Be a man

POLICE modified

From time to time this blog strives to be a Public Service, and make you feel better about your spouse. Seriously. It could be worse. You could be Raymond the Henpecked Accountant:

“I have been a long time reader of your blog but today I am writing to you in desperation,” he says. Here’s the background: RHA is 40. She’s 37. Two kids destined for uni in a decade, and twenty years until retirement. He makes $110,000 and she pulls in $54,000, both with DB pensions, about $150,000 in liquid assets and a 905 house worth six large.

In short, they’re doing okay. Better than you, probably. Only $67,000 left on the mortgage, financial plan in place, budgets intact, flow chart taped to the fridge – the usual stuff that arouses accountants. But all is not happy.

“Now here is my biggest challenge – I am surrounded by friends and relatives who have all bought and upgraded their houses to more expensive ones. I am just very glad to have no debt, no mortgage starting next year. I have no desire whatsoever to upgrade and acquire a new mortgage. My wife is not too happy that every other house on the street seems to be more expensive than ours and that our house hasn’t appreciated much in value (paid $354K in 2005). My wife believes that house is the best investment and will always go up in value.

“We argue a lot about our house these days. She wants to sell and upgrade and I don’t. She thinks I am not very smart (financially) and loathes that every tom, dick and harry has a bigger and better house. They must all be very rich and we are so poor.

“I have budgeted that we can save at least $40K annually (and possibly more) and invest in a balanced diversified portfolio (TFSA, RESP, and non-Registered) without compromising our current life style once we are done with mortgage.  How can I talk some sense into my wife and talk her out of buying a more expensive house? How can I convince her now that we are doing so well financially, we shouldn’t make stupid mistakes?

“We have worked very hard to pay down our mortgage and I don’t want a stupid financial decision to ruin our future plans and savings. Please help!!!!!!”

Well, weeks like this probably don’t do much to help poor Ray make the case for a balanced, diversified portfolio versus the unmatched glam and sex appeal of suburban real estate, but this is really a battle of assets vs. debt. Already this couple have too much of their net worth invested in a single asset – about 80%. Ideally (according to my Rule of 90), that should be more like 50%, and then diminish steadily over the years until it hits 25% by retirement age.

Saving forty grand a year, as he plans, would get them there. But upgrading to something costing a million bucks would add at least four hundred thousand to the wrong side of the balance sheet, increase monthly costs and set them up for a kick in the groin going forward when 905 real estate meets its maker. And it will.

Given the sustained and accelerating weakness in the Canadian economy, how can anyone feel horny about upgrading from a fully paid-for house (on which a nice tax-free capital gain has been earned)? Oil is sub-40 and likely to stay that way for a while. We’ve had negative growth every month so far this year. Things are so flaccid the Bank of Canada had to cut interest rates twice this year – and it’s only August. Weakness and poor judgement in China have dropped commodity prices back to 1999 levels, creaming a country like ours which is so dependent on raw exports. And the contrast with the US is growing extreme, as their economy continues to motor ahead. The Fed, in fact, will be raising rates by the end of the year, while we ponder yet another hack. And did I mention there are socialists at the gate?

Ray’s house-lusty wife should ask herself how great real estate ownership is when in our most active market – Vancouver – over four in ten homeowners now have to rent out their basements, garages and spare bedrooms in order to make the mortgage. This week an insurance company survey revealed an astonishing 43% of houses have rented ‘suites’ – triple the national average, and twice that of Toronto.

So, if constantly upgrading your house, taking on more debt to climb the property ladder and reaping fat gains really works, why has it failed in YVR? Why would anyone spend so much money on a nice house, and then have to share it with grotty strangers? What’s the point? Why not just be a tenant yourself and enjoy the same great digs for a fraction of the cost?

Oh, right. Because your friends and relatives judge you by your address. Because all the other indebted people on the street look richer. This is the definition of fatuous, Ray. You poor, wretched sod.

When the reset comes, and it will, pity the folks with seven-figure homes in the burbs. Kinda like where Calgary’s going these days. While average prices have only started to decline, the top end of the market’s been hit much harder. Houses over a million have been unloved, discounted and often become structures of remorse for their owners. If anyone believes 905 or the outliers of 604 or 613 are any different, they’re dreaming.

So, RHA, print out all the hot MLS listings for your area, then slip a copy of this blog post into the pile. No matter how much she screams, make her read it. Then find new friends and tell your families to get lost. Put blockers on realtor.ca. Cruise around at night and quietly torch all the For Sale signs. Get a cable package which doesn’t carry HGTV or the dreaded ‘W’ network. Buy a giant dog to destroy your home and make it unsalable.

Or, you could say no. That should be fun.

262 comments ↓

#1 Gord In Vancouver on 08.26.15 at 5:23 pm

Ray’s house-lusty wife should ask herself how great real estate ownership is when in our most active market – Vancouver – over four in the homeowners now have to rent out their basements, garages and spare bedrooms in order to make the mortgage.

four in ___ homeowners? Thanks.

It was a contest. You lost. — Garth

#2 Jamie on 08.26.15 at 5:26 pm

The RCMP should reopen its investigation into the Duffy affair and question the prime minister, multiple senators, and senior members of the PMO’s current and former staff in light of new evidence, says an expert in high-profile criminal investigations.

Re-open criminal investigation and question Harper, says policing expert

http://www.nationalobserver.com/2015/08/23/opinion/re-open-criminal-investigation-and-question-harper-says-policing-expert

#3 Terrier on 08.26.15 at 5:28 pm

Buy a house you don’t need with money you don’t have to impress people you don’t like …

#4 Randy Randerson on 08.26.15 at 5:29 pm

Best option? Sell the house and split the proceeds, then ask the wife to buy the million dollars house herself, whilst Ray pays her market rent. If she wants a house that badly, she should be the one carrying the debt.

Another sad story illustrating why marriage sucks.

#5 OttawaMike on 08.26.15 at 5:32 pm

That’s a nice stock market you gots there. Wouldn’t want to see anything bad happen to it. Like if you was to raise the interest rates, say?

#6 Jon on 08.26.15 at 5:35 pm

“In short, they’re doing okay. Better than you, probably.”

Nope, not even close. Anyway, continue…

#7 kommykim on 08.26.15 at 5:53 pm

RE:Why would anyone spend so much money on a nice house, and then have to share it with grotty strangers?

I never understood this myself. Why pay more for a house with a suite just so you can attempt to cover the extra mortgage payments with taxable rental income? The extra hassle doesn’t seem worth it to me.

#8 bobb on 08.26.15 at 5:53 pm

We did buy a place, but at something we can afford. We yearn for a bigger place and a nice big back yard.

Because real-estate has gone up a lot, I do regret not buying something larger 6 years ago. Would I repeat that today? (No, because things have gone way too much).

But I can tell you this — if you haven’t experienced (financial) freedom, you don’t know what you’re missing. I grew up with a big house, I don’t live in one now, so I know what I’m talking about.

I have freedom to buy lunch whatever and however often I want. I don’t worry about a buck here or there. When traveling, I don’t fret about $4 drinks at the amusement park or 25 parking. I can buy the kids ice-cream on a hot day. I don’t have to coupon clip or stand in line for black friday deals. I can buy whatever clothes I want. I’m also an independent contractor, so I can now also take extra time off between contracts, or be more choosy, and not stress about my next pay cheque. When traveling, I don’t have to stay at some cheap motel. If I want to go to Europe or Asia, I can. I can also pay for my kids education.

#9 TheLaughingCON on 08.26.15 at 6:01 pm

If both are with future DB pensions and in Ontario then this is no-brainer – list with someone for a fixed fee, sell commissionless to a speculator (they are the one that will fight to buy, renovate and flip) and upgrade to someone better that will make the wife happy.

Happy wife – happy family.

And do not worry as the RE orgy in Ontario will continue for the time being. You only will need to start worry if the government in power announces a mandatory 10%-15% or more salary cuts to all the public servants combined with same mandatory staff reduction.

But until then – green signal for RE appreciation.

#10 common sense on 08.26.15 at 6:02 pm

Great post Mr. Turner…

I was once married to a woman who would not downscale from a water front property that appreciated 300% in 5 years that I knew was going to burst on the last housing bubble….”why not downsize now while we are in our early 40’s…buy something off the river, for 50% less and we can have more time to raise the child we have worked so hard to have due to fertility problems….we can’t have it all.”

Flash forward 2 more years after said conversation..divorce, I got half the house proceeds (it was paid off), then the market dropped 40%. I bought a house CASH and now work 20 hours a week at age 54, spending 3-4 weeks south with my daughter now 16.

The ex? 200K mortgage, huge house that has had it’s share of problems, no vacations, working 1.5 jobs to make ends meet hugely in debt…

Other than not seeing my child as often as I did when married, life is peaceful…no more money arguments, trying to explain WHY we should be prudent, diversify, etc….

Yes a happy wife is a happy life goes the saying BUT “BE A MAN” and hopefully common sense will prevail…GOOD LUCK.

Garth….still have my eye on oil as you advised…dropping as markets rebound….hmmmm..

#11 earthboundmisfit on 08.26.15 at 6:02 pm

Keep the house ….. upgrade the spouse.

#12 Jack Rabbit on 08.26.15 at 6:03 pm

Call me I am a realtor to help buy the bigger house and sell yours for a great price! It’s August and I could use the juicy pay day!!!!!

#13 Smartalox on 08.26.15 at 6:03 pm

Ray, if you don’t take it from Garth, take it from Motown’s finest: the Temptations

https://www.youtube.com/watch?v=_ewKHvZDJe0
(best enjoyed at maximum volume)

Ow, people gather round me
It’s whom it may concern
I’m not trying to run your life
But you’re never too old to learn

Stop worrying about your neighbors
And the fancy things they got
‘Cause if you do you’ll find it sure
You’re gonna wind up on the spot

Don’t let the Jones
Don’t let the Jones
Don’t let the Joneses
Get you down, oh down
One more time

Don’t let the Jones
Don’t let the Jones
Don’t let the Joneses
Get you down, oh down

You may not believe it
But nine times out of ten it’s true
The people you’re trying to keep up with
Are trying to keep up too

Remember that old saying
“All that glitters ain’t gold”
Take heed, don’t ignore it
Until your money time will hold, oh

You’re lying to yourself
But you don’t even know it
You’re so busy following the Joneses
You ain’t got time to show it

Keeping up with the Joneses
It’ll only makes your life a mess
Bill collectors, tranquilizers
And getting deeper in debt

You better leave
The Joneses alone
Tell ’em one more time
You better leave, oh leave
The Joneses alone

Joneses got a new car today
Here’s what you should say
Hurray for the Joneses
Instead you worry till your whole head turns gray
Worry ’bout the Joneses

Remember it’s their car and they’re the ones who had to pay
So leave Jo-jo-joneses alone
Listen, your car might be old
But remember it never fails to get you where you want to go

Oh, don’t let the Jones
Don’t let the Jones
Don’t let the Joneses
Get you down, oh down
Hear me now, now

Don’t let the Jones
Don’t let the Jones
Don’t let the Joneses
Get you down, oh down

You’re doing fine
Don’t let the Joneses get you down

Now listen, if you see something you want
And you know you can’t afford it
The very next thing for you to do is
Start saving towards it

The Joneses have been a downfall
For many persons, you see
So people, take my advice
And let the Joneses be

You’re doing fine
Don’t let the Joneses get you down
You’re doing fine
Don’t let the Joneses get you down

#14 JSS on 08.26.15 at 6:07 pm

Real wealth is freedom and liberation in life.

#15 james on 08.26.15 at 6:08 pm

Better idea,

Grab the MLS listings, a printout of garth’s response, AND a stack of printouts from overseas marriage agencies in other countries of women 10 years younger than her. Mix them together and hand them to her.

Seriously. This sort of woman can drive you into the poorhouse? It might be less of a loss to divorce, take the hit to income, exercise and find a younger woman with more financial sense. I’m 39 and in a serious relationship with a 26 year old law school and BCom grad who has better financial acumen than just about anyone I know. They do exist. (And here in the USA, they are very unlikely to think of housing as a route to wealth).

And yes, get a dog. That way when the wife throws a tantrum you have an excuse to take a walk.

#16 JSS on 08.26.15 at 6:11 pm

“#9 TheLaughingCON on 08.26.15 at 6:01 pm

Happy wife – happy family.”

Yes, make a stupid financial decision to keep wife happy.

And it is precisely for this type of reasoning why Royal Bank increased its dividend by 3% today.

#17 Retired Boomer - WI on 08.26.15 at 6:12 pm

Today, I feel better… Are we “back yet?” Heck no, but it is a step in the right direction.

The rest of the world…the other 60% of international commerce looks shaky. Does that me think of selling into any rally? Well, yeah, it does, but will I really do that one?
Probably not so much… A tad light on safe stuff at 31% just now, we might want to correct the after a top up on value back to40% or a bit more.

I don’t think we in the U.S. will see an interest rate hike in Sept. come back later…

I am now fully invested, so I am not moving for awhile. We will see where this goes. Lot’s of nervous guys out there on stocks. I can’t even imagine a mortgage in 416 or 605 or a screaming spouse ‘not satisfied’ with the almost paid for house. Ok, you might want to remodel the kitchen, or the John. If that isn’t sufficient… hope the local market goes to hell fast as the stock market has done. Garth gave you some suggestions, mine would tend to be a bit darker… so we will not mention them here.

I feel for you Raymond, I don’t know how you cure the ‘princess syndrome.’ My cure could result in my arrest!

#18 mitzerboy aka queencity kid on 08.26.15 at 6:13 pm

Happy National Dog Day everybody

#19 JSS on 08.26.15 at 6:14 pm

#10 common sense on 08.26.15 at 6:02 pm

Karma

#20 Martin on 08.26.15 at 6:14 pm

Rate hike the end of the year? Garth, did you just threw the September hike out of the window?

Does it much matter? September, October or December? It will come. — Garth

#21 Ray Skunk on 08.26.15 at 6:15 pm

#9

With Wynne and Sousa spending like drunken sailors with no plan in place to slow down, I would not bank on the Ontario government being able to meet their DB pension obligations a couple of decades down the road.

The soon-to-be Mrs Skunk has an Ontario gov pension; I’m certainly not making it the cornerstone of our retirement planning.

#22 Freedom First on 08.26.15 at 6:16 pm

Raymond the henpecked accountant. Yes, everyone but you wants you to move to a house that costs several hundred thousand $ more. The trouble with you, Ray, is you don’t know your place in life.

However, I do. The last thing I need is someone/anyone else trying to “think for me, or, have any power over me.” Too high risk. I simply need to look around and see the self induced debt ridden slavery the majority are living under. I am on earth but for a short time, and I fully intend to live my life so as to please me. Anyone in my life is a deserved guest of mine. No exceptions.

I love my life, live in gratitude, and always put my own Freedom First. 2nd best thing in life is helping others, that is, helping, not enabling. I am just guessing, but I wouldn’t be surprised if Garth hears the same two phrases I hear most often when trying to help people, and that is only the people who ask me for help. The phrases are: 1) I know I know I know, and: 2) but but but. Some people listen, the majority don’t, and that is only the people who ask me for my input. Listen to Garth, Ray. To everyone else, you are only a wallet.

#23 bdy sktrn on 08.26.15 at 6:20 pm

why a suite (even for the mtge free)?

it sits empty otherwise (most sfh in van already have them) and your city tax charges you same, empty or not.
also

.someone around when frequently away (security,mail,watering,trash day etc.)
.1500/mo to balanced port.
.never having to use an atm.
.long line of excellent people to choose from

#24 JSS on 08.26.15 at 6:23 pm

Hey is anyone out there happy to see RBC increase its common share dividend by 3%?

#25 Leo Trollstoy on 08.26.15 at 6:25 pm

Can’t help a guy who can’t stand up to his wife.

Those guys are fooked.

#26 mark on 08.26.15 at 6:28 pm

Why is it always the wife or the MiL?

#27 Butch on 08.26.15 at 6:31 pm

That Sept rate hike is gone. They will ALWAYS have an excuse not to do it. Japanization baby.

#28 Nagraj on 08.26.15 at 6:32 pm

The six month daily chart of the SPX is about to print a Death Cross, today’s up move looks like a dead cat bounce (a day late).

China’s dumping Treasuries, yields are generally rising.

The strong $US is killing EM currencies. (As for gold, it was a futures expiry day on the Comex.) US EM bond funds are in trouble.

The Fed’s anticipated rate hike has got itself some loud opposition.

Now back to our main story: Harper’s toupee and Mrs. Harper’s two little pet bats. Did you know the two little bats have numbers for names? They do.

#29 S.Bby on 08.26.15 at 6:34 pm

Strangers in the basement? No thanks. I’ve heard too many horror stories on that one. What a spot we’ve got to when we need to rent out part of our single family houses just to pay the freight.

#30 Panhead on 08.26.15 at 6:37 pm

From the trenches of 604…
Sold my Pa’s house for him about a year and a half ago and it was torn down toute-suite. Took over a year before the new “dig’s” was finished. 33 X 120 ft. lot. Now the “house” has 2 separate mailing address along with another one for the “lane house.” No grass except for the new BCPain clinic down the street. At least Dad’s laughing …

#31 Blacksheep on 08.26.15 at 6:37 pm

Ray, you kinda f–ked up dude, you should have worn the man pants from the start and you wouldn’t be pleading to a bunch of strangers for advise.

My wife decides 75 % of what goes on in our life, but when it comes to big $ decisions, we discuss things, but I ultimately decide our path and she is ok with that cause I’ve done it with success for 30 years.

#32 FormerSaskie on 08.26.15 at 6:38 pm

Ray… make a deal with your wife. When your mortgage is paid in full let her have the first $40,000.00 you were planning to save to spend as she wants on the house. Hire a design professional they can work magic, but stay within the budget. In the 12 to 18 months till you are mortgage-free your wife should have a ringside seat in the “Buyer Regret” games when her family and friends realize they are in deep doodoo moneywise with their houses.

Oh, and make a nice graphic showing what a new mortgage will do to all of your financial plans. Maybe she is a visual learner rather than an auditory one.

#33 Chris in Nanaimo on 08.26.15 at 6:38 pm

‘Happy Wife , happy life’…..

God I despise that phrase, why is the guy expected to suplicate himself to his wife? Why isnt it ‘Happy husband happy life’..?

#34 sam on 08.26.15 at 6:54 pm

Rate hike the end of the year? Garth, did you just threw the September hike out of the window?

Does it much matter? September, October or December? It will come. — Garth

—-

Yes it does matter. What happens when something comes up again and the Fed has another reason to delay raising rates? Are you still going to take their word at face value and tell your blog that the rate hike is coming in the future? The markets correct a bit and all of a sudden now is not the right time for the rate hike? lol, come on, enough is enough…

#35 Cici on 08.26.15 at 6:54 pm

No offence RHA, but your wife doesn’t seem very bright.

For one, you are an accountant, and by that right alone should be more financially astute than her. Another point in your favour: whatever her day job is, yours earns you just over twice her salary.

So what makes her think she is the expert? Here’s some woman-to-man advice: grab some balls and stick up for yourself!

The only thing you need to upgrade is your wife. And I sincerely hope that your kids were endowed with YOUR intelligence, not hers.

PS – I’m usually a feminist, but today I’m taking a much-needed break.

#36 bb on 08.26.15 at 6:56 pm

Condos are selling here in my area where i rent that’s for sure. I feel so poor here that people will give me $220/month to rent my parking spot. People don’t want to be priced out in the future. So they rush in and buy. Realtor told me that most buyers are downsizing seniors, newcomers and young couples. Dont know much about their financial situation though. I would presume each young couple makes at least 120-240k/year. Newcomers i presume have 300k-3m in their pockets (For sure in USD). Downsized seniors should have 1-2m after selling their house.

#37 joblo on 08.26.15 at 6:57 pm

#2 Jamie on 08.26.15 at 5:26 pm
Re-open criminal investigation and question Harper, says policing expert.

Is there anyone who believes the PM did not know about this?

#38 Cici on 08.26.15 at 6:58 pm

#33 Chris in Nanaimo,

Oh dear Chris, how’s your sex life?

The phrase “happy life, happy wife” is reference to the fact that if you give your woman what she wants, she’s much more likely to give you what you want (you know, that thing that every guy thinks about all the time).

Don’t worry, my boyfriend has figured that out yet either. Poor him ;-)

#39 Cat on 08.26.15 at 7:00 pm

“Buy a giant dog to destroy your home and make it unsalable.”

Thank you Garth, for speaking the truth about what disgusting creatures dogs are.

They slobber all over, bite babies, and have absolutely no dignity, sucking up cloyingly to humans, most of whom are barely worthy of peeing on.

Cats, on the other hand, are awesome and actually possess self-respect.

Thank you as well, for not pandering to the ridiculous ‘holiday’ being declared today, “National Dog Appreciation Day”.

http://www.timeanddate.com/holidays/fun/dog-appreciation-day

What a bunch of dog crap in a plastic bag!!

(We cats are hacking this and similar websites as we speak – enjoy the changes coming soon!)

And finally, no mutt in the pic today, Garth?

Meow Wow!!! Keep up the good work!

Now get back to work so you can buy us a new scratching post.

Or we’ll slice your face to pieces while you sleep.

Meow…. =^.^=

#40 Julia on 08.26.15 at 7:01 pm

#25 Leo Trollstoy
“Can’t help a guy who can’t stand up to his wife.

Those guys are fooked.”

Hahaha! I’m the wife who holds the purse strings, manages all the finances and curbs the spending in my house.
I am also the higher income earner.

Is my husband fooked?

#41 JacqueShellacque on 08.26.15 at 7:03 pm

A determined renter here, a townhouse in 905, on a street with about 20 townhouses, with a few semi-detached and fully detached across the street. On this half-km stretch, I am the only renter. At least 1/3 of the townhouses have gone up for sale in the last 2 months. Almost all of the sellers that I know of have “moved up” to bigger digs being built on what used to be an empty field across from us. 600k for pressed cornflake walls and a lifetime of debt and servitude to the bank. Mme Shellacque is similar to RHA’s wife: I can win every logical argument against buying a house, but the emotions are too strong for her to desist. I can only say stick with the logic and don’t allow her to pull you in with emotional b.s. What’s the worst that can happen? In the long run, divorce would be far cheaper than a house anyway. I haven’t quite put it in those terms with Mme Shellacque for obvious reasons, but you can bet your a** that’s how I intend to govern myself.

#42 Randy Randerson on 08.26.15 at 7:05 pm

#33 Chris in Nanaimo on 08.26.15 at 6:38 pm

Because when the wife is mad, it’s Cold War V2.0. No thanks, live like Freedom First.

#43 Llewelyn on 08.26.15 at 7:06 pm

On August 2, 2013, over two years ago, the Dow Jones average closed at 15,658. Yesterday the Dow Jones average closed at 15,666. I am not certain that two years without a significant increase supports a claim that the US economy is chugging away on all eight cylinders.

Is it possible that the 600+ gain in the Dow Jones average today was an orchestrated event to reinforce the perception that all corrections in the market are quickly erased? I sincerely hope not but then no one discovered that George Soros was speculating on a lower value for the British Pound until he actually caused it to happen and pocketed billions of dollars.

Like the boy who cried wolf too often and was punished when the wolf actually appeared a series of rapid declines followed by a series of large gains could create an environment where retail investors might decide to sit tight when a sharper decline in the market is orchestrated to reflect a market based on actual economic fundamentals.

The fact that the Dow Jones average remained static for two years after the Federal Reserve had pumped over $4 trillion into the US economy does not support cheerleader claims that a bull market will continue or that the current value of equities reflects their actual revenue generating potential.

The list of issues that might affect the value of stock markets around the world is growing every day and recent volatility has done nothing to alleviate my concern that future economic growth might not be a sure thing.

I realize that my fear of an unseen hand is probably unfounded but considering the avarice I have witnessed in my lifetime a little bit of paranoia and peeking behind the curtains seems justified.

#44 Freedom First on 08.26.15 at 7:09 pm

#33 Chris in Nanaimo

That’s: no wife=happy life. There you go Chris. All fixed.

#45 Freddie on 08.26.15 at 7:09 pm

Re #24: Hey is anyone out there happy to see RBC increase its common share dividend by 3%?

I am, I own RBC stock!

#46 Cici on 08.26.15 at 7:12 pm

#33 Chris in Nanaimo

Oops, meant “hasn’t figured that out yet”

#47 Steve French on 08.26.15 at 7:14 pm

Well, if it wasn’t before.

It’s now official.

Americuh …land of freedumb… is royally F__D.

Canada needs to seal off the borders.

#USAfailedstate

Scary. It’s insanity down there.

“Two journalists shot dead during live TV interview in Virginia”

#48 New Babblemaster on 08.26.15 at 7:15 pm

“When the reset comes, and it will, pity the folks with seven-figure homes in the burbs.” – Garth

————————————————

Garth, why don’t you admit this is nonsense. It will never happen in our lifetime. Rates will never rise to any significant degree because the world economy simply can’t tolerate high rates. It is now dependent on debt and more debt. Anemic economic performance will be the norm as the world economy begins to contract. As oil is so expensive to extract, the world economic system, that was dependent on cheap oil, cannot expand. Financial systems around the world are thus majorly distorted in bizarre ways. Our bloated housing market is an example. The powers that be will never dio anything to hurt the housing market like raise rates as it would be political suicide.

#49 kommykim on 08.26.15 at 7:16 pm

RE: #23 bdy sktrn on 08.26.15 at 6:20 pm
why a suite (even for the mtge free)?
it sits empty otherwise

That’s why I’d never buy a place with a suite. Why pay for something you don’t really want? I’d rather invest the money saved, ala Garth style, and collect the returns instead of losing privacy & peace and quiet.
I see your point about having someone around while you are travelling, but then who deals with issues while you are away? Now you’d have to hire someone to call the plumber, collect the rent, etc while you are away. Each to his own I guess.

#50 IHCTD9 on 08.26.15 at 7:20 pm

#21 Ray Skunk on 08.26.15 at 6:15 pm
#9

With Wynne and Sousa spending like drunken sailors with no plan in place to slow down, I would not bank on the Ontario government being able to meet their DB pension obligations a couple of decades down the road.

The soon-to-be Mrs Skunk has an Ontario gov pension; I’m certainly not making it the cornerstone of our retirement planning.
——————————————————————-

Same with my wife, and even she is not banking on anything. We’ve got a ways to go before retirement, some pretty amazing things will have to happen over the the next 2.5 decades (like change) to make us rethink our position…

#51 rar on 08.26.15 at 7:22 pm

#33 Chris in Nanaimo….they now have documented it is “happy husband happy life”! google it, you will be astounded…#10 common sense…KUDOS to you!! and to conflicted Ray…if she’s happy (at least till the chips fall) how happy will you be? and how happy will your wife be if you’re unhappy? then both of you will be unhappy regardless what you do!! so if you’re unhappy in your marriage, then maybe seek help from a marriage counselor, not just from Garth…ding ding ding! wake up folks!

#52 will on 08.26.15 at 7:34 pm

Oh RHA! You sad wealthy man! You have everything going for you except that your wealth and quality financial thinking is invisible to the financially blind! While those across the street – that is Poverty Visible!

What Will You Do? Garth, can we get a follow-up on RHA? Everyone here wants to know how this pans out. So Sad!

#53 Freddie on 08.26.15 at 7:36 pm

I am a guy that hates debt. Once got overextended renovating a house. Kept me awake at night. Have always paid cash for cars (buy them 3 to 5 years old and drive them to the junk yard at end of life). My financial priorities were always been to maximize RRSP contributions and pay down the mortgage. Boy am I glad I did that. A couple years ago, in my mid-50s, company decided that they did not want me anymore (reasonably high paying management job). By coincidence, had just finished paying off the mortgage. Always living within my means, no mortgage, and a nest egg made the situation easy. I actually enjoyed the seven months it took me to get back into the game. I also came to realize that I am working because I want to, not because I have to. Financial independence should be the goal, not a bigger house.

#54 Paully on 08.26.15 at 7:36 pm

If she agrees to sex every night that you want it, with a “no headaches clause,” then buy the bigger house.

#55 paul a on 08.26.15 at 7:40 pm

well i think purchasing a house in most markets currently is like purchasing a ticket for passage on the titanic , common sense should dictate that completely, and short lived interest rates are nothing more than the bank of Canada trying in desperation to devalue our dollar to entice exports,mainly auto related, to factories that are now closer to mexico than we are , or did they think we can compete with that ? = wrong period.
the fact of the matter is that we are in recession ,our primary customers for raw materials are in worse shape, 4 billion pissed citiens-china who’s kidding whom here buckle your seat belt its going to be a hard reality check that comes shortly .

#56 jess on 08.26.15 at 7:44 pm

“Anchor” investors
SEC Announces Asset Freeze Against Alleged EB-5 Fraudster in Seattle Area

The Securities and Exchange Commission today announced an asset freeze obtained against a man in Bellevue, Wash., accused of defrauding Chinese investors (250) seeking U.S. residency through the EB-5 Immigrant Investor Pilot Program by investing in his companies.
According to the SEC’s complaint filed in U.S. District Court for the Western District of Washington:
Under the EB-5 program, foreign citizens may qualify for U.S. residency if they make a qualified investment of at least $500,000 in a specified project that creates or preserves at least 10 jobs for U.S. workers.

http://www.uscis.gov/eb-5
Congress created the EB-5 Program in 1990 to stimulate the U.S. economy through job creation and capital investment by foreign investors. In 1992, Congress created the Immigrant Investor Program, also known as the Regional Center Program. This sets aside EB-5 visas for participants who invest in commercial enterprises associated with regional centers approved by USCIS based on proposals for promoting economic growth.
======

http://www.abs-cbnnews.com/global-filipino/world/08/24/15/jeb-bush-asians-abusing-us-birthright-citizenship

“340,000 babies born in 2008 to unauthorized immigrant parents — about eight percent of all babies born that year — according to a 2010 study by Pew Research Center.”
“Last March, US investigators raided dozens of Los Angeles locations suspected of offering “maternity tourism” services for pregnant Chinese women wanting to gain US citizenship for their children.
Some mothers were paying over $50,000 for packages designed to allow them to give birth in the United States, the Immigration and Customs Enforcement agency said.”

#57 A Nobody on 08.26.15 at 7:46 pm

Hate to say it but I read the post by Bigrider yesterday about the site at keele and king side road and the prices of the houses going up some 400k in a year.

I know the site . Definitely far out in the 905 and no way is it cooling down like you say Garth. In fact it is on fire.

None of your predictions about a melt in the 905 are coming true. Quite the opposite.

#58 family beagle on 08.26.15 at 7:50 pm

I feel blessed. My kitty kat is a world traveled corner office babe who prefers hotel life and is impressed by heroic deeds, not drywall. Ask her if she wants to buy a house in suburbia and she laughs and laughs. Wouldn’t catch her living among the hoi polloi. She owns a big honkin’ estate which we haven’t visited since April. Pays a stipend to a caretaker. Currently leasing a 5 acre horse farm in 604 ALR for $000/mo from Uncle Bucks. Wealthy always get great deals. I pass it on to my stoner music buddies who crash in the guest house.

The rich party with the poor. The middleclass sits at home and wonder why they never get invited anywhere, oh boy. This blog post should explain why.

#59 Vancouver Troy on 08.26.15 at 7:50 pm

Just bought my first ETF today (XEI).
Taking Garth’s advice and getting out of individual stocks.
For my U.S. exposure should I buy a U.S. listed ETF to avoid withholding taxes on dividends?

#60 the Jaguar on 08.26.15 at 7:51 pm

This is the ‘dream house’ syndrome. Very, very common. The reason that Mrs is suddenly interested in moving up to a new home (the dream home) is directly related to the fact that she notices the kids are not needing her anymore and will soon be moving out to attend university, be otherwise independent of her, etc. So she needs a new “project”. God forbid she should turn her attention back to her spouse who has been quietly toiling away all these years to give them all the lifestyle to which they have all become accustomed. Once those kids come along its steak for them and hamburger for the husband. The danger lies in not recognizing where the real ‘project’ lies, i.e rekindling their relationship so they can enjoy a meaningful retirement with each other. The break up often occurs about a year after possession date of the ‘dream home’. Cause it didn’t solve the real problem.

#61 OXI in GREECE !! on 08.26.15 at 7:53 pm

Another day of please feel sorry for poor ole public sector employees making 160K with DB pensions.

Poor poor government employees. Let’s give them a raise.

#62 BC Guy on 08.26.15 at 7:53 pm

Raymond, repeat after me:

“Yes, Dear.”

“You want to sell this house and buy a bigger house? Yes, dear.”

“You want to take on more mortgage debt, install granite countertops, indoor swimming pool, triple garage? Yes, dear. Whatever you say dear.”

Don’t argue with her Raymond, divorce is far more expensive and financially ruinous than an extra mortgage. Get a bigger house, bigger mortgage, and live a happy, peaceful life with a contented wife.

#63 BobC on 08.26.15 at 8:02 pm

I’m new at this investing stuff and learning something everyday. I started listening to Garth and stopped reading the Zero guy. One more day like today and I’ll be back in the black.
Next big drop will be a little less scary and instead I hope to see it as a buying opportunity! Thanks to all on the blog!

#64 MSM-Free Zone on 08.26.15 at 8:03 pm

“….My wife is not too happy that every other house on the street seems to be more expensive than ours……”
_________________________

I used to be married to a Disco Queen.

Traded her in for a Filter Queen.

Living happily ever after. The End.

#65 johnk on 08.26.15 at 8:04 pm

Don’t take on a fat mortgage in exchange for nookie on demand.
Willy will wear out long before the mortgage. Then what?

#66 Chris in Nanaimo on 08.26.15 at 8:05 pm

#33 Cici

Your boyfriend is a beta schmuck if he hasnt figured out you are only dishing out sex in return for captalistic gain…i.e. Stuff. Solid relationship building there….

My two decade long marriage is great…thanks for asking….but then i dont follow the typical blue pill relationship advice…Freedom First knows what I’m talking about.

Ask this guy how trying to make his wife happy worked out. He obviously hasnt figured out that suplicating himself to his wife has nothing to do with her physical attraction to him.

http://www.theguardian.com/lifeandstyle/2015/aug/24/i-am-almost-repulsed-by-my-husbands-attempts-at-lovemaking

#67 Alan on 08.26.15 at 8:12 pm

Martin, you threw the wind out of my sails! No rate hike this year, but Garth you are right, rate hike in the not too distant future!

#68 the Jaguar on 08.26.15 at 8:13 pm

Not sure what I did to be ‘banned’, but I will still read the blog.

You have not been banned and your comment was posted. — Garth

#69 Steerage bilge on 08.26.15 at 8:17 pm

The bats were rescued from evil wind turbines killing their friends.

#70 Steerage bilge on 08.26.15 at 8:20 pm

HGTV should be labeled as a dangerous substance.

#71 bigtown on 08.26.15 at 8:20 pm

Canada is motivated to be a part of the Pacific Trade deal now in progress. Of course, our Canadian favourites like dairy and chickens are fowling up the possibility of any success. Closer to home in CAMPBELLTON, New Brunswick and Point La Croix, Quebec a trade dispute has arisen over alcohol purchases.

The case stems over a fine from the RCMP to an upright N. B. citizen (from Tracadie, New Brunswick) doing his honest consumer duty and buying affordable alcohol on the Quebec side and transporting said alcohol into New Brunswick. New Brunswick has limits on how much cheap booze can be moved into that bucolic backwater without the intervention of our reliable RCMP. Alcohol is very reasonably priced in Quebec compared to New Brunswick.

So there you go kids, you can’t import your MOOSEHEAD across a bridge in Canada from Quebec to N.B. without the authorities turning your beautiful fresh air town into North Korea.

The website of the elected Liberal MLA for Toronto NORTH shows a lady very anxious about global warming and refugee camps and the United Nations’ full time agenda with not a word about Canada or indeed Toronto. I am disturbed.

Never Mind my grandkids are from Latin America so there is some hope of a better future for them and their offspring. I thank the Good One in Advance. Also Garth has excellent karma and I feel very blessed.

#72 Smoking Man on 08.26.15 at 8:21 pm

I wouldn’t rule out a rate hike.. Plunge protection team doing a great job.

It makes no sence for a Fed rate hike. But Herdomoter says lots of reputations on the line.

Always remember, play the player not the cards.

#73 will on 08.26.15 at 8:25 pm

I always go back to my father’s offer to my mother (as reported by her): “You can have a house in the country, and a car, OR you can have a house in the city. Mom opted for the house in the city. A small (actually a very small) bung and raised 4 kids. She died wealthy in that same house 4 years ago. Invisible wealth. But full of liquidity and travelled lots.

It’s just stating clearly this is what I can handle comfortably and you won’t lack for anything.

#74 4 AM Sunrise on 08.26.15 at 8:27 pm

RHA’s wife needs somebody to help her pull back the curtain on all those families who’ve supersized their houses. Those whispered worries about almost running out of money at the end of the month. Those who preach staycations because they can’t afford anything else. The tags that are still attached to the designer dress (to be returned the next day). Somebody needs to steam open some envelopes and show her their credit card balances. All those outstanding balances on HELOC’s and personal lines of credit.

As for “Be a Man”, nobody says it like Russell Peters imitating a Chinese guy: https://www.youtube.com/watch?v=GQgh-RqQbXg

#75 Daisy Mae on 08.26.15 at 8:31 pm

“….The RCMP should reopen its investigation into the Duffy affair and question the prime minister, multiple senators, and senior members of the PMO’s current and former staff in light of new evidence, says an expert in high-profile criminal investigations.

Re-open criminal investigation and question Harper, says policing expert.”

*****************

On hold…until after the election? Is that correct?

#76 Victor V on 08.26.15 at 8:35 pm

http://www.thestar.com/news/city_hall/2015/08/26/rooming-house-owner-fined-75000-after-fatal-fire.html

The owner of an illegal Toronto rooming house where a woman died in a 2013 fire has been fined $75,000.

Konstantin Lysenko, owner of 189 Sheridan Ave., was found guilty by a provincial offences court of multiple fire code violations at the house where Alisha Lamers, 24, died in her basement apartment.

A City of Toronto news release says Lysenko was fined $60,000 plus a $15,000 victim surcharge. He will also be on probation for 18 months with conditions including not possessing or managing a rental property.

The fire started on a cool November night. Josh Schaefer, 25, had stepped outside the basement apartment, in the College and Dufferin Sts. area, for a cigarette when a neighbour yelled “Fire!”

He found the door to his apartment aflame with his girlfriend, Lamers, sleeping inside. He yelled to her through steel bars across the window but she was trapped, and stopped responding amid thick smoke.

#77 Granite_counters on 08.26.15 at 8:35 pm

Ray,

Tell your wife you do not want to be a slave to your (potentially new)home and she shouldn’t want to be either.

Face the fact that she will never be happy with the attitude of constantly wanting more. It is a very common illness and it is the main reason everyone is carrying excessive debt.

#78 For those about to flop... on 08.26.15 at 8:36 pm

What do you all think of this story…
For the last 6 months or so I have been trying to convince my wife to diversify her portfolio as she is 80% maple.
Anyway she has her money invested with a major financial investment firm whose ads I see on the idiot box saying that they will look after you and not treat you like a number yada yada.
She has phoned and emailed the guy multiple times over the last two months and he is yet to get back to her ,not even a message ,nothing ,nada.
Whilst she is obviously not his biggest fish it is still a 6 figure account and this behaviour is starting to worry her.
In her last email she politely told him if he was too busy to look after her then could he hand her account over to someone else in the company.
I hope this ends well.

Dump him. — Garth

#79 Gulf Breeze on 08.26.15 at 8:38 pm

#35 CiCi,

Same…feminist and this IS a feminist issue. Strong women don’t give a rat’s ass what their neighbors, friends, family are buying, doing. Ray’s wife has a gag inducing preoccupation with appearance. Yuk yuk double yuk. Pride goeth before a fall, Princess.

Ray, don’t let her drag you down with her.

#80 TurnerNation on 08.26.15 at 8:41 pm

I’m not in Finance so wondering if this is saying a lower price of a bank’ own stock means less capital committed to trading.
(I had flashback’s of Enron’s loans tied to their stock price.) I hope not a Prop. trading ‘loan’:

” New capital rules also limit the amount of capital banks and other market participants can use to prop up markets, says Clark. When the value of bank stocks fall, they have to pull back on the amount of capital at work in the markets to ensure they do not run afoul of new bank regulations like Dodd Frank.”

http://www.bnn.ca/News/2015/8/25/High-frequency-trading-made-Mondays-market-selloff-worse-Aequitas-CEO.aspx

#81 IHCTD9 on 08.26.15 at 8:47 pm

DELETED

#82 Daisy Mae on 08.26.15 at 8:47 pm

#37: “Is there anyone who believes the PM did not know about this?”

***************

Nope.

#83 betamax on 08.26.15 at 8:48 pm

#38 Cici: “The phrase “happy life, happy wife” is reference to the fact that if you give your woman what she wants, she’s much more likely to give you what you want”

Completely wrong. Stop generalizing from your own idiosyncratic notions.

#84 AsiaKid on 08.26.15 at 8:49 pm

Garth,
From today’s tone of the US rate hike, it seems you aren’t as sure of that September liftoff as you previously were, correct? I know September and end of the year aren’t contrasting terms, but whereas before you were quite happy to point to September, I believe the last two mentions of the rate liftoff has been more ambiguous and suggestive of end of year range rather than a specific month.

I don’t mind. Just an observation and was curious why (I imagine the whole China yuan devaluation is an issue).

Were you asleep for the last two weeks? In any case, it will come. — Garth

#85 lala on 08.26.15 at 8:57 pm

Happy wife happy life…that’s so Canadian, bs propaganda. Consider yourself the center, if you not happy forget the wife. Nvm brickheads.

#86 cramar on 08.26.15 at 9:01 pm

The morale of this story is the if you have a wife with financial sense and who is content to live in a house that is sufficient for their needs, she is worth a million dollars! If you have a wife like RHA’s, it could cost you a million dollars.

IF, and a big “IF” he can counter her lust for trying to keep up with the Jones, when the collapse happens, she will be thankful she married such a smart fellow.

#87 Moses71 on 08.26.15 at 9:11 pm

To the subject of this blog…
Hey Spineless, put that kilt on and make my breakfast, too!!
And when you’re done I got a list of other chores for you to do!!

#88 anon on 08.26.15 at 9:16 pm

“Happy wife happy life”

until she isn’t.

Then the courts

Then the poorhouse

“Happy ex-wife end of your life”

#89 Investx on 08.26.15 at 9:16 pm

#27 “That Sept rate hike is gone. They will ALWAYS have an excuse not to do it. Japanization baby.”

Yup. I wondered years ago why rates couldn’t stay low for an extended period here, a la Japan.

This blog thought it was different here.

#90 SWL1976 on 08.26.15 at 9:16 pm

#72 Smoking Man

I wouldn’t rule out a rate hike.. Plunge protection team doing a great job.

It makes no sence for a Fed rate hike. But Herdomoter says lots of reputations on the line.

Always remember, play the player not the cards

I agree, and and have thought this for a long time. The Fed will not raise rates because market fundamentals exist. They will raise rates to throw a wrench into the gears of an already sputtering global economy.

The real crazies are f-in crazy and they are just looking for a trigger and a catalyst to yell… SURPRISE you’ve been had. We now control everything. Do as we say not as we do.

Alarm bells have been going off for years, but most of the herd is still asleep

This blog is scaring me again. — Garth

#91 Freedom Curst on 08.26.15 at 9:17 pm

Indeed, Ray’s problem is one that I do not share, nor will I .. ever. I expect to be alone for the forseeable future, spending my considerable wealth on.. well, nothing except making more money, actually.

I write off the cost of the Daryush Valizadeh seminars (I just go to snicker at the pathetic so-called ‘men’ in the audience who think that they can get women into bed with words instead of cash)

I’m sure Ray thinks he’s happy being married, but that’s because he isn’t Freedom Curst.

#92 Trojan House on 08.26.15 at 9:18 pm

#40 Julia on 08.26.15 at 7:01 pm

“Is my husband fooked?”

Basically, yes.

#93 Panhead on 08.26.15 at 9:20 pm

This ain’t gonna go over well … but this is how I heard it …
Happy wife … happy life …
Unhappy life … get ridda the wife.

#94 IHCTD9 on 08.26.15 at 9:21 pm

#81 IHCTD9 on 08.26.15 at 8:47 pm
DELETED
——————————————–

Come on Garth, it’s the damn truth and you know it! :)

Find me a woman who would disagree…

#95 Randy Randerson on 08.26.15 at 9:23 pm

Ray’s wife is the perfect future candidate of Real Housewife of Vancouver…if they decide to bring that god-aweful show back, that is.

Dump the wife, and upgrade to a girlfriend. No stress and more fun.

#96 Nectonite 3 on 08.26.15 at 9:31 pm

Smoking Man:

I have been looking for you for quite a while now. I gather it’s been 60 years since our pre-mission briefing, no??

Not easy being on this mess of a planet when you’re one of the chosen 4…. A lot of sinners and so much temptation. More than enough to develop bad habits and attitudes, to say the least.

Will need to get in contact with you soon, situations are evolving and we will need to plan the Vegas trip as we have an important decision to make.

Stay tuned.

Nectonite 3 over and out.

#97 kommykim on 08.26.15 at 9:32 pm

RE: #54 Paully on 08.26.15 at 7:36 pm
If she agrees to sex every night that you want it, with a “no headaches clause,” then buy the bigger house.

The problem is that the headaches will start after you buy a bigger house. The difference is that YOU will have the headaches.

#98 BT on 08.26.15 at 9:34 pm

I just spoke to an acquaintance after not hearing from him in about a year. He’s in the trades, currently working on condos in Toronto. He said his work hours were recently cut from 40 hours/week to 32 hours/week. He and other workers only work 4 days a week now, and he said it’s getting slow. He’s not sure why that is…

#99 Interstellar Old Yeller on 08.26.15 at 9:35 pm

Well, I like the “get a big dog” idea. A Neapolitan Mastiff would be fun times for RHA.

Seriously, RHA, tell her once the mortgage is gone she gets $15k a year in “spoil me” money she can blow on whatever. Clothes, trips, jewelry, cosmetic surgery, luxury car payments, whatever she wants to show off to people to prove she’s successful. Cheaper and more flexible than a new mortgage.

#100 Estrella on 08.26.15 at 9:37 pm

Don’t do it Ray. If you do, your resentment will sour your relationship anyway so your no better off and in more debt to boot. Lay out your life timeline and have her see were your (&her) priorities are. If things still go sour, at least you tried.

Happy to see the 3 highest day in market history today. Also I was able to find a gem of a video that lays out pretty much all that we discuss here daily. Pretty much sums up how the economy works….

http://www.economicprinciples.org/

explained in layman terms,, maybe someone should email this to Jtrudeau, or M, Or for that matter. H.

#101 Nora Lenderby on 08.26.15 at 9:42 pm

#79 Gulf Breeze on 08.26.15 at 8:38 pm
#35 CiCi,
“Same…feminist and this IS a feminist issue. Strong women don’t give a rat’s ass what their neighbors, friends, family are buying, doing. Ray’s wife has a gag inducing preoccupation with appearance. Yuk yuk double yuk. Pride goeth before a fall, Princess.
Ray, don’t let her drag you down with her.”

I absolutely agree. This, ladies and gentlemen, is what you get for spoiling your girl children with pink, glittery stuff and pretending they are princesses. Bloody Disney Corp, owns the lot of them.

HGTV and Oprah are just Disney Channels for older princesses who have credit cards.

It’s an addiction. Very hard to change.

#102 Nora Lenderby on 08.26.15 at 9:45 pm

Oh, and Quentin Crisp once opined something to the effect that it is a lot cheaper to drag the Jones’ down to your level…

#103 Smoking Man on 08.26.15 at 9:47 pm

Sometimes the easiest answers are in front of our nose.

I spend a lot of time in my Gazibo sneaking smokes, and booze. Wife’s on her rampage again, rationing not only my booze but my damn cigarettes. It’s war.

It’s my favorite place in the entire world, today I took out a desk, a chair, my note book..

Did an entire chapter inside three hours. Best one so far. Tomorrow another..

Dogs light at the end of the tunnel.. I changed the fonts to sefi. Something.. Words came to life.

Had clients calling, thought you where coming to install the software today, two messages on my answering machine.

Priorities dogs…

Follow the UCC.

#104 Freedom First on 08.26.15 at 9:49 pm

#62 BC Guy

Speaking of slavery…….

#105 Nagraj on 08.26.15 at 9:50 pm

Thank you! Thank you #69 STEERAGE BILGE
for helping to elucidate what is THE pressing issue of our day: Mrs. Harper’s two little pet bats.
Glad somebody’s on the ball here besides Nagraj.
(For those of you still in the dark on this, google CBC archives and you can see what they look like.) (When is National Vampire Bats Appreciation Day?)

As for tonight’s tedious drivel about marital relations – why would a woman in her right mind marry an accountant in the first place?
A bricklayer would be less boring. “What’d you do at work today, dear?” “I laid some bricks.”

#43 LLEWELYN
In my day the stock mkt was a leading economic indicator. It has devolved into a co-incident indicator of monetary policy expectations. With financial repression running into a brick wall – maybe it’ll become a leading indicator again. In which case A PROLONGED BEAR MKT is not out of the question.
(Soros’ biography is fascinating, especially his early history in WWII Hungary.)

#106 Investorz on 08.26.15 at 9:52 pm

Bet you a lot of Canadians sold some of their mutual funds over the last 6 days. With some luck the smaller stock portfolios will cool the house buying bull sentiment a little. At least… there’s something else to talk about now on Sunday night.

I bought some more US banks today. BMO has an ETF for it. Called ZUB.

#107 Herf on 08.26.15 at 9:59 pm

I have some alternate suggestions for RHA:

“No matter how much she screams, make her read it. Then find new friends and tell your families to get lost.”

And if those don’t work, upgrade the wife and friends.

“Cruise around at night and quietly torch all the For Sale signs.”

Instead, go around and stick on multiple “Reduced” labels on all the For Sale signs. Start a race to the bottom among your neighbours who are trying to sell.

“Get a cable package which doesn’t carry HGTV or the dreaded ‘W’ network.”

Better yet, get rid of your t.v. Go back to reading books or having a hobby of some sort. If you don’t have a hobby man-cave, build one – it can be a place to get away from the wife’s nagging.

“Buy a giant dog to destroy your home and make it unsalable.”

Or, take the wife on an out-of-town get-away for a few days during which time you rent your house out on AirBNB to “appropriately qualified renters” (wink, wink, nudge, nudge) who will trash the place making it unsalable. If you play your cards right, the wife may be less whiny and naggy about the house since you’re both able to enjoy a get-away and while the neighbours can’t because of their indebtedness. Also, maybe your insurance company will cover the damage for later when you finally decide to sell your (restored) house.

#108 Freedom First on 08.26.15 at 10:01 pm

#38 Cici

Wasn’t there a movie with Tom Cruise years ago where the woman said to him: “you had me at how much”

#109 IHCTD9 on 08.26.15 at 10:01 pm

The problem is that the headaches will start after you buy a bigger house. The difference is that YOU will have the headaches.

#98 BT on 08.26.15 at 9:34 pm
I just spoke to an acquaintance after not hearing from him in about a year. He’s in the trades, currently working on condos in Toronto. He said his work hours were recently cut from 40 hours/week to 32 hours/week. He and other workers only work 4 days a week now, and he said it’s getting slow. He’s not sure why that is…
—————————————————————
Interesting. I just talked with a sales guy from a steel company that does rebar cages, which are used primarily in larger building construction. He said things are “ok” and this is for the busiest time of the year in that business.

Steel industry is hurting in southern Ontario. It never makes the headlines, but the big guys like Samuel and Ryerson have all been laying off. Some smaller warehouses are going bust altogether, I know one veteran who’s territory did 60 million in 2001, and did 21 million in 2013, and it wasn’t because he was getting his butt kicked by the competition. This guy was selling bread and butter mild steel sheet and plate.

The structural guys all depend on the construction industry, those that are busy all seem to be working for the government these days…

#110 Smoking Man on 08.26.15 at 10:02 pm

#96 Nectonite 3 on 08.26.15 at 9:31 pm
Smoking Man:

I have been looking for you for quite a while now. I gather it’s been 60 years since our pre-mission briefing, no??

Not easy being on this mess of a planet when you’re one of the chosen 4…. A lot of sinners and so much temptation. More than enough to develop bad habits and attitudes, to say the least.

Will need to get in contact with you soon, situations are evolving and we will need to plan the Vegas trip as we have an important decision to make.

Stay tuned.

Nectonite 3 over and out.
……

I’ll be damn, Jeremiah Jones, how the hell are you. I hear you knocked up a few in the congregation. Is your wife ok with that? Does she know? Does she care?. How is the preaching gig going in New Orleans.

Spoke to Ashman and Barrington a few weeks ago. The mission is a go.

We need to save humanity, orders from the top..

I’m not into it, let them eat cake, but I fear a court martial..

The shit were forced to do..

Good hearing from you… See you in Vegas..

#111 omg the original on 08.26.15 at 10:06 pm

BobC on 08.26.15 at 8:02 pm
One more day like today and I’ll be back in the black.
Next big drop will be a little less scary and instead I hope to see it as a buying opportunity!
—————-
Hey Bob –

1) Unless you fancy yourself a day trader do not worry about today, tomorrow or yesterday, and being in the black. Over the long term you will do well.

2) Drops are always scary because that’s the way humans are wired. When a big drop occurs, if you have money to put in, you just have to hold your nose and buy. Plus do not watch CNBC or BNN, and good to hear you stopped reading the perm-doomers at Zero.

#112 Nora Lenderby on 08.26.15 at 10:08 pm

#147 Julia on 08.26.15 at 12:19 pm
If you are interested, the Affidavit from Target for their CCAA filing is public information. Granted it is their opinion as to why they failed but it is a fascinating insight as to how they not only did not understand the Canadian market but they also opted to launch most stores at once without having fine tuned their distribution channels.

http://www.alvarezandmarsal.com/sites/default/files/Affidavit%20of%20M.%20Wong%20(January%2015,%202015).pdf

Most information is available for reading pleasure on the Monitor’s website.

Thanks for that. It was an interesting read. My jocularity aside, it is sad – in the sense that suppliers and the parent company lost a lot of money and a lot of people lost their new jobs.

#113 blimey frax on 08.26.15 at 10:11 pm

Steve French you get the award for dumbest comment ever. Those are real people who died and since I have lived here I have witnessed shootings and stabbings right here in Toronto. It never gets reported. I wonder why? Canada is a shit hole compared to USA. Everyone knows it except for dumbass canadians. This place would be nothing without your US neighbours. I moved to Toronto from Perth three years ago. Forever regret that decision. The USA is far superior in so many ways and offers better opportunities than canada does for its citizens. The difference between the two countries is canadians hide everything because it could be offensive. Americans put it out there and have hard talks and create dialogue around real social matters. I guess it is why all I ever hear are how these canadian idiots can’t comment on anything without dragging the USA into it. Canadians are ignorant as the day is long about what it takes to run a country and be accepting of new comers or deal with complex social matters. Always talking about “free” healthcare. Who gives a shit? We pay dearly for it and it is inferior to healthcare in the States. We have no real options here. I’ve never seen a nation with a bigger inferiority complex filled with hypocrisy that choses to align itself with the US only when convenient for itself. I am out of here in three months and it cannot come too soon. I know I am not the only foreign person living here with these thoughts. This lousy government oversleep this arctic hell hole. When people show up they are deeply disappointed.
http://isitnormal.com/story/hate-canada-2113/

#114 IHCTD9 on 08.26.15 at 10:11 pm

#101 Nora Lenderby on 08.26.15 at 9:42 pm

I absolutely agree. This, ladies and gentlemen, is what you get for spoiling your girl children with pink, glittery stuff and pretending they are princesses. Bloody Disney Corp, owns the lot of them.

HGTV and Oprah are just Disney Channels for older princesses who have credit cards.

It’s an addiction. Very hard to change.
——————————————————————-

Insecurity, and peer pressure. The downfall of the meek. That is one of the problems with living in suburbia. I’d need a pair of binoculars to see what is sitting in my neighbours driveway. I know when he’s getting a new deck only because I can hear the skillsaw going on and off. I’ll never see the thing though.

Folks need some space around them or they start to loose their minds…

#115 Nora Lenderby on 08.26.15 at 10:16 pm

#52 Smoking Man on 08.25.15 at 8:59 pm

The ultimate slap to the face of the literarty.

“Literarty” – that is good. I shall steal it at once!

For you: Hunter S. Thompson interview on Hell’s Angels.

#116 Ret on 08.26.15 at 10:17 pm

When we got married (’75), we had a mattress on the floor, a used filing cabinet for a dresser and an old cast off black and white TV. We have upgraded from that but still live a modest lifestyle and keep a low profile, not out of necessity, but by choice.

Thank heavens that “we” have shared so many of the same values for just shy of forty years. My wife is just as happy driving my rusty 17 yo truck as she is driving our new car. God bless her.

If what you drive or where you live matters to your friends, get new friends. RE crazed wives are a little more problematic.

#117 Doug in London on 08.26.15 at 10:19 pm

So, do any of you out there still wonder why I’m not married and am in no hurry to get married?

#118 omg the original on 08.26.15 at 10:19 pm

RHA and wife should have a couple more kids.

They will be so preoccupied they will have no time or money to even think about moving.

#119 just say no on 08.26.15 at 10:21 pm

Fatuous+reset=yummy! taking it to the next level with torching for sale signs! I need more popcorn for this…..

#120 Bottoms_Up on 08.26.15 at 10:22 pm

RHA, get your wife to outline how upgrading will be more financially beneficial to your family than your plan to stay put and save 40k per yr. Get her to detail all costs associated with buying and sellling. Get her to factor in lost growth in your down payment. Ask her when the mortgage will be paid off, and how much interest that will cost you. Ask her how much you plan on giving your kids once they are in uni.

Come on man you are an accountant, there is no way you can lose this argument after doing the comparison.

#121 nonplused on 08.26.15 at 10:26 pm

Raymond my friend, the best option is to go MGTOW. You can do that now, or you can wait until she gets the bigger house which she intends to keep after the divorce and be forced to do it. When girls get demanding there are changes afoot.

Alternatively, you can encourage her to take her $54,000 a year down to the bank, get whatever mortgage she can, and buy her own house. Be clear that you will not co-sign and you will not be on title. Buy her out of your current house and get her off title. Sure you’ll need a bigger mortgage to do it but it will be less than what she has planned.

Raymond my friend, you are about to be scammed.

To all you gentlemen out there, if your wife has lost interest in the relationship, you have to see her for what she is: A self interested financial entity same as everybody else. She will stiff you like a car dealership if she gets the chance. And many men will do the same. Don’t go for the deal, because it’s not being explained properly.

I once had a dealership not to mention any names (Ford) try and sell me a whole new head for my truck for $4000 when all it needed was 2 valves ($200) and a machine job ($350). You can’t trust anyone who is talking about money. Well there are a few people you can trust but it takes a while to figure out who they are.

Also don’t fall for the “square foot” scam. Any contractor who wants to work on your house has to give you a fixed price quote or you tell them to bugger off. It cost me $2000 to learn that. And that was already much less than they originally asked for but I told them I wouldn’t pay so much over what they said it would cost. Crooks. Get a fixed price quote or at the very least pay by the hour there are some reputable firms that work that way too. Never pay by the unit unless you have measured the units yourself first and so know what the total cost is going to be.

#122 SWL1976 on 08.26.15 at 10:34 pm

This blog is scaring me again. — Garth

Don’t be scared Garth. The machine feeds on fear.

Just as you are trying to awaken the financial illiterates we ‘doomers’ are trying to wake the masses to the reality of the situation.

Is is scary? Yes.

Do I fear it? No.

I am just playing my part in dealing with an unjust system that is rigged to keep it that way. For I know my generation and future generations are going to be the one’s left holding the bag.

And it is going to be messy.

We are living through a financial collapse, just some can’t see the forest for the trees.

I still keep a balance portfolio much like you have given me guidance for, but I am also diversified in many other aspects of my life should that portfolio be wiped clean in the blink of an eye.

I love your optimism Garth, and truly hope things change for the better. However, one would be a fool to ignore the warnings that many smart, intelligent, compassionate, and caring people are heeding.

One must try to see all sides to truly understand what is going on… And that is why I come here daily

Keep up the good work Garth

We all have a lot to learn

#123 Dr. Talc on 08.26.15 at 10:37 pm

“Re-open criminal investigation and question Harper, says policing expert.”

A ‘policing expert’??? ha ha ha he should stick to parking tickets

Harper is untouchable

#124 Lea on 08.26.15 at 10:38 pm

Men of Greaterfool, it is not always the woman who wants a bigger house. In 2006 Los Angeles, my “house-lusty” husband became convinced that it was our last chance to upgrade. It was like the tulip bubble in Holland. Normally sane people got the fever.

Cool heads prevailed and we refinanced instead. Our fixed rate mortgage is about 1/2 the price of rent with just 8 years until we own it outright. You get better mileage if you work as a team.

#125 AJ on 08.26.15 at 10:40 pm

RHA- would a compromise work? A little $$$ on a home stager, new paint, some strategic sprucing up so your place regains its appeal. Small can be perfection- if you work at it.

#126 IHCTD9 on 08.26.15 at 10:42 pm

#106 blimey frax on 08.26.15 at 10:11 pm
Steve French you get the award for dumbest comment ever. Those are real people who died and since I have lived here I have witnessed shootings and stabbings right here in Toronto. It never gets reported. I wonder why? Canada is a shit hole compared to USA. Everyone knows it except for dumbass canadians. This place would be nothing without your US neighbours. I moved to Toronto from Perth three years ago. Forever regret that decision. The USA is far superior in so many ways and offers better opportunities than canada does for its citizens. The difference between the two countries is canadians hide everything because it could be offensive. Americans put it out there and have hard talks and create dialogue around real social matters. I guess it is why all I ever hear are how these canadian idiots can’t comment on anything without dragging the USA into it. Canadians are ignorant as the day is long about what it takes to run a country and be accepting of new comers or deal with complex social matters. Always talking about “free” healthcare. Who gives a shit? We pay dearly for it and it is inferior to healthcare in the States. We have no real options here. I’ve never seen a nation with a bigger inferiority complex filled with hypocrisy that choses to align itself with the US only when convenient for itself. I am out of here in three months and it cannot come too soon. I know I am not the only foreign person living here with these thoughts. This lousy government oversleep this arctic hell hole. When people show up they are deeply disappointed.
http://isitnormal.com/story/hate-canada-2113/
——————————————————————
I agree with 99% of what you state. But, you moved to Toronto, just so you know, Toronto is the worst city in Canada by far. I avoid that hole like the Black Death and I was born here. I can’t imagine an urban environment worse than Toronto anywhere in the world…

#127 Tom from Mississauga on 08.26.15 at 10:44 pm

RHA, get her to plan vacations instead.

#128 BT on 08.26.15 at 10:55 pm

#98 BT on 08.26.15 at 9:34 pm
I just spoke to an acquaintance after not hearing from him in about a year. He’s in the trades, currently working on condos in Toronto. He said his work hours were recently cut from 40 hours/week to 32 hours/week. He and other workers only work 4 days a week now, and he said it’s getting slow. He’s not sure why that is…
—————————————————————
Interesting. I just talked with a sales guy from a steel company that does rebar cages, which are used primarily in larger building construction. He said things are “ok” and this is for the busiest time of the year in that business.

Steel industry is hurting in southern Ontario. It never makes the headlines, but the big guys like Samuel and Ryerson have all been laying off. Some smaller warehouses are going bust altogether, I know one veteran who’s territory did 60 million in 2001, and did 21 million in 2013, and it wasn’t because he was getting his butt kicked by the competition. This guy was selling bread and butter mild steel sheet and plate.

The structural guys all depend on the construction industry, those that are busy all seem to be working for the government these days…

——————–
Wow! The acquaintance installs duct systems. Doesn’t this involve galvanized steel? The other trade workers he mentioned that are in the same boat are plumbers.

#129 Julia on 08.26.15 at 10:55 pm

#112 Nora Lenderby
Mostly very dry, yes, but I enjoy this type of stuff. I found this affidavit particularly detailed. Most are not. The monitor told me that the Company was very open and transparent.

It is sad but I give them some credit for recognizing their failure and cutting their losses, all the while stepping up so employees would not lose a cent. Suppliers and landlords, that’s a different issue.

#130 Mike Micawber on 08.26.15 at 10:57 pm

Garth

I think you need to put a bit more flexibility into your example calculations…all of the cases presented seem to have someone retiring at 60 or 65. For future generations, the concept of retirement will be totally different, and many people will likely work right up until their 70s or 80s……think a futuristic Dickensian-society….

#131 Chris in Nanaimo on 08.26.15 at 11:00 pm

#124 Lea

“Men of Greaterfool, it is not always the woman who wants a bigger house”

…..no…just most of the time though…..if we go by the anecdotal tales on this pathetic blog ;-)

#132 Mike Micawber on 08.26.15 at 11:01 pm

#126 IHCTD9 on 08.26.15 at 10:42 pm
#106 blimey frax on 08.26.15 at 10:11 pm
Steve French you get the award for dumbest comment ever. Those are real people who died and since I have lived here I have witnessed shootings and stabbings right here in Toronto. It never gets reported. I wonder why? Canada is a shit hole compared to USA. Everyone knows it except for dumbass canadians. This place would be nothing without your US neighbours. I moved to Toronto from Perth three years ago. Forever regret that decision…”

Izzat Perth, as in Ontario, Australia, or Scotland???? ne’er mind, all red-neck places filled with opinionated folk…..

#133 Washed Up Lawyer on 08.26.15 at 11:04 pm

Dear Raymond,

You are going 90 miles an hour down a dead end road.

Don’t let the Missus watch this video. If she does, she will immediately ride the Greyhound to Austin, Texas. Then again, it might save you a bundle on legal fees.

https://www.youtube.com/watch?v=rFRkH_3ZmbU

#134 Milla vanilla on 08.26.15 at 11:05 pm

#120 Bottoms_Up on 08.26.15 at 10:22 pm
….Come on man you are an accountant, there is no way you can lose this argument after doing the comparison.”

It all depends on what type of accountant he is….there are the Bob Newhart types, then there are Enron types….

#135 Riyaz on 08.26.15 at 11:07 pm

100k invested in balanced portfolio at 6% gives 6k. This 6k is distribution dividends/interest + any appreciation isn’t. It. If yes how this can be withdrawal as an income without selling all the investment? Am I missing something or not understanding it

#136 Cici on 08.26.15 at 11:14 pm

#66 Chris in Nanaimo

No, sorry…you still aren’t getting it.

I’m not a gold digger, and definitely NOT A PRINCESS, but the beta schmuck is SO UNGENEROUS that it really works against him.

#137 Cici on 08.26.15 at 11:20 pm

#124 Lea

I agree!

My BF wants me to buy a house with him and have babies, but doesn’t want marriage.

The jokes on him…I have more assets and a way higher net worth, so if anyone win in a divorce, it would be him.

Too bad I just want to sail and swim…forget babies and houses!

#138 OXI in GREECE !! on 08.26.15 at 11:20 pm

#113 blimey frax on 08.26.15 at 10:11 pm
Steve French you get the award for dumbest comment ever. Those are real people who died and since I have lived here I have witnessed shootings and stabbings right here in Toronto. It never gets reported. I wonder why? Canada is a shit hole compared to USA.
<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<<

Finally a foreigner telling the "truth" about Canada. How refreshing…..

#139 45north on 08.26.15 at 11:22 pm

My wife believes that a house is the best investment and will always go up in value.

funny this belief is still held. I mean the psychology is all or nothing and of course it’s in the interest of the real estate industry to make sure psychology stays positive.

bobb: I have the freedom to buy lunch wherever and whenever I want. good for you Bob!

common sense: Yes a happy wife is a happy life goes the saying but be a man

sometimes it isn’t easy ( to be a man )

Jacques Shellacque: What’s the worst that can happen? In the long run, divorce would be far cheaper than a house anyway. I haven’t quite put it in those terms with Mme Shellacque for obvious reasons,

I’m pretty sure that Mme Shellacque knows what you think. Pas besoin de le dire.

A Nobody: Hate to say it but I read the post by Bigrider yesterday about the site at keele and king side road and the prices of the houses going up some 400k in a year.

I know the site . Definitely far out in the 905 and no way is it cooling down like you say Garth. In fact it is on fire.

King Road and Keele Street: I know the area. As Garth says When the reset comes, and it will, pity the folks with seven-figure homes in the burbs.. Homes there cost more than $1 million maybe $2 million. Imagine having to sell?

#140 NumbaWumba on 08.26.15 at 11:22 pm

#31 Blacksheep on 08.26.15 at 6:37 pm
Ray, you kinda f–ked up dude, you should have worn the man pants from the start and you wouldn’t be pleading to a bunch of strangers for advise.

My wife decides 75 % of what goes on in our life, but when it comes to big $ decisions, we discuss things, but I ultimately decide our path and she is ok with that cause I’ve done it with success for 30 years.”

Wow, you really sound p-whipped….wife decides 75% + .5 x 25% = 87.5%, and you decide remaining 12.5%, and you’re happy with that?????

#141 Mean Gene on 08.26.15 at 11:32 pm

Take the old lady to Tahiti for a couple weeks,that should fix her house lust.

Bigger house or exotic travel, tough choice.

#142 Steerage Bilge on 08.27.15 at 12:00 am

#105 Nagraj on 08.26.15 at 9:50 pm

Thank you! Thank you #69 STEERAGE BILGE
for helping to elucidate what is THE pressing issue of our day: Mrs. Harper’s two little pet bats.
Glad somebody’s on the ball here besides Nagraj.
(For those of you still in the dark on this, google CBC archives and you can see what they look like.) (When is National Vampire Bats Appreciation Day?)

——————————-
The significance of their numerology (#9 and #16) could be a intriguing story.

#143 Cici on 08.27.15 at 12:01 am

#98 BT

‘Why that is” is that they want to slow down the new construction with the objective of limiting supply, thus jacking up prices.

There’s too much housing stock floating around right now, which is a major risk for annual gains. So, the hope is that if they limit the supply stock, they’ll drive up prices for continued year-over-year gains, which oddly will attract new buyers who will be dupped into thinking that residential RE always goes up and is as safe as houses.

Just one more plot brought to you from the Ponzi Schemer Team.

#144 JSS on 08.27.15 at 12:01 am

Two things are most responsible for creating female house lust:

– Low interest rates
– Facebook

#145 devore on 08.27.15 at 12:03 am

“Happy wife, happy life”, said every beta provider ever.

Why does she need a bigger house anyways? To have more empty rooms to furnish with stuff? Spend a little bit of money, improve the one you’re in.

#146 Leslie on 08.27.15 at 12:11 am

Hmm real estate even in Calgary doesn’t look that bad… my friend just sold his house after 2 days of listing .. and he is getting 100k mortgage to get a bigger house .. sounds like an okay scenario. The buyer came with cash

#147 John in Mtl on 08.27.15 at 12:20 am

@ #113 blimey frax on 08.26.15 at 10:11 pm

Sorry that you are so blind about the many many problems in the US; it ain’t quite the ideal society you think it is.

Maybe we are no better on some things; if its that bad for you here, you can pack up and move!

#148 Widening Gyre on 08.27.15 at 12:24 am

#26 mark on 08.26.15 at 6:28 pm
Why is it always the wife or the MiL?

because the blog bitches don’t put up with that sh*t

#149 Leo Trollstoy on 08.27.15 at 12:29 am

#126 IHCTD9 on 08.26.15 at 10:42 pm

Go to Regina and Winnipeg.

They’re competing for the title of the murder capital of Canada.

#150 Lee on 08.27.15 at 1:03 am

Moody’s says Toronto housing market is “bulletproof” and will continue up. So keep waiting for the right time to jump in all you bloggers. Maybe 2055 will be the right time to buy, if you’re alive. Keep on with your $100000 balanced portfolio making you $5000 a year. You’ll eventually get there.

#151 Turtle on 08.27.15 at 1:22 am

Ray,
Tell your wife that you have 3 options for her to choose.

Option 1. You agree to buy a bigger house and instead of saving 40K/year you have only 5K/year left. It means that you (Ray) have to work till you die, as you can’t afford any retirement. You (both) won’t be able to travel, to have fun and any other simple joy. (If she offers you sex any time you want, don’t bite it, as you probably won’t be able to salut to the captain).

Option 2. You don’t agree. She throws you out. She also sucks all your money out of you and instead of saving 40K/year, you have only 5K/year left. It means that you have to work till you die, as you can’t afford any retirement… etc.

So … Option 1 and Option 2 are all the same for you, Ray.

Option 3. You both as a family spent 10 years in debt. Try to live next 10 years debt-free. If you like it than: 3a) you can retire at 50-55 (both) and enjoy it 24x7x52. If you don’t, than: 3b) pay you next bigger house with all that cash, don’t take any mortgage (it is not an option for house-free-and-clear people!) and keep working until you 65-70 (both) and then retire.

If she wants you dead, ask her now. Less drama.

If she wants to happily retire with you when you still can have some fun, ask her to start planning. Give her a date when you gonna make it happen.

Also important: Don’t squeeze her too tight. Make plans to go shoes-shopping more often. Release some steam. Your wife is a great woman if you made it with her that far.

Good luck!

#152 JimH on 08.27.15 at 1:41 am

#126 IHCTD9
“… just so you know, Toronto is the worst city in Canada by far. I avoid that hole like the Black Death and I was born here. I can’t imagine an urban environment worse than Toronto anywhere in the world…”
=======================
Actually, IHCTD9, there really ARE worse cities in Canada than Toronto! Try these little gems….
Prince George, Saskatoon, Regina, Red Deer, Victoria, Fort MacMurray, Thompson, and Winnipeg….
The very worst? Toss-up between Prince George and Saskatoon (home of the extremely geographically challenged).

#153 dragonfly on 08.27.15 at 2:41 am

#101 Nora Lenderby on 08.26.15 at 9:42 pm said:

“It’s an addiction. Very hard to change.”
==============================

It’s a sickness when you let other people define you.

#154 Homeowners on 08.27.15 at 2:58 am

We rent out portions of our home because it’s tax free. We get cash for rent and don’t declare it to revenue Canada. Why not? Because every one is doing it. Easiest $1500 tax free per month.

And it doesn’t affect the Ottawa handouts.

And Ottawa doesn’t care because we are homeowners. :)

#155 Cdn Wife on 08.27.15 at 3:35 am

I find it very sad that a husband and wife are at such odds. They should be the ultimate team. I agree he should try to talk her into some inexpensive updating of the current house, or show her the disposible income soon that can improve their lives.

I have worked very hard at managing the money my blue collar husband has worked very hard to make, while I stayed home to raise the kids. We may have stuffed two kids into a post-war, 1 1/2 storey house, but it will be paid in full as the last child enters the second year of college in just two years.

I’ve also worked hard at being a landlord for several years, which I enjoy. We chose to live in a city with low house prices, and have picked up two houses larger than our own, one for less than $100,000, one a bit more. Part of the cash flow pays for a bungalow on more than an acre on Lake Superior. This is our new recreational property, and possibly retirement home. I will be looking to rent it out weekly, at various times of the year, to cover the mortgage, so it doesn’t need to come from other rental cash flow next year.

The remainder of the cash flow is for investing, and play money to enjoy life. My husband has just entered the ballot for a tee time at the Old Course at St. Andrews for the summer of 2016. If he is successful, I will schedule our flights and hotel for a trip to the UK so that he can fulfill his dream of playing the course. He plays twice a week, from May to October each year. Everyone should enjoy their life and have balance.

Now the investment fun begins. To this point we have not contributed the full amount to our TFSAs (small balances). He has a small LIRA from a previous employer I’ve convinced him to pull from the bank MFs. He has a private DB pension that is ok. I have no pension or RRSP as a stay at home mother. Being so heavily weighted in real estate, I’m wondering if we should enter into a balanced portfolio, or make some type of adjustment to that due to the RE weight. We are currently 40 (him) and 50. I have offered to go back to work, but after 20 years out of the workforce, chances are I’m not getting career wages. He doesn’t want me to go back to work.

Would a balanced portfolio addition be balanced for us, Garth?

#156 davikk on 08.27.15 at 4:51 am

New Vehicle Sales Collapse in Canada’s Oil Patch

http://investmentwatchblog.com/new-vehicle-sales-collapse-in-canadas-oil-patch/

#157 Vangrrl on 08.27.15 at 5:43 am

#101 Nora:
Feminists prefer Dismaland! Amusement park in the UK, can’t wait to check it out.
#124 Lea:
Posts like this always bring out the ‘Why is it always the women..?’ comments, yadi yadi. Of course it is men half the time who are utterly hopeless with finances. They’re not reading this blog. I’ve lost count of how many male friends I’ve sent this blog to who clearly need it. I might have just got my brother hooked, though a bit late- last year he bought a townhouse in London, Eng of all places and is now in freak-out mode because it’s some scheme where you buy half and rent the other half until you can afford to buy it all..? Thinks he’ll never afford the other half. He did say he thought Garth was funny so I hope he keeps reading!

#158 BillyBob on 08.27.15 at 7:01 am

Posts like this one make Freedom First’s manifesto almost make sense.

#159 Jay on 08.27.15 at 7:12 am

The reason “Happy wife, happy life” is a thing is that it rhymes. Same reason “miner 49’er” became a thing but “miner 07’er” isn’t.

Marriage should be about partnership and the two of you working together to become happier than the sum of your parts — not about who can withhold sex from who.

#160 OttawaMike on 08.27.15 at 7:33 am

Julia on 08.26.15 at 7:01 pm

You sound like you need a little side action Julia.
Look me up on Ashley Madison: Big boy 69. We can get together for some fun.

#161 Shawn on 08.27.15 at 7:33 am

Warning, doomer web site

#156 davikk on 08.27.15 at 4:51 am said:

New Vehicle Sales Collapse in Canada’s Oil Patch

***********************************
The link provided is clearly to a doomer web site with no credibility. It’s shtick and raison dete is to alarm.

I just road-tripped Edmonton to New Brunswick via Chicago. All is well. People on the move. Spending continues apace. Hardly a beater car on the road for example.

#162 Renter's Revenge! on 08.27.15 at 8:19 am

“Happy wife, happy life”, said every beta provider ever. – devore

LOL nailed it!

#163 Turtle on 08.27.15 at 8:29 am

#158 BillyBob

Posts like this one make Freedom First’s manifesto almost make sense.

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

FF is against having kids. He has no idea what he is missing. I would rather be divorced and broke than FF.

#164 Kuato Lives on 08.27.15 at 8:44 am

There will be no US interest rate hike in September, just like there will be no hike in December. Druckinmiller is right, they (the Fed) will just keep changing the metrics that authorize the hike like they’ve been doing for the last 3 years. Now the September rate hike is likely off the table (you were wrong Garth, prepare to admit it), the Fed can go about waiting for the Chinese stock market to finish unravelling over the next few months after which they’ll proclaim something about global weakness. Outside of Calgary and Fort Mac, the Canadian house bubble will continue to live through 2016. IMO, of course.

US rates will rise this year. Deal with it. — Garth

#165 Londoner on 08.27.15 at 8:51 am

Nice man vs wife distraction story. I see a lot of people have taken the bait. Get back on topic please :)

#166 Karma on 08.27.15 at 8:55 am

USA! USA!!

http://www.bloomberg.com/news/articles/2015-08-27/economy-in-u-s-grew-3-7-in-second-quarter-more-than-forecast

#167 IHCTD9 on 08.27.15 at 9:05 am

My wife is a hard left, NDP voting, feminist type. But when it comes to money, she is Mike Harris’ evil twin (just much better looking). She handles the finances, and time has proven that she does an admirable job at it. My strengths are not dealing with the tediousness of investing, setting up the auto-withdrawals, and rebalancing etc…

My thing is avoiding expenses. I shop insurance to death, maintain the house, and vehicles. You name it, I’ve done it, and do it. Saved 10’s of thousands. This has also allowed us to do upgrades we otherwise would not have done if we had to pay a contractor (and it get’s done right the first time).

Mrs. IHCTD9 (or Ms. as she would correct me) and I are a pretty good team. We are rare that we are of the same mind when it comes to saving and spending money.

Maybe RHA should grab a hammer. When Mrs. IHCTD9’s family and friends come over, they ogle the new deck, new bathroom etc. Plenty enough to keep even Mrs. RHA happy…

#168 Hoser on 08.27.15 at 9:09 am

The comments today are amazingly red pill.

The word is getting out. No wonder the marriage rate is plummeting. Men have woken up and refuse to be a Raymond.

#169 Lando on 08.27.15 at 9:15 am

Garth, excellent financial advice, but don’t get into the marriage counselling business. I am in exactly the same boat, just downtown. Almost mortgage clear and my wife wants a bigger, nicer house and she will get it even though it’s not the right move financially.

I have learned through hard experience, as well as by observation of other marriages, that capitulation to one’s wife on major decisions is always the best strategy. RHA’s wife will not thank him if he wins this argument – even if they have wonderful, financially secure retirements. She will only seethe with resentment for 20 years that she does not have the kitchen of her dreams and a master ensuite. The strain will result in untold misery for him and possibly divorce, which is a greater wealth destroyer than real estate bubbles.

Better to give in and let her win no matter what the financial consequences and reap the emotional rewards of an appeased wife and being proven right in the long run. As they say in the Visa commercials: priceless.

#170 Godth on 08.27.15 at 9:28 am

Deflationary Collapse Ahead?
http://ourfiniteworld.com/2015/08/26/deflationary-collapse-ahead/

Be a man and face it. haha

#171 IHCTD9 on 08.27.15 at 9:34 am

#154 Homeowners on 08.27.15 at 2:58 am
We rent out portions of our home because it’s tax free. We get cash for rent and don’t declare it to revenue Canada. Why not? Because every one is doing it. Easiest $1500 tax free per month.

And it doesn’t affect the Ottawa handouts.

And Ottawa doesn’t care because we are homeowners. :)
____________________________________________

Hope you are not handing your tenants a receipt for their rent…

Not that I give a rip, but the underground in Ontario/Canada has got to be huge. I blame the government squarely for this, and am hard pressed to give a damn about their self inflicted revenue loss. The Laffer curve in action…

I’d be careful though, if they can claim their rent against their income, and get audited, your contact info goes to the CRA, and your goose is cooked.

#172 not me on 08.27.15 at 9:40 am

Typical NA entitlement attitude ‘my house ONLY doubled in value’ waaaaa waaaa waaa

Set the wife free so she can buy that mil $ house on $50K salary lol It ain’t worth the headache she’s been giving you. That’s another ‘woman to man’ advice.

#173 not me on 08.27.15 at 9:51 am

#154 Homeowners on 08.27.15 at 2:58 am

I’m sure your renters pay you in cash.

This is exactly what’s wrong with country ‘cuz everyone else is doing it’ so it makes it right.

We all complain about the government being full of crooks, but it’s ok if we do the cheating.

#174 Julia on 08.27.15 at 10:20 am

#160 OttawaMike
One of the many civil servants using a Government email to keep yourself stimulated in during your (short) “work”day?

Thanks for your concern but no need for that for me.

#175 Ryan the Thirtysomething on 08.27.15 at 10:21 am

“She thinks I am not very smart (financially)”

Ask her why she only makes half of what you do, if that’s the case.

#176 4 AM Sunrise on 08.27.15 at 10:28 am

#154 Homeowners on 08.27.15 at 2:58 am

Yup. Lots of houses have “relatives visiting from out of town” and staying in the basement. Sometimes they’re students who don’t ask for or need receipts.

#177 bdy sktrn on 08.27.15 at 10:36 am

#176 4 AM Sunrise on 08.27.15 at 10:28 am
#154 Homeowners on 08.27.15 at 2:58 am

Yup. Lots of houses have “relatives visiting from out of town” and staying in the basement. Sometimes they’re students who don’t ask for or need receipts.
—————————-
“the government has no place in the basements of the nation” – wasn’t that Lester Pearson?

#178 johnny on 08.27.15 at 10:46 am

I see you have updateed your forecast on interest rate hikes to the end of the year. You were so confident a few months ago that the Fed would increase rates in September..wrong.
The Fed is trapped..they cant increase rates meaningfully and the will not no matter what they say. If they move interest rates higher then the supposed mighty US economy churns to a crawl and keels over..same thing here in Canada and in Europe. We all have too much debt and hence interest rates will be kept low.
The bubbles we have seen in real estate, the Nasdaq, and the recent phony stock market rally were all fueled by easy money. Now the central bankers are backed into a corner.
Once again Garth if the USA economy was so amazing as you claim every day then they would not need interest rates near zero. Interest rates historically have always moved much higher when the economy has picked up as it has the past few years.
The economy is hooked on low interest rates like a drig addicrt is hooked on heroine.
Central bankers are guily of fueling the bubbles and the crashes and for causing people, governments and corporations to gorge themselves on debt.
You say we have a property bubble in Canada..its true but the central bankers keeping interest rates dirt cheap was the fuel for it. Stephen Poloz latest cuts show an act of desperation. These central bankers are a lot dumber than you think they are..

As forecast, I expect US rates to rise this year. — Garth

#179 blimey frax on 08.27.15 at 10:55 am

John in mtl, you speak like a true canadian. If you don’t like what someone has to say the first thing you say is for them to get out. canadians aren’t accepting of anything but what they believe as truth and sold to them by the dumbest government known. My post stated I am getting the hell out of here soon and I cannot wait. I have lived in the UK, the US, and Australia. The experiences in the US compared to canada is incomparable. Most people who have moved here that have also lived in the US agree. I am moving to DC and excited never to return to this shit hole again. The self righteousness, passive aggressiveness, and ignorance of nearly every person I encounter is overwhelming. canadians nice? Humour me. I’m going to a better place with real options and opportunities, far better living conditions, and people who aren’t afraid to speak their mind and think for themselves. Anyone who tries to say Canada is a clean country is full of it. City for city the like cities in the States are much cleaner and have real diversity. Toronto is a filthy place and covered in a sheet of gray 10 months of the year. Really I have never seen a bigger group of misinformed and obnoxious people in my life. I could ask any canadian why cell coverage is lacking and somehow he would have to compare it to the US and come up with some made up statistic. canadians are afraid to be wrong and very afraid not to have an answer. They will rather make up an answer than to just say they may not know.

#180 TurnerNation on 08.27.15 at 10:55 am

NYSE Trin indicator at .20, extreme low means massive buy pressure.

#181 Retired Boomer - WI on 08.27.15 at 11:13 am

#122 SWL1976

Great comment, and quite wise as well! You are the same age as my son, and it is obvious your generation, and those following will have less. Less clean water, less clean air, less open spaces, less wildlife.

But, you will also have more. More pollution, more people,
more opportunities for innovation to curb the excesses ofd the past, more competition (for jobs and resources).

The world probably won’t end, but it will be changed. Get to the area that handles the changes with the least disruptions.

(Hint: not a big city) Self sufficiency, or known cross talents in others goes a long way!
Maybe we crazy 60’s hippies weren’t that far off the mark with our commune ideas? Hmmm…

#182 Sick Of Criminals on 08.27.15 at 11:16 am

It’s really sad Revenue Canada does nothing to catch the criminals that rent out basements tax free. It would be really easy to do. All it has to do is cross-reference people’s mailing addresses on their income tax returns to determine houses where the tenant lives at the address and a different owner has the realty taxes in their name. Computers can do this quickly and efficiently. Then all that has to be done is a spot check to see who really lives there. If people lie about that then slap the cuffs on them. However, if my return says I live at 123 Sesame Street and Mr. X has the realty tax account in his name or his company’s name, then it is a slam dunk. No Judge would be fooled into believing anything other than this is a rental. Telling a Judge you don’t pay rent does not wash in court. This is why my top tax rate will be about 53% (66% inclusive of HST). Probably going higher.

#183 MF on 08.27.15 at 11:30 am

#169 Lando on 08.27.15 at 9:15 am

Your post was a great argument for never getting married, which is what a ton of us millennial guys already know anyways.

How pathetic an existence. I see guys like this all day at work, scared to “upset” their wife because she might divorce him later.

Someone said above you go into marriage as a partnership. A union. Whatever happened to that?

RHA is making double his wife’s money. And yet he is still scared. Maybe he married out of his league and knew full well she was in it for the potential lifestyle he could give her? Who knows. Looks like a shell game to me.

MF

#184 J Hole Insider on 08.27.15 at 11:40 am

understandably it’s anything but official at this point in time:

> Fed will initiate the rate rise sequence with 25 bps on Sep 17, 2015 as initially expected

> BoE will follow suit a few days prior to the New Year’s Eve party

now, keep calm and balance it

You will never convince those people who weirdly believe rates cannot rise. In reality, they cannot remain as is. — Garth

#185 Ronaldo on 08.27.15 at 11:41 am

#169 Lando

”Better to give in and let her win no matter what the financial consequences and reap the emotional rewards of an appeased wife and being proven right in the long run. As they say in the Visa commercials: priceless.”

Wow. What a way to live that would be. A slave to your malcontent spouse. How could anyone be proud of that, man or woman? Allowing yourself to be turned into a dishrag and this works both ways. What a wussy way of thinking. Women don’t like wussy men and generally don’t have them around for too long. Glad I have a wife who did not feel a need to keep up with friends, neighbours or relatives. This Happy Wife, Happy Life thing is for wussies. Some women and men can never be pleased and can make life intolerable for others. Have a good life.

#186 Holy Crap Wheres The Tylenol on 08.27.15 at 11:41 am

#103 Smoking Man on 08.26.15 at 9:47 pm
Sometimes the easiest answers are in front of our nose.
I spend a lot of time in my Gazibo sneaking smokes, and booze. Wife’s on her rampage again, rationing not only my booze but my damn cigarettes. It’s war.
It’s my favorite place in the entire world, today I took out a desk, a chair, my note book..
Did an entire chapter inside three hours. Best one so far. Tomorrow another..
Dogs light at the end of the tunnel.. I changed the fonts to sefi. Something.. Words came to life.
Had clients calling, thought you where coming to install the software today, two messages on my answering machine.
Priorities dogs…
Follow the UCC.
____________________________________________
Smoking Man please tell me that your hiding from the wify poo is bullshit. If not kick her ass out the door tell her to get a dam job and do something with her life, she married you for what you are. Better yet give her $500 bucks and a bus ticket to Niagara Casino for the weekend. You’ll breath easier, or at least smoke and drink easier. Jesus Christ and your planning another trip to Las Vegas? With her? That ought a be something special. Go with your fellow Nectonites.

#187 Lando on 08.27.15 at 11:41 am

#183 MF

I used to think like you, too. I delayed marriage until my 40’s and married a younger wife. But you can’t delay the inevitable. Someday you, too, will be married and she will call the shots no matter how much more money you make. Trust me on this. It happens to all of us in the end unless you want to someday become a pathetic and lonely old man.

#188 Djumbe on 08.27.15 at 11:46 am

Ray it has been 10 years since you bought the house and it might be time for some improvements to the kitchen and bathrooms. If you can keep the house functional and comfortable for another ten years until the kids go to uni, then things will change a lot.

#189 Holy Crap Wheres The Tylenol on 08.27.15 at 11:47 am

The socialists at the gate is an alarming issue. Do the Ontarians not remember Bob Rae and his disastrous reign. Jesus whats wrong with you people Mulclair and his posse are in the lead?

#190 A Canadian Abroad on 08.27.15 at 11:49 am

I agree as well. Rental income should indeed be taxed. Landlords who are not reporting it should be fined. It’s income and it’s fair.

#191 Balmuto on 08.27.15 at 11:55 am

#5 OttawaMike

“That’s a nice stock market you gots there. Wouldn’t want to see anything bad happen to it. Like if you was to raise the interest rates, say?”

You nailed it. The correction was just to bully the Fed into delaying the rate hike. Dudley statement was the turning point. Market is addicted to ZIRP.

A foolish comment. The Fed did not cause nor remediate the market correction. — Garth

#192 Randy Randerson on 08.27.15 at 11:59 am

#187 Lando on 08.27.15 at 11:41 am

Simplest solution? DON’T GET MARRIED, problem solved, This is especially relevant to people who make a lot more than than the other, be it girlfriend or boyfriend. Also, pre-nups are common nowadays, just find yourself a good lawyer and write up an ironclad pre-nup, and if things become unbearable, it’ll be simply signing some paper and part ways, while maintaining most of your assets.

Pre-nups also serves another purpose, it’s to remind the other partner (again, husband/wife) that you’re not afraid to walk. Just like any business transaction, that’s your ultimate trump card.

#193 IHCTD9 on 08.27.15 at 12:00 pm

#182 Sick Of Criminals on 08.27.15 at 11:16 am
It’s really sad Revenue Canada does nothing to catch the criminals that rent out basements tax free. It would be really easy to do. All it has to do is cross-reference people’s mailing addresses on their income tax returns to determine houses where the tenant lives at the address and a different owner has the realty taxes in their name. Computers can do this quickly and efficiently. Then all that has to be done is a spot check to see who really lives there. If people lie about that then slap the cuffs on them. However, if my return says I live at 123 Sesame Street and Mr. X has the realty tax account in his name or his company’s name, then it is a slam dunk. No Judge would be fooled into believing anything other than this is a rental. Telling a Judge you don’t pay rent does not wash in court. This is why my top tax rate will be about 53% (66% inclusive of HST). Probably going higher.
_______________________________________

That address idea would be way to easy to dupe, folks are already getting around the address thing to avoid costs so menial as an E-Test.

The real way to do it, is make it an incentive for the rentpayer. Allow them ALL to claim a portion of their rent against their income tax. Make it sweet enough that they will all do it. Require a legal receipt. This will get all of them, even Landlords of students. The only ones it wouldn’t touch would be Landlords of illegals.

#194 White Crock BC on 08.27.15 at 12:13 pm

It’s very simple. Not paying taxes on rental income is tax evasion and you could go to jail.

Probably not worth it. With all the allowable expenses and depreciation you likely will pay little or no tax anyway.

#195 Llewelyn on 08.27.15 at 12:20 pm

Based on a cynicism index I guess this blog would classify me as a ‘doomer’.

To my logical mind the debt fuelled stimulus measures supporting economic growth around the world all require one key component. Ten points if you guessed ‘Greater Fools’

When someone buys an asset that has a fundamental value substantially less than the ‘purchase’ price he assumes the role of a greater fool unless he manages to transfer the hot potato to a greater fool.

Fundamental – “a central or primary rule or principle on which something is based.”

When the fundamental value of an asset decreases the owner is faced with two options; sell the asset to a ‘greater fool’ or hold on in the belief that the fundamental value will be restored. No matter what goes on during the game of hot potato someone always ends up as the greater fool.

Key factors to define the existence of a ‘greater fool’ are the fundamental value of the asset and the actual purchase price.

What I have gleaned from this blog over the last six months however is that only people who buy over priced real estate are labelled as ‘greater fools’. Investors who purchase equities for more than their fundamental value merely have to wait a bit longer to realize their return on investment. Apparently the fundamental value of equities is not nearly as important as market values inflated by trillions of dollars of debt.

Inflating the market value of equities through debt has created an environment where the majority of ‘greater fools’ required to protect, and enhance wealth of the current generation probably have not been born yet.

How long the snowball of debt can be pushed into the future remains to be seen. I hear the amortization period for debt incurred by the government of Greece has been extended to 60 years. Why not 100 or 1000 years? Will enough ever be enough?? Is their any hope of a soft landing when nobody honours their debt obligations?

#196 Mf on 08.27.15 at 12:24 pm

#187 Lando on 08.27.15 at 11:41 am

Lol I work for a guy who is around 60 and a multi millionaire. He is in there with a new girl younger than I am (32) every week. Doesn’t look sad and lonely to me.

The existence you described still sounds awful. If you are that worried about upsetting your girl than you might have picked the wrong one. Just like RHA did.

Mf

#197 Calgary Rip Off on 08.27.15 at 12:29 pm

First advice to the dude: You married the wrong woman. Should’ve run screaming while you had the chance.

My wife complains about the kitchen all the time. But that is what you get in a house that is worth $180K and bought for $420K. That’s Calgary. To get a decent kitchen would have to live in Texas or buy a $2 million house in Calgary.

This is just another typical example of faulty thinking. People are bored and think they have it so awful. Everything is relative. In India they put water in copper mugs and let it sit so they can drink it. In Canada people whine and complain when they are making $+100K/year and their house isnt as good as their neighbours, all the while enjoying no gunfire, drinkable water, and eatable food. What they really are suffering from is the reality that in modern society people are no more than domesticated pets at the SPCA in cages. If you break the rules you end up in a smaller cage and getting ahead is related to a combination of smarts, education, and persuasion of people. In short, its all bs. Instead of complaining to Garth this guy needs to grow a pair and tell his wife he isnt doing anything because nothing is broken. If she cant handle that, tell her to buy him out and then she can move out and he gets the house.

#198 Bill on 08.27.15 at 12:30 pm

Cudos to Garth on his efforts, honesty and accuracy. Pretty hard to come by this day in age.
BUT I don’t believe we are in the all clear. Not even close.
This piece is well put:
http://www.cknw.com/money-talks/

#199 4 AM Sunrise on 08.27.15 at 12:34 pm

#192 Randy Randerson on 08.27.15 at 11:59 am

Thank you for emphasizing that it can happen to men and women. Terri Clark jokes that her breakout hit “Better Things to Do” paid for her divorce which was in progress at the time.

#200 kothar on 08.27.15 at 12:35 pm

If you invest …you need a plan….and with that you need diversity and balance…but biggest thing is to stick with plan no matter what and ignore the day to news. I am this way…have a plan…am diversified and stay the course. Those that sold all their holdings this week are crystallizing loss and will pay for the hype in mmarket in more ways than one.

#201 Smoking Man on 08.27.15 at 12:37 pm

#186 Holy Crap Wheres The Tylenol on 08.27.15 at 11:41 am
#103 Smoking Man on 08.26.15 at 9:47 pm
Sometimes the easiest answers are in front of our nose.
I spend a lot of time in my Gazibo sneaking smokes, and booze. Wife’s on her rampage again, rationing not only my booze but my damn cigarettes. It’s war.
It’s my favorite place in the entire world, today I took out a desk, a chair, my note book..
Did an entire chapter inside three hours. Best one so far. Tomorrow another..
Dogs light at the end of the tunnel.. I changed the fonts to sefi. Something.. Words came to life.
Had clients calling, thought you where coming to install the software today, two messages on my answering machine.
Priorities dogs…
Follow the UCC.
____________________________________________
Smoking Man please tell me that your hiding from the wify poo is bullshit. If not kick her ass out the door tell her to get a dam job and do something with her life, she married you for what you are. Better yet give her $500 bucks and a bus ticket to Niagara Casino for the weekend. You’ll breath easier, or at least smoke and drink easier. Jesus Christ and your planning another trip to Las Vegas? With her? That ought a be something special. Go with your fellow Nectonites.
……..

The rationing is my idea, I have no self control… It’s working, One cig an hour for the last three days, vs 3 per hour.

I only sneek the smokes when sneeking drinks, they go hand in hand.

I stopped coughing, huge improvement.

I just bought a treed mill, and running shoes, its in the gazebo too, a bit frightened to try it.

Need to work up too it.

#202 Pre-Retiree on 08.27.15 at 12:41 pm

#151 Turtle:
I believe you have the solution.
Even if I was house crazy, which I am not, I would have to listen to your sensible arguments.

#203 4 AM Sunrise on 08.27.15 at 12:45 pm

#193 IHCTD9 on 08.27.15 at 12:00 pm

The real way to do it, is make it an incentive for the rentpayer. Allow them ALL to claim a portion of their rent against their income tax. Make it sweet enough that they will all do it. Require a legal receipt. This will get all of them, even Landlords of students. The only ones it wouldn’t touch would be Landlords of illegals.

The previous proposal about cross-checking addresses is on the right track, but how will a judge dispute a “landlord” who says “oh, this is my [tenuous pseudo-familial connection] and I’m letting them crash in my basement for free while they get their lives together”? Not to mention all the adult children who live in basements, and the grandparents who double as babysitters.

This proposal here is sound. The renovation tax credit is catching the cash-only reno guys. The children’s arts credit is catching the cash-only piano teachers. Question: what will stop an income-earning adult child in the basement from submitting a false rental receipt? If I still lived with my parents, it would be the first thing they’d encourage me to do. We would even structure my banking to make it look as though I’m paying them rent.

#204 Holy Crap Wheres The Tylenol on 08.27.15 at 12:47 pm

#182 Sick Of Criminals on 08.27.15 at 11:16 am

It’s really sad Revenue Canada does nothing to catch the criminals that rent out basements tax free. It would be really easy to do. All it has to do is cross-reference people’s mailing addresses on their income tax returns to determine houses where the tenant lives at the address and a different owner has the realty taxes in their name. Computers can do this quickly and efficiently. Then all that has to be done is a spot check to see who really lives there. If people lie about that then slap the cuffs on them. However, if my return says I live at 123 Sesame Street and Mr. X has the realty tax account in his name or his company’s name, then it is a slam dunk. No Judge would be fooled into believing anything other than this is a rental. Telling a Judge you don’t pay rent does not wash in court. This is why my top tax rate will be about 53% (66% inclusive of HST). Probably going higher.
____________________________________________
I agree 100% however I once was in a deep discussion about this issue with a friend who lived in Brampton where on his street the number of multiple families in single family home skyrocketed. He moved into a beautiful 3400 square foot home up in Northeast Brampton on St Hubert Drive. The next thing he knew was a slow decent into renter hell occurred. Certain wealthy ethnic peoples procured these large homes and started renting them out to multiple families only of the same gender. He went to the city to complain and they said as long as they are family members there is nothing we can do. He said he knows of four on his street alone that are not related at all. He said why don’t you double tax the home based on income tax or school registries. The city said they can’t share information with the school, Rev can, their own taxation department and so on. It is not allowed. So there you have it we can catch ISIS terrorists but we can’t even properly tax the homes that are in the renter business. The school system alone is crying that they are cash starved. No wonder.

#205 Chris in Nanaimo on 08.27.15 at 12:48 pm

#136 Cici

Oh I totally get it.

Your boyfriend apparently does not…..

#187 Lando.

What’s the title of this of this pathetic blog post?

Google ‘Red pill marriage’…take a look at the 2nd hit…

#206 Balmuto on 08.27.15 at 12:49 pm

“A foolish comment. The Fed did not cause nor remediate the market correction. — Garth’

We’ve seen time and time again in this bull run – after the market tries to correct – big rallies on dovish Fed statements. It shows you what the underlying concern is underneath. Those two words “less compelling” added trillions back to global wealth. It’s crazy and has nothing to do with fundamentals, but that’s what the market cares about more than anything else right now.

Those are short-term, kneejerk, let’s-make-money-this-session moves. The markets fully expect a Fed increase, and have for months. It is now 100% a non-event, even though there will be another temporary move when it occurs. — Garth

#207 Greg on 08.27.15 at 12:58 pm

Hi Nasty,
Thought you might be interested in a couple articles.
Some new tech to reduce labor costs/(jobs), see link.
I’m not too sure what all the displaced workers will find to make money, to buy the stuff there families need like food etch. It seems there is much tech in the pipe that will be doing/displace many types of work in the near future.
http://spectrum.ieee.org/automaton/robotics/industrial-robots/hitachi-developing-dual-armed-robot-for-warehouse-picking

Demography is destiny, and Japan’s population is getting too old for the country’s economic health.
http://spectrum.ieee.org/energy/policy/japan-has-aged-out-of-its-economic-miracle

Hi #173 not me,
Did you see this program last evening on TVO?
http://tvo.org/video/documentaries/the-great-canadian-tax-dodge
Some were in the show they mentioned that the tax people are more likely to investigate the individual tax payer than the corporations now.
I could speculate on why tax laws are being left with all the wiggle room, but I’d just be guessing, (lobbyist, special corporate interests, so called political donations…).
At least we ‘had’ an MP or two that helped start the RRSP and TFSA for any Canadian adult to avoid tax legally. (That is, If you make enough, to have any left over after paying for the basics.)

I’m not sure how the ‘secret’ so called ‘free trade’ deals are going to help the multinationals corporations with the ‘tax dodging issue’? I can’t imagine the corporate lobbyists involved in writing the secrete trade deal ‘laws’ are involved to delete the tax loopholes, are you. So much for open and accountable sovereign democracy government for the average human being on the planet.
Some more info can be found with a search under “Wikileaks trade deals” or TPP, TISA…
Here’s one for example: http://mashable.com/2015/06/04/wikileaks-tisa-secret-documents/
(June 4, 2015, Wikileaks has released secret documents from the ongoing Trade In Services Agreement (TISA) negotiations, the site announced on Wednesday.
TISA, a trade agreement being negotiated between 24 parties, including the United States, the European Union, Mexico, Canada, Australia, Pakistan and Taiwan, is considered controversial because of the possible impact it could have domestically in those countries on jobs and civil liberties.)

BTW, what’s that person doing/done, that you voted for or that got elected to represent you, about the secrecy for a start, and before these trade deal are signed into law? You should ask them and the others that are running for office, sooner than later, IMO. O-yay the opposition, if they are even paying attention, can’t even ask question of the Government/PM-H in question periods because an election was called way early and parliament is not open.

#208 Homeowners on 08.27.15 at 1:03 pm

My aim was to let you guys know how many homeowners don’t declare rental income. About 90% here in Vancouver don’t.

And CRA doesn’t give a damn.

That is why most run with the herd,,,you can get away with murder.

Until the CRA does one of its ‘projects’ and nails people for years of undeclared income, plus penalties and interest. If you don’t think that’s coming, you are naive. — Garth

#209 IHCTD9 on 08.27.15 at 1:36 pm

#183 MF on 08.27.15 at 11:30 am

Your post was a great argument for never getting married, which is what a ton of us millennial guys already know anyways.

How pathetic an existence. I see guys like this all day at work, scared to “upset” their wife because she might divorce him later.

Someone said above you go into marriage as a partnership. A union. Whatever happened to that?

RHA is making double his wife’s money. And yet he is still scared. Maybe he married out of his league and knew full well she was in it for the potential lifestyle he could give her? Who knows. Looks like a shell game to me.

MF
____________________________________________

First let me say I understand the Millennials of the Western World slowly progressing into herbivores. I’d hate to be in the dating scene today, and I know the feminazis are getting younger and more extreme every year.

I offer a solution: marry a woman who makes more than you if you need that kind of insurance. Beats lad culture and playing video games till you’re 40.

Or: marry a woman born in a developing country. Toronto is full of them, the women of the world at your fingertips. I know a couple guys who married East Asian women (not born in Canada), and at least for those two, they are conservative thinkers, and not at all concerned with Womens issues.

It can be done otherwise though. Look at me, a right wing semi-red-neck guy working in manufacturing – married to a hard left feminist with two degrees working for the government in a “helping profession”. Topping it off, we both are the thick skulled first born of immigrant parents, her from a Matriarchal family, and me a Patriarchal one.

One more thing, selfish I know, but you’d better give it some thought anyway. My life would look a lot different if it weren’t for my wife’s income. Dual incomes are required these days, might as well start with the basic truth of the matter. You’re not going to go anywhere on a typical single income…

#210 bb on 08.27.15 at 1:36 pm

#208 Homeowners on 08.27.15 at 1:03 pm

There are other ways to tax them for now. Like increasing the appraisal value of the house every year.

#211 DM in C on 08.27.15 at 1:40 pm

“Julia: Hahaha! I’m the wife who holds the purse strings, manages all the finances and curbs the spending in my house.
I am also the higher income earner.”

Ditto here. By 3x. But we share everything — we chose each other, and fortune has been good to us. Who says we would be at the same place if we hadn’t been together? My good fortune is his — and his is having me. LOL

#212 Ponzius Pilatus on 08.27.15 at 1:44 pm

Good comments section today.
Lots of Raymonds out there.
Sigi would love it.

#213 IHCTD9 on 08.27.15 at 1:50 pm

#203 4 AM Sunrise on 08.27.15 at 12:45 pm

…Question: what will stop an income-earning adult child in the basement from submitting a false rental receipt? If I still lived with my parents, it would be the first thing they’d encourage me to do. We would even structure my banking to make it look as though I’m paying them rent.

____________________________________________
Your Parents would encourage you to screw the CRA?

Yikes!

You don’t want to even get on their radar as suspicious. You will pay one way or the other. If you want to screw the government, go mow your neighbors lawn for cash…

#214 Sick of Criminals on 08.27.15 at 2:01 pm

#208,

The CRA can go back as far as it wants to reassess you for fraud, and the interest and penalties can easily reach ten times the amount of the tax avoided. Once it is suspicious of you it will watch your house for a few weeks to make sure it has observational evidence of residence. Then it does not matter if one family or ten live there. It charges you tax on market rent for the house. If a Judge accepts there was a family living there, this rent is the minimum you will be assessed, even if the family actually got a deal and paid less rent to you. It assumes the worst. And Judges are only too happy to comply. It is a nasty business once you get caught up in the CRA’s web. It can last a lifetime and trust me, once you are in their sights, you will never evade a dollar of tax again.

And by the way, if you do not have the money they have ways of getting it from your wife and kids. Or they’ll just wait until you die and tie up your estate forever. Kids usually don’t fight the CRA as hard as dad would have.

Problem is, you’ll likely never get audited.

#215 Blacksheep on 08.27.15 at 2:01 pm

Numba # 140,

#31 Blacksheep on 08.26.15 at 6:37 pm

“Ray, you kinda f–ked up dude, you should have worn the man pants from the start and you wouldn’t be pleading to a bunch of strangers for advise.

“My wife decides 75 % of what goes on in our life, but when it comes to big $ decisions, we discuss things, but I ultimately decide our path and she is ok with that cause I’ve done it with success for 30 years.”

“Wow, you really sound p-whipped….wife decides 75% + .5 x 25% = 87.5%, and you decide remaining 12.5%, and you’re happy with that?????”
—————————————————–
It appears your lack of reading comprehension has you missing the point.

It’s not about who controls what %, in our lives, it’s about my ‘having final say’ when it matters. What that really means is, she / we can do anything she wants, as long as I’m OK with it.

It should be said, I count myself very lucky, as my wife is a smoking hot, smart woman that embraces our old school relationship. She’s $ savvy and knows more about how the world really works than 3/4 of the cattle on this bog.

Before the GFC even hit, we knew to reign in our lifestyle to ensure the survival of our company and she never complained once. Now that business is rocking again she is looking for a near new, used convertible, as the old ones getting tired.

My marriage is by no means perfect, but I’ll never need to deal with an unrealistic b–ch like our man Ray is.

#216 Holy Crap Wheres The Tylenol on 08.27.15 at 2:07 pm

#201 Smoking Man on 08.27.15 at 12:37 pm
So your going to Vegas again I see, I’m being called out there again but its just too dam hot for my wife so I may just fly out myself for two days in September.
One of my old acquaintances from long ago has again called me to come out to Las Vegas as he is trying to put a get together going with pilots. He is a close friend of Don Harten in a clipping from this paper. He flew into a B-52 as well. I was piloting a B-52 way ahead of the crash that night. Anyway if you want to know what it was like back then read his book. Collision Over Vietnam: A Fighter Pilot’s Story of Surviving the ARC Light One Tragedy
http://www.reviewjournal.com/news/miracle-survival

#217 Leo Trollstoy on 08.27.15 at 2:20 pm

#166 Karma on 08.27.15 at 8:55 am

You are correct. The U.S. economy is growing like crazy.

Not surprising to anyone with a brain.

#218 MF on 08.27.15 at 2:27 pm

#209 IHCTD9 on 08.27.15 at 1:36 pm

Agreed 100%. Especially on the part of finding a woman born in the developing world.

My current woman is from South East Asia. I live in the GTA. She is by far the best woman I have ever been with. She is just so feminine I love it.

Gotta be a tad careful though. A lot of them come with baggage. Not emotional baggage like women born here, but a lot of woman from the developing world already have husbands and kids back home. Finding one that is still single and unmarried is much more difficult.

MF

#219 Blacksheep on 08.27.15 at 2:44 pm

Sick #182,

“It’s really sad Revenue Canada does nothing”
———————————————–
What’s with all the gnashing of teeth in regards to the gov not bleeding the cattle enough, when the gov needs to take more $’s out of the economy, it will. The herd is truly clueless why they even need to pay taxes at all.

Perception…….It’s all about perception.

#220 Ponzius Pilatus on 08.27.15 at 2:47 pm

Smocking Man.
Yeah, send the wife to Las Vegas.
Then you can reenact “The Lost Weekend”.
Just make sure you mark the hiding spots before you get drunk.

#221 Nosty, etc. on 08.27.15 at 2:53 pm

#122 SWL1976 on 08.26.15 at 10:34 pm — “This blog is scaring me again. — Garth . . . Don’t be scared Garth. The machine feeds on fear.”

So true, and that’s why sheeple are ignorant and scared. Now for some fun! . . .

Robots killing jobs Aahhhh yes, privatize the profits and welfare for all! NASA’s new mini ice-age; How about this for a new NAU? 25% of Mexico now in the US; Big Pharma and m$m coverup Mental illness (and drugs used for treatment) is the problem, not guns but big pharma is now exempt from lawsuits (this pic, too).

#222 4 AM Sunrise on 08.27.15 at 3:00 pm

#213 IHCTD9 on 08.27.15 at 1:50 pm

As long as cash transfers between parents and adult children are totally legal and unmonitored, what’s to stop an adult child from submitting a fake rental receipt under that totally theoretical proposal?

#223 Ponzius Pilatus on 08.27.15 at 3:08 pm

Can’t help but notice that Shawn has gone AWOL.
Fending off the margin callers, perhaps?

#224 family beagle on 08.27.15 at 3:17 pm

#150 Lee on 08.27.15 at 1:03 am
Moody’s says Toronto housing market is “bulletproof” and will continue up. So keep waiting for the right time to jump in all you bloggers. Maybe 2055 will be the right time to buy, if you’re alive. Keep on with your $100000 balanced portfolio making you $5000 a year. You’ll eventually get there.

————-

Got that right. Eventually you’ll need a wall to keep out the Huns. Heading to your cottage? Here, in 604, the wolves wait just beyond Exit 44. Locals know better than to leave the security of Greater Vancouver’s borders. Check your fuel and don’t look em in the eye. Maybe we should have a war to get rid of the poor, again?

#225 George Fallwood on 08.27.15 at 3:22 pm

More whiny civil servants making three times more than they should….and pensioned off without regard for the poverty they create by existing.

#226 George Fallwood on 08.27.15 at 3:25 pm

Oh yah…here’s why the civil service should be banned and services privatized.

http://news.nationalpost.com/news/canada/average-canadian-family-spending-more-on-taxes-than-basic-necessities-fraser-institute

#227 Julia on 08.27.15 at 3:25 pm

#214 Sick of Criminals
“And by the way, if you do not have the money they have ways of getting it from your wife and kids. Or they’ll just wait until you die and tie up your estate forever. ”

Yep, the can also slam a charge on your house and will rank ahead of other creditors (except mortgage lender).

#228 enthalpy on 08.27.15 at 3:50 pm

hypothetically , what happens if the the US doesnt raise rates?

#229 gut check on 08.27.15 at 4:03 pm

the comments today make me puke.

there’s so much pent up disdain for women and yet here I am – a woman – with a daughter, and I want to participate in the world in which I live.

it seems, though, no matter where I turn if it is a traditionally male dominated area all you have to do is scratch the surface and there it is: the pussy evidence that I’ll never be thought of as completely competent.

I could tell you my life story, but WHY would I want to do that?

And please – hold off on your ‘We LOVE women! We just don’t like THAT KIND of woman garbage.”

You don’t.
You do not have it in you.

Piss on the lot of you – and that includes all the females who felt they had to pipe up and defend yourselves. Quit playing their game — or at least stop trying to score credibility points with neanderthals. they’ll pat you on the head for it but really what they’ll do is pat each other on the back their success in training you how to behave.

#230 Vanecdotal on 08.27.15 at 4:17 pm

Re: creating a tax-credit-type CRA carrot to encourage illegal suite basement dwellers to flag which landlords are gaming the system, La Belle Provence has a scheme already in place: http://www.revenuquebec.ca/en/citoyen/credits/maintien_domicile/depenses/immeuble_logements/services_admissibles.aspx

I also agree with other posters, time for the ethically challenged to pay their fair share for the strain on city services/infrastructure (and degradation of SFH neighbourhoods/ problems for their more honest neighbours, that multiple illegal suiting can cause via parking issues, problem tenants, ,loss of sense of community, increased crime rates etc.) Easy tax grab and long overdue. A major YVR RE bubble driver as all this undeclared rental income fuels additional RE purchases. Rinse, repeat…

– CRA could find the tax cheats through their renters, compel them to pay fair share going forward (power to garnish wages), including tasty punitive fines and interest

– Gives renters a token tax-break that would be more than off-set by new/back taxes collected

As another poster pointed out, this is partly why my personal income tax rates can be so bloody high, & my property taxes increase relentlessly.

I believe no matter who forms the next government, this is coming nationwide sooner or later. The feds seem to be recently attempting to use tax carrots to identify the cash market tax cheats (home reno tax credit), this would be a logical next step, and a “covert” way to reign in the RE bubble & get their slow grinding unwinding vs. outright crash. Judging by GT’s response to another poster, sounds like this may already be in the works. About freakin’ time.

#231 Fiona on 08.27.15 at 4:25 pm

I’m loving this post, but holy heck there’s a lot of marriage/spouse-hate in this thread! Calm down people, just because you haven’t found someone doesn’t mean you gotta rag on those who have ;)

#232 Fiona on 08.27.15 at 4:26 pm

Okay Okay, I thought I was done but – I saw the word “feminazi” – I found the TRP-er!!!!

#233 Randy Randerson on 08.27.15 at 4:26 pm

#229 gut check on 08.27.15 at 4:03 pm

Let’s do a bit of role playing. Imagine you’re Oprah herself with millions of net worth. Your partner decides to do something stupid with your money, and that the repercussion for saying NO is cold war and withholding “snoo snoo.” Now, as a strong woman, you would stand your ground because you are smart with your money, and you will not tolerate anyone spending your money foolishly. Even when you partner says if you love him you’d let me spend the money, you still stand your ground. All your friends around you are clapping their hands, applauding you for being a strong woman.

Now let’s reverse the role and have a man stand his ground against his female partner. Can you imagine if he will receive the same applause?

That was a rhetorical question in case you didn’t notice.

#234 Vanecdotal on 08.27.15 at 4:27 pm

To add to previous post, it would also flag the cash only landlords sucking on the social assistance teat and boot them / claw back the appropriate amounts going forward.

Another reason my personal taxes are so high. Happy to chip in via (reasonable) taxation for those who truly need support, but fork the criminals.

#235 holy Crap Wheres The Tylenol on 08.27.15 at 4:27 pm

#208 Homeowners on 08.27.15 at 1:03 pm

My aim was to let you guys know how many homeowners don’t declare rental income. About 90% here in Vancouver don’t.

And CRA doesn’t give a damn.

That is why most run with the herd,,,you can get away with murder.

Until the CRA does one of its ‘projects’ and nails people for years of undeclared income, plus penalties and interest. If you don’t think that’s coming, you are naive. — Garth
_____________________________________________
Well then Garth Project Brampton should be the first place! I have been there many times and seen it first hand when visiting. Ha, CRA going after criminal renters not paying their taxes. That I would like to see. It is the absolute worst place for this type of Tax evasion. Let us know when it happens, if it ever happens!

#236 holy Crap Wheres The Tylenol on 08.27.15 at 4:30 pm

#230 Vanecdotal on 08.27.15 at 4:17 pm
Ima liken what your sayen!

Government should dole out a rebate program to any renters who can prove they are renting from a landlord. As soon as they go for the bait nail the landlord if they are not reporting income!
Problem solved.

#237 FitBitKid on 08.27.15 at 4:36 pm

“A foolish comment. The Fed did not cause nor remediate the market correction. — Garth’

Fed basically admitted today that valuation of stocks is largely caused by the QE… ( See CNBC interview)

Most stocks are overvalued due to cheap money…
They want to tackle it but don’t have the balls to do it.

#238 IHCTD9 on 08.27.15 at 4:49 pm

#222 4 AM Sunrise on 08.27.15 at 3:00 pm
#213 IHCTD9 on 08.27.15 at 1:50 pm

As long as cash transfers between parents and adult children are totally legal and unmonitored, what’s to stop an adult child from submitting a fake rental receipt under that totally theoretical proposal?
————————————–
Fixing a buddy’s car for cash is one thing, sending fake receipts to the bloody CRA is asking for trouble. You don’t want these guys on your tail.

I would not be one bit surprised to find that they don’t need to prove anything, could just fine you and your parents, and invite you to court to defend yourself. A kid in the basement paying rent to Mom and Dad invites a second look.

You don’t want to go there, Go mow the neighbours lawn.

#239 Bill Gable on 08.27.15 at 4:59 pm

He just about dropped his fork full of Pasta. “Sell my house, are you nuts?”, he squealed.

I had spent 20 minutes chatting, with my lunch guest, about his student loan debt he is still paying off (he’s a freaking LAWYER, for goodness sakes) – his plastic debt and how he is losing his pants on the Condo at Whistler.

Incredibly, he thought selling his home would paint him as a loser. (*This guy is in effect, broke, with a cash flow that barely keeps him breathing).

I gave up and we started talking about Donald Trump’s hair.

#240 cmj on 08.27.15 at 5:00 pm

#230 and others who see it as unfair for rental income not being declared.
I have a suite and have declared the income and expenses from day 1to CRA. In many municipalities in BC, there is an added property tax for those of us with rental suites. My suite tax is $575 and has been increasing each year. Homeowners are encouraged to call the snitch line for neighbors who have rental suites. There is $1000 fine if you haven’t declared your suite to the city. The federal government has this easy venue of knowing who has suites by identifying who pays this added property tax. As Garth has said, it’s coming. Don’t be nalve

#241 salonist on 08.27.15 at 5:08 pm

Leo The Lip

Not surprising to anyone with a brain.

#242 IHCTD9 on 08.27.15 at 5:14 pm

___________________
Well then Garth Project Brampton should be the first place! I have been there many times and seen it first hand when visiting. Ha, CRA going after criminal renters not paying their taxes. That I would like to see. It is the absolute worst place for this type of Tax evasion. Let us know when it happens, if it ever happens!
—————–

It won’t ever happen in my lifetime. Hence me having a hard time giving a damn about others doing it. If the CRA finds it too scary to go after the new Canadians, I find it too unpalatable to dial the snitch line on the old Canadians.

That said, the dam will have to break some day. The problem has to be absolutely bloody enormous, and the longer they let it ride, the bigger it is going to get.

#243 Steerage Bilge on 08.27.15 at 5:16 pm

The volatility index of the blog seems to be increasing!

#244 4 AM Sunrise on 08.27.15 at 5:17 pm

#238 IHCTD9 on 08.27.15 at 4:49 pm

But Western parents traditionally (so I’ve been told) make their stay-at-home adult children pay rent.

#245 Bottoms_Up on 08.27.15 at 5:18 pm

#235 holy Crap Wheres The Tylenol on 08.27.15 at 4:27 pm
————————–
Its not the renters that are criminal, its the landlords not declaring income. There is already a tax break for paying rent. So the cra has all the information they need at their fingertips. If you’re a renter and havent been receiving a tax receipt from your landlord, do so. You are losing money in the form of tax rebate for loving expenses.

#246 4 AM Sunrise on 08.27.15 at 5:23 pm

#238 IHCTD9 on 08.27.15 at 4:49 pm

AHHH! I forgot the flipside! If a stay-at-home adult child fakes a rental receipt, the landlord-parents also have to report the phony income on *their* return. Which may actually work if the kidult is in a high tax bracket and the parents’ income is low enough even with the rental income… something for the bean counters of the future. Must simpler to do what parents in my culture do, which is encourage their adult offspring to stay with them for free forever and ever, for companionship and errand-running.

#247 Bottoms_Up on 08.27.15 at 5:25 pm

#226 George Fallwood on 08.27.15 at 3:25 pm
———————————————
So you want to abolish healthcare, education, police, product and environment safety and stewardship, military, border security, legal system, roads and infrastructure, hydro, water, and research and regulations that keep for-profit private industry in check. Are you mental?

#248 Vanecdotal on 08.27.15 at 5:25 pm

#235 holy Crap Wheres The Tylenol

Feel for you. Here in 604 I vote for:

Project East Van
Project West Side
Project Surrey
Project PoCo
Project Coquitlam
Project N. Bby
Project S. Bby
Etc, etc…

Anecdotally re Rootin’ Tootin’ Newton (district in Slurrey), the scale of illegal suiting there has reached an absolute art form. It’s the Wild West. No enforcement, of, well, anything really.

I’m – ahem – “certain” all that income is reported to CRA.

#249 family beagle on 08.27.15 at 5:29 pm

#229 gut check on 08.27.15 at 4:03 pm

…. Piss on the lot of you – and that includes all the females who felt they had to pipe up and defend yourselves. Quit playing their game — or at least stop trying to score credibility points with neanderthals…….
///
SCREECH………………. HEY leave us Neanderthals and uni-brows out of it. I live in the garage. I don’t even approach the house if there’s sign of movement. And there’s evidence we were a matriarchal society. Likely nomads. Did you know Momma Neander can bench 400 lbs? And she spends more on one wax than I do on a year of flint. Your issues are strictly Cro-magnon. Besides, I’m extinct. Thanks.

#250 Waterloo Resident on 08.27.15 at 5:37 pm

A few days ago I did some analysis and discovered that for the past 6 months or so, the market ‘PEAKS’ every 3.5 weeks to 4.5 weeks, then has a massive drop. This drop started about a week ago so expect the next drop in anywhere from 2.5 to 3.5 weeks from now.

Was out shopping today, at the gas station heard a young 30 year old guy shout to his friend nearby “JUST BOUGHT A HOUSE, THE MORTGAGE WAS CHEAPER THAN THE RENT I WAS PAYING !” And everyone at the gas station cheered him on with praise. I thought about the stock market and when I got home around 3:00 I checked all of my indicators and finally they were NOT all ‘red’, saying ‘don’t buy’, so at around 3:15 pm I bought some SPXL and UPRO ETF’s when the S&P 500 was at around the 1,960 level. The prices ended the day a bit higher. Things should continue going up for about the next 2 weeks then it might be time to sell at that time.

As for women: Hey, I do what I want, when I want, and I don’t let any woman order me around. And I advise women to do the same and don’t let men order then around in life either. Life is too short to feel as if you are a slave in your own skin. Of course women don’t like that, they don’t like the idea of a husband they cannot control, that’s why I’m still happily single. (thank God.)

As for rates: The Fed will raise rates this month, and Canada will lower rates at the next meeting.

#251 Vanecdotal on 08.27.15 at 5:41 pm

#239 cmj

I may be many things, naive is not one of them. Am aware of the property tax structure for legal suites/grandfathered illegal suites, brought up to code. Specifics vary by municipality. The “fine” for non-compliance is @ one month’s (cash) rent, and it’s complaint driven, as you state. hardly a deterrent.

What happens when large swaths of SFHs are illegally suited in a small area? Who’s ratting out their neighbours if they’re also in the honey pot? It seems you are being naive. This is why complaint-driven policy is so ineffective.

Happy to hear you are one of the landlords playing nice. This will serve you well when, as we both agree, the CRA starts flexing it’s muscle in a more cohesive way.

#252 family beagle on 08.27.15 at 5:51 pm

Revising Upwards: The New Mantra for Growth
“U.S. economy looks much stronger after upward revision to GDP report”
Can you feel the vertigo? In the nick of time, wow!

A special new “newly REVISED figures from the Commerce Department show that businesses invested at an even faster rate. Businesses increased investment by 3.2% increase of a drop of 0.6%, with spending on structures such as office buildings rising by 3.1% instead of a drop of 1.6%. One reason businesses might have….. ” http://www.marketwatch.com/story/us-economy-looks-much-stronger-after-upward-revision-to-gdp-report-2015-08-27

#253 jess on 08.27.15 at 5:51 pm

5 US stocks > the entire frankfurt stock exchange (4th largest economy in the world)

http://wallstreetonparade.com/

#254 Butch on 08.27.15 at 6:25 pm

US rates will rise this year. Deal with it. — Garth

By this year you mean in ~20 days, right? Right..?

#255 George Fallwood on 08.27.15 at 6:32 pm

Dear Bottom

“#226 George Fallwood on 08.27.15 at 3:25 pm
———————————————
So you want to abolish healthcare, education, police, product and environment safety and stewardship, military, border security, legal system, roads and infrastructure, hydro, water, and research and regulations that keep for-profit private industry in check. Are you mental?”

Who said anything about abolishing anything? Privatizing just means reigning in the gluttonous unions who’ve been gutting social programs without regard for the public good. Private entities have responsibilities…public unions answer to no one.

There certainly isn’t a single public union job that couldn’t be filled by a smart young guest worker willing to work for half the current wage of a greedy insiders and one percenters who make up the elite union class that rules this country by twisting our laws to the own ends and keeps a majority of Canadians poor and without proper services because so much money is raked off in overpaid salaries and perks.

#256 Nora Lenderby on 08.27.15 at 6:39 pm

#229 gut check on 08.27.15 at 4:03 pm
the comments today make me puke.

Piss on the lot of you – and that includes all the females who felt they had to pipe up and defend yourselves. Quit playing their game — or at least stop trying to score credibility points with neanderthals. they’ll pat you on the head for it but really what they’ll do is pat each other on the back their success in training you how to behave.

Eventually you realise pissing on these people is a waste of precious nitrogen.

Those that feel free to anonymously annoy or abuse women on the Internet show such a sad desire to maintain some sense of superiority over “mere women”. It’s not normal behaviour in my circle of acquaintances, but I suppose that’s because they are not losers.

And as for:
#160 OttawaMike on 08.27.15 at 7:33 am
to Julia on 08.26.15 at 7:01 pm

You’re not a nine-year old, but you play one on the Internet? I suggest you apologise, dear boy.

#257 Bytor the Snow Dog on 08.27.15 at 6:41 pm

@Blacksheep- yessir, everyone on the interwebs makes seven figures in their save the world job, everyone is 6 foot seven, and everyone’s wife is smokin’ hot.

I have two words for my last point- post pics.

@gut check- Maybe you need to examine why some men have the outlook they have and stop whining.

#258 Bytor the Snow Dog on 08.27.15 at 6:45 pm

@George Smallwood- You are free to apply and obtain one of these cushy civil service jobs so you can see how the other half lives.

Damn, I’m frisky today. Where’s Mrs. Bytor?

#259 Nora Lenderby on 08.27.15 at 7:09 pm

“You will never convince those people who weirdly believe rates cannot rise. In reality, they cannot remain as is. — Garth

Not really, really weird; just a few (mostly) men seeing patterns in the odd coincidences, the occasional conspiracy, the usual degree of corruption, incompetence and disasters.

Deep down they don’t want things to be as safe, tedious and moderately predictable as they are.

You previously called them doomers. I think it’s part of the code in the chromosome. Let’s try to keep them away from the controls, shall we?

#260 gut check on 08.27.15 at 9:00 pm

Randy Randerson,
How do I think it would go down if a man stood up to his wife? Why I think we’d have today’s comment section of cheering ‘friends’ Are you honestly pretending that it didn’t just happen?

Bytor,
that wasn’t a whine, it was a righteous growl. come at me again and you’ll feel my teeth. For fine examples of whining, please see today’s comment section.

Nora Lenderby: thanks, true words. I needed that.

#261 Julia on 08.28.15 at 7:39 am

#256 Nora Lenderby
“And as for:
#160 OttawaMike on 08.27.15 at 7:33 am
to Julia on 08.26.15 at 7:01 pm

You’re not a nine-year old, but you play one on the Internet? I suggest you apologise, dear boy.”

********************
Thanks but no need. I see the type and besides it takes much more than that to get to me, especially from someone hiding behind a keyboard.

You are right. People attacking women, or anybody for that matter, using the anonymity of a message board, are just losers and cowards.

#262 DK on 08.28.15 at 9:25 pm

Garth mentioned 613 – ?

That’s a first, don’t think Ottawa has ever been bundled with YVR & YYZ housing market.