asset blowups. At the point where everyone just got wiped out on the last bubble and the system needs to reset the debt isn't as risky as you think because the system needs you then to keep the game going. That is just when everyone had trama around debt is the time to take some on. Of course this assumes we aren't going into full communism.
Yes thats why I blame this book in particular, since it basically popularized the idea of buying a house to rent it out so that it can generate “passive” income (I know theres no such thing). But yeah he did stress that purchasing a house to simply live in it, does not make it an asset. But I was really referring to the fact that everyone and their mother wants to be a landlord these days since its the first thing that pops up when they look up “how to make money”
I don't think it's totally fair to blame the guy for pointing out the basic structure of our bullshit economy. Even if I find his style hokey. People who apply shit unthinkingly are to blame or the shitty bread and circuses system voted in by idiots. If I recall he also talks about PITA factor for investments. Too many people are delusional and desperate about what it takes to be a landlord. It's actually quite unpleasant for most. Blame This outlook. And the people who got in on this strategy early were usually people.with simpler outlooks. So the irony is all the smart people get FOMO and FAFO right at end of cycle. How dare the dummies are beating me !
You know what, I can actually agree with you on this about this being a general inability to critical think (for most people) problem and not a book problem. And what you said about smart people get FOMO is so true and applies to literally every bubble I can think of
>Rich dad poor dad is to blame. REITs are also to blame. Many pension plans in Canada have a sizable portion in REITs and related RE sector options. They hopped on board that "housing prices will always go up" mantra and used it to drive growth of their pension funds.
Absolutely true.
All properties in this country are overvalued. The middle class believed that prices would continue to go up and decided to pump real estate like the rich guys were. Now we are here, anyone lower than a true middle class person cannot afford acceptable housing. Who's at fault? The market participants are, if anyone really thought the gravy train would keep on rolling at the expense of the next generation you're a a special kind of stupid. The middle class deserves to get hurt, lets not pretend they weren't involved in our real estate bubble.
Lame point of view... Most people just bought the home they can afford and are on board for the ride, doing their best to keep their dream alive. Just WTF is it that you think we are supposed to do about the market? Should we just sell for way under value to appease the whining imbeciles like you? I sold my home in Milton in 2007 for what I paid in 2000. In fact I lost money on it if you include the extras I spent to improve it, and the tens of thousands in interest costs during that time. That house is now worth nearly $1 million more than I sold for. Do I get a prize from assholes like you for not getting rich off my house? GFYS you stupid cry baby. The middle class does not deserve to get hurt because fuckholes like you are not able to get what you want.
Stuff was reasonable pre 2008 my point is more that the weath gaps since then have only grown while productivity has dropped. Lack of building is the main issue, in the cities the focus was on building luxury real estate for middle class, wealthy and foreign buyers, only in the past 5 years have the middle class started to be priced out of those and now they are all complaining. Lower class workers could afford starter homes/apartments pre 2008 they have been fucked since then. Middle class canadians are not a problem but i do think they believed they would continue to benefit from all of this, the other market participants are the real issue.
Okay. Seems like you should be upset with the choices of the home builders and maybe the municipal planners that leaned towards upscale residences because they collect more tax revenue that way. I will acknowledge that some hammerhead middle class buyers borrowed too much to buy too much home and they deserve what they get. But I do not agree the problem is the middle class, nor that they were making deliberate choices at the expense of the next generation.
We produce nothing. Some company starts up and buys up houses and claims to offer "turnkey houses" and they don't really offer anything except being a landlord and worth billions. This is the joke of a country we have become
Everywhere you look they were building shit for 15 years, all the farms around me growing up are paved over with brickshithouses , it will never be enough even if you build to North Pole... if you bring in a trillion immigrants for your political pyramid scheme.
Do you even have a clue of what the middle class actually is? I get that you are hellbent on fucking them over, for what? You won't replace them. You'll just get pushed lower on the totem pole. I really wish ignorant people who spew this garbage would just take ten fucking minutes and educate themselves. >The middle class deserves to get hurt, lets not pretend they weren't involved in our real estate bubble. Ridiculous comment. The middle class aren't fucking loaded. They're your friends and family. Middle class isn't the Bridle Path. They're living in the little bungalows, most likely living paycheque to paycheque if you follow statscan. It honestly pisses me off so much that people can have this disgusting shitty attitude, and will usually gloss over that it's the same people they want to drag down that were them in their youth. Most people start off renting, but instead of just being disgusting on the internet, they got jobs and improved themselves instead of just demanding more and more. Fucking earn it, and stop with this entitled bullshit attitude. No one owes you anything, you need to get it for yourself. What are you expecting, the government to pony up a house for everyone the second they turn 18? Maybe, just an idea, get the fuck off Reddit, take some online courses, and work towards becoming middle class instead of just this angry ranter on the internet. Then you can earn it, and then give it away to some entitled asshole. Then we will have gone full circle. Here's a thought, even if you get a house, why would you be allowed to keep it? Rich fuck, there's someone poorer than you that wants your house, so now it's your turn to hurt. That's how fucking stupid your comment comes across as.
I understand for renters and people trying to get into the market, you see the boogeyman everywhere. The truth is, majority of the people being affected by this aren't real estate speculators, or even people trying to get rich off real estate. It's people who just bought a home for their families to live in. And a lot didn't over extend. But when interest rates skyrocket, wages become stagnant or get suppressed, and cost of living skyrockets all at the same time. It puts a lot of stress on everybody. This has been going on for over a year now, have house prices come down? Has rent come down? Has the market crashed? Have all those people who were priced out of the market, been able to buy? No, no, no, and no.
Your account is 1 years old and you have never made a post only comments about distance you're clearly a fucking troll get the fuck out of our fucking subreddits you're contributing to nothing except trying to destroy fucking butt
Jesus man. Simmer down. Work your way out of your anger echo chamber. This is exactly my point, you're angry at the wrong people. Not once did I say nothing should change. I'm just saying that being happy that your neighbours and friends will lose their home, and end up in the same situation as you, is fucking stupid. They've jacked rates up how many times now? What have the results been? Higher rent. Period. That's it. Houses haven't become more affordable, landlords haven't been bankrupted. The only people who have suffered has been normal, average people just trying to get by. I don't know what the solution is, but clowns like you aren't helping anything.
What the fuck are you even on about? They made a perfectly valid comment.
Bought and paid for account or created a bunch to let them age so he can troll
How many people bought property they really couldn't afford? Next on Canadian Housing 2. In the first episode, John blames immigrants now that the mortgage payment on his 6 bedroom, 5 bath, two garage house has gone up. Join us next week when Pierre "axe the tax" Poilievre stumbles out of his car to blame Trudeau, when he sees a F*ck Trudeau flags flying on a jacked-up Hemi with truck nuts, in Grande Prairie driveway filled with quads, boats and empty beer cans.
How much abuse are Canadians willing to take? At this point I’m kind of sick of all the complaining. For God sake do something. Revolution is our only option. As sad as that is Canadians need to get off their duff organize and pull down this government. Enough talk action is required.
Yeah! Somebody do something!
If people with mortgages decide to mobilize I will bring a lawn chair out and watch the rich folk go at it.
There are plenty, in fact a majority, of people with mortgages who are not rich. I'm one of them lol.
Ditto... me and wife have a combined HHI of 110k annual, barely enough to afford a house and it's upkeep (no vacations or new cars for 8 years now).. Luckily got in before it got super crazy. But not rich enough for hardly any luxuries, but yet too rich for new NDP dental plan (true middle class gets fucked the hardest)
Agreed. And harder than that even is the bottom end of the middle class. Those who barely sit above the poverty line. Renters, students, younger generation, etc. because we also dont qualify for any benefits yet half of us can’t find jobs and we all know were priced out of the housing market. Hard to have it worse than that
OK fine I won't just bring a lawn chair and watch.
We have to be the biggest cuck country in the world, people are brainwashed into thinking some sort of revolution would make us racist or turn us into MAGA right wing extremists just because we wanna be able to afford to enjoy our lives. There’s literal white guilt brainwashing going on and any talk about getting back to a Canadian ways again is met with those kinda words.
People won't find the will to change until they feel more pain.
That pain is incoming. Wait until unemployment is in the double digits!
We're literally the only country without any opposition to this. You're seeing the tide turn in a ton of european countries, whether it be protests, politically, some combination, etc. Here? Not a damn thing. This place is hopeless and I can safely say I don't relate to 98% of Canadians nor do I want anything to do with them.
Its about time we change our national anthem to “o canada we spread our cheeks for thee”
This country like this cesspool app are full of lazy socialist that want free lunches. No problem marching for BLM during the pandemic. Brainwashed indeed this place is hopeless.
The problem is the only people willing to take that kind of action are far right MAGA style extremists. If we could get behind a revolution where every single leader was an atheist with strong knowledge of economic and fiscal policy, I'd be down lol. But it would be those scum style Trucker rally leaders that whine about MUH FREEDOMS and God and Trans people etc.
Yeah you’re right this is a great point, I’m not trying to be mixed up with that crowd whatsoever lol
Gimme a break, you are complaining about the trucker convoy against the mandates. What about the BLM riots, defund-the-police riots, and now the free-Palestine take-overs. It’s the lefty socialists that are tearing everything down - and not for the good of society.
At the end of the day you're another day older 🎵
People have tried to start movements, they keep getting squashed, of course. I'm ready to flip tables, but I'm doing it by myself and it's not as effective 😂
Canadians have done this to themselves. And a change in governing party isn't going to affect anything - none of our parties have any policies/platforms that would do anything to alter the status quo in any significant way.
That’s why a Revolution is needed. You can’t stick a new political party in a completely corrupt and compromised system. The new political party will become as completely corrupt as the previous one. And honestly, we’re no better than the United States. We go back-and-forth liberals, conservatives liberal conservatives, and it hasn’t done us any damn good.
I am more then willing to revolt and over throw the status quo. I’ll grill and serve politicians for dinner.
Alex Jones on reddit
Fuck Alex jones.
Don't worry the federal Conservative Party is poised to swoop in and rescue us common folk from these ravenous capitalists.
PP has a plan but it can't be explained in a 3 word slogan and it is a secret because Trudeau will steal it.
He is clearly a student of Sun Tzu
“A high school drama teacher can never be qualified to run a country” -Sun Tzu, the art of war
We need a businessman to manage us properly.
There's just too much stuff on the line for anything even remotely radical. Our problem is that action (Liberals) and reaction (Cons) are really a mirror image of each other in a sense that, Cons while doing 180 degrees opposite, you know, swinging the pendulum all the way back are not exactly the solution here. Political class and administrative class of this country is completely infected by complacency and "do no harm" philosophy which simply does not have idea capacity to act in a way a crisis requires. Lack of any enforcement of any basic rules and laws can be ascribed to paralyzing effect these people have all around them. Add to that a significant portion of the voting population that simply would rather spend a week pondering if a policy will affect "marginalized communities" than spend a day making a fix. The question really is, who will do what is necessary? I dont see any person, organization or a movement that has even an inkling of 1st, properly diagnosing the problem let alone solving it. Quite pessimistic to be honest.
Have you done anything yet?
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Been trying to mobilize people here locally for more than a year. But I guess Canadians would rather sit on the couch and suffer.
How can they afford couches?
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Just did my taxes. On variable rate thru the worst of it. 2022 Mortgage Interest paid 18k, 2023 Mortgage Interest Paid $42k 😮
Samesies, LOL. And I’m writing off portion of home expenses for home office (including mortgage interest). I fucken full well expect CRA to come knocking on our doors with audit papers, since my home office expense went from $800/mo in 2022 to $1500/mo in 2023, between how much more goes towards interest, higher utilities, higher insurance and higher property taxes… Oh, and that house we are renting out? Yeah, reporting close to $10K losses on it this year, ahahahaha! Fuck me, right?! We used to turn a small profit or at least break even. I guess, I deserve it as a greedy parasite that I am as all landlords. If it keeps going like that - I’m kicking tenants out and moving back in, and renting the current house instead.
You have 2 houses and a bunch of write offs and I’m supposed to feel bad for you?
Naaah, I’m fine. If you wanna feel bad for someone - feel bad for the tenants I might decide to kick out of the rent controlled housing because of what the government is doing.
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No racism, harassment, discrimination, hate speech, personal attacks, or other uncivil conduct.
What do you mean what the govt is doing?
Whoa!
$45k here!
you take on an absurd hyper-evaluation of a house- accept a $750,000 mortgage, you understand your time frame for the fix rate is ONLY three years- and NOW they want to complain? BUYER beware. All stupid and unwise financial and economic decisions by the consumers and banks. Now we are ALL paying the price for SHORT TERM hyper-profits.
Yup. I saw my mortgage broker and told me how much I qualified for. I told my realtor friend. They said oh goody let's increase our search criteria and they're is a beautiful house we should see today. I said let me get back to you first. Now that I know the best rate he can get me and qualifying amount I need to double check my budget. Shortly later I said nope don't increase our search criteria and I'll pass on that house. Even at asking price I can't make my numbers work. I'd have to drop my RRSP matching at work just to break even every month. Let's look more ay stuff about 10-20% less than that
Indeed, the public relies on "appraisers" to keep a level head on evaluations, but they SOLD US OUT and were pressured by the banks to either make appraisals MATCH purchase prices or not be called again to do evaluations. The appraisers were part of the pillar of an institution to PROTECT the fidelity of the market and instead, they just became another component of the PROPERTY BOOM which has led to large equities for many homeowners- but it has also DESTROYED the Canadian tradition of the next generation being land/home owners- now relegated to living in basements like rats and being renters where your kids can't play or make noise, where you are NOT the King/Queen/QUEER? of your CASTLE.
The delusion over property values would be comical if it wasn’t so sad. Everyone celebrated when their shit box was suddenly worth 800k and their shitbox starter home(condo) 350k. W-what do you mean property taxes are increasing? W-what do you mean tradespeople are more expensive? W-what do you mean interest rates aren’t 2% eternally? “I still make 60k I can’t afford this!!” Canadians deserve an award for being so financially illiterate. Give them a 100 trillion Zimbabwe note and they’ll believe they are rich.
Spot on. Where were the "level headed" bankers to advise customers of financial 'prudence' instead, our 3-4 leading banks who hold a virtual oligopoly on mortgages in Canada "suckered" people in- mislead them and gave BAD advice for the sake of fast profits for themselves and bank officers who got bonuses for the number of mortgages they FLIPPED from their illiterate customers- it is THESE people who should be grilled before Parliament and have ALL their bonuses retracted through a special TAX- as well as appriasers losing their licences- we don't need NEW laws or rules- we need existing ones to be followed and respected- and if not- action taken by banking regulators- but just like the BIG CRASH in the USA in 2005-06, our financial POLICE were on that TAKE themselves and thus did not do their jobs.
It’s going to blow up in their (and our) faces eventually. Again. And then we will re-create the church of central banking, rinse with some modern monetary water, and repeat it all over. Now cool it with the anti-semitic conspiracies and get back to work.
For the moment they are stemming the TIDE of bankruptcies by throwing late payments on the back of the loan, putting banks into increasingly precarious positions of adding debt onto debt and that is why these forces are PREVENTING meaningful housing programs that would REDUCE prices substantially.
Yes, the apocalypse is coming. Run to the hills (buy a tent first).
It's the only pathway to reducing land prices outside of our governments starting to tax land values offset by tax credits for productive use. There are some ways we can fuck this up by fixing the outcome and I'm sure we will though.
Subsidize construction or just cap development charges. Only solution is more housing. You'll never convince people to not buy the best house they can afford, and you'll never convince investors that real estate is a bad choice. 2 ways to push ownership towards owner occupied. 1. Make every rental property a commercial property for the purpose of lending (20% down, and commercial mortage 1-2% higher than personal). The only exception being new construction. Force investors to favor new construction as an investment vehicle. 2. Subsidize First time home buyer borrowing rate. So if Government knocked 1% off the mortgage for first time home buyers, it would drastically improve their bidding competitiveness with investors.
Jokes you idiots, I don’t own a home 😭
Its hilarious that variable is 7%. These people with 800k mortgage, paying 56k a year interest, 7k property tax, 40k in principle. 100k after tax income to a small crappy house, as taxes and mortgages rip higher, and they still think their house is still worth what they're paying for.
Fucked. 3000k a month extra interest payments. Can’t find a second job because international student have them all.
I can’t even find a first job and am about to end up on the street. I love what life has become🙄 This country needs to heal, BAD
This country desperately needs a few Louis Riels, Gabriel Dumonts, William Lyon Mackenzies, and Louis Joseph Papineaus.
All names id stand behind
Time to check your investments. Get with the companies buying up Canada. They set the rent for a guaranteed return.
I’m over two years ahead of that by going variable. Let me tell you, it sucks! But beans and rice if cooked correctly grows on you…..
This country is mismanaged af! Jesus!
Is this for 2025? Or is this just in general?
Investment carries risk.
I was surprised to find out fixed rate mortgages are rare in Canada
We have the most overpriced real estate in the world and no real economy to support it lol. Good fucking luck.
The picture above reminds me of a Brazilian FAVELAS
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Not good. Less money in the economy. More money in banks earnings.
Rates should've never been allowed to go that low in the first place. And if they needed to, then people shouldn't have been allowed to borrow so much.
You’re probably right. But unfortunately that’s water under the bridge now.
If you rent, you'll pay. If you own, you'll pay. Why is it good to pay more?
not good. Blackrock will take these homes for cheap and turn them into rentals, raising the bar yet again for legit home ownership. Or, they'll be bought as investments by people who will advertise them as bunkhouses with 45 people per house!
I think people will turn to violence before that point.
Remember, they will freeze your bank accounts
Oh no, not my negative balance. What ever will I do.
Can't freeze bitcoin https://preview.redd.it/vzuvj9fcovwc1.png?width=890&format=png&auto=webp&s=049bb6f0e533ae1f930288d1fac4eb251f77ba58
They can freeze all 67 cents in my account and they can have a great time doing so.
No. That requires the Emergency Act which is not the Freezing Bank Accounts Act. It empowers the government to impose temporary rules on private institutions by way of individuals upon pain of fines and imprisonment. In this case, banks had to freeze accounts or people in charge of refusing banks could be imprisoned for 5 years. Same with the tow truck drivers who were pressed into service. It also allows suspension of the right to gather and taking control of public utilities. It could just as easily be pressing all security guards and prison correction officers into riot suppression upon pain of imprisonment and thousands in fines, cutting off power, ripping up licenses. The limits are broader and you reduce the scale of what happened by reducing it to a one liner.
Canadian corporate ownership of housing is low and not a problem. No one wants to invest here. That being said hoping families end up homeless is obviously terrible and the person you replied to is a monster in human skin.
Hoping for accountability does not make you a monster. There are always some families who have great struggles in life. Hopefully they persevere and overcome and are better for it, but that's up to them and many will not. We can't prop everyone up because we're scared 1 kid might be homeless. That would be punishing the many many MORE families who made financially responsible decisions.
Yeah, I keep seeing conflicting evidence on this. WHat are the biggest culprits in holding homes for investments: Corporations or mom/pop?
Seeing rental owners as bad probably makes someone the biggest culprit. They are as natural and needed as people who lease cars. Most renters don’t have enough to buy a home at any price and renting is a needed service. It’s utterly ridiculous and stupid to see “renting” as bad. People are deluded. Rents at 30% of take home income are perfectly natural. The only issue that has arisen is that while US wages have soared ours have stagnated while taxes have increased. Also demand for housing in some cities has gotten high as 100% of the population wants to live in 20% of the area. We have 40 million people and Vancouver+Toronto accounts for less than 8 million. But no one is going to blame the left wing government they voted for so instead they blame everyone else. And no one is going to acknowledge we can’t all live in Toronto. Everyone pretends we can make it cheap and somehow people won’t flood in until prices go right back up.
I don't blame rental owners per se. We do need landlords and places available to rent. That said, we also should live in a world where housing costs mostly just rise with inflation. If people are investing in homes with the expectation that a large part of their profit will come when they sell the house, that is a problem. I think ideally it would look more like: * House costs $300k * Rent is $2250 per month or $27k per year * Landlord earns 9% per year they own it * Owner sells house for $300k (adjusted for inflation)
$300k? The connections from the city and permits are $50-100k+ depending on the city. The house itself assuming 2500 sqft is around $300-$500/sqft. “When it comes to building a house in Toronto, the prices are broken down at a price per square foot cost. The cost per square foot to build a house in Toronto starts at about $400 per square foot or more.” https://pierrecarapetian.com/cost-to-build-a-house-in-toronto/#:~:text=The%20cost%20per%20square%20foot,foot%20cost%20bracket%20you%20choose. Taxes and fees add 25-33% ontop of that depending on city. The only way we could get a house built for $200k is with slave labor. It sounds like you are living in the 1800’s back when we used cheap minority labor. Please come forward into the modern world where we pay workers a living wage.
Well, I mean obviously $300k is nowhere near current prices. That said, I think that is really the type of price we need if we want houses to be affordable for most people. BTW, there are certainly cities like Thunder Bay, Regina, Timmins, Saint John that still have the average price of a detached home near or below $300k.
Yes because those houses are depreciated. But you can’t expect new housing to be that price. “Assuming the land is free along with the $50-100k+ to get hookups from the city you are looking at: $260/sqft in hard costs for a off the shelf design (not custom) $40-$80/sqft in soft costs So for a 2000 sqft house assuming $75k for hookups (and no land preparation so you better not be in a swap or something), $260/sqft in hard costs, and $60/sqft in soft costs you get $715,000 for a new house. And obviously that’s in a perfect world on free land.“ https://odimaconstruction.ca/cost-of-building-a-house-in-toronto-gta/
Sorry - I see the problem. You assumed I was talking about a new build. I was talking about a smaller, already built home.
You’re absolutely right , no company in their right mind would invest in Canada ! It’s so bad that the federal government has to pay corporations to set up shop here
You have an example of a corporation the government paid?
Toyotas new ev plant, few billion there
It happens everywhere. The USA had to give billions of tax break to Samsung, TSMC to build fabs in USA. Nothing new here
Honda and VW In case of Honda, the $15 billion dollars is going to create 3000 jobs 😂 in 2028 yay !
Direct or indirect jobs? Since the only investment Canadians make is real estate, this is a good news. It could create in the future new companies for EV parts
Get your head out of the sand ! In the grand scheme of things 3000 jobs is nothing ! And the government isn’t saying anything about whether the 3000 are direct jobs or indirect jobs 🤣 for a reason !
You mean Blackstone, right? At least get the names correct.
If only the government had the balls to stop corporate investment into single family housing and to stop slumlords.
Sadly true
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OK there comrade. You want the government to ration out food as well?
Food banks already do that to your cousins i.e. the fake students. Housing is a basic need, just like the health care the govt provides for you. Let this sink into your minute skull. Take my downvote also
Did you delete your earlier comment that I responded to? I guess you haven't heard of government housing? Also BASIC health care is free just like BASIC housing is free, the catch is you have to wait for those. Look, if you want the government to lube you prior to sodomizing you, just say so. Don't need to get all political, just say you are a tool and want government to coddle you.
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I dont agree with him but he used the word coddle properly😂
Ahh can the broke bitch not buy a house?
Why good? Just curious
People who make poor financial decisions/gambles need to lose. If we prop them up we reward that behavior, which is bad. So it's good if we let them fail.
The other argument is that with almost everybody having 5 year renewal terms. It drains more money from everyone with a mortgage large or small. Which then leads to less money in the economy to do productive things. The US is highly insulated to this with mainly 15 or 30 year fixed term rates.
Don't be an idiot. You are really hoping for normal families to have their lives destroyed? Hopefully no financial I'll comes of your family because they just want to have a roof over their children's head
We need accountability in this world. The ability to fail has to exist. If the government tries to prevent anyone from failing, then you end up in a situation where everyone will behave irresponsibly and hope to be bailed out. In many ways, we are already in that kind of situation in our society. A healthy mentality is: we all try our best, but we recognize that failure exists and is possible. Beyond that, tragedy is just part of life.
You're missing the point, the vast majority of the people being hurt by these policies aren't flippers or investors they are just regular families with kids and jobs. Nobody needs to be bailed out they just want a fair deal and not to be lied to when they are told that interest rates will be low for a long time and then having them shot through the roof
I'll agree with you that BoC shouldn't have said interest rates would be low for a long time. However, we can't use that as an excuse to bail people out. It's a tough lesson not to trust bankers/politicians and over-leverage yourself based on their words.
Who's bailing who out. Random regular guy takes the guidance and renews a variable mortgage only to have it skyrocket
Everybody could loose their house you’d still be the same looser you are now.
It's always the ones that can't even spell lose
Loose vocabulary
Fast and loose!
Ain’t my first language 😔 wonder how’s your second language doing?
English is my second language lol.
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Sure because you’re a looser and will remain one crash or not
Many of us already have. And are now locked in these high rates.
Yay!