Comments on: The mugging

By: Mark Argentino

Mark Argentino — Wed, 20 Jan 2010 15:04:33 +0000

#166 poco – yes, I am a realtor, how could you tell?! )

#173 junius said “Many RE agents are very bad at math!” – nothing to do with math – the economy will decide the direction based upon previous equations and future calculations – but they have been wrong many times in the past.

As I said in my post, the past is math, the future is pure speculation – nobody knows.

I’m an active agent in Mississauga and our market is fast, there is almost 50% less listings compared to this time last year, this is not good for anyone, the buyers or sellers or agents, there is no inventory to sell, buyers are frantic and under pressure and sellers are very edgy.

I am worried that some world event rocks the economy and then we may fall into a tailspin. Even after 911 and the latest economic disaster in the US and global markets, Mississauga, Toronto and the GTA (to which I can speak for), were only mildly and temporarily affected. Our marketplace is on solid ground compared to other areas of the world.

Real estate is not for the short term, read my personal thoughts about long term real estate investing here:
http://www.mississauga4sale.com/Lock-In-Short-Term-Long-Term-Mortgage.htm

Which is better, stocks or real estate investing?
http://www.mississauga4sale.com/blog/2009/10/what-is-best-stock-market-versus-real.html

Where do you think we are on this graph today?: http://www.mississauga4sale.com/Market-Emotions-Cycle.htm

All the best!
Mark

By: Pjwlk

Pjwlk — Thu, 14 Jan 2010 17:14:05 +0000

#148 – “Apparently you are a dink. — Garth”

In the old days a “dink” used to refer to a well-dressed man such as yourself… I’m guessing that’s not what you are referring to in this case though…lol

Never second-guess me. — Garth

By: pjwlk

pjwlk — Thu, 14 Jan 2010 15:20:01 +0000

#110 Vancouver Rocks
“Vancouver…There is a huge stigma associated with renting…”

You will find that everywhere. I run across it almost daily here in Ontario. You have to decide up front if you care what others think of your decision to rent or not. There will be dancing in the streets when housing finally does slide and it won’t be from the home owners…

By: pjwlk

pjwlk — Thu, 14 Jan 2010 14:35:16 +0000

TO Bubble boy said:
“I highly doubt that all of the late 20’s/early 30’s buyers would have been able to find $100k lying around — I mean, even with a top-bracket income that’s still several years of disciplined savings.”

That’s exactly what I did before buying. It took me 10 years but I save a 25% down payment!

By: jmcanuck

jmcanuck — Wed, 13 Jan 2010 15:09:22 +0000

#177 CalgaryRocks

“My punny 1k/month mortgage on a sfh is something you could only dream of having.”

You are my idol. I still don’t see how YOUR situation relates to my earlier post. You need to relax guy!

By: pjwlk

pjwlk — Wed, 13 Jan 2010 12:36:30 +0000

I found out yesterday that a friend of a friend bought a house in Toronto for $535k and get this… it needs to be totally renovated! What the hell are these people thinking? Oh yeah I forgot, nesting girlfriend soon to be wife is in the picture…

By: CalgaryRocks

CalgaryRocks — Wed, 13 Jan 2010 11:41:10 +0000

Save the difference? We save well over 50% of our income. Try that with a mortgage

My punny 1k/month mortgage on a sfh is something you could only dream of having.

I won’t even go into how much disposable income this leaves us with as it would make you green with envy.

By: TheBigLebowski

TheBigLebowski — Wed, 13 Jan 2010 07:55:55 +0000

People need to break out of the left/right paradigm in politics. People vote the Conservatives in and hope for change but the same agenda is carried forward .Then they vote the Liberals in hoping something will change, but the baton is passed and the same agenda is carried forward. You will know you are under tyranny when you see certain patterns or policies continue no matter what party is in power. Carbon tax, HST, man made global warming hoax, free trade, globalization, off shoring and outsourcing of jobs. Both parties have carried this forward. We are living under a tyrannical Government.

By: Dave

Dave — Wed, 13 Jan 2010 05:33:13 +0000

So let me get this straight, I didn’t buy this summer because of advice on this site. And now I’m being told I may not be able to buy unless I have 10% down over max 30 years? Tell me again why those I know who bought during low rates are the greater fools and I’m not again?

—————————————

it’s this rationalization that makes you broke. You can’t afford a home my friend. If an increase downpayment of 5% presents a problem to your affordability, you shouldn’t be considering a purchase that big on borrowed money.

By: LB

LB — Wed, 13 Jan 2010 05:08:21 +0000

Mark Carney is right. His mandate is only to manage inflation. Increasing interest rates will adversely affect the whole economy,not just housing. That is Mr. Harper and Mr. Flaherty’s job. Governments’ role should be to initiate and implement regulation.It was they, at the behest of the banks, who introduced the policy to take all the risk away from banks by allowing these financial institutions access to the taxpayers coffers and by extending and increasing CMHC protection to their riskier loans. It was they who allowed the 0 down and 40 year amortizations.Having done what they were put in office to do (ie empty the cupboards),it is now they who must introduce the changes to these policies to cool a housing market before IT takes the whole economy down with it.