So much for that

Back in December, when we all lived in innocence, a Nanos poll found 40% of Canadians thought they’d circle the drain if interest rates were to rise. But, fortunately, eighty per cent (in another survey) said this would never happen. Even the economists were benign. No hike in 2017, they predicted, bravely.

Well, so much for that.

Rates start to increase for the first time in seven years at 11:15 am Ottawa time next Wednesday.

That’s when Bank of Canada boss Stephen Poloz will release the latest ‘Monetary Report’ and make the big announcement to a press theatre full of reporters. The betting is for a quarter point jump this time. Could be more, but 50 basis points would be like a direct Kim Jung Un missile hit on downtown Vancouver. So, nah, unlikely.

But next Wednesday is the beginning, not the end. The current expectation – to be confirmed with the next labour stats on Friday – is the cost of money will rise again before the end of the year, most likely on October 25th (another Wednesday). So, at a minimum, the central bank rate will double in the next five months.

The reasons why are already old. The economy’s growing okay, the oil shock is behind us, companies are hiring again, inflation’s creeping higher and US rates are on the march. If Poloz fails to move, our currency will suffer. Worse, the moisters will continue snorfling and Hoovering up debt at an alarming rate and housing will eventually blow up, instead of merely deflating like an unwanted BF.

Many will argue that central bankers screwed up royally by allowing ‘emergency rates’ to stay in place for the past nine years. The direct correlation between the cost of money and the cost of a house, for example, is irrefutable. Did you catch the latest ‘affordability’ report of the Royal Bank? When owning a house with a 25% down payments takes 72% (Toronto) or 79% (Vancouver) of pre-tax income, things will not end well. Families owe more money than the entire economy generates (over $2 trillion), another direct result of a central bank rate of 0.5%.

So this is the end of it. And the adjustment will not be painless.

The bank prime will surely rise by the full amount of the Bank of Canada increase (even though last time it did not fall by the same). So the prime goes to 2.95%. Secured lines of credit (HELOCs) travel from the 3.2% range to 3.5%. Fixed-rate mortgages are also expected to increase, since the yield on the five-year Government of Canada bond they’re related to has surged from 0.9% to about 1.44%. Business loans, credit card rates and variable-rate mortgages will also be more expensive.

Soon an end will come for the few 2.5% five-year mortgages left, and even for HSBC’s predatory 2.3% fixed-rate offering. Some people believe homebuyers with pre-approved cheapo mortgages will be goaded into making offers even in a declining market, and that could certainly be the case. But, overall, rising money costs are real estate poison. Three or four increases from now (that puts us about next April) the landscape will look far different.

Well, Kyle from Calgary just wandered in with a question.

“Hey Garth, long time reader and proud dog owner (yes, this is the obligatory suck up in order to increase my odds of you answering my question).” Good cowboy, Kyle. Proceed.

“I signed a variable mortgage 2.5 years ago for Prime -0.85 which currently put me at 1.85% (free money). For BOTH of the most recent BoC’s rate cuts of 0.25 my lender only cut my rate by 0.15.  Firstly, this should be illegal however I’m sure somewhere in my fine print it states they can do that.  Secondly, with the BoC about to increase rates what are the chances they are only going to increase my rate by 0.15? Seriously, how is this not illegal?  I signed up to take on interest rate risk, along with the associated interest rate rewards but am not seeing them.  What happened to consumer rights?  Good thing I own bank ETF’s so I catch a piece of their profits on the other side.”

Yes, check the contract. Your VRM rate is tied to the prime, and banks can make the prime rate whatever they wish. In 2015 when the central bank unexpectedly slashed its rate in half the chartered banks were reluctant to follow, since their net interest margins were being squeezed mercilessly. So they didn’t. Otherwise savers would have ended up getting zero or less on their deposits as the bank gave people like you free money.

Now that we’re going in the other direction, bankers are hot to hike the difference between what they shell out on savings and collect on loans. So after next Wednesday nobody with a TFSA savings account (what a tragedy) should expect to see the return rise by a quarter point. But Kyle’s home loan certainly will.

One solution: buy the preferred shares of the big banks, or any ETF chock full of rate-reset prefs. As interest rates slither higher, so will the capital values of these assets – which meanwhile cough out a steady dividend of more than 4%, plus deliver a dividend tax credit to boot. The last genius to suggest this was our weekend blogger, but I could tell from comments posted here that many people misunderstand preferreds. They like Trump, too.

We may be on to something.

196 comments ↓

#1 rknusa on 07.04.17 at 5:28 pm

so Poloz tries raises rates a quarter point now

the real estate market starts tanking even more

and like Capital Economics has also said he will have to employ a rate cut in the spring to stave off a major recession as housing keeps draggin the economy down further

#2 Happy Housing Crash Everyone! on 07.04.17 at 5:33 pm

Happy housing crash everyone!

The GTA will have a massive 50-75% drop in the upcoming 5 years.

HELOCs will be recalled en masse

All hell will break loose!

If you have a lot of cash, invest it properly

If you have a lot of debt (SFH in GTA or GVR) you are TOAST!

Families will be out on the street and will be forced to rent!

I will buy your McMansion for peanuts!

#3 Dean Herman on 07.04.17 at 5:34 pm

Garth, would you suggest upping the 20% recommendation of preferred shares to 25% of one’s portfolio to catch more of the upcoming tailwinds?

#4 TWO FINGERS WATSON on 07.04.17 at 5:45 pm

The Ploz says that Canadians have a ” buffer ” in their finances to protect them from rising interest rates. There ya go folks, no problem, carry on.

#5 The Technical Analyst, CSTA, CPD on 07.04.17 at 5:47 pm

Ding-Dong! Investing School is in.

“from comments posted here that many people misunderstand preferreds. They like Trump, too.” – Garth

I guess Blackrock doesn’t understand either. And they like Trump.

“So, let’s get back to our question about preferreds and rising rates. There is an inverse relationship between interest rates and the price of preferreds – as interest rates rise, (preferred share) prices are expected to fall. ”

Source: BlackRock

Mariela Jobson, Vice President and portfolio manager in BlackRock’s iShares Index Equity Portfolio Management Group.

https://www.blackrockblog.com/2013/04/25/the-effects-of-rising-interest-rates-on-preferred-stocks/

The Cdn market is dominated by rate-reset prefs which benefit from rising rates. US prefs do not (in general). Try to keep up. — Garth

#6 David p on 07.04.17 at 5:49 pm

It may not be the beginning of the end, but it is likely the end of the beginning. About time Canada!!!

#7 TortyPapa on 07.04.17 at 5:50 pm

June 3rd to July 1st 2017 YoY Vancouver prices dropped 13.6%!!!! This is WITH condos price pumping so detach is getting wrecked.

https://www.zolo.ca/vancouver-real-estate/trends

#8 MF on 07.04.17 at 5:50 pm

http://www.cbc.ca/news/politics/khadr-settlement-1.4189146

-If he is such a “good guy who was mistreated” than he should donate this waste of taxpayer money to the family of the US soldier he murdered in cold blood.

MF

#9 TWO FINGERS WATSON on 07.04.17 at 5:52 pm

Now that we’re going in the other direction, bankers are hot to hike the difference between what they shell out on savings and collect on loans.
………………………………….

Therefore their profits will rise and also their share price and dividends. The big 6 will do well in a rising rate environment. Big 6 common stock looks pretty good right now.

#10 MF on 07.04.17 at 5:54 pm

#93 DON on 07.03.17 at 1:34 pm

Awesome response (as usual) from you Don. I guess I was trying to say I don’t think this is the beginning of the end of the GTA housing market, maybe a temporary slow down, but not the beginning of the end. It will crash, but I don’t think this is it.

“Chill for now man! Being frustrated is alright…but keep your eye on the ball. Enjoy the roller coaster ride.”

^Awesome.

MF

#11 Mike on 07.04.17 at 5:56 pm

.Calgary Median SFH prices up by 5%. That is area of high unemployment and significant downturn. Ha!!

So much for crash. Never in Canada. We are rich.

Vancouver/Toronto will never go down to 2014. Those who didnt buy, lost. Interest rate hike will do nothing. Few % here and there is few 100s here and there, doesn’t matter.

#12 Mike on 07.04.17 at 5:58 pm

To #1, rknusa:

When it crashes to 2014 levels we will talk. Basically, Canadian RE will never crash. Remember we need to go back to 2014 levels to consider real crash.

#13 hoseA on 07.04.17 at 6:05 pm

yeap, Poloz will only hike to make room to cut later ;)

#14 Fran Deck Jr. on 07.04.17 at 6:06 pm

Hi Garth … I really enjoy your blog and you are indeed extremely knowledgeable when it comes to real estate and economic issues … but I am concerned about your politics. And today is the fourth of July … Independence Day … and you have suggested in todays blog that those of us who support President Trump are financially illiterate. Why would you deliberately insult such a large demographic of potential investors to satisfy some kind of ideological bias? Companies like Kellogs have sabotaged their own profitability by making the same foolish mistake … and I expect that the Trump demographic is considerably more affluent and educated than the typical progressive who reads this blog … I mean, I read the comments Garth, and the anti-Trump crowd is absolutely retarded.

Happy Fourth of July.

#15 Rates Up, Don't Forget NAFTA on 07.04.17 at 6:08 pm

If Poloz does not cut rates, the $US-$CDN spread will increase further and the US will accuse Canada of currency manipulation as they have done to others in the past (e.g., the Chinese).

Currency manipulation surely a sensitive subject as NAFTA to be updated/renegotiated/torn up, later in 2017…who knows which with unpredictable Trump?

We are an exporting nation (23% of our economy), the US is our biggest trade partner by far (76% of all our exports) and the last thing we would need is to be perceived keeping the CDN $ low to goose exports and to also use a lower CDN $ to offset punitive tariffs (e.g., softwood lumber, steel next?).

Rates will continue upwards as the Fed continues to raise its rates.

So far and mercifully, the BoC rate increases are small and infrequent and will hopefully, not damage RE values quickly and cash flow – an adjustment period for Canadians to plan ahead.

#16 Victor V on 07.04.17 at 6:09 pm

‘There’s no need to raise rates right now’: Sun Life CIO

http://www.bnn.ca/there-s-no-need-to-raise-rates-right-now-sun-life-cio-1.796274

As the Bank of Canada strikes a more hawkish tone ahead of next week’s interest rate decision, the CIO of Sun Life Global Investments says raising rates rights now isn’t necessary.

“I think there’s no rush to raise rates. Why do we need to raise rates so fast?” said Sadiq Adatia, in an interview with BNN Tuesday. “Inflation is not there, wage growth is not there. There’s no need to raise rates right now.”

Adatia said straying from a low interest rate environment would hurt jobs in the housing sector and dampen consumer confidence.

#17 Wicked as it seems on 07.04.17 at 6:10 pm

ZPR laddered preferred are up 13% this year, with a 46c per share dividend, load up a thousand or two ETFs for an easy ride…..

#18 Mark on 07.04.17 at 6:13 pm

With the CAD$ still going up, and at the current trajectory, likely to be in the 1.26-1.28 range by the 12th, the market is sending Poloz a pretty clear signal that a rate cut is not desired, nor appropriate.

If CPI comes back negative again for the next few months, if not longer, then what will Poloz do? His mandate is pretty clear, keep the policy rate set in such a way that CPI approximates 2%. YoY CPI is 1.1%. MoM CPI is negative. Just what sort of stunt does Poloz think he’s pulling by raising the policy rate into a very weak and already quite weakening economy?

Your VRM rate is tied to the prime, and banks can make the prime rate whatever they wish.

Yes, and this fact means that bail-ins are impossible for Canada’s big-5. Before their equity is in any trouble, they’ll eat the VRM borrowers alive. That’s 40% of the book, BTW.

#19 Viorelli on 07.04.17 at 6:16 pm

Everything including real estate is seriously overvalued when compared with the after tax retained wages now days. Went into a grocery store yesterday, a loaf of average quality white bread is now $4.99, most of the people working for minimum wages are clearing around $7.00 per hour in Vancouver. Don’t need to be a genius to predict where is all this overvaluation going to lead us. When the bread reaches $8-10.00 per loaf and it is not even made out of the real wheat than you know that you’re in trouble!

#20 Thinking about moving on 07.04.17 at 6:16 pm

http://www.news1130.com/2017/07/04/vancouver-defies-expectations-overseas-housing-markets-cool/

But Wong — who is a contributing editor for Better Dwelling – says Vancouver is “the one place that’s bucking the trend, where locals are still convinced that Mainland buyers are somehow buying — but not showing up in any significant statistics. Good luck with that Vancouver!”

#21 Happy Housing Crash Everyone! on 07.04.17 at 6:18 pm

Financial pain awaits you realtor shysters and speculators. You can feel the financial pain already causing many to worry. Happy Housing Crash Everyone! :-)

#22 GFD on 07.04.17 at 6:32 pm

Hokus Pokus Financial Group update: https://seekingalpha.com/article/4085557-buffett-offers-home-capital-nicely-wrapped-trojan-horse

#23 Howard on 07.04.17 at 6:41 pm

So I’m new to preferred shares.

I looked up the preferred tickets for BMO, and there are a dozen of them! BMO.P.A, BMO.P.B, BMO.P.M, BMO.P.R, etc.

I understand what preferred stock is, but I’m having trouble wrapping my head around these multitudes of “series” and what the differences are between them all. They all pay generous dividends, but are they all open for just anyone to purchase shares, like common stock?

Buy an ETF. — Garth

#24 Pinto on 07.04.17 at 6:44 pm

I bet no rate hike. And if they do and the house price start going down they will simply lower them more. Seems like the only purpose of central bank is to keep house price up.

Maybe Poloz finally understood he only need to talk about rate hike to prop up the loonie. It’s like the effect of a hike without a hike.

#25 Mark on 07.04.17 at 6:46 pm

“a pretty clear signal that a rate cut is not desired, nor appropriate.”

Oh my… I meant to say, a rate hike. Hahaha..

#26 Smoking Man on 07.04.17 at 6:50 pm

The Cdn market is dominated by rate-reset prefs which benefit from rising rates. US prefs do not (in general). Try to keep up. — Garth
….

Thats why I love this blog, I didn’t know that because I’ve never held us prefs. I would assume they where like ours. #MAGA

Note about economy, never had so many head hunters contact me about gigs. BestInvoice is going strong a week after I pulled my AdWords.

I think the globalists are back channeling alot of liquidy to prop up golden boy Trudeau. Hence huge job numbers that will be reopterd on Friday.

#27 rainclouds on 07.04.17 at 6:57 pm

#6 he Allegedly “murdered in cold blood”.
Apparently in your planet ” the state ” torturing children is OK

Yet another example of hubris and stupid politicians (bush/harper ) attempting to circumvent the rule of law to justify illegal actions.

The US was willing to send him back but Tubby wouldn’t hear of it.
blame Harper for the tax hit.

-The UN has condemned the US for their actions(incarceration and torture of a minor)
-Canadian Supreme court side with him VS the Canadian Govt
-Alberta Court of Appeal sided with him
-his appeal of the conviction (coerced by torture) in the land of the free and home of the brave continues……..

Perhaps instead of bloodlust we follow the rule of law? Cheaper in the long run……sign of a civilized society. Gibbeting and breaking at the wheel were proven to not work centuries ago…

The American family deserves justice as well. Hopefully they get it. Torturing 15 year Olds isn’t justice. Its revenge. Big difference.

#28 Le Nanaimo on 07.04.17 at 6:58 pm

Yup, prices are up again for June thanks to the local biker femmes. Slowing though from months previous. But house horny Vancouverites have just started rutting. So there may still be hope before the bubble bursts.

https://goo.gl/mshvST

#29 Deplorable dude on 07.04.17 at 7:01 pm

I’ll buck the trend…..Like Preferred’s and Trump!

Holding ZPR now for a couple of years. Nearly at breakeven after the big 2015 drop….they can only go up now!

Happy with the monthly dividends though.

#30 blame the banksters on 07.04.17 at 7:04 pm

“Many will argue that central bankers screwed up royally by allowing ‘emergency rates’ to stay in place for the past nine years.” — Garth..

NO.. Many will argue it was central bankers that CAUSED the collapse in 2008 because of PREVIOUS easy money policies and PREVIOUS LACK OF OVERSIGHT in the FIRST PLACE.

they didn’t have a choice BUT to leave rates at emergency levels for the last 9 years.

#31 Howard on 07.04.17 at 7:07 pm

#23 Howard on 07.04.17 at 6:41 pm

Buy an ETF. — Garth

——————————-

But the dividends on preferred share ETFs aren’t anywhere near as high as those for the Big 5 preferred stock, as per Stockhouse (which may be inaccurate). Unless I’m missing something, which is possible, it being late over here….

Incorrect. Preferred yields trump those of common stock and offer less long-term volatility. — Garth

#32 MapleLeaf on 07.04.17 at 7:15 pm

Something about Trump that the equity markets like. Equities keep going up giving us great returns but everyone is so negative on the market. The most hated bull market. DOW 40,000 here we come

#33 Tony on 07.04.17 at 7:17 pm

Re: #11 Mike on 07.04.17 at 5:56 pm

Tell that to the buyers in Calgary. Fact is houses today will sell for about 20 to 25 percent less on mls than you would have gotten before November 2014.

#34 Tony on 07.04.17 at 7:21 pm

Re: #24 Pinto on 07.04.17 at 6:44 pm

The second quarter GDP in America and unemployment report for May in America will send interest rates sharply higher. Higher interest rates will spillover into Canada.

#35 TnT on 07.04.17 at 7:24 pm

#14 Fran Deck Jr. on 07.04.17 at 6:06 pm

the anti-Trump crowd is absolutely retarded.

Fran… I feel for you. I hated it when Obama was trashed relentlessly by the birther movement (lead by Trump) and know your frustration.

When it comes to Trump, there is something bigger going on this time. Trump is no Bush , Romney or any other Conservative career politician.

Trump is something else…

Trump is an ego maniac completely unfit for being the leader of the Free World and the US is vulnerable to drifting into Fascism.

Trump backed by Cambridge Analytica (Data mining company, Robert Mercer) which successfully tapped into the deep sadness being felt by those who were left behind in this inevitable push towards globalization.

Data mining humans for political gains is being won by team Trump, he says exactly what the “Deplorables” want to hear.

The word “America” is bigger than the border that defines the country.

Unfortunately Trump is pulling back “America” to within its boarder leaving Globalization to the next world leader, China.

China’s culture is filling the void left by America.

Biggest cultural decline since the fall of Rome being done by his fingertips while sitting on the can for his morning dumps.

What a complete buffoon.

(sorry… it’s not what you want to hear but it’s true, do not normalize Trump. Pick a better leader fit for Office)…

#36 The True State of Victoria on 07.04.17 at 7:28 pm

As I posted here before, the surrounding communities of Victoria are booming with everything South Island on fire. I gave examples where prices were up in some cases 35% for those that bought 2 years ago good quality homes.

I said prices were easily up 20%, with ‘acceptance nights,’ bully bids, unconditional offers, ‘coming soon’ signs…and all the telltales of a ‘Vancouver’ market.

Even with the provincial election, and the forthcoming NDP-Green Party housing policies designed to cool the market, people are still buying – and buying over asking price!

Even the stats show it -up 20% in a year…

http://www.vireb.com/assets/uploads/06jun_17_vireb_stats_package_64292.pdf

Oh VREU, where art though with your comments about the collapsing Victoria market and soon to be price correction? That prediction is a year old and prices have gone up 20%….why, oh why, great oracle?

#37 Terrence on 07.04.17 at 7:31 pm

Sounding very giddy these days Garth, dont ya think? Why in the hell would anyone wish for a crash? These are the same twisted individuals who sit ,watch,& applaude the pathetic assasination of Trump/Cesar play, unbelivable. GARTH a half point or full point increase for that matter aint gonna di Sh#$, that has been inflated away over all these years of not raising rates! Love the blog but sorry this is FAKE NEWS NOT BUYING IT! U WILL BE RIGHT 1 DAY GARTH.

#38 espressobob on 07.04.17 at 7:35 pm

ZPR kicked a few of us in the head awhile back. This is one of those asset classes one needs to average into. It’s not easy buying something staring you in the face with a 30% loss and expect an investor to load up on more of the same. Totally goes against the grain emotionally. Most sell!

Bad decisions are usually realized in the rear view mirror.

The same can be said about any other quality investment based on historical performance.

If fear drives ones choices then it might be better to crawl under the bed. I’m buying.

#39 Pete from St. Cesaire on 07.04.17 at 7:43 pm

Here’s a great article about how our economies got to the point that they’re in.
http://www.economicpopulist.org/content/final-stage-deindustrialization-america

It’s eight years old. Like you. — Garth

#40 Freedumb on 07.04.17 at 7:43 pm

#178 T on 07.04.17 at 5:43 pm

#95 Shemale on 07.04.17 at 12:37 am

I’m getting very tired of people like this. Show some valid data to prove your point. Otherwise you are just another fool.

Can we get some kind of intelligence test before allowing comments?

————————————–

Here here!

#41 Smoking Man on 07.04.17 at 7:46 pm

#29 TnT on 07.04.17 at 7:24 pm

What a treat. Im going to have so much fun with you later. First the LCBO is calling.

#42 Asterix1 on 07.04.17 at 7:46 pm

For crying out loud, rates are going up, you cant fight this, accept it and plan for it! So many here are saying “Rates will never go up”, then “Rates will go up, then be forced down” or “Rates will go down in a few weeks”.

Listen, our good friend and trading partner, the USA (Happy Independence Day by the way) has been steadily increasing theirs. We have always followed our neighbor in their rate policy, this time will not be different.

In regards to , #2 Happy Housing Crash Everyone! comment, I only disagree in the duration and potential drop in the market. I think it will all unfold much quicker than your 5 years (50-75% drop).

I say maximum 1.5 years to hit bottom:
– Toronto, -40%.
– Richmond Hill, Markham, Brampton, -45 to -50%.
– Newmarket, Aurora, Milton, -60%

Yes, have your cash ready!

Those who believe that a rate increase will not destabilize the real estate market in Toronto (GTA) are dead wrong. A few raise rates in a year will be enough to destabilize this house of cards.

#43 crowdedelevatorfartz on 07.04.17 at 7:59 pm

@#39 Pete from St Seizure

Time for another manic episode and revert to your alter ego Apocalypse2017………..?

And a one and a two and a ………..

#44 hopeless land on 07.04.17 at 8:06 pm

#8 MF on 07.04.17 at 5:50 pm
http://www.cbc.ca/news/politics/khadr-settlement-1.4189146

-If he is such a “good guy who was mistreated” than he should donate this waste of taxpayer money to the family of the US soldier he murdered in cold blood.

MF

^^^^^^^^^^^^^^^^^^^^^^^^^^^
I guess in Canada it pays to be a terrorist.
What an utter shame.

#45 waiting on the westcoast on 07.04.17 at 8:08 pm

Mark – your finally got something right… And then you “corrected it” wrong… ;-)

The dollar is moving up in the anticipation by traders that the BoC is finally going to move rates up (as they should have for a long time coming)!

#46 OttawaMike on 07.04.17 at 8:09 pm

Or..Just wait until GIC’s become a viable alternative to ETF’s where you have a real return with no risks.

Not in this lifetime. — Garth

#47 millmech on 07.04.17 at 8:10 pm

#37 Terrance
It is not the .25 rate increase it will be the .40 rate increase when the bank adds their spread to the rate hikes.
The banks are already raising rates by .15 in anticipation of the rate hikes and they will all do this with every rate hike. They have a captive market that will have no where else to go unless you think Home Capital will give you a better deal with better rates.
Housing to Canadians is a social religion and no “successful” Canadian will want to lose their status symbol of success. Indebted Canadians will work 16-18 hours a day 7 days a week to keep their house and the banks know it, they will milk this cow for the next 25-30 years, easy money!

#48 waiting on the westcoast on 07.04.17 at 8:12 pm

#36 The True State of Victoria on 07.04.17 at 7:28 pm says “As I posted here before, the surrounding communities of Victoria are booming with everything South Island on fire. I gave examples where prices were up in some cases 35% for those that bought 2 years ago good quality homes. I said prices were easily up 20%, with ‘acceptance nights,’ bully bids, unconditional offers, ‘coming soon’ signs…and all the telltales of a ‘Vancouver’ market. Even with the provincial election, and the forthcoming NDP-Green Party housing policies designed to cool the market, people are still buying – and buying over asking price!”

Having just moved to Victoria, I can anecdotally say that the market appears to be moving. That said, I just leased a home where the landlord wanted an out of the lease at one year so much, they were willing to give me 2 months notice and cover my move fees is we didn’t extend into a second year. Their reason – we may want to sell if the market shifts quickly…

#49 Obser Vation on 07.04.17 at 8:17 pm

It appears a 1 percent rate increase corresponds to abou a 10 percent drop in medium house prices. So, even with 1/2 percent raise this year, houses would go down only about 5 percent – hardly a plop, no? Or is something different this time around?

There is no such formula. — Garth

#50 Lennie McGleehorne on 07.04.17 at 8:19 pm

Easy, just buy preferred ETFs, anyone reading this blog will be buying them. Instant floor for the asset class from blog dog readers right here!

#51 Long-Time Lurker on 07.04.17 at 8:19 pm

#30 south burnaby gardener on 07.03.17 at 7:08 pm

As a long time blog reader and infrequent blog poster. We took Mr Turner’s advice last year and cashed out, selling our house in Burnaby last spring….

I know you’re in Burnaby but I’d recommend getting Garth as your advisor. He’s already given you excellent advice.

If you invest your money wisely it should grow in ten years, so even if you’re paying taxes on gains, you’ll still end up with more. Plus, Vancouver housing prices are very likely to drop so your townhouse will cost less in ten years.

I’ve been warning about the US stock market crashing. Even more people are now saying the same thing than when I last wrote about it. With Garth’s balanced and diversified strategy, you’ll take a hit when the US crashes but being diversified means you’ll take less of a hit and less of a risk (of losing money).

Garth’s strategy of balanced and diversified works but it takes time to execute it (slow growth). The gambling alternative means win big-lose big. Sitting on cash at the current low interest rates means your money is going to lose value due to inflation.

If you can’t get Garth as your advisor then find one that you trust.

Regarding interest rates, I suspect the BIS is calling the shots. Everyone has to follow or get kicked out of the club.

The comments are getting weirder. Okay, weirder than usual.

#52 TRT on 07.04.17 at 8:24 pm

Reason for rate increase is NAFTA negotiations.

Trump machine held a gun to Trudeau’s head regarding currency manipulation.

Trump machine >>> RE Fire complex in Canada

BoC and the Powers that be in canada would have never raised rates.

I hope this blog acknowledges this.

#53 For those about to flop... on 07.04.17 at 8:25 pm

Am I on the right blog?

I posted this morning that someone in West Vancouver lost 600k plus expenses,opportunity cost and such and just came home to see if anyone bored at work polished the numbers and I was shocked to see that thread disintegrate before my eyes.

Guys just coming here to argue about all sorts of crap each day.

I’m not sure if I’m on the wrong blog or some of you guys aren’t on your meds.

Something ain’t right…

M43BC

#54 Freedom First on 07.04.17 at 8:29 pm

#26 Smoking Man

reopterd. Classic Smokey.

#55 choptstix on 07.04.17 at 8:36 pm

thing is, as we all know, the govt is between a rock and a hard place on raising rates, given they started this ‘low admission’ RE dance with moisters and speculators in the first place, which helped to drive up the price of RE to insane levels.

#56 MSM-Free Zone on 07.04.17 at 8:37 pm

#12 Mike on 07.04.17 at 5:56 pm
“….Basically, Canadian RE will never crash….”
________________________

Clearly, you’re too young to remember the Calgary real estate crashes of the 80’s and 90’s.

Then again, every Canadian is born with their constitutional right to bear stupidity.

#57 SimplyPut7 on 07.04.17 at 8:40 pm

#42 Asterix1 on 07.04.17 at 7:46 pm

Prior to the end of 2016, before the new mortgage rules stated you have to qualify at a rate of 4.64%, many homeowners were able to lock into 5-year fixed rate mortgages at 3% or less in the GTA, without having to verify if they can handle higher mortgage rates in the future.

When these people have to renew their mortgages in 2020 and 2021. If mortgage rates have not fallen back down to 2.5%, they will be in for a shock when they see how much more they have to pay, to be able to stay in their homes.

There will be a false sense of security as housing prices stabilize after the rate hikes have slowed down, but then people who have those fix rates that need to be renewed will start to get into to trouble, and the other shoe in the housing market crash will drop.

I think it will be about 5 – 7 years to get to the lowest point of the housing crash.

#58 Lahdeedah on 07.04.17 at 8:45 pm

Lol, thank goodness for posters like MF, a self-professed 34-yr old moister, otherwise, I’d have nobody to sell my trendy Toronto condo loft to :D :D :D

#59 Vb1978 on 07.04.17 at 8:59 pm

#57 Vb1978 on 07.04.17 at 8:52 pm

So which preferred? CPD Or XPF Are the names that keep on popping up

_____________________

Oops I meant CPD or ZPR

#60 T on 07.04.17 at 9:01 pm

#16 Victor V on 07.04.17 at 6:09 pm

Do a google search for sun life global real estate.

You will find evidence of Sun Life Global’s vested interests in keeping the Canadian real estate bubble going.

Don’t take everything at face value.

#61 TheDood on 07.04.17 at 9:04 pm

#12 Mike on 07.04.17 at 5:56 pm
“….Basically, Canadian RE will never crash….”
________________________
Clearly, you’re too young to remember the Calgary real estate crashes of the 80’s and 90’s.
Then again, every Canadian is born with their constitutional right to bear stupidity.
________________________

Really Mike?

I hope you’re right, I still beg to differ though. The RE folks can spin things any way they want, I think lots of people are waking up to the fact that carrying massive debt, even at low interest rates, can come back to bite in a big way. Is a shame so many think it will never end. Lots of folks in debt for their entire lifetime.

#62 Deplorable Dude on 07.04.17 at 9:12 pm

Anyone holding lots of Chinese investments…you might want to sell.

Trump is lining up to drop the MOAB of all economic sanctions on China to get them to deal with North Korea.

….Art of the deal…all about leverage…

‘President Trump is smartly setting up the real adversary…and it’s not North Korea…it’s China’

That’s his prefered solution…the alternative doesn’t bear thinking about.

https://theconservativetreehouse.com/2017/07/04/secretary-rex-tillerson-issues-statement-on-north-korea-icbm-test/

#63 T on 07.04.17 at 9:14 pm

#6 MF
#27 rainclouds on 07.04.17 at 6:57 pm

I want someone to explain why the Canadian taxpayer is on the hook for $10M.

The Canadian tax payer did not cause this issue. We aren’t responsible for his actions, nor those of other governments. He travelled to a war zone and acted on his own – evidence showing he was influenced by his family. A family with a history riddled with supporting terrorist movements.

His lawsuit should be against the US, maybe the UN for not stepping in to protect him as a child soldier. Certainly not Canada.

#64 Smoking Man on 07.04.17 at 9:14 pm

TNT

Tell you a little story, about 2 months ago this homeless guy took up residence in Marie Curtis park, under a old decomisioned food stand. His name is Paul, realty nice human, made these little trinkets and sold them for next to nothing. Never bothered anyone, did not panhandle. He took up about 4 x 4 feet of real estate.

We was welcomed by the community and had made many friends. Guess what happened today. The communist at city hall evicted him.

Government is not about empathy, its about force, its about theft, taxation is theft.

And the bigger the goverment the bigger the force and theft. And you are nave enough to think a one world govt will solve anything, well thats just insane.

Keep swallowing the blue pill.

#65 Leo Trollstoy on 07.04.17 at 9:18 pm

The economy’s growing okay, the oil shock is behind us, companies are hiring again, inflation’s creeping higher and US rates are on the march. If Poloz fails to move, our currency will suffer. – Garth

Bingo. Spot on.

Economy solid. Inflation rising. US hiking rates = CAN to hike rates

#66 Leo Trollstoy on 07.04.17 at 9:20 pm

It’s eight years old. Like you. — Garth

[x] rekt
[x] really rekt
[x] tyrannosaurus rekt
[x] parks and rekt
[x] star trekt
[x] school of rekt
[x] catcher in the rekt
[x] great rektspectations
[x] rekt it ralph
[x] the shawshank rektemption
[x] forrekt gump
[x] finding rekt
[x] rektal exam
[x] shrekt
[x] rektium for a dream
[x] erektile dysfunction

#67 Smoking Man on 07.04.17 at 9:22 pm

#52 TRT on 07.04.17 at 8:24 pm
Reason for rate increase is NAFTA negotiations.

Trump machine held a gun to Trudeau’s head regarding currency manipulation.

Trump machine >>> RE Fire complex in Canada

BoC and the Powers that be in canada would have never raised rates.

I hope this blog acknowledges this.

It was a 180 degree change of heart in less than a day. Caught me of guard. I should seen it coming.
Your theory looks to be dead on.

#68 Bob dog on 07.04.17 at 9:24 pm

Mr Happy housing crash is my kinda Canadian. I have a bag of dirty rusty nickels standing by to hand out to speculators when they are huddled from the rain, under cardboard, with their children, on the streets of Vancouver.

One nickle per family. These greedy swine have made my life miserable and turned Canada into a 3rd world country. The land of inequality.

If only we could properly prosecute and punish the financial terrorists who have facilitated this obscene concentration of untaxed unearned wealth.

#69 choptstix on 07.04.17 at 9:30 pm

2 Happy Housing Crash Everyone! on 07.04.17 at 5:33 pm
Happy housing crash everyone!

The GTA will have a massive 50-75% drop in the upcoming 5 years.

HELOCs will be recalled en masse

All hell will break loose!

If you have a lot of cash, invest it properly

If you have a lot of debt (SFH in GTA or GVR) you are TOAST!

Families will be out on the street and will be forced to rent!

I will buy your McMansion for peanuts!
————————————————–

smh…can’t believe the wishful thinking that people post on here…pipe dreams to be sure.

#70 T on 07.04.17 at 9:32 pm

#53 For those about to flop… on 07.04.17 at 8:25 pm

I’m noticing the same. It must be Canada Day hangovers and vacations.

I’m in the Toronto area, but I’m thinking of moving to the west coast so I always read your posts. Very interesting stats. Thank you for your efforts, they are appreciated.

#71 For those about to flop... on 07.04.17 at 9:37 pm

Hey Colin or Tommy Two Scoops,here are some recent sales if you want to help me again.

Some as recent as last week.

Let’s see what’s going on…

M43BC

1401-38 1st Ave W Vancouver..Paid 1.32 asking 126

447 232 st.Langley paid …4.15 asking..4.88

4302-4508 Hazel st.Burnaby paid 1.38 ask 1.5

275 Rabbit Lane West Vancouver paid 1.9

4368 Cambridge st. Burnaby paid 1.41 ask 1.49

6291 Bellflower Dr. Richmond paid 2.2

4405 Sophia st. Vancouver

5688 Sussex Ave Burnaby paid 1.96 ask 1.68

1607 Balmoral Ave. Coquitlam paid 1.3 ask 1.39

4468 Blair Dr Richmond paid 1.15 ask 998

26290 126 Ave. Maple Ridge paid 2 ask 2.26

4655 Mahood Dr Richmond paid 2.04 ask 1.88

1470 Camelot Rd. West Vancouver paid 4.6 ask 4.99

4250 Chelsea Cres. North Vancouver paid 3.15 ask3.23

#72 the Jaguar on 07.04.17 at 9:37 pm

#19 Viorelli: Good article in the Globe today on the “divide” of the 1% and the working poor making only minimum wage…..

#https://www.theglobeandmail.com/report-on-business/rob-commentary/canadas-big-cities-are-feeling-the-pressure-of-income-inequality/article35536313/

True. And those same minimum wage workers making 7.00 per hour cannot afford that loaf of bread and are being driven out of their traditional inner city neighbourhoods. Take a city like Calgary as an example. Inglewood, Sunnyside, East Village area, Bridgeland – all traditionally areas that housed the city’s working poor, or lower income families. But now due to the ‘gentrification’ of these areas those same lower income and working poor are being driven out to the suburbs where commuting costs further erode their attempts to save and get ahead. They cannot afford the extravagant ‘hip’ coffee houses that anchor the new condos being erected in the ‘old hood’, nor can they buy into that housing market. Attainable Homes and other programs won’t lift them out of their current wage cycle. Meanwhile, back at the ranch, the poor things climbing in and out of back alley garbage bins all day long are younger, many under the age of 30, many high on drugs, and with nothing in sight to find their way back to real opportunity.
It’s not Gotham City yet, but there are elements surfacing that stop me in my tracks. The divide grows more noticable. Disruption is everywhere. Big cities will not be immune.
The Jaguar may to consult with Bruce Wayne.

#73 Harold on 07.04.17 at 9:41 pm

With respect to those posters yesterday that were offended by the schadenfreude exhibited by those who were anticipating a crash, I find it to be poor taste that certain people come on this site to boast about making a fortune on real estate. Boasting about one’s wealth is low class.

#74 Average Joe on 07.04.17 at 9:43 pm

Last week I posted info on a home in Caledon East that had been reported sold in March only to be relisted at a lower asking price.

A second property about a kilometer away has succumbed to the same fate.

Asking price in March, $975k, reported sold at $1050k.
http://watch.ohmyhome.ca/#/mls/W3732267

Now it is relisted at $950k.
https://www.zoocasa.com/caledon-east-on-real-estate?listing-id=4668586

I don’t know if this is the beginning of the end or the end of the beginning, or if this is even significant, but I’ve been tracking Caledon real estate transactions for 4 years now and except for these two, have never seen one such instance, let alone two, in all of that time.

#75 Mark on 07.04.17 at 9:45 pm

“Economy solid. Inflation rising. “

Fake news (but what do we expect from Troll these days!). Inflation is not rising. In fact, there was month-over-month deflation recently, and YoY inflation is significantly beneath 2% and right at the lower bound of the range that’s acceptable to the Bank of Canada. And most likely going even lower as the economy continues to falter.

Hiring-wise, its a disaster. The sector which most significantly represents STEM employment, the Professional, Scientific and Technical services sector actually is in a multi-year price deflation.

Sources:

http://www.statcan.gc.ca/tables-tableaux/sum-som/l01/cst01/cpis01a-eng.htm

http://www.statcan.gc.ca/tables-tableaux/sum-som/l01/cst01/labr74a-eng.htm

#76 MF on 07.04.17 at 10:01 pm

#27 rainclouds on 07.04.17 at 6:57 pm

Don’t care about Harper and Bush. On “my planet” murder is wrong, and murderers deserve heavy punishment.

You know what I was doing when I was 15? Playing sports and video games, going to the mall with friends, thinking about girls, and studying. I knew right from wrong, and I think all 15 year olds do

If my parents told me that I would need to go fight the United States on a different continent as some insurgent, I would have known how twisted the whole idea is and ran for help – that is, unless I actually agreed with the idea. That’s what I think is going on here. I’m sorry but a 15 year old can make up their own mind. After he went there to fight he became an enemy combatant and was no longer a poor civilian. He knew what he was doing.

By the way, the UN is incompetent, corrupt, and nothing but a sounding board for dictators and banana republics. Anything that comes out of the UN is to be completely ignored as propaganda.

The fact this murderer received 10 million dollars, far more than any law abiding working citizen would ever make in their lifetime is an utter joke. Disgusting.

MF

#77 MF on 07.04.17 at 10:05 pm

#58 Lahdeedah on 07.04.17 at 8:45 pm

Must be a trendy area of town (king west, yorkville), with a CN tower facing balcony that is higher than the 20th floor. No views of other buildings please! Granite and stainless is a necessity.

I’m salivating thinking about it.

MF

#78 Leo Trollstoy on 07.04.17 at 10:07 pm

Inflation! Don’t believe the Deflation myth!

http://flip.it/I-n0rQ

#79 TnT on 07.04.17 at 10:07 pm

#64 Smoking Man on 07.04.17 at 9:14 pm

Hmmm…

So how many homeless people should be allowed in that 1 park?

1, 5 or 100? No rules? No laws? Imagine 50 people living there.

Your rhetoric about big bad government taking your hard earn dollars is short sighted and falls flat on educated ears.

Sorry buddy… your better at drinking chatter and fart jokes than real life / world changing discussion.

Cheers!

PS.. if you want to enter the realm of enlightenment have a go at this classic read as a start.

If you finish this book and absorb the meaning then I may guide you to the next plain.

John Stuart Mill: On Liberty – https://ebooks.adelaide.edu.au/m/mill/john_stuart/m645o/index.html

True meaning of Liberty – Classic – It’s old school dry. You will benefit sourcing out other online sites that explain this book for full absorption.

#80 Strongandfree on 07.04.17 at 10:26 pm

#6,#44,#63 What are the chances? Big powerful country invades on false pretences (no weapons of mass destruction), firefight, bullets flying , noise ,smoke , screams, just like on TV.
Body count that includes Americans doesn’t sell well back home especially from a undeclared war.
So the guy that died just happens to be killed by the opposition guy that survives .
Jean Chrétien didn’t believe much about that war and he knew more than any of us have read.
Canada failed this kid.Thats what he’s being paid for ,not the rightness or wrongness of his actions in anyone’s eyes.

#81 Smoking Man on 07.04.17 at 10:26 pm

I must be a bigger deal than whats looking back at me in the mirror.

I did a parescope clip at Seneca few days ago. I was royaly hamerd. I pumped out a ton of valguarity and called out British ciggarets sounding phrases. Trying to trigger anyone one to debate with. No takers

But the meat of my post, when the JD was really kicking in hard. Void of my editor. I just looked at the clip 1/2 way through the rant of truth my audio went dead. The good stuff left to imagination. I totally underestimate the machine.

Why im not dead at this point, my enimeys must get a kick out of me is all im thinking.

Dont belive, Here it is. +18 years old

DELETED. You wish. — Garth

#82 TurnerNation on 07.04.17 at 10:28 pm

Our elites already have telegraphed the future to us.
Take everything they say and flip it 180 deg to make sense.

$15 minimum wage? That’s Maximum Wage to you.
Taxation will assure it so.

Yawn they must be laughing hard today rolling out the same old mind control stock footage of “N. Korea IBM test” and “Middle East peace process”.
(Remember to flip that into War Process. As we’ve seen, since 1991. Make sense now?).

No footage of either mock event…though ever square inch of this planet and its Internet of Things is being recorded and analysed in ways we cannot imagine .
Hello Siri. How you doing.

#83 Smoking Man on 07.04.17 at 10:32 pm

TNT

Your rhetoric about big bad government taking your hard earn dollars is short sighted and falls flat on educated ears.
…..

You made day. Its not edicated ears we are dealing with. Its brain washed cult like phenomenal idiots that you so proudly associate with.

Come to dark side babe. Sniff real man arm pits.
You will never back.

#84 bubu on 07.04.17 at 10:35 pm

calm down guys.. .. http://globalnews.ca/news/3573792/home-prices-to-remain-flat-across-canada-in-2018-says-rbc-is-this-the-new-normal/

flat will be the new normal but no crash….

#85 Land everywhere on 07.04.17 at 10:35 pm

No more land in Toronto? The downtown core just Doubled in size. They can build a NEW Toronto on that land. In a crashing RE market prices will just have to drop harder and faster.
Seven hundred and fifteen acres of developable lakefront land on the waterfront. That’s an area that would stretch roughly from Bathurst St. to Jarvis St. and from Front St. almost to College St. —the size, that is, of the existing downtown core.
https://www.thestar.com/news/gta/2017/07/04/the-work-has-finally-begun-on-the-plan-to-unlock-the-port-lands-an-area-as-large-as-torontos-downtown-keenan.html

#86 me again on 07.04.17 at 10:36 pm

69 choptstix on 07.04.17 at 9:30 pm
2 Happy Housing Crash Everyone! on 07.04.17 at 5:33 pm
Happy housing crash everyone!

The GTA will have a massive 50-75% drop in the upcoming 5 years.

HELOCs will be recalled en masse

All hell will break loose!

If you have a lot of cash, invest it properly

If you have a lot of debt (SFH in GTA or GVR) you are TOAST!

Families will be out on the street and will be forced to rent!

I will buy your McMansion for peanuts!
————————————————–

smh…can’t believe the wishful thinking that people post on here…pipe dreams to be sure.

—-
nothing for sale on my street for over a year, someone please tell ‘Happy Housing Crash Everyone!’ that people need shelter, and many can afford it.

#87 TurnerNation on 07.04.17 at 10:46 pm

Media really played up T2 visiting his counterpart in Ireland. Smirks all round.
Why now. Say hasn’t Ireland been though a massive housing crash?
Was he picking up pointers?
Next week…Eek..

#88 Smoking Man on 07.04.17 at 10:59 pm

DELETED. You wish. — Garth

Commg from a man who wears cowboy boots in the summer. Im thinking weakness.

Stop saving me you prick. Im trying to save humans from each other.

#89 Surf the Gravity Waves on 07.04.17 at 11:05 pm

#81 Smoking Man on 07.04.17 at 10:26 pm

I must be a bigger deal than whats looking back at me in the mirror.

I did a parescope clip at Seneca few days ago. I was royaly hamerd. I pumped out a ton of valguarity and called out British ciggarets sounding phrases. Trying to trigger anyone one to debate with. No takers

But the meat of my post, when the JD was really kicking in hard. Void of my editor. I just looked at the clip 1/2 way through the rant of truth my audio went dead. The good stuff left to imagination. I totally underestimate the machine.

Why im not dead at this point, my enimeys must get a kick out of me is all im thinking.

Dont belive, Here it is. +18 years old

DELETED. You wish. — Garth
..
Yeah CSIS obviously shut you down… can’t take any chances

When ya doing the Johnny Walker full monty version in front of mirror..

#90 Mark on 07.04.17 at 11:15 pm

Canada’s credit unions not allowed to refer to their services as ‘banking’:

https://ccua.com/media/2017_07_04_osfi_decision_on_banking_terms

“An advisory issued June 30 by the federal Office of the Superintendent of Financial Institutions (OSFI) takes a strict interpretation of the Bank Act. Based on this interpretation, the federal government could lay criminal charges against any credit union that uses the term “bank,” “banker,” or “banking”. “

#91 Smoking man on 07.04.17 at 11:19 pm

DELETED. You wish. — Gar

Why do I still love you is all im thinking.
You kill free speech, tuned into what you hated for another butch slap that Harpo give you. Changed friends. Never saw the big puzzle.

Evolution and your ass pointing to sun shine. Because thats what matters.

Me im into a song song that won’t pay bills but im hooked.

https://youtu.be/tAGnKpE4NCI

#92 Ronaldo on 07.04.17 at 11:21 pm

#45 waiting on the westcoast on 07.04.17 at 8:08 pm

Mark – your finally got something right… And then you “corrected it” wrong… ;-)

The dollar is moving up in the anticipation by traders that the BoC is finally going to move rates up (as they should have for a long time coming)!
————————————————————
And heading for par once again. Right Mark?

#93 Sir James on 07.04.17 at 11:26 pm

Why is it the The Left’s sour grapes always turns to such a bitter, nasty whine these days? Ask yourselves, is the electorate even listening to you anymore?

#94 People are Strange on 07.04.17 at 11:56 pm

So we’re giving $10 million to this guy??? I guess we just gave ISIS or Taliban some more cash to buy some new weapons???!!!

#95 Victor V on 07.05.17 at 12:08 am

#60 T on 07.04.17 at 9:01 pm

You mean like you just did?

#96 Mark on 07.05.17 at 12:13 am

“And heading for par once again. Right Mark?”

Eventually, and well beyond.

#97 Rate Predictor on 07.05.17 at 12:35 am

I’m willing to bet rates will NOT go up next week. This is Canada, the most passive place in the world. We take no action.

#98 InvestorsFriend on 07.05.17 at 12:46 am

Predatory Lending?

Soon an end will come for the few 2.5% five-year mortgages left, and even for HSBC’s predatory 2.3% fixed-rate offering.

***********************************
Predatory to whom, their competitors?

If HSBC has the lowest mortgage rates that is wonderful for borrowers.

I’d call it a stupid lender trick.

If Costco or Dollarama has the lowest prices on something, do we call that predatory?

Used to be we’d call a store credit card at 28$% predatory, or payday loan at 60%.

#99 waiting on the westcoast on 07.05.17 at 12:59 am

#53 For those about to flop… on 07.04.17 at 8:25 pm says… “Am I on the right blog?”

Sorry Flop – today was one of those rare days where I had not gone back to read the last posts from the previous iteration. The massive drop is only a one off but indicative of the tipping point…

#100 waiting on the westcoast on 07.05.17 at 1:09 am

Having now read the diatribe about the new global government, he is my thesis:

We need a global government like the Swiss have for their own country. Basically a cantón Is like a municipality. The only issues the federal government handle are defence, etc. Otherwise, everything is handled largely at the equivalent of a municipality level.

Imagine if there were no provinces but the cities/municipalities were more regionalized and had a lot more power. If we could do that globally, it might work.

But I agree with Smokey, centralizing too much power is a recipe for abuse.

#101 John on 07.05.17 at 1:11 am

bubu on 07.04.17 at 10:35 pm
calm down guys.. .. http://globalnews.ca/news/3573792/home-prices-to-remain-flat-across-canada-in-2018-says-rbc-is-this-the-new-normal/

flat will be the new normal but no crash….

Baaaaaahahahahaha You wish. Prices are already crashing. Down over 10% in just 9-10 week. As Happy house crash guy would say. :)

#102 Rgeezie on 07.05.17 at 1:26 am

So here’s my Flop impression from Coquitlam BC – 1506 Dansey Ave listed at $999k sold for $1.395 million; 395k over asking,sold in 14 days! No pink snow,lemonade or anything. There is either an endless supply of greater fools in my neck of the woods or perhaps they know something we on this blog don’t – MLS R2171469 in case anyone wants to double-check.

#103 T on 07.05.17 at 1:36 am

#80 Strongandfree on 07.04.17 at 10:26 pm

Canada did not send ‘this kid’ to a warzone. Canada is not responsible for the experiences of ‘this kid’.

Again, why are Canadian taxpayers giving him $10M?

I’m sure there are a lot of people experiencing challenges in their lives due to government decisions who could use monetary assistance. ‘This kid’ certainly is not one of them.

#104 fishman on 07.05.17 at 2:00 am

See the 5 sailors on CBC tonite? Wasn’t no old Canadian flag they were carrying. That was the Red Ensign. They were anti-revisionists. They weren’t kids. Looked like young NCO’s. Brass on TV stated they must publicly grovel.
Ain’t gonna happen so their gone.

Funny thing is that in May I hired on two young guys just quit after 5 years in the army, combat brigade. I mean my guys don’t do dope, never snivel.polite, & been trained by the best to be trainable.

The Canadian Forces losing soldiers just as they come on stream? After turning stupid kids into men & all the wasted time that entails? They should be getting another 25 years. Good for me but not good for the country. Do I hear the siren call of Freedom First coming over the rockies. I hope its him & no dangerous foreign power like Albania or something.

#105 You Must Have Been Living In A Cave on 07.05.17 at 2:16 am

Anyone who doesn’t see what is coming deserves what is coming. I’m sorry in a way because there are so many young people going to be hurt for a very long time financially. I don’t wish that on them, but, it’s not fair when you are born stupid with not an independent thought in your head. You follow the herd and never question. Thankfully my 2 grown up kids have kept it together, put money in the bank and waited patiently for the fall out. They will now buy the houses of people their own age, 30 to 34 who will lose their houses and go into a life of financial misery. It happened to me in the last crash so I taught my children well.

#106 Stock Picker on 07.05.17 at 2:27 am

It is Islamic Law that demands a killer pay the family of his victims “blood money”. Let’s see whether Trudeau is knocking on the victims door with Khadrs money in hand. Khadr says he is wants to nurse. How does a convicted terrorist and murderer ever get that sensitive license? What a travesty it is to see the man who killed by lionized by our PM. Disgusting.

#107 paulo on 07.05.17 at 3:16 am

ok so we have indications of a Real Estate Correction taking hold in key markets. interest rates will slowly increase over the next few years,normalization meaning that five year mortgages will likely be in the 7% plus range or higher by 2021. i am thinking that what will come to pass is a venting of ill gotten gains in real estate, most on paper and unrealized
over the last five years ie gains that exceed core cpi plus .25% compounded . excluding a host of potential perfect storm events that could conspire to change the playing field, my call for real estate values to have declined by November 2018 is as follows : Add 17% for condominium to all figures. Toronto GTA – 47%. west side,Mississauga,Oakville – 51% further west -60%. East Side ajax to Oshawa – 54% east of Oshawa -61%
North: York region – 53% Innisfill,Barrie and points further north 57% to 65%. All Areas to see increases not exceeding annualized rate of inflation for a period of 14 or more years,after initial correction. that is my assessment. lets see what history records.

#108 Karma on 07.05.17 at 3:21 am

#80 Strongandfree on 07.04.17 at 10:26 pm
“#6,#44,#63 What are the chances? Big powerful country invades on false pretences (no weapons of mass destruction), firefight, bullets flying , noise ,smoke , screams, just like on TV.
Body count that includes Americans doesn’t sell well back home especially from a undeclared war.
So the guy that died just happens to be killed by the opposition guy that survives .
Jean Chrétien didn’t believe much about that war and he knew more than any of us have read.
Canada failed this kid.Thats what he’s being paid for ,not the rightness or wrongness of his actions in anyone’s eyes.”

Sounds like you are talking about Iraq… Omar fought in Afghanistan.

#109 Smartalox on 07.05.17 at 3:37 am

@Flopper #53:

I’m with you! I’ve been a participant for a number of years, and while the comments section has a long varied in quality, accuracy and veracity of discourse, the ‘signal – to – noise’ ratio appears to have hit new lows recently.

Maybe it’s a new form of macroeconomic indicator? Something along the lines of: “when the number of posts of thoughtlessly recycled American political dogma, multiplied by the number of Smoking Man deletions, is divided by the ratio of Mark ‘bleats’ to put-downs about failed STEM careers, if that number is greater than the number of comments left on the blog by 8pm Pacific time, it’s probably not worth thumbing through the comments.

Better just to ‘control F’, and search on terms that are most interesting.

#110 A Reply to #14 Fran Deck Jr. on 07.05.17 at 6:49 am

“… and … Trump … is absolutely retarded.”

Made some minor edits to correct your content.

#111 Lahdeedah on 07.05.17 at 7:23 am

#24 Pinto

“Maybe Poloz finally understood he only need to talk about rate hike to prop up the loonie. It’s like the effect of a hike without a hike.” — Haha, exactly.

#35 TnT

Astute analysis. And yes, China is quietly filling the void of the USA. They would love for their currency to overthrow the US dollar, and when that happens, game over, say hello to your new leader. They are building islands in south china seas, they are buying land and resources in Africa and carving out new roads and infrastructure there to bring their spoils back to China (which is kind of good for Africa, they get roads, but not good cause their resources are being pillaged for peanuts), and they are buying Canadian real estate.

Unlike USA, China is a covert colonizer. They don’t make a big show or come in with guns blazing, they do it subtly, before you actually notice what’s going on, with a handshake and with business agreements. Its like a game of monopoly and the are hoarding all the spots on the board. They are looking for dirt cheap deals (i.e. African resources) and exploiting them. They are also corrupt so they are building illegitimate and illegal islands in the south china seas to assert their military presence there. There’e a reason Trump says “China” so much its become a meme. Probably the only thing I would agree with him on. And yet that’s where he gets his hats made. What a buffoon.

If the US dollar ever tanks, then China’s currency will be the world currency and US is no longer the world leader. An extreme case, but hey, with Trump in government, anything’s possible.

#112 TurnerNation on 07.05.17 at 7:52 am

Some proof for a $15 ‘Maximum, NET of taxes’ wage.

“We don’t need no Science…we know know. Bad weather = more taxation”.

Taxes Taxes Taxes and rollback to 2nd World lifestyle. What we fight for?

http://www.cp24.com/news/toronto-climate-change-plan-transformto-approved-in-landslide-city-council-vote-1.3489152

“The plan is expected to cost about $60 billion in its lifespan.”

““Whether it’s an ice storm or excessive flooding as we’ve seen this year, or extended heat waves, climate change isn’t a concept. It’s not just numbers. It’s real and it’s here, and it’s having a daily impact in our lives,” said Coun. Joe Cressy. “We don’t need any more information to tell us to do these things – and more.” “

#113 A Reply to #97 Rate Predictor on 07.05.17 at 8:15 am

“I’m willing to bet rates will NOT go up next week.”

Will you take even odds? Put up or shut up!

If I ever do get any takers, I’ll need to arbitrage (for a nice risk-free profit).

#114 CV5 on 07.05.17 at 8:18 am

Vancouver property owners ‘panic’ to rent as vacancy tax implemented

http://www.cbc.ca/news/canada/british-columbia/property-owners-panic-as-vacancy-tax-takes-effect-1.4190576

I doubt very much that this will work out for anyone.

#115 Johnny Boy on 07.05.17 at 8:26 am

79 TnT on 07.04.17 at 10:07 pm

#64 Smoking Man on 07.04.17 at 9:14 pm

Hmmm…

So how many homeless people should be allowed in that 1 park?

1, 5 or 100? No rules? No laws? Imagine 50 people living there.

Your rhetoric about big bad government taking your hard earn dollars is short sighted and falls flat on educated ears.

Sorry buddy… your better at drinking chatter and fart jokes than real life / world changing discussion.

Cheers!

PS.. if you want to enter the realm of enlightenment have a go at this classic read as a start.

If you finish this book and absorb the meaning then I may guide you to the next plain.

John Stuart Mill: On Liberty – https://ebooks.adelaide.edu.au/m/mill/john_stuart/m645o/index.html

True meaning of Liberty – Classic – It’s old school dry. You will benefit sourcing out other online sites that explain this book for full absorption.
……………………………………………………………….
Perhaps Smoking Man should have let poor Paul come live with him in the Gazebo? But then again Smoking Man is about to become homeless in another month or so. Or will he be living in his pick up truck parked down by the railroad tracks? Stay tuned or just follow the empty JD bottles……………………………..

#116 Victor V on 07.05.17 at 8:42 am

Ontario economy too dependent on housing ‘bubble,’ new study warns

http://business.financialpost.com/news/ontario-economy-too-dependent-on-housing-bubble-new-study-warns/wcm/7baf7302-0236-4f53-a002-bc6b4be7169d

The report’s author, Philip Cross, who worked 36 years at Statistics Canada, warned that, with the Bank of Canada now expected to increase interest rates, Toronto’s housing sector could collapse, leading to serious economic disruption that would ripple across Ontario.

“Our society loves bubbles, because most people make a lot of money on it,” Cross said in an interview. “If the Bank of Canada is going to raise interest rates, this should reign in the Toronto and Vancouver markets, which are bubblicious.”

#117 Penny Henny on 07.05.17 at 8:48 am

“Canadian homeowners have an average of 75 per cent equity in their houses and that number has climbed back to an all-time high. So even the horror stories around the usage of home equity lines of credit a few weeks back was nothing more than a ruse”

http://business.financialpost.com/investing/david-rosenberg-why-the-loonies-rebound-may-not-be-done-yet/wcm/bcddef87-fc5d-4ca1-ae34-bb44db713e3d

Hmmmm…

When 50% of Canadians nationally have no mortgage, averages don’t tell much of a story, especially when every market is local. — Garth

#118 Victor V on 07.05.17 at 9:00 am

http://www.cbc.ca/beta/news/canada/toronto/sears-employees-complaints-1.4190110

Rose Dalessandro, a sales manager who worked for Sears for 20 years, says she’s had to cancel dentist appointments for her two children after finding out her severance pay is being cut off.

“I can’t pay for them,” Dalessandro said in an interview. “We’re very, very upset,”

Dalessandro worked at the Sears Woodbine store in Etobicoke and was laid off when the location closed in March.

Zobeida Maharaj, a senior operations manager at the same store, worked for Sears for 28 years and says she’s “disgusted” with how the company has treated the employees who have been let go.

Like other managers at the Woodbine store, her severance payments have also been cut.

“I pay my mortgage with that,” Maharaj said.

#119 JimH on 07.05.17 at 9:04 am

#35 TnT
X2

#120 We are Idiots on 07.05.17 at 9:09 am

#103 T on 07.05.17 at 1:36 am

#80 Strongandfree on 07.04.17 at 10:26 pm
Canada did not send ‘this kid’ to a warzone. Canada is not responsible for the experiences of ‘this kid’.
Again, why are Canadian taxpayers giving him $10M?
I’m sure there are a lot of people experiencing challenges in their lives due to government decisions who could use monetary assistance. ‘This kid’ certainly is not one of them.
……………………………………………………………………
At first I laughed at this in the newspaper yesterday, then I realized we the taxpayers are open-handedly providing this conniving terrorist our hard earned money. What a complete waste of taxpayers’ dollars and an embarrassment to Canada. Why not provide that 10 million to the Canadian soldiers and their families who died and suffered. Just remember who they are.
http://calgaryherald.com/news/local-news/military-families-condemn-10m-settlement-to-omar-khadr
And remember who this guy is.
http://nationalpost.com/news/canada/the-khadr-family-a-timeline/wcm/d6ae9160-1cd4-41c2-8632-58bc24ff8e59
http://www.cp24.com/news/a-quick-sketch-of-omar-khadr-s-family-1.977121

#121 bubu on 07.05.17 at 9:23 am

#101 John – can you afford a house if prices are crashing? if a stock goes down 5-10% is not crashing but speaking about real estate does…

#122 Lahdeedah on 07.05.17 at 9:25 am

#77 MF on 07.04.17 at 10:05 pm

Its a 2 bed, 2 bath hard-conversion loft with 10 foot ceilings, a south-facing view of the lake, polished concrete floors, custom draperies, exposed piping, modern finishes, and just 3 min walk from the Bloor subway line. Yes. Its very swish. Keep drooling, friend.

#123 Penny Henny on 07.05.17 at 9:31 am

Question please.
In a rising rate enviroment do dividened stocks usually take a hit because the risk free rate of return closes in on the return of the dividened?

#124 jess on 07.05.17 at 10:00 am

38 espressobob on 07.04.17 at 7:35 pm
…If fear drives ones choices then what does hubris do to the brain?

http://www.clinmed.rcpjournal.org/content/8/4/428.full.pdf
https://www.ncbi.nlm.nih.gov/pmc/articles/PMC1633549/

#125 Yuus bin Haad on 07.05.17 at 10:00 am

Poor Stephen.

#126 maxx on 07.05.17 at 10:06 am

#4 TWO FINGERS WATSON on 07.04.17 at 5:45 pm

“The Ploz says that Canadians have a ” buffer ” in their finances to protect them from rising interest rates. There ya go folks, no problem, carry on.”

That wouldn’t surprise me, given the fact that, despite highly destructive low rates, he was nowhere near pulling a Harry Stamper on the sorry state of the economy.

The “buffer” is more aptly directed towards retirement and life goals and NOT debt caused by idiotic monetary policy.

Geez, what the he%% do economists eat for breakfast?

#127 Damifino on 07.05.17 at 10:10 am

#105 You Must Have Been Living In A Cave

They will now buy the houses of people their own age, 30 to 34 who will lose their houses and go into a life of financial misery.
———————————————

So, what you’re saying is, they wont have learned anything at all. They’ll forgo diversification and dump their money in a single asset with huge carrying costs.

Brilliant.

#128 Fran Deck Jr. on 07.05.17 at 10:12 am

a reply to a reply to #14 Fran Deck Jr.

President Trump’ achievements and accomplishments speak for themselves. He is the greatest American President ever. Go Bless Donald Trump.

W I N N I N G

W E I R D. — Garth

#129 TnT on 07.05.17 at 10:17 am

More downward pressure on housing prices in my neighborhood The Beach(es) – Toronto

Semi-Detach
165 Lee Ave Toronto E02 – Sold May 26 2017
2 bedroom
list $979k
sells $1.26 million in bully offer…
http://watch.ohmyhome.ca/#/mls/E3812279

Less than a month later, up the street

Detach
219 Lee Ave Toronto E02 – Sold June 22 2017
3 bedroom
list $1.179 million – then re-list $1.64million
Sells $1 million
http://watch.ohmyhome.ca/#/mls/E3847377

Went from 2 bedroom – Semi for $1.26 million to 3 bedroom detach for $1 million in less than a month.

Can’t imagine what the new owners of 165 Lee are thinking….

Probably the last bully offer of 2017

#130 maxx on 07.05.17 at 10:28 am

#16 Victor V on 07.04.17 at 6:09 pm

“……..Adatia said straying from a low interest rate environment would hurt jobs in the housing sector and dampen consumer confidence.”

Yada, yada, yada…….tell us something we’ve all not heard before. This is the worst excuse for not healing the debt problem as we know it. We likely don’t yet know the full consequences (read timeline) of the $hitstorm central banks have created.

#131 Ret on 07.05.17 at 10:29 am

Most who oppose minimum wage increases have never had to work for that wage.

Usually that means less than 40 hr. a week, no pay for statutory holidays, hot, dirty, heavy lifting working conditions and zero benefits or recourse if your worker rights are abused.

One wonders why all minimum wage earners don’t just say, “I’m outta here,” and collect social assistance. There, problem solved for the minimum wage gripers.

Above average wage increases every year for public sector employees but the world will end if we have to pay another dime at a fast food outlet for a latte made by a hard working minimum wage employee?

I am not at all a supporter of Ontario Liberal policies, but on this one, Kathleen has got it right. If we have money to give public sector workers big raises every year, we can show a little gratitude to those who toil at the bottom of the pyramid.

Experience in most jurisdictions has shown higher min wage = fewer jobs. — Garth

#132 NoName on 07.05.17 at 10:33 am

#107 paulo on 07.05.17 at 3:16 am

interest rates will slowly increase over the next few years,normalization meaning that five year mortgages will likely be in the 7% plus range or higher by 2021.

—-

If that is case tell us what will be left of Canada s economy if boc reises rates 4x every year next for 4 years.
People.that I know with “low” family income (64 and below) are given mortgages to the tune of 500k, they are nearly spending any money in to economy…
Interest rate might go up but not as much you think they will.

#133 NoName on 07.05.17 at 10:37 am

they are nearly spending any money in to economy…

Should read

they are nearly not spending any money in to economy… just basic stuff food, gas and chlotes…

#134 Leo Trollstoy on 07.05.17 at 10:44 am

#110 A Reply to #14 Fran Deck Jr. on 07.05.17 at 6:49 am
… and … Trump … is absolutely retarded.

Made some minor edits to correct your content.

You could work for CNN!

Lol

#135 dups on 07.05.17 at 10:57 am

After this type of news:

http://business.financialpost.com/news/economy/poloz-to-the-rescue-no-dont-bet-the-bank-of-canada-will-bust-the-housing-bubble/wcm/74dbe973-259d-4c9e-94b0-41d65c3820a3

http://business.financialpost.com/personal-finance/mortgages-real-estate/individual-investors-still-own-half-the-countrys-apartments-foreign-buyers-barely-making-a-dent/wcm/3920ddff-dc58-443a-ab8d-0707d4d250e7

The BOC rates are not going anywhere. It will be Recession #2 for Canada if that happened, like it or not.

Of course the central bank will tighten. Not even a debatable point any more. — Garth

#136 Pete on 07.05.17 at 10:59 am

Experience in most jurisdictions has shown higher min wage = fewer jobs. — Garth

Australian Federal minimum wage A$18.29/hr, or about C$18/hr. Australian unemployment rate is 5.9%.

Ontario minimum wage C$11.50/hr, unemployment rate is 5.8% in May 2017.

Overall national jobless numbers don’t reveal much. Look at the min wage category by urban centre before and after a legislated wage increase. — Garth

#137 Ace Goodheart on 07.05.17 at 11:00 am

What’s going on right now is a government that is in a hopeless amount of debt (Ontario) is trying very hard to find a bogey man to blame the whole mess on, because they cannot cut spending without losing the next election (which they may well lose to populism and pissed-off aimless thought anyway).

Right now it is the Doctors who are getting it, but the hot potato will come around gradually to everyone who has had their hand in the public purse at one time or another (or who currently does).

We are witnessing the implosion of a system here in formerly rich, now mostly bankrupt Ontario.

Reason is simple: a rate hike of 2% will bankrupt this Province and make it impossible for it to repay its debt or even keep up with the interest, without Federal assistance. Check the numbers here and do the math:

http://www.debtclock.ca/provincial-debtclocks/ontario/ontario-s-debt/

$304 billion, 500 million or so.

We are very similar to Greece, basically everyone attacking everyone else because no one can pay the bills anymore.

Get rid of (or at least kneecap) Ontario’s massive public service (including Doctors, Lawyers, and everyone else on the payroll) and what do you have left?

Banks.

We’re the financial capital of Canada. In the middle of a looming mortgage crisis.

#138 Rexx Rock on 07.05.17 at 11:08 am

Mission Accomplished!The goverment and central bank has done their job to get the majority of Canadians into real estate with low interest rates and goverment incentives.With the low inventory affordable sub standard housing their is really no option but to buy insane real estate prices.Debt slavery for the masses and the ability not to move.Cheers and happy birthday Canada.

#139 Ronaldo on 07.05.17 at 11:10 am

The height of craziness. We must be getting close.

http://nationalpost.com/pmn/news-pmn/canada-news-pmn/speed-dating-event-helps-people-find-their-match-in-toronto-real-estate-heaven/wcm/6becaef0-1915-4b31-8bab-ef67bd67d620

#140 SimplyPut7 on 07.05.17 at 11:12 am

#129 TnT on 07.05.17 at 10:17 am

http://watch.ohmyhome.ca is one of my favourite new sites.

There are still bully offers, but not as many in the GTA.

Hopefully the semi does not have a large mortgage, their bank/non-bank/private lender(s) are going to make them pay for having a home that is rapidly decreasing in value, when it is time to renew the mortgage.

This is where Ross Kay would come in and say: prices are decreasing more than people think, because not only can you can buy a home for less so the average GTA price is down, but the quality of the home you get for less money has also improved.

#141 TurnerNation on 07.05.17 at 11:20 am

#104 Fishman did you consider it might literally be a false flag op? The story hits all points.
The Minister of defense comments the next day without an investigation. Is this how due process or military operates?

Bonus: it touched on Indigenous issues which exploded in media that day. Ryerson University students union concurrently demanded a name change due to historical ills. Why now?

– it was announced Syrian refugees can complete in Indigenous games. And this is not cultural appropriations?

A strategy of tension my friend.

Every culture must be broken down. More bonus points that the five were Anglo men.

#142 HaHaHa on 07.05.17 at 11:23 am

We Are Idiots #120…..No not all of us. Just those who voted for another Trudeau. Anyway maybe with the 10 million taxpayer windfall someone gets a new client to diversify their portfolio. Or realtors will be calling to show open houses to Canada’s newest millionaire. Ya gotta laugh at this or you will go insane. Unreal

#143 Pete on 07.05.17 at 11:28 am

Overall national jobless numbers don’t reveal much. Look at the min wage category by urban centre before and after a legislated wage increase. — Garth

Australia’s national unemployment rate was 5.9% when minimum wage was C$18. If they lower the wage to $11 like Canada, would unemployment rate drop to 1.9%? Question is, do you want a 5.9% unemployment rate with mini wage at $18 or a 1.9% unemployment rate with mini wage at $11? What do you think, Garth?

Ask people if they want a job. Better question. — Garth

#144 Ronaldo on 07.05.17 at 11:30 am

Experience in most jurisdictions has shown higher min wage = fewer jobs. — Garth
—————————————————————-
Absolutly. Companies will look towards technology to reduce staff so in the end a few will get a raise and many will get the boot. Not smart.

#145 A Reply to #123 Penny Henny on 07.05.17 at 11:36 am

“In a rising rate enviroment do dividened stocks usually take a hit because the risk free rate of return closes in on the return of the dividened?”

Are you asking about common or preferred stock?

#146 Ole Doberman on 07.05.17 at 11:42 am

bidding wars in Vancity condo market?!

Sheesh did these people not get the memo that rates are going up? Or are they getting in and locking in before?

http://vancitycondoguide.com/vancouver-condo-report-june-2017/

Either way the insanity continues unabated

#147 PicCom on 07.05.17 at 11:46 am

Hey Garth, I hope this message finds you well.

Could you please dedicate some time to talk about this?
http://www.ctvnews.ca/business/cra-looks-to-collect-75m-over-improperly-used-tfsas-1.3489026

Thanks,

Alex.

#148 TorontoBull on 07.05.17 at 12:09 pm

“Experience in most jurisdictions has shown higher min wage = fewer jobs. — Garth”
sure..supply-demand, but this ignores externalities such as companies investing in technology and improvements in productivity. It also encourages people to reenter the labour force, and our participation rate is rather low compared to countries with higher min wage (Northern European). Also higher wages will lead to higher inflation. And isn’t that what central bankers crave?!

#149 TorontoBull on 07.05.17 at 12:10 pm

“Experience in most jurisdictions has shown higher min wage = fewer jobs. — Garth”
sure..supply-demand, but this ignores externalities such as companies investing in technology and improvements in productivity. It also encourages people to reenter the labour force, and our participation rate is rather low compared to countries with higher min wage (Northern European). Also higher wages will lead to higher inflation. And isn’t that what central bankers crave?!

#150 Victor V on 07.05.17 at 12:19 pm

#139 Ronaldo on 07.05.17 at 11:10 am

The height of craziness. We must be getting close.

http://nationalpost.com/pmn/news-pmn/canada-news-pmn/speed-dating-event-helps-people-find-their-match-in-toronto-real-estate-heaven/wcm/6becaef0-1915-4b31-8bab-ef67bd67d620

====================

GreaterFool cardinal rule #7: “Never buy real estate with anyone you have not slept with.”

#151 Smartalox on 07.05.17 at 12:24 pm

Two points to consider re: raising minimum wages:

1) Given the proportion of jobs provided by small and medium sized businesses in Canada, especially in smaller markets, regulating wage increases may actually reduce the numbers of employees, while simultaneously placing more burden on those that remain, to cover the effort of those that were let go in order to control costs.

They may raise the wage to $15, but you’re going to EARN it.

Think of it as a contrived way of increasing productivity: fewer workers maintain output levels, it means they’re more efficient. Also, the employer pays less in EI and CPP, if there are fewer workers.

It’s a different story when talking about raising the ‘federal’ minimum wage. Here, the federal government is the employer, paying with tax dollars. Strange, but increasing productivity never seems to be the objective when government pays the roll.

2) the main driver of inequality is not income, but DEBT. People who earn low wages take on more debt than the wealthy, and are less likely to pay it off. Raising wages raises creditworthiness, which can lead to more debt.

Just like how increasing the horsepower of a 4×4 just gets yahoos stuck deeper in the mud, farther from the main road, increasing minimum wages will only get spenders stuck deeper in debt, farther away from solvency.

#152 Victor V on 07.05.17 at 12:40 pm

Breaking news: Vancouver detached homes sales fell 15.5% year over year in June

#153 n1tro on 07.05.17 at 12:54 pm

Comparing Australia’s minimum wage to Canada’s is comparing apples to oranges. The cost of living in Australia is almost double here.

eg. A bowl of pho (one of my favorite Vietnamese dish) cost $7-$10 here in Canada. Over in Australia, it ranges between $18-$20.

So it makes sense their minimum wage is higher since it is all relative.

#154 Seeking Advice on 07.05.17 at 1:02 pm

Recently sold my place and have some cash on hand. Im continuing to make regular investments into my TFSA, RESPS, RRSPs (simply indexing). This new cash on hand i want to use for my unregistered account.

Does this strategy make sense for an unregistered account:

1) Take out a 3 year 50,000 GIC.
2) Secure a 50,000 LOC against the GIC (Im lucky that my LOC borrows at Prime)
3) Drop $10,000 per quarter from the LOC into a balanced group of Canadian Dividend earners.
4) make minimum monthly payment against LOC, re-investment all proceeds into new GICs, that will in turn increase my LOC, and therefore my investments in Canadian dividend earners

Instead of investing the 50,000 directly, does it make sense to borrow it from a LOC secured against a GIC? That way the interest expense is tax deductible?

(1) Find a quiet place. (2) Lie down. (3) Try to recover. — Garth

#155 Fake News on 07.05.17 at 1:04 pm

Breaking News: Vancouver condos are skyrocketing because they are less than 1 million dollars.

#156 fishman on 07.05.17 at 1:11 pm

Turner nation: False flag, is that a Freudian slip. Old enough to remember marching to the cenotaph as a cub scout, stragglers, last in line. My dad & uncles up in front with the vets & moms on the sidelines. On top of the flagpole, besides the cenotaph with the boys names, was the Red Ensign. One of those boys was my mom’s uncle, left & unfound in the Ypres salient.

A strategy of tension? There will be lots of that. I;m seeing young guys trained PC by the moms. Clued in by the grandfathers & dads not to be a believer. Deviant & sneaky meets social media. See Gamergate.

Question: Why do officers have to lead men into battle?
Answer: Have you ever had to push a string?

#157 Seeking Advice on 07.05.17 at 1:16 pm

(1) Find a quiet place. (2) Lie down. (3) Try to recover. — Garth

Okay, so clearly you think it’s a bad idea.

Since I still don’t know why, I guess i’ll have to investigate further. Cheers.

#158 HHCE on 07.05.17 at 1:17 pm

#2

Such pathetic clamoring.
Keep trying though. One day it will.

For now: no.
How can you have a yvr crash with low supply?

https://pbs.twimg.com/media/DD_LHPYUQAA2Xek?format=jpg&name=large

#159 Penny Henny on 07.05.17 at 1:20 pm

#145 A Reply to #123 Penny Henny on 07.05.17 at 11:36 am
“In a rising rate enviroment do dividened stocks usually take a hit because the risk free rate of return closes in on the return of the dividened?”

Are you asking about common or preferred stock?

common.

#160 Prairieboy43 on 07.05.17 at 1:24 pm

Your next taxi. Smoking Mans vehicle is real. Implementing in Qatar.
https://m.youtube.com/watch?v=prj51NSRyxc

PB43

#161 Horrible on 07.05.17 at 1:46 pm

What’s happened to housing affordability in certain regions of Canada . Fuelled by govt. A generation to be burdened by debt . As a Canadian I’m
embarrassed .

I also question whether a crash will come . Rather , Canada to become more like Europe : renters for life

#162 Rolling Back on 07.05.17 at 1:50 pm

Uh oh, GTA, it looks like some of the measures to cool the real estate market will be rolled back very soon. Prices will start their ascent again shortly.

New provincial data shows that foreign buyers accounted for less than 5% of sales. While this does not take into account that some cities will have a much higher percentage than that, especially compared to small little towns, this data meshes with the stat thrown out by the development and realtor community.

In BC, provincial data showed that 10% of purchases were from foreign buyers, but in large cities like Richmond, it was over 20%.

After only two months of data, it will be enough for the Ontario government to roll back or eliminate the tax altogether. It already has enough loopholes to be rendered useless.

Sorry GTA, but its game back on for RE. Hope you enjoyed the brief dip in prices and sales – just like Vancouver did before its ascent again after a few months of declining sales…

#163 Omar Khadr on 07.05.17 at 2:08 pm

Apology, yes …. 10 million plus dollars of our Canadian taxpayer money, absolutely not …
sign the petitions…
https://www.taxpayer.com/resource-centre/petitions/petition?tpContentId=162
http://www.conservative.ca/cpc/meet-canadas-newest-multi-millionaire-omar-khadr/

#164 Another YVR Paper Cut on 07.05.17 at 2:33 pm

Vancouver is following TO’s lead and limiting Air BnB to principle residences. No more buying an investment property to rent out short term, which makes way more money than renting it monthly/yearly…

http://vancouversun.com/news/local-news/vancouver-mayor-plans-to-license-and-tax-airbnb-rentals

Another paper cut for the YVR market.

#165 Rate increase on 07.05.17 at 2:44 pm

#123 Penny Henny on 07.05.17 at 9:31 am

Not sure.
I do see one effect though:
If rate increase reduces house prices, RE speculation will lose appeal.
Money withdrawn from RE speculation will look for a new place.
This will increase stock prices.

#166 human being on 07.05.17 at 3:01 pm

Let’s see. This 16 year old “terrorist” was a native Afghani fighting against an invading US force which had violated all forms of international law and then was tortured for 10 plus year in an institution so messed up that the Deep State was afraid to put it on American soil.

Children also have special human rights, but the U.S. has ignored that too with its illegal drone murders, kidnappings and imprisonment. Any civil rights violation is serious and should not go unquestioned just because you don’t like the accused.

Under the laws of war, a combatant who kills another combatant cannot be charged with murder. That’s called combatant immunity. Non-combatants who kill a combatant can be charged with murder, and they are entitled to the procedural protections owed to a criminal accused. Mr. Khadr was treated neither as a combatant nor as an accused criminal.

#167 Pete on 07.05.17 at 3:02 pm

#152 n1tro on 07.05.17 at 12:54 pm

eg. A bowl of pho?

Most people don’t eat pho and don’t know what that is.

The cost of buying a house or a car in Sydney is much cheaper than in Toronto. Where do you get your “things are twice more expensive in Australia?” stuff. Even if pho is cheaper, I would have to eat 50,000 pho to make up for the $200,000 I overspent on buying a house. And that is a lot of pho, whatever that is.

#168 n1tro on 07.05.17 at 3:06 pm

@#162 Omar Khadr

The petition won’t do anything. The case has been settled so it’s too late to reverse things. Also, legally the government was at fault for not protecting this scumbag’s rights as a Canadian citizen. Notice how the family always came back to Canada to receive health benefits after getting injured abroad? Because of people like the Khadr family…Harper put through Bill 24.

Bill 24 allows the government to strip your citizenship if you happen to hold more than one citizenship and are convicted of citizenship fraud, terrorism, and treason.

http://www.ctvnews.ca/canada/what-dual-citizens-need-to-know-about-bill-c-24-the-new-citizenship-law-1.2426968

One can only hope that Omar is a righteous person who truly is remorseful for what he has done and gives the money to the families of the victims.

#169 Asterix1 on 07.05.17 at 3:11 pm

#161 Rolling Back on 07.05.17 at 1:50 pm
Uh oh, GTA, it looks like some of the measures to cool the real estate market will be rolled back very soon. Prices will start their ascent again shortly. Sorry GTA, but its game back on for RE. Hope you enjoyed the brief dip in prices and sales.
____________________________________________

I can sense the fear in your post! You are obviously in a position to get burnt soon. Might have overpaid for a property a few months ago or heavily indebted on another property.

Keep sticking your head deep in the sand, it will hurt less once the June numbers come out tomorrow and interest rate go up in a few days.

#170 IHCTD9 on 07.05.17 at 3:18 pm

#162 Omar Khadr on 07.05.17 at 2:08 pm Apology, yes …. 10 million plus dollars of our Canadian taxpayer money, absolutely not … sign the petitions… https://www.taxpayer.com/resource-centre/petitions/petition?tpContentId=162 http://www.conservative.ca/cpc/meet-canadas-newest-multi-millionaire-omar-khadr/

______________________________

Remember Terrorists:

Always secure your Canadian Citizenship BEFORE you head out on a suicide mission. You never know when that vest may malfunction, and you will be taken prisoner.

If this happens, you can be happy in prison, because when you get out, you will be handsomely compensated by the Canadian Taxpayer for not being rescued by the Canadian Government. Take heart that even if you DID murder a couple folks, the Canadian Taxpayer will still be required to pay millions to you by their Portland shoveling bird brained Federal government.

If there ever was a good reason to reduce the revenue dollars you send our **** for brains government – this is the mother of them all. You get less than nothing for your dollars with this pack of goofballs.

So extreme is this decision that I am ashamed to admit I was born in this PC cesspool of SJW primordial ooze.

Here’s to Omar waiting decades to get paid out and then getting flattened by a truck the day before the cheque hits his mailbox.

#171 DW on 07.05.17 at 3:28 pm

#161 Rolling Back on 07.05.17 at 1:50 pm Uh oh, GTA, it looks like some of the measures to cool the real estate market will be rolled back very soon. Prices will start their ascent again shortly. Sorry GTA, but its game back on for RE. Hope you enjoyed the brief dip in prices and sales. ____________________________________________

How about more regulation like removing tax-free gains from primary residences altogether? :)

#172 rainclouds on 07.05.17 at 3:32 pm

#76 I apologize for the “planet” comment, it was uncalled for.

Respectfully, The rule of law is paramount. That is what distinguishes a civilized society.

Governments have much power and they sometimes use it inappropriately. It happened to Maher Arar and others. The legal system provides balance.

As already indicated several impartial courts/tribunals have sided with Mr Khadr vs Govt actions.

Your opinion, based on emotion, thankfully carries no weight in a decision making process based on deductive reasoning IE: fact.

http://www.cbc.ca/news/politics/omar-khadr-settlement-analysis-aaron-wherry-1.4189472

#173 waiting on the westcoast on 07.05.17 at 3:39 pm

From CNBC article (see link below)… it’s all about the need they need to fix with having low rates and excess reading over the past decade. Canada is in the same boat but with a smaller bucket…

“Fed officials indicated a determination to continue raising rates even with muted inflation levels, which they considered to be temporary and likely to rise over the long run to a targeted level of 2 percent, according to a summary from the June meeting of the policymaking Federal Open Market Committee.”

http://www.cnbc.com/2017/07/05/fed-minutes-inflation-to-rise-loose-policy-posing-risks.html

#174 waiting on the westcoast on 07.05.17 at 3:42 pm

I guess I should have proofed that comment…

it’s all about the need to fix the mess they made with low rates and excess easing over the past decade. Canada is in the same boat but with a smaller bucket…

Ahh – that is better…

#175 Oakville Stinks on 07.05.17 at 3:51 pm

#161 Rolling Back on 07.05.17 at 1:50 pm

New provincial data shows that foreign buyers accounted for less than 5% of sales.
********************************

That’s a skewed/manipulated number to include areas outside the GTA to bring the average down. In the GTA it’s 10 to 12% and perhaps as high as 20% in areas like Markham.

#176 Lee on 07.05.17 at 3:52 pm

List prices for SFHs are not coming down much in Vancouver but there appears to be a tonne of inventory. What’s the pricey part of Vancouver by the way? Vancouver, North Vancouver, North District, West Vancouver, Richmond, Burnaby? What are people talking about when they say “Vancouver”? Seems for $1M to $1.5M all you get is a wood shack of some sort.

#177 IHCTD9 on 07.05.17 at 3:57 pm

One can only hope that Omar is a righteous person who truly is remorseful for what he has done and gives the money to the families of the victims.

________________________________

I won’t hold my breath.

But I’ll be watching either way…

#178 SimplyPut7 on 07.05.17 at 4:18 pm

#161 Rolling Back on 07.05.17 at 1:50 pm

You do know interest rates are going up, right? The media and realtors were obsessed with foreigners being the reason for the housing boom. Local speculators created this problem.

At most they may amend the foreign tax and allow the rental units to increase at the rate of inflation plus a fixed percent. Which may encourage developers to build more apartment buildings.

The problem with the GTA is at the end of the boom, most home buyers were speculators and CRA is going after these people to make sure they pay their taxes.

Most local speculators never intended to rent out the homes they bought, which is why we have a shortage of rentals in the GTA. They planned to hold onto the unit for as long as they could, to sell the home at the highest price possible. Which is why so many units listed for sale are vacant flipped old homes or new homes that have never been lived in, people can sense the end is near.

Many condos under construction, were also bought by local speculators. Some of these units are crappy concrete boxes with small kitchens, in some cases no bedrooms, and 500 sq ft or less. Good luck getting rid of these properties after a couple of rate hikes.

People buying a primary home in the GTA, especially first-time homeowners with families, would rather commute and live outside of Toronto in a semi-detached or detached house than pay the exact same price for the small crappy condo in downtown Toronto.

Over supply of homes from speculators, rising interest rates and CRA will kill the housing market.

#179 RP on 07.05.17 at 4:19 pm

@ #161 Rolling Back on 07.05.17 at 1:50 pm

Uh oh, GTA, it looks like some of the measures to cool the real estate market will be rolled back very soon. Prices will start their ascent again shortly.

___________________________________________

Where are you getting this from – thin air **LOL** Where is your reference that a roll back is on the cards. It is precisely this sort of emotionally inspired ‘vodou’ news that causes ill informed people to become FOMO infested resulting in crazy asset bubbles. Eventually those bubbles burst and no amount of fantasy thinking can save the over leveraged fools.

#180 maxx on 07.05.17 at 4:19 pm

#87 TurnerNation on 07.04.17 at 10:46 pm

“Media really played up T2 visiting his counterpart in Ireland. Smirks all round.
Why now. Say hasn’t Ireland been though a massive housing crash?
Was he picking up pointers?”

Maybe (yet another) selfie series with U2 prior to their European Tour? Bleeeechh

#181 n1tro on 07.05.17 at 4:23 pm

#165 Pete

Would hamburgers make you understand better?

http://www.fodors.com/community/australia-the-pacific/outrageous-food-prices-in-australia.cfm

The subject here is poor people and if jacking the minimum wage would benefit them. The arguments says yes, the extra money lets them afford more things improving their quality of life, it is the “right” thing to do, etc, etc…

The counter argument is that it shifts the burden on businesses which will hire less people or pass on the cost to the products or services it produces.

Garth has pointed out that certain stats confirm the counter argument.

Counter argument to Garth is that “Look, Australia has a high minimum wage, and they are fine…”

My counter to that is it is all relative since things poor people need to survive on eg. eating costs the same as here.

People on minimum wage are concerned with little things like shelter and feeding themselves and not buying a new car or house.

As for getting things cheaper in Australia…not sure where you are getting that from. Quick search shows…

2017 Jeep Renegade

Australia – $36,290
http://www.redbook.com.au/cars/research/new/details/2017-jeep-renegade-limited-auto-my17/SPOT-ITM-468677

Canada – $35,830
http://wwwa.autotrader.ca/a/Jeep/Renegade/Mississauga/Ontario/5_30159741_ON20071001110938437/?ursrc=pl&urp=2&urm=8&showcpo=ShowCPO

#182 10% Rule on 07.05.17 at 4:27 pm

It appears a 1 percent rate increase corresponds to abou a 10 percent drop in medium house prices. So, even with 1/2 percent raise this year, houses would go down only about 5 percent – hardly a plop, no? Or is something different this time around?

There is no such formula. — Garth
—————–

This is something that realtors will point out – that a 1% increase in interest rates amount to a 10% increase and inversely with a rate cut of 1%.

When you punch in a 1% difference into ‘how much can I afford’ bank mortgage calculators, you will see about a 10% differential in one’s maximum available mortgage for every 1% difference in mortgage rate.

Since most people borrow to the max, I think the 10% for every 1% rate increase is reasonable. And it seems even more reasonable if the bank tools reflect that 10% differential..

#183 Rolling Back on 07.05.17 at 4:29 pm

#161 Rolling Back on 07.05.17 at 1:50 pm
Uh oh, GTA, it looks like some of the measures to cool the real estate market will be rolled back very soon. Prices will start their ascent again shortly. Sorry GTA, but its game back on for RE. Hope you enjoyed the brief dip in prices and sales.
____________________________________________
I can sense the fear in your post! You are obviously in a position to get burnt soon. Might have overpaid for a property a few months ago or heavily indebted on another property.
Keep sticking your head deep in the sand, it will hurt less once the June numbers come out tomorrow and interest rate go up in a few days.
#161 Rolling Back on 07.05.17 at 1:50 pm Uh oh, GTA, it looks like some of the measures to cool the real estate market will be rolled back very soon. Prices will start their ascent again shortly. Sorry GTA, but its game back on for RE. Hope you enjoyed the brief dip in prices and sales. ____________________________________________ I can sense the fear in your post! You are obviously in a position to get burnt soon. Might have overpaid for a property a few months ago or heavily indebted on another property. Keep sticking your head deep in the sand, it will hurt less once the June numbers come out tomorrow and interest rate go up in a few days.
——–

No fear as I have no skin in the game in either the GTA or YVR markets. But I do have a keen understanding of of provincial policy making and optics, on top of a decade of observations of the unstoppable YVR market.

What the government giveth, the government can taketh at any time…

#184 Howard on 07.05.17 at 4:32 pm

#136 Pete on 07.05.17 at 10:59 am
Experience in most jurisdictions has shown higher min wage = fewer jobs. — Garth

Australian Federal minimum wage A$18.29/hr, or about C$18/hr. Australian unemployment rate is 5.9%.

Ontario minimum wage C$11.50/hr, unemployment rate is 5.8% in May 2017.

———————-

Australia has a lower per capita immigration intake than Canada and takes a much harder line on foreign money-laundering. Clearly none of the Australian states have yet been blessed with a Premier (Governor? what do they call them down there?) like Krooked Kristy Klark.

#185 All out panic on 07.05.17 at 4:37 pm

Lots of panic and fear in the GTA. Many on the brink of going backrupt.no more HELOCs to mask delinquency anymore. You are trapped with no way out but find a greater fool. You will be BANKRUPT soon. Cheers!

#186 A Reply to #158 Penny Henny on 07.05.17 at 4:59 pm

“Although the relationship between interest rates and the stock market is fairly indirect, the two tend to move in opposite directions: as a general rule of thumb, when the Fed cuts interest rates, it causes the stock market to go up; when the Fed raises interest rates, it causes the stock market as a whole to go down. But there can be no guarantee about how the market will react to any given interest rate change the Fed chooses to make. For example, in 2013, in defiance of conventional wisdom, both interest rates and the S&P 500 rose significantly. Economists are still trying to figure that one out.”

http://www.investopedia.com/investing/how-interest-rates-affect-stock-market/

https://en.m.wikipedia.org/wiki/Macroeconomics

https://en.m.wikipedia.org/wiki/Interaction_between_monetary_and_fiscal_policies

#187 april on 07.05.17 at 5:18 pm

#174 – Go to CREA website and you’ll see that houses in Van have come down and are continuing to come down in price. Who are you trying to fool?

#188 Stan Broock on 07.05.17 at 5:22 pm

Experience in most jurisdictions has shown higher min wage = fewer jobs. — Garth

Sure. Spot on.

Germany:
Min wage: €8.84 per hour, 3.9 % unemployment

Greece:
Min Wage: €4.23 per hour, 23 % unemployment

That was just silly. — Garth

#189 Ronaldo on 07.05.17 at 5:28 pm

Our biggest threat.

http://abcnews.go.com/Technology/wireStory/ukraine-prevented-cyberattack-48445358

#190 SimplyPut7 on 07.05.17 at 5:35 pm

#153 Seeking Advice on 07.05.17 at 1:02 pm
#156 Seeking Advice on 07.05.17 at 1:16 pm

You want to:
1) buy 3 year GIC for $50k
2) borrow against it to open a LOC of the same amount at prime
3) invest the borrowed funds into a balanced group of Canadian Dividend earners
4) Use earned dividends to repeat #1 – 3

An LOC at prime is low now, but for how long? If interest rates really do go up, and financial institutions get their wish and we see up to 3 rate hikes before the end of Q1 2018. How much will your LOC increase over the next 3 years?

Currently the best 3 year GIC is from Oaken (Home Capital) at 3.05%, most financial institutions (including EQ Bank) offer a return a lot lower than this. Considering this is not a tax sheltered account, it sounds like your 3 year return will be a low return or even a net loss before even considering the third part of your strategy.

No one can tell what the future will be like in 3 years. What if this was the January 2014 and you wanted to use this exact strategy to invest in Oil. How would you feel if your investments fell over 50% over the next 3 years and never recovered in the time frame you wanted to close out your positions? What if your bank asked you to pay back the line of credit?

It sounds like you have the money to take the loss, which could be used to reduce future capital gains (from investments outside a tax sheltered account), and dividends earned over the time period (but you plan to invest the dividends in the same strategy, so there would not be much to cover any loses). If you never executed the strategy in the first place, you wouldn’t need to worry about a losing money on borrowed funds.

Many people like to borrow to invest and deduct the interest from the borrowed funds. This can offer a lot of reward and but also comes with a lot of risk.

#191 Minimum Wage on 07.05.17 at 5:37 pm

#178 Howard on 07.05.17 at 4:32 pm
#175 n1tro on 07.05.17 at 4:23 pm
#152 n1tro on 07.05.17 at 12:54 pm
#150 Smartalox on 07.05.17 at 12:24 pm
#143 Pete on 07.05.17 at 11:28 am
#136 Pete on 07.05.17 at 10:59 am
#131 Ret on 07.05.17 at 10:29 am

[According to Warren Buffett], the country’s economic policies should have two main objectives. First, we should wish, in our rich society, for every person who is willing to work to receive income that will provide him or her a decent lifestyle. Second, any plan to do that should not distort our market system, the key element required for growth and prosperity.

That second goal crumbles in the face of any plan to sizably increase the minimum wage. I may wish to have all jobs pay at least $15 an hour. But that minimum would almost certainly reduce employment in a major way, crushing many workers possessing only basic skills. Smaller increases, though obviously welcome, will still leave many hardworking Americans mired in poverty.

Instead, Buffett says, we should expand the earned income tax credit, also known as a “negative income tax,” in which the government subsidizes the wages of workers making under a certain amount. “The EITC rewards work and provides an incentive for workers to improve their skills,” Buffett writes. “Equally important, it does not distort market forces, thereby maximizing employment.”

http://fortune.com/2015/05/22/warren-buffett-minimum-wage/

#192 Ronaldo on 07.05.17 at 5:43 pm

#174 Lee

What are people talking about when they say “Vancouver”? Seems for $1M to $1.5M all you get is a wood shack of some sort.
—————————————————————-
Well Lee, for 1 million you can get 40% of the value of a 30 ft. lot in the Mt. Pleasant area. Back in 2008 you could by the house and lot for around $875,000. Still too much imho.

#193 Waiverless on 07.05.17 at 6:02 pm

What are people talking about when they say “Vancouver”? Seems for $1M to $1.5M all you get is a wood shack of some sort. —————————————————————- Well Lee, for 1 million you can get 40% of the value of a 30 ft. lot in the Mt. Pleasant area. Back in 2008 you could by the house and lot for around $875,000. Still too much imho.

————————————————————-

BoC rate was also 4% – ppl can buy the amount of leverage the bank allows…

#194 jess on 07.05.17 at 6:17 pm

Wells Fargo & Co. surprised investors this week by withholding more than $90 million due to buyers of pre-crisis residential mortgage-backed securities.

The bank said it invoked its right as trustee to hold back funds to cover legal costs

https://www.bloomberg.com/news/articles/2017-06-30/wells-fargo-unsettles-mortgage-bond-market-by-holding-back-funds

#195 AGuyInVancouver on 07.05.17 at 7:25 pm

#161 Rolling Back
You sounds like a Realtor (note that was said with the same tone as Grand Inquisitor saying “Heretic”).

And if you think a government desperate to keep the books balanced will ever roll back a tax on foreigners who can’t vote, you must be selling property in Neverland.

#196 paracho on 07.06.17 at 12:04 am

Currently hold only one preferred share ETF in the US. Symbol PFF , current yield of about 5.55%. Hold It in my RRSp, RESP and most importantly my TFSA.
Looking for other Preferred ETFs that yield plus 4.5% for the long haul…. any suggestions Garth?
Thanks in advance ! You rock !