[scorpion_ca]

I beleive property investory actually help the housing market - adding rental stock in effect puts downward pressure on rent. Give these investors a break, theyre up against a brutal ontario landlord tribunal that is heavily slanted towards the tenants and work hard to make things work.

When an investor buy a rental property, the main goal is to make money, which increases the rents every year. It doesn't help the tenant whereas if the house price was lower, tenant may afford to buy a house. Canada should stop allowing people to buy more than 2 houses in the next 10 years or until they increase the supply.

I know many people voted for liberal in the last couple of elections but not anymore.

 

[scorpion_ca]

Toronto Star -
The Great Canadian Snow Job: With sky-high real estate and soaring inflation, is Canada selling immigrants on an opportunity that no longer exists?

archive.ph

 

[scorpion_ca]

I don't think we will get to pre-pandemic prices nor does anyone want to. If we do, that signals being in a recession.

We will just get back on pace. That is what we are seeing and anticipate when following the trajectory line.

2020 and 2021 was similar to 2015-2017 when prices soared to record highs particularly in Vancouver. The headlines back then were the same as today where some were speculating a 30% drop. It didn't drop - it simply "leveled-off".

We didn't have higher inflation in the last decade. But this time is different with higher inflation. Many favorite stocks dropped 50% to 80% in the six months. Why can't the house price drops 30%?

Tiff Macklem acknowledges misjudging inflation, pledges to act 'forcefully' to bring it down

 

[scorpion_ca]

There could be many more companies in this situation. Time will tell....

Greater Toronto Real Estate Development Files Insolvency After Inflation Squeeze - Better Dwelling

Canadian real estate developers are being squeezed by inflation, and it’s turning ugly. The Hazleton Development Corporation obtained Companies’ Creditor Arrangement Act (CCAA) protection on April 20, 2022. The developer cited rising costs as one of the primary issues putting a 265-home project...

betterdwelling.com

 

[scorpion_ca]

I don't think that's how a marketplace works. When many buyers are tripping over each other and in a buying frenzy, there's buying pressure to push the prices up.

Without a huge number of enthusiastic buyers, of course there still will be some professional buyers but I don't think prices would increase quite the same way. Certainly not the 25% single year increase in Canadian home prices.

Easy availability of credit, and super low interest rates, creates more buyers. Take away the stimulus (those low rates and easy mortgages) and buyers disappear.

Totally agreed with you.

Posthaste: The way the housing market is stalling, the Bank of Canada may have to hit the brakes sooner than expected

For the first time since 2010, five-year fixed mortgage rates are all above 4%

financialpost.com

 

[scorpion_ca]

Deleted

 

[scorpion_ca]

Can we fire these f**king clowns?

Yes, vote for Pierre Poilievre even though I voted for Liberals last two times but not anymore.

Trudeau’s Tory Rival Says He’d Fire Bank of Canada Governor

Bloomberg - Are you a robot?

 

[scorpion_ca]

Beware: PP is tricking you.

Yes, I know but I want him to win the CP leadership election that he can make a challenging life for Liberal and NDP. All other CP candidate seems to me a pu$$y. Otherwise, Liberal and NDP would destroy the middle class more in the name of helping the middle class.

 

[scorpion_ca]

The house prices in Calgary NE has started to drop since the BoC raised the interest rates. The houses were sold for 320k to 380k in 2018 and 2019. The similar house prices went to 450k, 550k and even 600k in late 2021 and early 2022 (Thanks to ON and BC buyers). Now it's in 400k to 500k range. A couple of more 50 basis points would fix this problem.

In our area, a house was sold for 380k in late 2020. They didn't do any upgrade and now asking $600k on Kijiji. The greedy seller didn't even post it on www.realtor.ca in order to save the realtor fees...

 

[scorpion_ca]

Today sellers are dropping the asking house prices 20k to 40k in Calgary NE area. 50 basis point is working like a magic pill.

 

[scorpion_ca]

What would you do in this situation?

I heard last night that a guy bought a house in Toronto 3.5 years ago with fake income documents and 20% down payment. He has been paying mortgage every month without any problem. A couple of months ago he got a registered mail from the bank about the fraudulent way of obtaining his mortgage. He spoke with two lawyers and his chance of winning the case is not good. He is given two options.

1 - Hand over the house, bank will sell it, he will have to pay the difference if it doesn't cover the mortgage, and pay additional 30k to cover the bank lawyers' fee. No criminal record in his name.
2 - Go to trial for criminal offence and he may serve 2 to 5 years behind the bar.

 

[scorpion_ca]

Option 1, of course.

Yup. sadly most of the people want to be home owners in North America by hook or by crook.

 

[scorpion_ca]

This type of BS news is nothing but a scare tactic that BoC doesn't increase the rates. Enough is enough. Keep increasing the rates until inflation is 2%.

 

[scorpion_ca]

This is interesting news. Are they sacred that there will be many defaults in the coming questers?

Canadian non-bank lender Magenta’s ‘pause’ on mortgages may signal a slowing down in private lending

Rising interest rates and falling house prices in Canada may lead to more skittish private lenders to tap the brakes on mortgage lending

www.thestar.com

 

[scorpion_ca]

Who should they sell too? Won't the new buyer be in the same predicament? If not worse?

As a first time home buyer, I want to buy a house but don't want to pay 25% more than the price of March, 2020. Housing should be a place of living not the place of speculators paradise.