Canadian Money Forum banner

1 - 8 of 8 Posts

·
Banned
Joined
·
5 Posts
Discussion Starter #1
Hello,

I've recently saved up enough for a good house down payment, but with housing market as over valued as it is, I'm holding off. It'll adjust.

In the meantime, what's a good thing to do with my money? I'm not in for a huge return but I hate for value of my money to be eroded away by inflation over time.

You can disagree, but the market would seem primed for a double dip with the "recovery" being heavily propped up but the cheapest money on record.

What's a sensible thing to do with my money?
 

·
Banned
Joined
·
31 Posts
the sensible thing to do is not risk any of it...especially in these unprecedented financial times. Housing market is ripe for a downturn up here...keep your money and watch it's buying power rise when house prices fall.

It's all about believing the market will adjust and having the patience to wait for it to do so.

The US is under a further leg down right now and those reverberations will be felt in Canada too.
 

·
Registered
Joined
·
2,925 Posts
The thing to watch is will this market beat the highs of this year in the summer or early fall and if they don't then watch out.

Having said that we are in an era of quantitative easing that no one has seen before so if you have the money to print you can trigger the technicals you want to trigger to keep a bull market going. This of course has nothing to do with fundamentals and is completely crazy, so you have to learn how to trade or stay away.
 

·
Banned
Joined
·
5 Posts
Discussion Starter #6
Thanks a lot for your insights.

Staying in cash isn't exactly an exciting thing to do with the money but it makes sense.

More questions:

If I have a chunk in cash and a chunk I've put into an RBC RRSP Savings Account to take advantage of the Home Buyers Plan (25K). At RBC, I'm not sure they have a high interest savings account option under RRSPs (?). If that's true, is my best bet low-risk bet for my HBP RRSP money a redeemable GICs?

http://www.rbc.com/canada/financial/investing/gics.html
 

·
Banned
Joined
·
3 Posts
If you follow Garth Turner, waiting until fall-winter and see if the restate market corrects itself seems to be the popular sentiment. I don't know what mortgage rates are you going to get at that time though.

If you have some extra cash now and you haven't used your TFSA room, picking 2-3 stocks or ETF's might not be a bad idea.
 
1 - 8 of 8 Posts
Top