To the rescue

Well, time to don your Melania® pith helmets! The debt market’s in convulsion as yields shoot skywards. Big US government bonds are at the highest level in seven years, while our five-year Canada bonds (which dictate mortgages rates) are bumping up against a key level last seen in 2011.

Hmm. Not good for borrowers, with the stress test scheduled to jump again in just two weeks.

At the same time wage gains in Canada have fallen below inflation, we just learned Ottawa gave the US a veto over any future trade deals we can do, and the UN says we’re just a decade or two away from being a planet of crispy critters as climate change becomes irreversible – unless Trump stops calling it a hoax. Like that’ll ever happen.

And what do all the young people want? Yes, a house! In the Okanagan! Oy.

So here’s Nadine, now attached to some twentysomething paleo.

Hi Garth! I need help. I know all your blog readers need help and advice but I feel as though I cannot trust the financial advisors I’ve spoken with in person and my partner wants to put all our savings into real estate.

Here’s where we are at:
– engaged: I’m 24 and he’s 25.
– no debt, vehicles and school are paid off
– renting 1 bedroom apartment for 1000$/month
– Net income: 140,000 (subject to decrease as we are moving from Northern BC to the Okanagan and our wages will be lower)
– We both have our TFSAs maxed at 42,000 and 47,000
– RRSP contributions around 15,000
– Then 65,000 in savings account

We are planning to move home to the Okanagan and my fiancé wants to buy as houses are dropping slightly. I force him to read your blog to make him understand that we should rent and invest our money but it doesn’t get through to him.

Please help us before I go ahead with possibly the worst financial decision of my life.

This little note brings up a few topics worth discussion. For example, Nad & the Dino are not yet hitched. Engaged, yes. Married, no. There’s no way they should buy any property together, assuming the massive debt it will involve, until the relationship is cooked. Already she is worried about him creating “the worst financial decision of my life.” If that turns out to be the case (highly likely) can this union even survive? The real trouble will begin not with signing the mortgage, but the emotional and financial consequences.

Then, of course, there’s the timing of this ill-conceived nesting hormone thing.

Mortgage rates are increasing and the ‘slight’ decline in prices from Penticton to Vernon and beyond is but the start. The B20 hurdle will be set higher – maybe all the way to 6.5% within a year, choking off more first-time buyers, and dropping prices. Then there’s Comrade Premier Horgan to worry about, as the misguided spec tax comes into effect in parts of the OK, affecting every other part. What a mess looms from that.

Personally, Nadine and her reptilian partner have done well – the better part of $200,000 saved. If they were just to tuck that away instead of blowing it on dodgy real estate, they could have close to $2 million liquid in their late fifties. That would allow them to retire early and have a lifetime income of close to $150,000, without raiding the principal. In the meantime, taking five years now to build up additional wealth (for a down payment) as renters – letting real estate values plop – would deliver a house with less debt and way more diversification.

Sounds like she knows these things. The world’s changing before Nadine’s eyes. A decade of cheap money is truly ending. House values inflated by low loans have also run their course. Real estate could again become just shelter, instead of an investment asset pumped up by the fickle masses. Buying at peak house levels could be a life-altering mistake. If the future delivers any of the volatility now threatened, having your net worth stuffed into one immovable, indebted and perhaps illiquid asset is dumb. Especially when you’re 24, with so many choices at your feet.

  Besides, the UN hints that by the time Nadine’s fifty the Okanagan could be a desert. Maybe that explains M’s helmet. Better to be mobile than sautéed.

208 comments ↓

#1 waiting on the westcoast on 10.09.18 at 5:07 pm

We all need to dress better… then again Zuckerberg is my hero… hoodies for life!

#2 waiting on the westcoast on 10.09.18 at 5:10 pm

Given their early success up north… why not stay and crank out a few more pesos? At their age, they could push really hard for 5 years and be set for life.

#3 Weenerman on 10.09.18 at 5:12 pm

Engaged at 24/25…. what could go wrong?

#4 BobC on 10.09.18 at 5:21 pm

Come on Garth. Even you have to admit the global warming warnings are getting old. Any truth to it and governments would be using strict environmental laws instead of just collecting more in taxes.

#5 pay your taxes on 10.09.18 at 5:36 pm

Melania is just giving a nod to her husband’s colonialist past. I think she was also wearing riding tights, high boots and had a whip fastened to her belt in that photo.

Or maybe she was gearing up for an assault from the Kavanaugh lynch mob.

#6 Jungle on 10.09.18 at 5:38 pm

The stock market could also suffer losses or unflattering returns in the same 5 years.

Timing the market can be very dangerous look what happens in the Gta to those who bet it would crash..

#7 Mila McBortle on 10.09.18 at 5:39 pm

Garth, any markets in Canada yet where its more advantageous to buy than rent?

#8 pay your taxes on 10.09.18 at 5:40 pm

Nadine should give her man the broom now before it gets too expensive. Embracing spinsterhhod might be the best option, though cats make for poor companions when compared to dogs.

#9 stef97 on 10.09.18 at 5:40 pm

Hi,

My 16 years old son manage to make some money and would like to invest it.TNLB said he cannot do that until he is 18 which is a waste so was wondering if any if you can provide some advice
The amount is not enough to secure help from a financila advisor but enough to make a difference if invested for 2 years

#10 Karl on 10.09.18 at 5:47 pm

And how much of that *projected* 150K income will go to rent 30 years from now? The stock market WILL ALWAYS generate 6% average a year at least but historically strong housing numbers are the exception not the norm? Low interest will never come around again? What if they decide to start a family?

Successfully renting is not impossible of course, but can make things more complicated. Why is that never talked about?

Long term real estate makes a lot of sense.

Read it again. No suggestion was made to rent more than five years. – Garth

#11 dakkie on 10.09.18 at 5:49 pm

The World’s Biggest Real Estate Bubbles in 2018

http://www.investmentwatchblog.com/the-worlds-biggest-real-estate-bubbles-in-2018/

#12 Jonah on 10.09.18 at 5:53 pm

Rent is becoming affordable, I am paying like 2200 monthly towards a two bedroom suite in Scarborough.

I have been hunting for a house for past two months, and I do see a decline and tons of relisting with reduced prices. The real pain is the Builders who are still charging a 2017 rates in 2018. This would not go on forever, the priced would have to eventually come down as some builders in New Market area are not able to sell 4000 sqft houses for 1.2 million so they are now considering giving premium lots for free as per the sales agent I met. Also in Whitby a premium builder is giving 100K off a 4000 sqft house that is currently advertised for 1.1 mil so if we factor in the discounts, it will come to around 1.0 million. The same house would have easily sold for 1.8 mil in 2017 :).

Oshawa and further east would be worst hit.

#13 crowdedelevatorfartz on 10.09.18 at 5:55 pm

Seems like that couple has their finances locked in pretty well.
I cant understand for the life of my why they would want to buy a house in an obviously falling market.

Wait a year til after the Trudeau election. And if things are still falling…..wait another year til after the Trump election..

#14 Jonah on 10.09.18 at 6:00 pm

@BobC

Global warming or climate change is real deal. We are already seeing flooding, tornadoes, and abrupt changes in weather. It is backed by scientific data and proofs. Couple of degrees of increased temperature can cause havoc in the world.

#15 Freebird on 10.09.18 at 6:00 pm

Cue the deniers and wonder why we’re cooked. Literally.

#16 Buddy on 10.09.18 at 6:05 pm

Sure, Garth, meanwhile in the GTA things are booming, house prices are stable, if not up a tad. If you didn’t realize, things are going vertical, low-rise particle boards will be forever in demand. You’re vision of some wasteland-eque suburban distopia is just too far flung. Maybe we can meet somewhere in between.

They told me that a giant hole in the ozone was going to burn us all alive by 2010. Oh yeah, and remember when they told us we were going to run out of oil? That was a good one.

#17 Leftover on 10.09.18 at 6:10 pm

$150,000 lifetime income on $2 million, principal untouched? Elaborate please.

#18 arfmoocat on 10.09.18 at 6:14 pm

Well kids may I give you a real life example…

Was making big money during the dot com era… $1000 a day with the Pound to Loonie exchange rate.

Living common law with a son of ours and a daughter of hers

Throwing an extra $25K a year on the big fully finished up/down house paying down that mortgage as fast as I could with my big income.

The dot com bubble burst and the big money ended.

The big D happens as if planned and all the money I had put down as my deposit (sold two houses to buy the big family home, she contributed nothing) and all the extra yearly money I had thrown into that house with my big money is now 50% gone.

But luckily I still got to keep the child support payments.

:)

#19 Shawn Allen on 10.09.18 at 6:15 pm

Pith Helmet

I always liked the sound of “pith helmet”. I kind of want to buy one. Will send pictures.

#20 Smartalox on 10.09.18 at 6:19 pm

Engaged at 24/25, there is a lot that can go right.

The thing about renting is that it is the ‘pay as you go’ plan for real estate. You live in a one bedroom apartment now, but what would you be looking to buy? A one-bedroom place? Nah. Maybe three bedrooms, planning for a couple of kids, once you’re married.

Then what? The kids start school, and you want to move to a better district? Sell, pay commissions, buy a more expensive place, and move? Each step adds a little more cost – either rising house prices when housing is on its way up, or a larger discount on the property that you sell as property values fall.

Then there are all those ‘whimsical’ taxes that governments add to the cost of each transaction. Those add costs, too.

Look Nadine, you and your fiancé are young. In the next 5 years you’re going to marry and start a family. That plan probably involves you taking time off to care for the little ones, which might mean foregoing a salary for a year or more.

Better to figure out how your living costs can be carried on only one income, now, than become parents, and discover that you can’t afford things.

If you’re a faithful reader of Garth’s wisdom, you’ve heard his recommendation to sock money away in an RRSP (or have your spouse sock it away in s spousal RRSP for you), get a huge tax refund now, then – after three years, draw out the cash at lower tax rates, and supplement a parental leave.

‘Investing’ it all in a house, gets you… a house. And a non-negotiable mortgage payment that has to be paid whether you’re working or not. If you can carry that on one salary, then go for it. If not, then don’t.

#21 reynolds531 on 10.09.18 at 6:24 pm

My usual routine of reading this blog then CNN is making me paranoid. First they shut down the solar observatories, then humble is broken. Now we have twelve years until the planet is wrecked.

….slinks off to recount his cans of tuna and email the trumpocolyse guy.

#22 Dave Oeiuyph on 10.09.18 at 6:35 pm

According to the BCREA’s September report (https://www.bcrea.bc.ca/docs/economics-forecasts-and-presentations/mortgagerateforecast.pdf), mortgage rates are expected to increase from 3.65% in Q4 to 3.95% in Q4 of next year. That doesn’t exactly spell doom and gloom to me! But what do I know?

Central banks in both the US and Canada are expected to raise benchmark rates by another .25% this year and .5% or more in early 2019. The realtors are zooming you. – Garth

#23 Karl on 10.09.18 at 6:40 pm

0 Karl on 10.09.18 at 5:47 pm
And how much of that *projected* 150K income will go to rent 30 years from now? The stock market WILL ALWAYS generate 6% average a year at least but historically strong housing numbers are the exception not the norm? Low interest will never come around again? What if they decide to start a family?

Successfully renting is not impossible of course, but can make things more complicated. Why is that never talked about?

Long term real estate makes a lot of sense.

Read it again. No suggestion was made to rent more than five years. – Garth

——————————-

I read it again and will own up to my mistake in the first (distracted) read.

In those five years they would have to save 40K a year ($3,333 a month). That’s a tall order on top of rent payments and all other expenses. Nadine said their net income would be decreasing. Then again i’m not sure what the average home in Okanagan goes for.

But I think you were bang on about not buying until they are at least married. Also, being on the same page is important so whicher way they go, they better be in agreement, or at least arrive at a mutual compromise.

#24 dirtydebtor on 10.09.18 at 6:49 pm

Garth – assuming climate change starts to run away as described, with severe weather, death in the oceans, drought and crop failure, what will this mean for the markets?

will markets keep plowing up? or has humanity hit its peak?

#25 CEW9 on 10.09.18 at 6:53 pm

#9 stef97 on 10.09.18 at 5:40 pm

Hi,

My 16 years old son manage to make some money and would like to invest it.TNLB said he cannot do that until he is 18 which is a waste so was wondering if any if you can provide some advice
The amount is not enough to secure help from a financila advisor but enough to make a difference if invested for 2 years

* * * * *

I believe the 18 year old cut-off is for registered accounts only. He can probably open up a self direct account (like a direct investing style cash invesment account) joined to one of the big banks. Shouldn’t be a problem.

If it is in fact a problem, you could probably also open a joint account between you and him with those same self directed accounts, and then relinquish control when he comes of age.

Good for the both of you – One of the best gifts you can possibly give him is an early start to balanced investing. I wish I had done the same with my life back in my 20’s.

But like they say, the best time to start investing was 10 years ago. The second best time to start investing is now.

#26 Doug t on 10.09.18 at 6:56 pm

It’s the end of the world as we know it and I feel fine

RATM

#27 Blacksheep on 10.09.18 at 6:56 pm

Don’t need to wait 25 years, the OK is already in serious trouble from what I’m hearing.

I have family in a southern OK lake town and they described how the full month of August was a right off this year (after just getting over the lake / sewer overflowing spring floods) as visibility (lack of) from thick smoke on the lake was down to a 100ft, at best.

We had 10 days in August booked in town, but like many others cancelled our trip. Alternatively, another member of the family went anyway, spent most of August in town in their RV and now is complaining that he thinks he has done permanent respiratory damage to his person. This town lives or dies based on tourism, smokey grapes and f’d-up wine production won’t help.

So is it over, did all the trees burn?

Not even close…

Really is a shame as we had retirement plans there but that’s over now. Cabo is looking more promising than ever, assuming they can get that whole, murdering/ killing thingy under control in the next 5 years.

#28 Jungle on 10.09.18 at 7:03 pm

#14 Jonha

4000 sq foot in whitby was not 1.8m last year, and certainly didn’t drop almost 800k

#29 Stone on 10.09.18 at 7:05 pm

Personally, Nadine and her reptilian partner have done well – the better part of $200,000 saved. If they were just to tuck that away instead of blowing it on dodgy real estate, they could have close to $2 million liquid in their late fifties. That would allow them to retire early and have a lifetime income of close to $150,000, without raiding the principal.

———

I can understand $80,000 to $100,000 lifetime income based on a 4%-5% withdrawal rate without raiding the principal. $150,000 would be based on a 7.5% withdrawal rate. That seems a bit high and you need that $2 million to grow to keep up with inflation over time which 7.5% is unlikely to accomodate. Am I missing something?

#30 crowdedelevatorfartz on 10.09.18 at 7:06 pm

I cant decide which Trump looks worse.

Melania in that ridiculous throw back to the 19th century British raj.

Or Donald hiding his “hair flop’ with a red MAGA baseball hat…………

#31 Trojan House on 10.09.18 at 7:08 pm

#14 Jonah on 10.09.18 at 6:00 pm

Give your head a shake! The Earth is 4.5 billion years old. It has gone through many thousands of “climate change.” Luckily we don’t have dinosaurs to contend with! There is so much that can happen that is outside of humans’ capacity or ability to control. To blame weather changes on one occurrence, man made CO2, is ridiculous. And only for a couple hundred of years of data at that. The sun is one of the biggest contributors to our climate changing – and that is not in any way, shape or form affected by what we do here.

#32 Smelly on 10.09.18 at 7:09 pm

New construction RIP 2009-2018.
Next year is going to be slow! If you’re in debt, get out! Rates are going up, and economy is going down.

#33 crowdedelevatorfartz on 10.09.18 at 7:09 pm

ANOTHER smart woman leaves the Trump administration…..?

https://www.cnn.com/2018/10/09/politics/nikki-haley-resignation/index.html

#34 will on 10.09.18 at 7:09 pm

“(highly likely)”

Lol.

#35 When Will They Raise Rates? on 10.09.18 at 7:10 pm

#7 Mila McBortle on 10.09.18 at 5:39 pm

Garth, any markets in Canada yet where its more advantageous to buy than rent?
————————————–

Yes there are, but probably not anywhere you want to actually live… Eastern Ontario from Napanee to Cornwall immediately come to mind, as well as past Cornwall into Quebec.

We have our first born on the way, and are now looking at options… Looking at what makes sense to buy, viewing the map on Realtor.ca is pretty demoralizing. We are mobile, but unfortunately all of our friends and family are not… would have to leave them behind in order to buy anything that remotely makes more sense to buy than rent.

For now will continue renting to be close to friends and family for baby’s first year or two, and hopefully this crash is well under way by 2020… Otherwise we will do the unthinkable and pack our bags for a locale hours east of the GTA – Or worse, if necessary.

C’mon rate hikes!

#36 In Garth We Trust on 10.09.18 at 7:13 pm

#165 Dream Big on 10.09.18 at 5:30 pm

“First time poster. I always read ur blogs like i read my Bible and I just want to thank you and your team for all the work that you do.”

Hey, show a little more respect for the bearded mystic sage that writes this blog. The Bible should be a distant second to the hallowed and sacred words of the oracle that dispenses his sagacious thoughts on a daily basis…

#37 Lawrence Welk on 10.09.18 at 7:15 pm

#3 Weenerman on 10.09.18 at 5:12 pm

“Engaged at 24/25…. what could go wrong?”

Now, now. I was engaged at 24 and married at 25 and have been in blissful harmony with my better hald for 30 years….

#38 common sense on 10.09.18 at 7:19 pm

Speaking of interest rates…didn’t just today Donald made a comment that he doesn’t like the fast pace of interest rate hikes that were taking place down south?

Ya ya, the Fed is independent from the gov’t….please.

#39 1% Prepper on 10.09.18 at 7:20 pm

@ #22 Dave Oeiuyph

I’m always amazed that people believe financial analysis from real estate boards or agents.

These are people that for the most part barely got through high school

#40 Pierre Berton on 10.09.18 at 7:24 pm

#7 Mila McBortle on 10.09.18 at 5:39 pm

“Garth, any markets in Canada yet where its more advantageous to buy than rent?”

Sudbury my dear. Here is a gem listed at $99k. With a mere 5k down and a 5 year 3.15 % mortgage your monthly mortgage would be a mere $472. Yes, you read that right. Now pack your bags and get up here to Sudbury and stop wasting your rent money away!

https://www.point2homes.com/CA/Home-For-Sale/ON/Greater-Sudbury/Donovan-Northern-Heights/47-Stanley-Street-Sudbury-Ontario/65359518.html

#41 Terry on 10.09.18 at 7:24 pm

“unless Trump stops calling it a hoax.”

Man-made climate change is a hoax. Our climate is changing since it does this in cycles and our planet has been incredibly warmer and colder in the past …….. check your history. The point here is that as our planet goes through normal cycles of warming and cooling there is nothing mankind can do about it. We are not a factor in how our planets weather patterns change over time. We cannot control the climate, we cannot even think that we are smart enough to understand it, yet institutions, governments and people continue to lie and manipulate the gullible into thinking that mankind’s activities are responsible for climate change. Climate crusaders are becoming just as radical and ungovernable as leftist Democrats and Liberals. The world needs more Republicans and more Conservatives to keep the rule of law not the rule of the mob and the gullible!

#42 Cj on 10.09.18 at 7:28 pm

The B20 rule can disappear just as easily as it came. That is even more likely as rates raise. Raising rates effectively take care of the problem and eliminate the need for it.

The stress test has nothing to do with the housing market. It was imposed by the bank regulator to safeguard the integrity of the industry’s mortgage portfolios. – Garth

#43 Jeff Rubin on 10.09.18 at 7:29 pm

#16 Buddy on 10.09.18 at 6:05 pm

“Oh yeah, and remember when they told us we were going to run out of oil? That was a good one.”

You mean we are not going to run our of oil? I wrote my book for nothing? Arghhh!!!

https://www.google.ca/search?q=Why+Your+World+is+about+to+Get+a+Whole+Lot+Smaller&stick.

#44 Craig on 10.09.18 at 7:29 pm

Deepest sympathies to all our American neigbours after the terrible loss of so many young lives over the weekend in the New York State Schoharie County transportation acccident.

#45 akashic record on 10.09.18 at 7:31 pm

#17 Leftover on 10.09.18 at 6:10 pm

$150,000 lifetime income on $2 million, principal untouched? Elaborate please.

Untouched? The carefully picked term was “not raided”. Whatever that means in the financial advisory vocabulary.

#46 will on 10.09.18 at 7:34 pm

On global warming:

I took the ViaRail trip to Prince Rupert this year. The snow capped mountains are not so snow capped anymore. I asked the service manager about it. He has been on that run from Jasper to PR for something like 30yrs and he confirmed it. The glaciers are disappearing except maybe on the highest mountains like Mt Robson. In some places you can see the bare runs carved out of the mountains where there once was a glacier.

Oh yeah, about the situation: interesting that it is the babe who wants to stay liquid and the dude wants the RE. Usually the other way around (hope it’s not sexist to say so, but I think most of the examples on Garth’s have been of that sort i.e. the babe wanting the RE). And of course I agree they should forget about moving to the valley right now. Stay where you are and build up even more liquid assets. Who knows, in ten years it may even make sense to move there, but right now AIN’T the time.

#47 FOUR FINGERS WATSON on 10.09.18 at 7:38 pm

The stress test has nothing to do with the housing market. It was imposed by the bank regulator to safeguard the integrity of the industry’s mortgage portfolios. – Garth
……………………………

It also protects idiot consumers from themselves by preventing them from “ over borrowing “.

#48 Linda on 10.09.18 at 7:45 pm

The dog in today’s photo looks very heroic:)

Climate change is real & has happened in the past. Some 33 million years ago, Antartica was as per scientific evidence a lush, tropical paradise. Atmospheric CO2 was about 1000 ppm; today’s CO2 is less than 400 ppm. Human activity has simply sped up the process. Even if we ceased any activity that added to the current CO2 levels in our atmosphere, the process would likely continue, albeit at a much slower rate.

Age 24/25 is not an unduly early time to wed. We might be living longer, but 25 is about the ‘peak’ of our health & age related fertility is still a happening thing. For women, age 35 is pretty much the cut off date for slam dunk fertility. Yes, women can & do have babies later in life, but the chance of pregnancy does decrease with age. Men have a longer shelf life fertility wise – men can & have fathered children into their 90’s – but birth defects increase in tandem with age of either sex.

The number one reason for divorce is finances. So if you & your loved one are not on the same page financially, your chances of staying together long term are not good. My advice to the couple cited in Garth’s example is to be blunt to the point of brutality regarding how they feel about buying. If ‘Nadine’ is not willing to buy at this time she needs to say so ‘Honey, I do NOT want to buy right now’ & list the reasons why. No waffling, no ‘maybe if’s’. Because if her fiancee is dead set on buying she has to be willing to state in a clear, calm voice that she isn’t going to put one cent towards any purchase, that it will be in his name only using his funds only. Plus she’d best consider whether cohabitation in any purchased property might result in her becoming responsible for any default in payments. Just because one has not said ‘I do’ in church or before a justice of the peace doesn’t let you off the hook these days. Live with someone for a few months & you are considered ‘married’ in the eyes of the law, with all that entails financially – as not a few people who pooled their funds in order to rent a place have discovered. Nowadays it doesn’t even matter if the person sharing costs is the same sex – live together for long enough & the law thinks you are a couple. Up to you to prove you are not & doing so could be quite expensive.

#49 Long-Time Lurker on 10.09.18 at 7:48 pm

Real-time hyperinflation:

https://www.bloomberg.com/amp/news/articles/2018-10-09/venezuela-s-2018-inflation-to-hit-1-37-million-percent-imf-says?__twitter_impression=true

#50 Rexx Rock on 10.09.18 at 7:51 pm

Give me a break,24 and 25 netting $140,000.What are they growing weed and selling it to the oil patch workers.There is so much B.S. coming on to this blog with huge salaries and savings you have to be pretty niave and stupid to believe it.But I guess this what you have to expect.Do a poll,I bet more than half don’t believe this phoney baloney story.

Why would they fabricate? – Garth

#51 Turtleguy on 10.09.18 at 7:54 pm

Hey Garth! My wife and I sold our dodgy first house when the market was insane! Managed to pocket $100K which we put into TFSA’s. Now we rent a lousy place for $300 a month, but have to maintain the acreage. It’s a good deal for our family, and I’ll be debt free in about 6 months. Interested in buying in 2020. What say you? (I know crystal balls are fuzzy things)

#52 For those about to flop... on 10.09.18 at 7:57 pm

#150 SoggyShorts on 10.09.18 at 1:51 pm
#142 For flop on 10.09.18 at 12:21 pm
For flop
2050 russet way, west Vancouver.
Bought for 3m in summer of 2016.
Now on market for 2.38m

I will let you write the rest :
********************************
Indeed, why use 3 lines when 50 could also do the trick?

/////////////////////////

Thanks “for flop”.

I thought I already had this one when I first saw the address but it is their neighbors at 2035 Russett Way.

I won’t write anymore on this case and will do it as a Pink Pumpkin post on my blog since Soggy Shorts had his umpteenth kick out at me perhaps bizarrely on the day that the boss of this blog said that he wanted to do things his way.

Soggy,After The a House Sold, and a few others want to take over moderation of the blog by telling me how many posts I can do and how long they should be.

I am a welcome guest on this blog,I write original content and then share some howmuch articles that I think someone might get something out of.

I write and hit the submit button,if the host of this blog wants other people to see it or not is his decision.

I don’t come here to listen to cry babies and I don’t come here to become the target of someone to argue with because they are constantly in a pissy mood.

You guys have been told multiple times to scroll and yet you keep going, being petty little peckers…

M44BC

#53 Petawawa Renter on 10.09.18 at 7:57 pm

That much dosh packed away and debt free by 24 and 25??

I was just getting out of undergrad at 24 with about 25k in debt to show for it. 10 years on, and I’m barely caught up with them now. I learned from my parents who have saved nothing, that saving is extremely important.

If these kids are working as hard as I think they might be (unless they’ve had help from the bank of Ma & Pa) and doing this well, I’d suggest that prioritizing life experiences over real estate may be in order. If they like hitting the trails and hills, do it while you can. My knees and back are already showing the wear.

#54 gfd on 10.09.18 at 7:59 pm

Chemtrails adopted by the States in the effort to fight the warming. Not many talk/know about it, but it’s real. Pay attention to sky once you cross borders especially on a sunny day. FL good for observation. Sure you can ask Google too.

#55 Depends on what you are smoking on 10.09.18 at 8:02 pm

Prices in the Okanagan, both median and average have plateaued, but by no means have dropped. The drop has just started in that area.

Median and average prices for detached, townhome and condo are at all time record high as of last month.

Detached – median 677,500 as of last month
Townhome – median 492,250 as of last month
Condo – median 300,000 as of last month (9.06% drop from August with what looks to be speculator pull back hitting condos first in the area).

Same detached 3 years prior 2015 – median 485,000
Same townhome 3 years prior 2015 – median 379,900
Same condo 3 years prior 2015 – median 225,000

48.8% of all properties bought in the Okanagan for the past 8 years have been purchased by people who are living outside of the area. So, you know the spec tax is going to bite.

The market fundamentals have tanked in the area but the prices are being very slow to adjust.

There is going to be a 21.64% price adjustment down between now a the next 3 years, 2021. The current prices in the OK are 11.34% above real prices, which will adjust and interest rates (based on 3 more 0.25% hikes) will push prices down another 10.3% with potential lag of a few years to actually materialize. This gets us just to the resistance level of support. It could break lower pending other economic forces – which usually happens before balancing out around 2022.

And don’t forget the government spec tax coming in that will affect half of all purchases being made.

What will happen above is already happening in Vancouver,which is truly spectacular, but not surprising in terms of price collapse as a place I used to own there has fallen in price by over 400,000 since 2017. Peaked out in 2016. This is spreading throughout BC. Has not fully hit smaller areas. Panic will strike around 2020 for the majority.

If you are throwing 200,000 on an Okanagan detach the true home ownership cost of carrying that place factoring all costs in will be around 2,800 – 3,000 per month at present.

Not worth it if you ask me. Especially where prices are headed.

The rental option in the lower mainland is quickly becoming the best option again (even though most people have packed up and jetted out of Vancouver) and the quality of job and pay has always been in the Metro area around Vancouver.

Rent a place, make lots of money working and grow your wealth. Getting into big debt will forever make you poor.

Avoid high housing costs (owning or renting) of over 2,000 per moth.

#56 FOUR FINGERS WATSON on 10.09.18 at 8:07 pm

#27 Blacksheep on 10.09.18 at 6:56 pm
Don’t need to wait 25 years, the OK is already in serious trouble from what I’m hearing.

I have family in a southern OK lake town and they described how the full month of August was a right off this year (after just getting over the lake / sewer overflowing spring floods) as visibility (lack of) from thick smoke on the lake was down to a 100ft, at best.

We had 10 days in August booked in town, but like many others cancelled our trip. Alternatively, another member of the family went anyway, spent most of August in town in their RV and now is complaining that he thinks he has done permanent respiratory damage to his person. This town lives or dies based on tourism, smokey grapes and f’d-up wine production won’t help.

So is it over, did all the trees burn?

Not even close…

Really is a shame as we had retirement plans there but that’s over now. Cabo is looking more promising than ever, assuming they can get that whole, murdering/ killing thingy under control in the next 5 years.
………………………………………………….

You are oh so right about the Okanagan. Air quality has been hellacious for the last decade or so. Worse than Shanghai China at times. Little kids had to stay indoors cuz the air quality was so bad. I had to use ventolin and finally left town in August. I am lucky that I could afford to travel abroad. And there is still lots of standing dead wood in the BC forests from the pine beetle infestation. The air quality issue is far from over.

#57 KLNR on 10.09.18 at 8:09 pm

200k saved at 24yrs old. impressive.

#58 crowdedelevatorfartz on 10.09.18 at 8:15 pm

@#48 Linda
“Men have a longer shelf life fertility wise – men can & have fathered children into their 90’s….”
+++++

My first reaction was , Eeeeeeew.
Then I realized, There’s hope for me yet…..

#59 Cristian on 10.09.18 at 8:16 pm

“they could have close to $2 million liquid in their late fifties. That would allow them to retire early and have a lifetime income of close to $150,000, without raiding the principal.”

2 million won’t be enough 30 years from now. The 150,000 they could get (assuming a 7.5% growth, which is very unlikely according to the current financial literature) is the equivalent of almost $62,000 in today’s money. Could they live off that in retirement? Maybe. For how long without raiding the principal? Not to mention that when they will be 75 they will have to actually draw $275,000 to equivalate the $150,000 in their 50s.
All in all, it’s highly unlike they will be able to retire early and still have a good living standard.
$2,000,000 may be enough to retire on now, but not 30 years from now.

A hollow excuse for not trying. – Garth

#60 EP on 10.09.18 at 8:21 pm

It’s interesting that banks and insurance companies keep investing, funding, and insuring waterfront residential and commercial real estate like never before.

#61 Tulips on 10.09.18 at 8:31 pm

#42 Cj on 10.09.18 at 7:28 pm
The B20 rule can disappear just as easily as it came. That is even more likely as rates raise. Raising rates effectively take care of the problem and eliminate the need for it.

The stress test has nothing to do with the housing market. It was imposed by the bank regulator to safeguard the integrity of the industry’s mortgage portfolios. – Garth

—————————————————————-

The stress test came in just months ago. As long as there’s real upside potential to rates, banks need the stress test to protect them from overextending borrowers. Consumer prudence is a thing of the past and OSFI knows it. So until it’s clear that rates have topped, expect the stress test to stick around. Furthermore, it will be very hard if not impossible to identify when rates will stop rising until they in a clear decline. Don’t be surprised to see the stress test stick around until the next credit cycle which typically means years, not just months.

Banks did not devise this test. It was the regulator responding to so many buyers using Bank of Mom down payments to achieve a 20% equity stake and therefore have an uninsured loan that bank portfolios were becoming risk-laden. In the severest sense, borrowers brought this on themselves. – Garth

#62 Flat Earth Society on 10.09.18 at 8:33 pm

Catastrophic global warming was one of our hoaxes. The governments of the world paid us handsomely to come up with an excuse to raise taxes.

Don’t get me wrong, the globe has warmed since the start of the industrial revolution, and it may be carbon related. But 100 years of it hasn’t caused any major problems and 100 years more of it won’t either and then we’ll be out of carbon based resources, or so called “fossil fuels”. There is only so much out there, and it isn’t enough to fry the planet.

To create the hoax, we noted research that was being done trying to correlate temperature to carbon levels in the atmosphere. Spurious and non-scientific as it was, (correlation is not causation), we ran with it and ignored the fact that demand is not supply, especially with non-renewable resources. The twist we deserve the most credit for though, was convincing the public that these new taxes “were for their own good”, “would save the world”, and without them “we will fry”. I wish we could take full credit for the idea but it was actually based on the strategy Joseph Goebbles used to bring the German population behind the war effort. Present the population with an imminent and existential threat that may but probably does not exist, offer only your solution, and repress dissent. Works every time. It’s how they got income taxes. We weren’t involved in either income taxes or WWII, but we learned a lot from them.

If taxes could solve the problems of global warming, such as they may be and if any, taxes should in theory be able to solve anything. But they don’t. Normally they make things worse. But we aren’t the type to turn down a large paycheck. Misinformation is what we do.

Ever wonder why Patrick Moore, one of the founders of Greenpeace and former president, which was originally founded to protest nuclear testing and later saved the whales, quit the organization when they shifted to protesting oil and gas? Here he is in his own words. Remember, he co-founded Greenpeace so he’s no lightweight.

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

We’ve got environmental problems but CO2, the gas of life, isn’t one of them, or at least not a major one. Not for a long time. And it will always pale compared to the nuclear sword that hangs over our heads.

Something to think about, all that CO2 that we are emitting now was originally in the atmosphere and sea plants and trees sequestered it in the ground. Yet they were alive back then.

Or take as an example Al Gore, on of our unwitting operatives. He made a fortune off these bogus claims, but he used the money to live in a 20,000 sqft house and go to climate conferences in his private jet. He’s obviously not really concerned. And what on earth do you do with a 20,000 sqft house? I am sure there are rooms he’s never been in.

But we got paid and the government got their excuse to tax you for your own good. And you better pay your taxes or the earth is doomed! Doomed I say! Doomed! We are still on retainer.

Governments, as always, build a bridge where there is no river. But there is big money to be had exploiting the system.

#63 Smoking Man on 10.09.18 at 8:34 pm

Factor into your portfolio. Cival war in the USA. No chance. Girly men and loud mouth femonazis, small in numbers with big MSM coverage.

Deplorabls are tougher.

Hillary just called for the end of civility, they are handing over the mid terms to republicans. Almost as if it was the plan all along.
Nobody can be this stupid.

#64 Fish on 10.09.18 at 8:36 pm

National Cannabis Survey, second quarter 2018

https://www150.statcan.gc.ca/n1/daily-quotidien/180809/dq180809a-eng.htm

#65 Phylis on 10.09.18 at 8:42 pm

Maybe Luke should have let Mikos turn on the weather machine.

#66 Ivan the Moderate on 10.09.18 at 8:43 pm

Comrades not only in BC, but coming to Toronto

Jennifer Keesmaat wants to transform city-owned golf courses into public spaces

https://www.thestar.com/news/gta/2018/10/08/keesmaat-wants-to-transform-city-owned-golf-courses-into-public-spaces.html

#67 Linda on 10.09.18 at 8:54 pm

‘Crowded’ – all you need is love:) Failing that, a healthy bank balance & be willing to believe a smoking hot (& fertile) babe isn’t betting on your keeling over & leaving her the bucks!

#68 Mike on 10.09.18 at 8:58 pm

“The UN says we’re just a decade or two away from being a planet of crispy critters as climate change becomes irreversible”

BAH HA HA HA….like the UN has ever done anything worthwhile. We’ve just had the coldest September GLOBALLY in the past 30 years. I still cite my good friend, Dan Pena. “In the history of time, it’s not a fart in the wind”.

#69 FOUR FINGERS WATSON on 10.09.18 at 8:59 pm

#55 Depends on what you are smoking on 10.09.18 at 8:02 pm
48.8% of all properties bought in the Okanagan for the past 8 years have been purchased by people who are living outside of the area.
………………………..

I would love to know where u got that number……It does not surprise me at all cuz I know the owner of the largest property management company in Kelowna and he says pretty much the same as you.

#70 wiley wogster on 10.09.18 at 9:00 pm

Garth

re. your rant against the out of line posters yesterday, why not hire a junior staffer to moderate the steerage comments, or go high tech and let sotware do it. You are much too important to spend time on that. From a purely economic perspective your value added is much greater as a thinker or wise elder than duking it out with the wacko commenters

#71 Newcomer on 10.09.18 at 9:06 pm

#22 Dave Oeiuyph on 10.09.18 at 6:35 pm
….mortgage rates are expected to increase from 3.65% in Q4 to 3.95% in Q4 of next year. That doesn’t exactly spell doom and gloom to me! But what do I know?

————-

That’s hilarious considering that BMO hiked it’s 5 year fixed rate from 3.59 to 3.99% today.

#72 Kaganovich on 10.09.18 at 9:07 pm

Garth, sometimes I think you just throw in the odd little zinger about global warming just to bait commentators like flat earth society lol…the comic relief they provide in the denier acrobatics is good entertainment. Well, at least I find it incredibly funny….CO2, “the gas of life” omfg

#73 akashic record on 10.09.18 at 9:10 pm

the UN hints that by the time Nadine’s fifty the Okanagan could be a desert

The UN could not tell the color of the shoes Melania is going to wear tomorrow, even if their funding depended on it.

Anybody can hint into the future decades, especially for tax free salary that comes with zero accountability.

#74 Phylis on 10.09.18 at 9:17 pm

Oh look another hurdle is about to be put on the track. https://business.financialpost.com/personal-finance/mortgages-real-estate/osfi-to-take-new-measures-to-address-equity-based-mortgage-loans

#75 ImGonnaBeSick on 10.09.18 at 9:25 pm

Mr. Garth or blogdogs (nonplussed?), this is off topic, but what are your thoughts on extended warranties? I used to be vehemently against them, but it seems everything is made to break nowadays. Is there a preferred ratio or price cutoff? I have repaired my dishwasher twice and it’s only 5yrs old. Parts are becoming obsolete, hard to find, and expensive. Should we just bite the bullet and buy commercial grade appliances?

#76 Bob Loblaw on 10.09.18 at 9:27 pm

Nadine, expect a 50% pay cut if you’re planning on moving to the Okanagan. I lived there for 23 years and had to move to Alberta five years ago to make a decent living. The okanagan is a nice place to live, but the job market is terrible and wages are notoriously low.

Real Estate really took off there over the last few years, but much of that was due to people cashing out in Vancouver and relocating. That has ended. Add in B20 ,as Garth mentioned, plus rising rates, low incomes, and no industry except for tourism. It’s the second mortgage and HELOC capital of Canada. Everyone looks like they’re well off, but it’s all a smokescreen (literally in the summer)

Detached housing starts in Kelowna are down 60% vs last year and 91% for “other” homes

https://okanaganedge.net/2018/10/09/22103/

I’d stay up north and build the nest egg up for a few more years until the dust settles.

#77 Belieber on 10.09.18 at 9:30 pm

I always lol at the letters Garth ‘receives’.

If you are making 70k a year you probably have a university education. That means you graduated and started working around 22.

If by 24/25 you have paid off your student loans, bought a car AND saved 100k you should literally change nothing at all.

Whatever is you are doing Nadine just keep doing it.

#78 -=jwk=- on 10.09.18 at 9:30 pm

Garth, any markets in Canada yet where its more advantageous to buy than rent?

When we moved to Ottawa 3 years ago buy vs rent was even. Rent for $2200. Buy for 400k, carrying costs about 2400 (incl 1% maintenance fund). Our street has had sales in the mid 500’s lately so probably too late here too…

@ Terry. Tis better to be thought a fool, then open ones mouth and remove all doubt. Natural climate change happens in 100,000 year increments. It took 10,000+ years for the most recent glaciers covering Canada to melt, and they were around for over 50,000 years beofre that. A glacial pace, so to speak. A pace so slow we can barely measure it. Yet, since the start of the industrial revolution ( ~ 1850) we’ve seen the pace of change accelerate so much we can measure it every year. We’ve seen artic ice retreat in 20 years that should have taken 2000 years. It’s never happened at this pace – or anything close to it before. It’s not natural. It’s us.

The real question is: Even if you don’t think it is us – it’s a historic first time natural event – shouldn’t we be getting prepared for it?

#79 Smoking Man on 10.09.18 at 9:34 pm

Lord Black nails it.

http://www.conradmblack.com/1426/canadians-dont-see-the-kavanaugh-episode-for-what

#80 Ustabe on 10.09.18 at 9:42 pm

I like older vehicles. not classics or collector, just solid, older units. My current ride is a 2005, bought for $5,000 four years ago, I have put around $6,000 into it. New suspension, including all boots, rubber, grommets and so on. New wheels. tires. Body work and full paint. Restored the AC/Heater, etc. I have $11K into a unit I couldn’t replace for double that.

Point being if you want to run older stuff you have to be prepared to keep them in a style you have become accustomed to.

Same with this old blog. I’d love to be able to read the top twenty/thirty posts with the drek and self-aggrandizing posts having been down voted and falling to the bottom of the string.

Just a simple thumbs up or down or a plus/minus toggle.

Garth, I’ll even pay for it. Only if its open to all, even the lurkers and one “vote” per ISP.

And Flop: Never complain, never explain. The deplorables that are tolerated on this site expose themselves for what they really are daily, you have nothing to worry about…their crap can’t slime you. Stop drawing attention to them at all, in any manner.

#81 Lobster Man on 10.09.18 at 9:58 pm

Garth,

The Australians are said to be planning the following curbs:

https://www.usnews.com/news/world/articles/2018-10-09/australia-aims-to-curb-influx-of-new-migrants-to-big-cities

Do you think similar policies may also be tabled by some of our political leaders, in time for the 2019 election?

LM

#82 Ponzius Pilatus on 10.09.18 at 10:03 pm

Having a dog riding at the back of an F-150 is illegal.
Even a cat person like myself knows that.

It’s okay. A Dodge. – Garth

#83 Doug in London on 10.09.18 at 10:17 pm

@Mike, post #68:
Coldest September in 30 years, is that somewhere in Antarctica? In Southwestern Ontario it’s been a warm record setting fall season. I’ve seen warm weather this time of year, but NOTHING like the last 2 days with the temperature in the high 20s and humidex in mid 30s. The UN is quoting what climatologists have been trying for 40 years to tell anyone who will listen. These climatologists have credentials in this area of expertise. So tell me, what are YOUR credentials?

#84 Earl of Southhampton on 10.09.18 at 10:21 pm

#79 Smoking Man on 10.09.18 at 9:34 pm

“Lord Black nails it.”

Yes, Lord “the felon” Black has the moral authority to nail things.

#85 Lizzy on 10.09.18 at 10:30 pm

@BobC #4

I doubt anyone will read this including probably BobC but seriously. His argument is so strange I’m going to post it anyway. He said if global warming was real governments would be doing something about it? I’m imagining (perhaps wrongly) that BobC is maybe an older conservative leaning guy so that amount of naïveté is a little weird. Seriously-we all know governments are concerned with consolidating their power, getting their constituents to vote for them, and sometimes the economy. They don’t listen to science-especially if it’s bad for the economy and threatens their votes.
I can see climate change in real time. The severity of hurricanes and extent of flooding did not used to happen. Plus scientists agree. Just because we are all bumbling around not fixing the problem doesn’t mean the problem isn’t real.

#86 Fish on 10.09.18 at 10:40 pm

Aug 16, 2017
The Cannabis Act and Residential Tenancies

https://www.airdberlis.com/insights/publications/publication/the-cannabis-act-and-residential-tenancies

#87 Cristian on 10.09.18 at 11:15 pm

“All in all, it’s highly unlike they will be able to retire early and still have a good living standard.
$2,000,000 may be enough to retire on now, but not 30 years from now.

A hollow excuse for not trying. – Garth”

I was not talking about trying or not, but about not giving people false expectations. I would expect a realistic calculation from a financial adviser.
Wouldn’t you?…
It’s definitely worth not just trying but doing, with the expectation that they would have to choose between retiring early with a lower living standard or retiring at the usual age (still 65, but who knows in 30 years from now?) and enjoy a better standard.

#88 The Real Mark on 10.09.18 at 11:20 pm

Not sure why everyone is on this “rate hike next meeting” bandwagon. The data that might have supported such is weakening rapidly. Auto sales, PMI is falling. Commodities have no additional strength. Housing is going bad quickly. The long end of the yield curve is inverting and the stock market is barely above levels first reached over 10 years ago.

My prediction — the BoC was jawboning, and probably won’t actually do anything at the next meeting. The rate hiking cycle is largely over in Canada.

#89 Anonymous on 10.09.18 at 11:27 pm

Question: you often write about how couples should not but a house prior to getting married. How does common-law status fit in?

For example, for a couple which is engaged and already is common-law, would your advice be similar to the one given today (not to buy) or would you treat common-law status as married?

(Leaving aside the other financial reasons you give for not buying RE now)

#90 Rob on 10.09.18 at 11:28 pm

Hey Garth, thanks for keeping your blog going….just read yesterday’s post and before you shutter the blog, I’d encourage you to just deep six the comment section. Like most people, I don’t read the comments as there is just too much nonsense to be worth my time…maybe yours too?

#91 Amazing Global Warming Facts on 10.09.18 at 11:37 pm

Vital knowledge to help you live happily and carefree:

Climate Science

Paris Climate Accord

#92 JettaFlair on 10.09.18 at 11:44 pm

Hi Garth,

Do you have any thoughts on the City of Vancouver’s mass Duplex rezoning and how it might affect pricing in that part of the market?

If so can we get them in an article?

Thanks

#93 Sudbury on 10.09.18 at 11:47 pm

#40 Pierre Berton, I totally agree w you on Sudbury. Still close enough to Toronto and Ottawa, but also still possible to get a comfortable middle class home under $250k. I make 100k in Sudbury and paid under $200k for both of my properties (one is a fully rented duplex). It’s just a matter of deciding if you want to be stuck commuting two hours every day, or travel on weekends/once a month to to see your extended family. Our personal home operating costs (mortgage/ins/tax/heat/water/Hydro/internet)=$1160 a month. My income property operating costs are $1525 all inclusive, and rented at $2050 a month. So, somewhat cash positive on the rental and comfortably within my means at my primary residence. This doesn’t even account for my partner’s income. At some point in the near future I suspect a lot of middle class earners will give up on the major metro centres, hopefully do the math and see that there are pockets of opportunity in the north, and it’s possible to get ahead financially up here. Further, Sudbury’s reclamation efforts are profound. The basin is a UNESCO World Heritage Site. Sudbury isn’t moonscape anymore. It’s a beautiful place with a ton of healthy lakes, cross country ski trails and mountain bike trails. It’s just waiting to be overrun with obnoxious self righteous urbanites.

#94 Sudbury on 10.09.18 at 11:56 pm

Correction: Sudbury has applied to be a UNESCO world heritage site, but is not one yet. Point is, it’s becoming a very beautiful place to live within your means, and still be relatively close to the larger city centres.

#95 John Smith on 10.10.18 at 12:17 am

DELETED

#96 Stan Brooks on 10.10.18 at 12:24 am

The new reality:

1. Rent increases:

A new report by PadMapper says Toronto recently surpassed Vancouver as the country’s most expensive rental city for the first time, with average monthly rent for a one-bedroom condo in Toronto in December 2017 hitting $2,020 — $20 higher than Vancouver’s.

That’s a 15.4 per cent increase from the same period last year.

https://www.cbc.ca/news/canada/toronto/rent-expensive-toronto-2018-1.4491949

2. Food prices increases:

Grocery CEOs warn higher food prices coming amid cost pressures

https://www.theglobeandmail.com/business/article-grocery-ceos-warn-higher-food-prices-coming-amid-cost-pressures/

3. Wages stagnation:

https://www.cpacanada.ca/en/news/canada/2018-08-21-wage-stagnation-encouraging-employees-to-seek-new-employment

A recent report released by Indeed reveals that 83 per cent of Canadians are frustrated with their salaries. And the cost of living is the biggest reason employees plan to ask for a raise.

I guess that excludes the rich investors from this blog.

Based on the above number I can only guess how many retirees are not happy with their pensions either.

I know people who had to spend their savings first and then go deeper and deeper into debt just to live in s..th.les like GTA, owning nothing, but it seems this now could be becoming a common practice as it seem there are still strong-headed people thinking they will ‘make it’ somehow in GTA.

Next step will be more and more people with partially or fully paid houses who wont be able to survive the skyrocketing cost of living.

One has to be exceptionally stupid or confused in order to refuse to recognize the raging inflation in Canada.

More of it to come.

How inflation is possible with stagnant wages?
Simple – as economy produces little and currency implodes, imported stuff (like food, oil – except Alberta) becomes more and more expensive and you pay more, but consume less.

Being renter won’t help you much unless you live in a small town but good luck in finding well paying job there. And you still will be exposed to rising food, oil prices.

Total destruction of retirees, savers and the middle class, leading to the need to go further and further in debt just to survive somehow.

#97 LP on 10.10.18 at 12:28 am

#75 ImGonnaBeSick on 10.09.18 at 9:25 pm
Mr. Garth or blogdogs (nonplussed?), this is off topic, but what are your thoughts on extended warranties? I used to be vehemently against them, but it seems everything is made to break nowadays. Is there a preferred ratio or price cutoff? I have repaired my dishwasher twice and it’s only 5yrs old. Parts are becoming obsolete, hard to find, and expensive. Should we just bite the bullet and buy commercial grade appliances?

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

Don’t know much about this stuff. But, would it make sense when purchasing new to order one each of the few parts that you can replace yourself? I’m thinking water pump, door seal, racks etc. All together they might cost whatever an annual extended policy costs. You’d have your very own parts inventory since the manufacturers no longer seem to keep parts around for very long.

And save yourself the aggrevation and don’t buy anything else but a Bosch dishwasher. Our other “good” brand needed repair twice in 6 months and it was only 3 years old. The “good” brand repairman told us he only would buy Bosch for himself.

#98 Flat Earth Society on 10.10.18 at 12:32 am

#72 Kaganovich

“Well, at least I find it incredibly funny….CO2, “the gas of life” omfg”

You prove yourself to have missed the odd high school science class. But I don’t worry, you are they exact type we prey on.

Check out this wiki:

https://en.wikipedia.org/wiki/Photosynthesis

To quote:

“Photosynthesis is a process used by plants and other organisms to convert light energy into chemical energy that can later be released to fuel the organisms’ activities (energy transformation). This chemical energy is stored in carbohydrate molecules, such as sugars, which are synthesized from carbon dioxide and water”

Note what plants use to create carbohydrates, CARBON DIOXIDE and water. That carbon dioxide is taken from the air or in the case of water plants from CO2 dissolved in water much as fish breath oxygen dissolved in the water, not the water itself.

Remember folks, if there were no CO2 in the air there would be no plants. They would all die. Without plants it wouldn’t be too long before everything else dies.

Also remember to do a little research before you try sarcasm or you end up sounding like an idiot.

CO2 is the gas of life. It sustains all plants. Always has. It was much more prevalent than oxygen in the wee days of the planet and it was plant life that converted most of it to foliage, fossil fuels, and oxygen. Without it, everything dies. That said you can have too much of a good thing but we are a long long way away from there.

I am only too shocked at how successful our campaign to justify raising taxes was. I did not know that whole generations of people would not be able to understand science as a result. Blowback I suppose. Oh well I and my colleges were enormously enriched by it and expect to continue to be so. I suppose if posters like Kaganovich don’t understand photosynthesis what do I care so long as they pay the new taxes and we thus get paid for the propaganda.

#99 slick on 10.10.18 at 12:48 am

#83 doug in london and all the rest of you foolish climate change believers {including you Garth}; it is called weather!
changes all the time.
There have been storms, tornadoes, floods for years {ask Noah}. there are so many variables that cause weather patterns to change year to year that no one can predict them. As far as scientists and their credentials, name one scientist that got a grant for disproving ‘climate change’.
I have a farm, been watching the weather for over 50 years. sometimes hot, sometimes not.
We have had a boat in Lake erie for 4 years. the water level has risen 3 feet in the that time. Why?? weather.
If you feel so confident that the earth needs saved, send all your money to snake oil salesman Al Gore.
We even elected a government that actually believes they can legislate the weather!!
I will remain a proud denier.

And now something from one of the greatest minds ever;
https://www.youtube.com/watch?v=7W33HRc1A6c

#100 Nonplused on 10.10.18 at 12:55 am

It’s hard to understand, with any information you want available with a few click in today’s modern age, that people do not know that CO2 is fundamental to plant life, and also at the lowest level it has ever been historically because the plants keep gobbling it up. (Well, until the start of the industrial revolution when we started putting it back in the atmosphere anyway).

Maybe global warming will flood out Vancouver. Good! Finally put an end to the craziness going on out there. Besides, most of the city is made of termite, mold, and SJW infested 60 year old wood structures. It would probably be a favor to us all if the sea reclaimed it.

But it won’t and anybody who is smart enough to manage money knows this. Even people who aren’t smart enough to manage money know this. How can you tell? Well, people still buy houses that are supposed to be underwater by now. 1/3 of Holland is under sea level and they haven’t been raising the dykes. There is no appreciable rise in sea level and none is expected by the people who build, buy and insure houses. It’s all a farce. Fake news. Ghosts in the closet. Just another daemon in our daemon haunted world.

But the glaciers are retreating! Ya well they have been doing that for 10,000 years and thank Dog or Calgary would still be under 1000 feet of ice. I don’t want to live under 1000 feet of ice. I’ll take a little longer summer if you will.

#101 Smoking Man on 10.10.18 at 12:57 am

Earl of Southhampton on 10.09.18 at 10:21 pm
#79 Smoking Man on 10.09.18 at 9:34 pm

“Lord Black nails it.”

Yes, Lord “the felon” Black has the moral authority to nail things.
……

It’s not about moral authority. Life is about nailing things. He’s good at it.

Life is competition. So true in the animal kingdom. And the human race.

All you tree huggers what justice. In other words, you want to steal something using state power from some one else because you are not smart enough to nail it for yourself.

You are going to suffer life long loses and misory with that mind set.

Kill or be killed is how nature works. No unicorns in the real world either.. Just ufos and aliens.

Man up bitch. Make a bet, trade and make money. Its addictive.

Fighting for equal pay bla bla bla. Anyone trading time for wages regardless of gender are losers. Own the corp, buy jet.

That’s winning little people.

#102 Fire Warden on 10.10.18 at 1:02 am

The west coast (California, Oregon, Washington, and British Columbia) released more CO2 than 20 years of emissions regulations could curtail. Plus a lot of other nasty stuff too. The air quality was horrible. And not because of the CO2 but all the other stuff that got burned up too. No catalytic converter on a forest fire.

#103 Midnights on 10.10.18 at 1:04 am

We Humans are to blame…lol

Martin Armstrong

https://www.armstrongeconomics.com/international-news/nature/now-we-have-caused-the-earth-to-shift-we-humans-cause-everything/

#104 Michelle Moses on 10.10.18 at 1:16 am

Another Garth blogger tangent coming… glaciers, just like coral reefs, will be close enough to extinct where our lakes lay. B.C. towns and Calgary rely on the glaciers for our water (ultimately). I’ve heard 30 years and we are done. I might be dead by then… besides the point! That cabin us wrinklies fight so hard to pass down to kids who won’t use them, maybe pointless when lakes and natural drinking and sewage supplies run dry. I welcome anyone to say different. Scary concept

#105 Mr Buyer on 10.10.18 at 1:17 am

Well returning to Canada. Bought a townhouse on the internet (do not buy houses on the internet btw). Bought a new car on the internet (do not buy a car on the internet either btw). Everything is paid for but there is not a whole lot left in the bank. I need to start some kind of work or company or something to save money again (I am buying a small used boat but I couldn’t find one on the internet). Anyways I have to get making money again. Any suggestions?

#106 waiting on the westcoast on 10.10.18 at 2:10 am

#75 ImGonnaBeSick on 10.09.18 at 9:25 pm says… “Mr. Garth or blogdogs (nonplussed?), this is off topic, but what are your thoughts on extended warranties? I used to be vehemently against them, but it seems everything is made to break nowadays. Is there a preferred ratio or price cutoff? I have repaired my dishwasher twice and it’s only 5yrs old. Parts are becoming obsolete, hard to find, and expensive. Should we just bite the bullet and buy commercial grade appliances?”

Most things (appliances, electronics, etc.) are so cheap now that it is more cost effective to replace if something goes wrong post standard warranties. If you added up the premiums for all the extended warranties that you would buy, it should easily cover the odd device that goes bad…

#107 Midnights on 10.10.18 at 2:18 am

Martin Armstrong: Napoleon, War, Sunspots, & Human Excitability

https://www.zerohedge.com/news/2018-10-09/martin-armstrong-napoleon-war-sunspots-human-excitability

#108 The Real Mark on 10.10.18 at 2:20 am

https://www.youtube.com/watch?v=50N1wQeYyaA

Ross Kay lays out the case for deflation and a recession.

I’m personally convinced that there will be no rate hike, that Poloz et al were just “jawboning”.

#109 conan on 10.10.18 at 2:31 am

Democracy and the free market are the best choices when it comes to government and economic models.

Yet, they might not be good enough to tackle climate change. We are on a one way ticket to a broken planet.

There will be millions of people forced to move. I doubt they will all be friendly.

#110 millmech on 10.10.18 at 2:34 am

#71
TD raised their rates on the three year special rate by 20 bp
#69
Lots of houses for sale in Penticton, most of them empty as for an easier sale, owners are from the lower mainland is what realtor has told me, and now that the summer forest fire season is over you get the winter fireplace air quality warnings till March.
Garth I would recommend that your clients start reading Castanet news to get a better handle on the city life, those two Okanagan cities have some of the highest property crime rates and homelessness in Canada.
The prison in Oliver drops off new releases in Penticton and give them cash for a Greyhound ticket out of there, now with no more Greyhound after October the new releases get dropped off in Penticton with nowhere to go.
It is not that nice of an area to live full time anymore and yes the low paying jobs with no benefits abound there, as a job I had there in the late 80s is still available there for $4.00/hr less than I was being paid 30 years ago.

#111 Grandma Moses on 10.10.18 at 3:25 am

Okanagan a desert? News flash, it’s already the northern tip of the Great Mojave Desert. Another bogus claim by “climate science”.

And did any of you Climate Crazies every take a geology class? Do you remember reading about the Canadian ice dam that collapsed during the Millesian Period, 7.5 million years ago and created the Mediterranean Sea, created the Caspian, the Black and the Dead Sea? Of course, the facts run counter to the wealth distribution model so why bother reading, right?

#112 Russ on 10.10.18 at 3:26 am

How could anyone mistake that Dodge as a Ford?

Maybe a girl, I guess.
I had VW diesel car repainted by a friend. He had a bit o’ wit and re-applied the rear lettering as “JEDI”, (instead of jetta tdi, for the moronically challenged… Try to keep up) Anyhow, I was in a Mr. Lube and the girl could not find the model “Jedi” on her computer.
Cute.

BTW, I like the carbon tax now. Didn’t in the begining. It won’t change the climate or stop global warming but being a tax on everything it helps the poor pay their fair share too!

#113 Grandma Moses on 10.10.18 at 3:30 am

Whoops, school was so long ago.

Meant to reference the Zanclean Flood not the history of Greece.

#114 Grandma Moses on 10.10.18 at 3:39 am

This is going to kill the “earth never changes” climate nuts.

https://www.livescience.com/42115-giant-salt-crisis-explained.html

Get a grip, it’s been worse, all by itself, wobble wobble

#115 Stan Brooks on 10.10.18 at 4:54 am

Some renters here argue that inflation is sub 2 %.

https://toronto.citynews.ca/2018/05/08/toronto-rent-affordability-tanking-prices-skyrocket-report/

With rental increases in the range of 15-20 % yearly…

Can’t understand that masochism, really.

#116 not a globalist on 10.10.18 at 7:08 am

Poster #1 – Zuckerberg is my hero – wth

Garth has a cult following – but they tend to be a little on the bland side – even for Canadians. I can’t even read most comments without wanting to gouge my eyes out.

PS – Trump rules

#117 Debbie St Pierre on 10.10.18 at 7:41 am

I am 21 and my boyfriend is 22. We both graduated from university last month and have been working for 2 weeks.
Together we have managed to save the following:
TFSAs: $120,000
RRSPs: $387,672.72
Savings: $865,655.56
Stocks: $23,765
RESP: $56,765

We hope to buy a house next summer but are now reconsidering.

It’s interesting, sad even, how people mock a couple in their mid-twenties who together have amassed almost $200,000. largely by working in a remote, high-income area and resisting the siren song of real estate. This says more about the mockers than the achievers. We seem to be hurtling towards the lowest common denominator. Many will achieve that goal, especially those who spend time tearing away at others. – Garth

#118 Stone on 10.10.18 at 7:46 am

#77 Belieber on 10.09.18 at 9:30 pm
I always lol at the letters Garth ‘receives’.

If you are making 70k a year you probably have a university education. That means you graduated and started working around 22.

If by 24/25 you have paid off your student loans, bought a car AND saved 100k you should literally change nothing at all.

Whatever is you are doing Nadine just keep doing it.

———

If you are making 70k a year you probably have a university education.

Are you sure about that? Last I heard, most university grads work at Starbucks. Since when did Starbucks start paying $70k a year?

#119 Turtleguy on 10.10.18 at 8:17 am

Sooo … my honest question about prices in 2020 is removed … but “Flat Earth Society” can bombard us with pseudoscience conspiracy theories all day long?

I read “The rules” and didn’t violate any of them. Odd things happening in this discussion. Very odd.

#120 In Garth We Trust on 10.10.18 at 8:17 am

“It’s interesting, sad even, how people mock a couple in their mid-twenties who together have amassed almost $200,000. largely by working in a remote, high-income area and resisting the siren song of real estate. This says more about the mockers than the achievers. We seem to be hurtling towards the lowest common denominator. Many will achieve that goal, especially those who spend time tearing away at others.” – Garth

Truer words were never spoken by the bearded mystic financial sage that runs this blog. Those who have expressed skepticism and ridicule give your heads a shake. I was mortgage free in the GTA at the tender age of 29. Almost 30 years ago and I have never looked back. Folks it is possible and it was always possible to have a nice net worth at a tender age. Not easy for sure but if it was everyone would be doing it. If this couple keeps at it and maintains the discipline, they will do very well in life.

#121 Turtleguy on 10.10.18 at 8:17 am

Sooo … my honest question about prices in the future is removed … but “Flat Earth Society” can bombard us with pseudoscience conspiracy theories all day long?

I read “The rules” and didn’t violate any of them. Odd things happening in this discussion. Very odd.

#122 crowdedelevatorfartz on 10.10.18 at 8:23 am

@#67 Linda

I dont think I’ll be thinking of procreating in my 90’s.

I’ll just be glad that someone has finally come up with software to rid us of the endless passwords required to log in everywhere.
AND
I’ll be glad to know where my shoes are.

#123 Earl of Southhampton on 10.10.18 at 8:24 am

#101 Smoking Man

“Life is competition. So true in the animal kingdom. And the human race.”

Cooperation has led to more advances than jungle competition. Your body consists of 50 trillion cells that are cooperating to keep even your alcohol riddled old corpse going…. Your assumption that everyone who disagrees with your drunken and mindless comments is a parasite who lives off the backs of others is pure garbage like everything you spew out on this blog. You are a total mindless fool that is tolerated by the sage that runs this blog because you provide comic relief. Go back to the bar and drink yourself into oblivion you loser.

#124 Shawn Allen on 10.10.18 at 8:28 am

A pithy comment

To the mockers and non-believers

Remember this rule of predicting success and failure in life:

“Winners Win and Losers Lose”.

That is, winners tend to keep on winning and losers tend to keep on losing and whining about the unfairness of it all. Not always, but it’s the way to bet.

#125 crowdedelevatorfartz on 10.10.18 at 8:39 am

@#82 Ponzi Pilot
“Having a dog riding at the back of an F-150 is illegal.
Even a cat person like myself knows that.”

+++++

Glad to know you’re focussing on the important things in life.

#126 Shawn Allen on 10.10.18 at 8:40 am

Global Government will and must grow

Climate change and/or harmful emissions of any kind, nuclear war, perhaps epidemics, and perhaps immigration are global problems and some or all of these can only be properly dealt with by some kind of global rules.

Therefore there must be and will be increasing global government non optional rules.

We need more global rules around fair trade, fair corporate taxation, human rights, as well as pollution and climate change and nuclear and more. Since it must happen it will happen. It’s one globe. Reversal of globalization of trade is completely laughable.

The notion of totally sovereign nation states was a nice system whose time has passed.

I don’t know how it will work but there will be stronger global rules and Trump is just a bump in the road trying to reverse and slow an absolutely inevitable trend. Any reversal will be temporary.

#127 Howard on 10.10.18 at 8:42 am

#120 In Garth We Trust on 10.10.18 at 8:17 am

“It’s interesting, sad even, how people mock a couple in their mid-twenties who together have amassed almost $200,000. largely by working in a remote, high-income area and resisting the siren song of real estate. This says more about the mockers than the achievers. We seem to be hurtling towards the lowest common denominator. Many will achieve that goal, especially those who spend time tearing away at others.” – Garth

Truer words were never spoken by the bearded mystic financial sage that runs this blog. Those who have expressed skepticism and ridicule give your heads a shake. I was mortgage free in the GTA at the tender age of 29. Almost 30 years ago and I have never looked back. Folks it is possible and it was always possible to have a nice net worth at a tender age. Not easy for sure but if it was everyone would be doing it. If this couple keeps at it and maintains the discipline, they will do very well in life.

———————————————–

30 years ago a house in the GTA (since you specifically stated GTA, I presume you weren’t in the 416) cost the sum total of a few 2-4s and Leafs tickets. Do you want a pat on the back for winning the birth year lottery?

Well done to the young couple. Certainly helps of course that they shacked up early to split the costs.

#128 dharma bum on 10.10.18 at 8:46 am

#105 Mr. Buyer

Anyways I have to get making money again. Any suggestions?
——————————————————————–

Get a job.

#129 Kaganovich on 10.10.18 at 8:47 am

Flat earth society

Yes, you have it correct there. It must be that all the climate scientists, paleoclimatologists, even geologists don’t understand transpiration and photosynthesis lol…go on…regale us with some buffoonery from Linden, Ball, de Vreitas or the Pielke Sr/Jr. duo….surely you realize that these arguments you are making destroy any credibility you may have had. You, along with the small group of folks bent on dissimulating and denying what is basically obvious will continue to be laughed at by a growing majority.

#130 crowdedelevatorfartz on 10.10.18 at 8:48 am

@#118 D. St. P.

The facts as stated.

“I’m 24 and he’s 25.
– no debt, vehicles and school are paid off
– renting 1 bedroom apartment for 1000$/month
– Net income: 140,000 (subject to decrease as we are moving from Northern BC to the Okanagan and our wages will be lower)
– We both have our TFSAs maxed at 42,000 and 47,000
– RRSP contributions around 15,000
– Then 65,000 in savings account”

+++++
May we assume.
No university debt possibly trade school (earn while you learn appprenticeships)?
May we assume they bought used vehicles for 1 – 2 k and maintain them themselves?
$140k per year working in Camps is easy. (12 hr shifts, 7 days a week for 2 weeks in and one week out. Get a second job when out for one week).
I have a friend working in the Site C camp last year. He was clearing almost $8500 a month after taxes. Free room, free food. Not a bad gig if you can handle “camp life”.
The TFSA (45k each)and RRSP(35k each) savings aren’t that impossible if you dig in and save, forgo frivolous expenses, and live like a hermit for a few years.
If they do this for a few more years they are set.
Then they can kick back and work normal hours, normal shifts in another town.
Its called sacrifice.
Try it.

#131 Heloguy on 10.10.18 at 8:54 am

Correction: Sudbury has applied to be a UNESCO world heritage site, but is not one yet. Point is, it’s becoming a very beautiful place to live within your means, and still be relatively close to the larger city centres

Last time I drove through Sudbury, I stopped to fill up with gas. Asked the attendant if there were birth defects in the area and without batting an eye, he said his sister has a tail.

#132 FOUR FINGERS WATSON on 10.10.18 at 8:56 am

It’s interesting, sad even, how people mock a couple in their mid-twenties who together have amassed almost $200,000. largely by working in a remote, high-income area and resisting the siren song of real estate. This says more about the mockers than the achievers. We seem to be hurtling towards the lowest common denominator. Many will achieve that goal, especially those who spend time tearing away at others. – Garth
………………………………….

I’m not so sure they are being mocked…..two 25 year olds in a financial position like that is very rare indeed, bordering on the unbelievable. I think it is more a bs call than mockery.

My goal was to have a million, liquid, at age 30 (and a million actually bought something back then). I made it. – Garth

#133 Howard on 10.10.18 at 9:04 am

#125 crowdedelevatorfartz on 10.10.18 at 8:39 am

@#82 Ponzi Pilot
“Having a dog riding at the back of an F-150 is illegal.
Even a cat person like myself knows that.”

+++++

Glad to know you’re focussing on the important things in life.

———————————————–

One comment doesn’t equate to someone “focusing” on something.

And putting a dog in the bed of a truck is often terrifying to the animal not to mention puts the dog at risk of falling out onto the road, particularly if the truck has to brake hard.

#134 CHERRY BLOSSOM on 10.10.18 at 9:05 am

T2 has inadvertently built a marijauna WALL between Canada and USA. No Canadian allowed to cross over to USA or be restricted for life if they are invested in grass or smoked grass. This DRUG WALL is built for free. Go figure,

#135 Grandma Moses on 10.10.18 at 9:11 am

Wow, this is unbelievable. The government and the companies involved are outright lying about pot buying.

https://business.financialpost.com/cannabis/protection-of-cannabis-data-raises-privacy-questions

ALL illegal activities, and information related to illegal activities in either country are automatically shared by all authorized police service. That means Border Patrol !!!’

The obfuscation being perpetrated by Canadian government and media is shocking. Look, I understand people accepting jobs at pot outlets but the fact is you are automatically listed on the US criminal database as being involved in a criminal enterprise.

This has to become a class action lawsuit by Canadians who were duped and lied to by the current barrage of hype by pot growers and Trudeau Liberals desperate for a political hit against Trump. Be joyful that Canada and Uraguay are the only countries that have tried this. Uruguay is not connected to the US. This was not well thought out.

#136 IHCTD9 on 10.10.18 at 9:11 am

#75 ImGonnaBeSick on 10.09.18 at 9:25 pm says… “Mr. Garth or blogdogs (nonplussed?), this is off topic, but what are your thoughts on extended warranties? I used to be vehemently against them, but it seems everything is made to break nowadays. Is there a preferred ratio or price cutoff? I have repaired my dishwasher twice and it’s only 5yrs old. Parts are becoming obsolete, hard to find, and expensive. Should we just bite the bullet and buy commercial grade appliances?”
_____

I’d question what those extended warranties actually cover. I’d go the www. repair route if you have some mechanical and electrical aptitude.

I just recently repaired our freezer/fridge, and dryer. Diagnosed the problem using info and comments section on parts supplier website, they actually had videos showing how to do the install, so I followed them to do the repair. Both repairs were done in about a 1/2 hr. and under 100.00 all in.

PS, the dryer went 16 years without a single problem, the fridge went 17. I had zero issues getting parts with either (bought online).

#137 dharma bum on 10.10.18 at 9:15 am

The real question is: Even if you don’t think it is us – it’s a historic first time natural event – shouldn’t we be getting prepared for it?
——————————————————————–

You cannot prepare for it.
You cannot prevent it.
It is meant to be.
It is part of the natural order of things.
The earth needs a good cleansing every 100,000,000 years or so.
Getting rid of its primary toxin – humans – is a good start.

#138 NoName on 10.10.18 at 9:21 am

Very first vodeo on topic of climate change that i watched. Definitely worth watching, especially if you think that carbon tax will fix problem, gov can provide some incentive but if “projects” in question are not scalable up it will faill. As dude sad driving a electric car and feeling god about your self about is not helping anyone especially environment.

https://www.youtube.com/watch?v=euXfy9c3Vuw

#139 FOUR FINGERS WATSON on 10.10.18 at 9:28 am

I’m not so sure they are being mocked…..two 25 year olds in a financial position like that is very rare indeed, bordering on the unbelievable. I think it is more a bs call than mockery.

My goal was to have a million, liquid, at age 30 (and a million actually bought something back then). I made it. – Garth
…………………..

I am glad to hear it. You are a smart, hard working, and fortunate guy……But 99% of us never would never be in those kids’ position at age 25 unless we had a trust fund, an inheritance , or won the lottery. That is why it is hard to believe and some might call bs.

#140 meel on 10.10.18 at 9:32 am

“My goal was to have a million, liquid, at age 30 (and a million actually bought something back then). I made it. – Garth”

Can you elaborate or write as a blog post, Garth? It would be great to learn from your experiences on how you achieved this!

#141 crowdedelevatorfartz on 10.10.18 at 9:50 am

@#133 Howard

And I thought the Full Moon was a week or so ago…..
Are you and Ponzie, cat loving, cojoined ( Siamese) twins?

#142 Mattl on 10.10.18 at 9:55 am

“Already she is worried about him creating “the worst financial decision of my life.” If that turns out to be the case (highly likely) can this union even survive?”

I appreciate a contrarian view on RE, and I wouldn’t advise anyone to buy right now in markets like YVR, but this is just BS. As if for most people (you say highly likely) buying a home is the worst financial decision of their life. The numbers don’t support anything even close, and even in down markets we have to live somewhere. While this blog hyperventilates about RE most of us just go on with our lives, make our payments and retire at a reasonable age. A paid for home, for most, is an important part of that strategy.

If this couple does go ahead and buy in the Okanagan they will easily be able to afford the payments on their house (depending on where they live, lots of inventory sub 500K) and their marriage has a 50-60% chance of making it longer then the mortgage lasts. They are obviously savers and will still be able to load up their TFSA, RSSP and cash accounts. Sure there might be a better path but with vacancies here under 1% and them wanting to start a life together very likely this would not be a bad move.

And houses aren’t investments.

#143 In Garth We Trust on 10.10.18 at 9:57 am

#127 Howard

“30 years ago a house in the GTA (since you specifically stated GTA, I presume you weren’t in the 416) cost the sum total of a few 2-4s and Leafs tickets. Do you want a pat on the back for winning the birth year lottery?”

It was in the 416 and the price was three times our annual income. Hefty down payment. Another “you won the birth year lottery” commentator. Yes, I had it easier in terms of price than today’s generation. No doubt about it. However, Howard, even in my day, few paid off a home by the age of 29. It took rigorous financial discipline that has paid off in spades ever since. Not everyone who won the birth lottery did what I did… I am not looking for a pat on the back just stating that those in their 20s can start accumulating a nice nest egg that only continues to grow through the years. Compounding wealth as the great Warren Buffett states. Make your snowball early in life and let it gather mass and momentum as it rolls down the mountain…

#144 The real Kip on 10.10.18 at 9:59 am

Wow, Melania looks happy, NOT! I can’t figure out why she stays. The money must be a powerful pull.

#145 In Garth We Trust on 10.10.18 at 10:02 am

“My goal was to have a million, liquid, at age 30 (and a million actually bought something back then). I made it. – Garth”

Well done sir! That would be around the year 1979 and yes a million was serious money then. We sold a home in Toronto for $78k in 1978, on the subway line, 5kms from downtown Toronto. A million would have bought about 12 of these homes. Very impressive indeed!

#146 Spectacle on 10.10.18 at 10:04 am

133# Howard on 10.10.18 at 9:04 am
#125 crowdedelevatorfartz on 10.10.18 at 8:39 am

@#82 Ponzi Pilot
“Having a dog riding at the back of an F-150 is illegal.
Even a cat person like myself knows that.”

+++++

Glad to know you’re focussing on the important things in life.

———————————————–

One comment doesn’t equate to someone “focusing” on something.

And putting a dog in the bed of a truck is often terrifying to the animal not to mention puts the dog at risk of falling out onto the road, particularly if the truck has to brake hard.

—————- ; ) ——————

Ok, Ok, ….we will all switch back to Cats. Not sure how this helps the Portfolio.

#147 Alberta Ed on 10.10.18 at 10:19 am

The UN being a political body — the same one that gave us Oil for Fraud, remember — I wouldn’t trust anything the IPCC says, particularly in light of a recent independent audit of the IPCC database on world temperatures that revealed myriad inaccuracies. The IPCC claim that a majority of scientists support their findings is farcical.

#148 Yuus bin Haad on 10.10.18 at 10:23 am

Control the global climate? We can barely manage our Blue Boxes!

#149 IHCTD9 on 10.10.18 at 10:26 am

#59 Cristian on 10.09.18 at 8:16 pm

$2,000,000 may be enough to retire on now, but not 30 years from now.
______

Totally disagree. Costs on all consumer goods have dropped like a stone over the last couple decades, while choice has multiplied ten fold. This trend will keep on into the future.

Anyone with a bit of effort can control their cost of living – there is so much choice out there these days that you’ll scarcely need to sacrifice at all to do it.

Aye, education, taxes, energy, government and RE will all inflate in cost over the long run. But a retired couple will have limited exposure to most of these items.

Just about everything else will be getting cheaper.

#150 Ubul on 10.10.18 at 10:36 am

“My goal was to have a million, liquid, at age 30 (and a million actually bought something back then). I made it. – Garth”

Most certainly not with a diversified portfolio that yields 6% on average.

Obviously not. Young people should be entrepreneurs, risk-takers and aggressive investors in business interests. Not mortgage slaves. In later life a balanced, diversified portfolio is ideal to retain wealth and steadily augment it. – Garth

#151 millmech on 10.10.18 at 10:51 am

139
This is easily achievable for a young couple with good paying trade jobs, only would take 1500 a pay period each which works out to 40k a year, factor in rrsp refund and even easier. A young guy in our dept is currently doing this with his GF who also works in the trades, rents a house in Chilliwack for 1k,cheap paid off cars, low expenses.
142
Yup a great move and when the work slows down they will go where if they get laid off?
Not a lot of diversified industries in that area that pay well, been there done that(biggest employer is house construction and when that slows down where are all the construction trades going to work?)
Remember the sunshine tax that they will have to pay of a 60% pay cut(coast and northern trade wages $43+/hr, Okanagan wage for same position $19-$23/hr, pension DB-$60-$100 per year of service, Okanagan pension-$400/yr ie $.25 per hour)

#152 PastThePeak on 10.10.18 at 11:05 am

#139 FOUR FINGERS WATSON on 10.10.18 at 9:28 am
I’m not so sure they are being mocked…..two 25 year olds in a financial position like that is very rare indeed, bordering on the unbelievable. I think it is more a bs call than mockery.

My goal was to have a million, liquid, at age 30 (and a million actually bought something back then). I made it. – Garth
…………………..

I am glad to hear it. You are a smart, hard working, and fortunate guy……But 99% of us never would never be in those kids’ position at age 25 unless we had a trust fund, an inheritance , or won the lottery. That is why it is hard to believe and some might call bs.
++++++++++++++++++++++++++++++++++++

While their age at 25 is indeed an exception to have that much in savings, another posted noted how that this can be accomplished due location & thus consideration of the remote work, longer hours, ability to save, etc. Many could do something similar if they had the drive.

Any STEM graduate who did a bit of targeting of their discipline, and hard work, can easily by making $60K+ by 25 (graduate at 22, 3 years in). Double that for a couple/household in this case, and $120K is achievable.

Most who get such STEM degrees do not have a trust fund, inheritance, or have won the lottery. Some may have RESPs to help them graduate with reduced debt.

I have no doubt that someone who focuses on professional trades with qualifications (electrical, plumbing, gas, etc.) that have higher prices, that start early in the process of college/trade school + apprenticeship, could be making $50K/year in mid-to-late 20s if willing to put in the hours (say in the employed business & on the side).

#153 ch on 10.10.18 at 11:19 am

“Comrade Premier Horgan”

You mean the head of the party thats saving BC and giving me some kind of hope for a future other than a provincial economy that 50%+ based on real estate? that Comrade? He may not be perfect but he doesnt need some old right winger associating him with Soviet Russia ffs. Grow up.

#154 n1tro on 10.10.18 at 11:23 am

#129 Kaganovich on 10.10.18 at 8:47 am
Flat earth society
Yes, you have it correct there. It must be that all the climate scientists, paleoclimatologists, even geologists don’t understand transpiration and photosynthesis lol…go on…regale us with some buffoonery from Linden, Ball, de Vreitas or the Pielke Sr/Jr. duo….surely you realize that these arguments you are making destroy any credibility you may have had. You, along with the small group of folks bent on dissimulating and denying what is basically obvious will continue to be laughed at by a growing majority.
————————–
Dude, just stop. The topic isn’t clear cut like people believing gravity being a constant. Many scientists have varying opinions/research on the subject matter. Dismissing the one side and taking the other as an absolute makes you the sheeple.

The actual topic which people forget while accusing others of being morons is the tax that is taken and put in a blackhole. To add insult to injury, the tax isn’t collected from the worst polluters…because it isn’t “fair” for them at this time.

BTW…gravity isn’t a constant so I guess that makes me a gravity denier.

#155 Tony on 10.10.18 at 11:26 am

Re: #88 The Real Mark on 10.09.18 at 11:20 pm

Poloz fell asleep at the wheel. Interest rates have always been higher in Canada than in America until Poloz took the helm.

#156 Ubul on 10.10.18 at 11:29 am

#91 Amazing Global Warming Facts

The most amazing global warming fact, according to an expert promoting the new UN report on the radio this morning, is that in order for Canada to meet the target, tar sand oil production and all (!) the manufacturing in the country should go.

The host didn’t have a follow-up question, how Canada is supposed to generate the current GDP without manufacturing.

Eliminating energy use for manufacturing is hardly a goal, unless free energy is invented, until then Canadians just should pay the penalty tax for not willing to comply with the target.

Ironically, paying the penalty tax will require to generate even more global warming generating economic activities, on top of the already existing one.

Amazing.

#157 MF on 10.10.18 at 11:32 am

#134 CHERRY BLOSSOM on 10.10.18 at 9:05 am

-Good. Great move by the feds down south.

Simple solution: don’t be a drug addict or invest in garbage companies that profit off of drug use.

MF

#158 Doug in London on 10.10.18 at 11:33 am

@slick, post #99:
Is a George Carlin skit the best argument you can come up with? No wonder no scientist that got a grant for disproving ‘climate change’. No scientist with any serious credentials ever did or ever will disprove climate change unless their “research” is funded by fossil fuel companies. If you’re so sure it’s all a hoax then why don’t YOU go to the next meeting of the IPCC and tell them they’re wrong? I’m sure they’re eagerly waiting to hear from you. Myself, I’ll go with credible sources of information, which clearly excludes you.

#159 Ubul on 10.10.18 at 11:35 am

#150 Ubul on 10.10.18 at 10:36 am

“My goal was to have a million, liquid, at age 30 (and a million actually bought something back then). I made it. – Garth”

Most certainly not with a diversified portfolio that yields 6% on average.

Obviously not. Young people should be entrepreneurs, risk-takers and aggressive investors in business interests. Not mortgage slaves. In later life a balanced, diversified portfolio is ideal to retain wealth and steadily augment it. – Garth

What kind of investment strategy do you offer for your young, twenty something clients, with several hundred thousands to invest?

Don’t sink it all into a house in Penticton, listening to people like you. – Garth

#160 Doug in London on 10.10.18 at 11:38 am

My goal was to have a million, liquid, at age 30 (and a million actually bought something back then). I made it. – Garth.
———————————————————-
I’m duly impressed! I’d say that gives a lot of credibility to what you say here, something I can’t say about some of the commenters here.

#161 bdwy sktrn on 10.10.18 at 11:38 am

so the rout continues, stocks are starting to look like 604 shacks.
LOVING IT.
-3.29% on my etfs since bailing.
target is -5% but w rates spiking i think i need to move it.
still time for anyone with online accounts to get out for a spell.

5% is 50k on a modest 1m portfolio.

look out below!

#162 Penny Henny on 10.10.18 at 11:40 am

Niagara region real estate numbers for September

https://www.niagararealtor.ca/sites/default/files/September%202018%20Stats%20Press%20Release.pdf

#163 Evangeline on 10.10.18 at 11:52 am

Smoking Man

Just one minor nit-pick about Black’s article: he made the common mistake of thinking the term “Ugly American” means a loud, ill mannered, culturally bankrupt, insensitive individual — which is incorrect.

“The “Ugly American” of the book title refers to the book’s hero, plain-looking engineer Homer Atkins, whose “calloused and grease-blackened hands always reminded him that he was an ugly man.” Atkins, who lives with the local people, comes to understand their needs, and offers genuinely useful assistance with small-scale projects such as the development of a simple bicycle-powered water pump.[2]”

https://en.wikipedia.org/wiki/The_Ugly_American

#164 bdwy sktrn on 10.10.18 at 11:53 am

What kind of investment strategy do you offer for your young, twenty something clients, with several hundred thousands to invest?

Don’t sink it all into a house in Penticton, listening to people like you. – Garth
——————
SEVERAL hundred k? that’s more than plenty for a bal/div port.
go heaver equities like 90/10 (etf of course) for more risk/reward.
go heavier qqq/fang for even more.

happens to be a big sale happening as we speak.
25300-25400 dow may be a good entry time.

stay away from weed/bitcoin like your life depends on it

#165 Dr Talc on 10.10.18 at 12:06 pm

Weather ‘events’ are real, faked, staged, exaggerated, manipulated, etc.
They are reported on TV on 24/7 loops.
Followed by:
“The public is demanding action”

#166 Ogopogo on 10.10.18 at 12:21 pm

Kelowna real estate is falling faster than T2’s credibility. Houses sit unsold for months, even after price decrease after price decrease.

Popcorn has never tasted so good.

#167 b20yo on 10.10.18 at 12:22 pm

think B20 is going anywhere? how about OSFI doing the exact opposite…

HELOC’s toast in a falling market.

https://business.financialpost.com/personal-finance/mortgages-real-estate/osfi-to-take-new-measures-to-address-equity-based-mortgage-loans

#168 bdwy sktrn on 10.10.18 at 12:23 pm

158 Doug in London on 10.10.18 at 11:33 am


If you’re so sure it’s all a hoax then why don’t YOU go to the next meeting of the IPCC and tell them they’re wrong?

————-
The IPCC is a self-reinforcing circle jerk of fourth rate ‘scientists’ clamouring for public money with absurd tales of doom and truly shitty models. period.

the guys who actually understand complex thermodynamic systems and models are busy at real science. like the hadron collider. of fusion research. or networks and chips. or nuclear power plant design. boeing nasa spacex intel. real science. not bullshit models with ridiculous interpretations thereof.

calling co2 pollution is the clearest sign of cult membership.
( yes – co2 the most essential of all gasses to life on earth: plant life=200x animal life)

#169 Penny Henny on 10.10.18 at 12:26 pm

#161 bdwy sktrn on 10.10.18 at 11:38 am
so the rout continues, stocks are starting to look like 604 shacks.
LOVING IT.
-3.29% on my etfs since bailing.
target is -5% but w rates spiking i think i need to move it.
still time for anyone with online accounts to get out for a spell.

5% is 50k on a modest 1m portfolio.

look out below!

////////////////

clap, clap.

you called it.

#170 Y. Knott on 10.10.18 at 12:30 pm

A simple number on Climate Change and CAGW – this one shows the true nature of the warmists even better than Lyin’ Al’s Escalade, private jet or 20,000 sqft house.

It concerns the vaunted, repeated-ad-nauseam “97% consensus.” In fact, the number of papers whose presenters (all of them climate scientists) fully agreed with the CAGW statement (that CAGW is real and we’re causing it) added-up to 0.005 of the total; that’s right, less than one percent (google ‘Cook consensus’ – or maybe not google; they’re heavily invested in the scam too). Yet we get that nonsense “97%” number thrown in our face over, and over, and over…

Look it up yourself, and draw your own conclusions as to the honesty of the global warming “scientists” – follow the money.

#171 Fish on 10.10.18 at 12:36 pm

Walking Away From A Mortgage in Cana

https://www.hoyes.com/blog/walking-away-from-a-mortgage-in-canada/

#172 Grandma Moses on 10.10.18 at 12:43 pm

Now we find that only at the horror and strong admonitions not to legalize dope by the W.H.O did Trudeau drive the drug legalization through an unsuspecting crowd of naive politicians.

https://www.dailymail.co.uk/wires/afp/article-6260467/Just-say-no-drug-legalisation-WHO-chief.html

Canada has passed an inflection point, we’re driving towards destruction at a speed that the business community screams is irreversible. The Financial Post has a great article today. You’ve likely already seen it. The collapse of the TSX is largely attributed to the Trudeau Effect. God help us.

#173 IHCTD9 on 10.10.18 at 12:44 pm

#152 PastThePeak on 10.10.18 at 11:05 am

I have no doubt that someone who focuses on professional trades with qualifications (electrical, plumbing, gas, etc.) that have higher prices, that start early in the process of college/trade school + apprenticeship, could be making $50K/year in mid-to-late 20s if willing to put in the hours (say in the employed business & on the side).
_____

We have several young tradesmen working at our shop (welder/fitter, Machinists etc…). Two of them got into an apprenticeship right out of high school and had their papers by 22 years old. They now both make 60K+ in a small dead end town with standard OT that comes with the territory. They have zero debt as they obviously earn while they learn via an apprenticeship program.

If a guy like this hooks up with a Woman who makes the same, they could likely sock away 150K by 25 if they really buckled down. If they threw that 150K into investments and carried on with just 500.00/mo. deposited in there, they could retire at 65 with 2.5 Million based on 6% return. They’d have 1.3 Mil at 55, and 1 mill or so at 50 – SWEET!

#174 Ubul on 10.10.18 at 12:57 pm

#159 Ubul on 10.10.18 at 11:35 am

#150 Ubul on 10.10.18 at 10:36 am

“My goal was to have a million, liquid, at age 30 (and a million actually bought something back then). I made it. – Garth”

Most certainly not with a diversified portfolio that yields 6% on average.

Obviously not. Young people should be entrepreneurs, risk-takers and aggressive investors in business interests. Not mortgage slaves. In later life a balanced, diversified portfolio is ideal to retain wealth and steadily augment it. – Garth

What kind of investment strategy do you offer for your young, twenty something clients, with several hundred thousands to invest?

Don’t sink it all into a house in Penticton, listening to people like you. – Garth

You should double-check that archive, because you mixed me up with the wrong “people like you”.

The question remains: what kind of investment strategy, products, services are offered at Turner Investments that is specific for young, risk-taking people, who already have considerable savings as entrepreneurs, and willing to consider your advice, to be more aggressive investors? Maybe to have the same goal as you had, “to have a million, liquid, at age 30”?

Come in and find out. – Garth

#175 I'm A Believer on 10.10.18 at 1:11 pm

#31 Trojan House

There was a time when I was onboard with the climate change, it’s our fault thing. Then I spoke with a few scientist friends.
The earth has climate patterns; ice age, warm periods etc. And the magnetic poles have reversed a few times in the existence of the planet.
It seems there is always some new issue created to keep us in fear and to take the blame.
Sell expensive light bulbs to the public to save energy then raise Ontario rates because we in fact did a great job of energy conservation. Gee thanks.
Yes we can pollute the air we breath and the water we drink. But change climate of a planet? Really?
The earth was fine before humans came along, and it’ll be fine without us. We are just temporary guests. Arrogant guests.

#176 AGuyInVancouver on 10.10.18 at 1:12 pm

Seriously, couldn’t have Climate Change Deniers been tossed into the Basket of Deplorables whose posting sins were outlined in yesterday’s The Rules blog entry?

#177 BigJon on 10.10.18 at 1:13 pm

@173 IHCTD9
Although I’m currenty 20yo and studying for an accounting degree, I might just forget about getting the CPA as being a plumber or another type of tradesman sounds much more fun and appealing. You hiring?

#178 IHCTD9 on 10.10.18 at 1:29 pm

#177 BigJon on 10.10.18 at 1:13 pm
@173 IHCTD9
Although I’m currenty 20yo and studying for an accounting degree, I might just forget about getting the CPA as being a plumber or another type of tradesman sounds much more fun and appealing. You hiring?
___________

Not hiring now – but if you’re a young guy with a good attitude and work ethic, you should have no problems getting an opportunity. Most of the young guys we get for an apprenticeship are actually ex-work study students we entertained from the local high schools. If they impressed us then, and they come back with an interest in learning the trade, they’re usually taken on.

Biggest thing is attitude when you’re young and green.

#179 bdwy sktrn on 10.10.18 at 1:31 pm

#169 Penny Henny on 10.10.18 at 12:26 pm

got to give some credit to smokey and his herdonomics idea.
plunging even new depths as i type
i had no idea it would come so fast
the economy is fine, no problems there, just a spooked herd and rich valuations.

another -700 on the dow and im buying it all back.

——–
ps- to MF the anti weed kid – i just made your yearly salary in a week while puffing big fat chongers the whole time. you should give it a try, you’re pretty uptight. it’s just a plant made by god. no hangover, no calories, more open-mindedness and negligible impairment for most. and it makes music really great.

#180 Agent Smith on 10.10.18 at 1:32 pm

#123 Earl of Southhampton on 10.10.18 at 8:24 am

#101 Smoking Man

“Life is competition. So true in the animal kingdom. And the human race.”

Cooperation has led to more advances than jungle competition. Your body consists of 50 trillion cells that are cooperating to keep even your alcohol riddled old corpse going…. Your assumption that everyone who disagrees with your drunken and mindless comments is a parasite who lives off the backs of others is pure garbage like everything you spew out on this blog. You are a total mindless fool that is tolerated by the sage that runs this blog because you provide comic relief. Go back to the bar and drink yourself into oblivion you loser.
___________________________________________
In the animal kingdom Smoking Man is the virus of this world.
I’d like to share a revelation I’ve had during my time here. It came to me when I tried to classify your species. I realized that you’re not actually mammals. Every mammal on this planet instinctively develops a natural equilibrium with their surrounding environment, but you humans do not. You move to another area, and you multiply, and you multiply, until every natural resource is consumed. The only way you can survive is to spread to another area. There is another organism on this planet that follows the same pattern. Do you know what it is? A virus. Human beings are a disease, a cancer of this planet. You are a plague, and we are the cure.

– Agent Smith

#181 bdwy sktrn on 10.10.18 at 1:36 pm

#177 BigJon on 10.10.18 at 1:13 pm
@173 IHCTD9
Although I’m currenty 20yo and studying for an accounting degree, I might just forget about getting the CPA as being a plumber or another type of tradesman sounds much more fun and appealing. You hiring?
——————
if your a good millwright, instrument tech, gas fitter, mechanic etc then you can get a job most anywhere you want.

#182 bdwy sktrn on 10.10.18 at 1:47 pm

#173 IHCTD9 on 10.10.18 at 12:44 pm
#152 PastThePeak on 10.10.18 at 11:05 am

I have no doubt that someone who focuses on professional trades with qualifications (electrical, plumbing, gas, etc.) that have higher prices, that start early in the process of college/trade school + apprenticeship, could be making $50K/year in mid-to-late 20s if willing to put in the hours (say in the employed business & on the side).

————-
a neighbour of mine is building/general contractor for a house in cali right now. he is desperate for framers. he paying 70/hr usd for skilled hammer swingers, although US housing is getting punched too, so the price should drop soon.

#183 Blacksheep on 10.10.18 at 1:47 pm

Smoking man is right.

Risk = Reward

Some may consider his delivery crass, but the core message is correct:

“Life is competition. So true in the animal kingdom. And the human race. All you tree huggers what justice. In other words, you want to steal something using state power from some one else because you are not smart enough to nail it for yourself.”

#184 IHCTD9 on 10.10.18 at 1:49 pm

#175 I’m A Believer on 10.10.18 at 1:11 pm
_____

Maybe I’m becoming cynical and apathetic, but I just don’t take any MSM at face value anymore. ALL of it needs to be double checked. I need to see who they’re working for, and who funds them, I need to see corroboration based on different information from a different time from a different organization – multiple times. Who’s the point Man? What did he do for a living previously, who does he hang with? Who did he go to school with? You know – all the stuff the reporters used to do regardless of politics.

More often than not, I end up having to take the news with a grain of salt, then I wonder if whatever I may have learned is worth the effort of vetting it out of the mud.

#185 Mattl on 10.10.18 at 1:57 pm

166 Ogopogo “.Kelowna real estate is falling faster than T2’s credibility. Houses sit unsold for months, even after price decrease after price decrease. Popcorn has never tasted so good”

Central okanagan RE is up 5 points MOM and 8 YOY. Yes is takes 12 days longer to sell a home but hardly time to panic. You do realize that buy coming here month over month, year over year talking about the impending doom you are worse then the RE Always Goes Up crowd.

I’ve seen your posts on Castanet, when the market was actually flat and affordable here for like a decade you were convinced a crash was coming. You misssed it bud, no soup for you. How you liking 1% vacancy and 1200 dollar rutland basement suites?

I suspect this market will correct, amd fairly significantly, bu not one that passed on 2010 or 2014 prices and uber cheap money should be gloating about a small increase to DOM. When the correction comes your landlord will use his cash position to add units to his portfolio. The good days of affordable homes AND cheap money are long gone.

#186 Shortymac on 10.10.18 at 2:14 pm

Nadine: Seriously, keep your jobs and apartment currently and save more. It’s best to do so when you’re young and have a lot of energy, I wouldn’t pull a move and kid having until you’re closer to 30ish.

I started saving at 18 and it literally saved my butt when I had a bout of illness and unemployment.

Smoking man and others: can we put a pin in non-financial talk? I get politics crammed down my throat 24/7 I’d rather not have this sane blog be bogged down with such comments.

Also, Qanon is a troll that got out of control and the Qwatch folks run it. They just want your patreon and t-shirt money.

Art Bell (RIP) would have kicked this Q nonsense off his show, like the 9/11 truthers.

#187 bdwy sktrn on 10.10.18 at 2:27 pm

The Dow and S&P 500 dropped 5.7 percent and 5.9 percent this week, respectively, while the Nasdaq pulled back 6.5 percent.
“The market has been priced for perfection … and that leaves the market vulnerable to surprises. In this case, it’s trade,” notes one strategist.
———————–
this fron cnbc in march of 2018.

now “it’s trade PLUS higher rates”

dow dropped below 24000 then.

#188 Karlhungus on 10.10.18 at 2:35 pm

I’m amazed at the amount of whining on this blog in the last couple days. From garths polls that hes done in the past, it seems that a lot of you are sitting on sizable amounts of liquid assets. Imagine if a newly elected government implemented a new tax on any amount of liquid assets over 250k because you are all too wealthy.

#189 crowdedelevatorfartz on 10.10.18 at 2:52 pm

@#177 BigJon

Nothing wrong with Plumbing or Electrical ( electrical IS cleaner).
1st year apprentices can easily make 50k with over time. 80k – 100k by the time they are journeymen.
You can work anywhere in the world if you’re good at your trade.
Then there are the “side jobs” as you get better in your trade.
“Earn while you learn”.
Get paid for a USEFUL education. Not some degree that you will spend 4 years learning that no one wants or cares about.
As for accounting. Most predictions are, the majority of the work will be outsourced to other countries and or replaced by software programs.
Plumbing/Gas Fitting, Electrical/ Controls, Refrigeration is where the El Grande money is…….

A friend is a Refrigeration Mechanic and his wife is a nurse.
They were on holidays in Palm Springs and as a lark he called up a few job recruiters…..
The response was unbelievable. His phone started ringing and didn’t stop. Excellent job opportunities and signing bonuses for BOTH of them.. Lower taxes, on and on and on.
He sends me pics of the golf courses on Friday’s after lunch in Feb when its pi$$ing rain here…….

Trades.
Sky’s the limit.

#190 n1tro on 10.10.18 at 2:52 pm

Talk about a can of worms…

https://www.msn.com/en-ca/news/canada/ontario-to-exempt-sikh-motorcyclists-from-helmet-law/ar-BBOcAcJ?ocid=spartanntp

Political pandering has not party lines. Sucks to be a turban wearing non-sikh. Way a sec…there is a little thing called the Charter of Rights. I will test it this coming riding season.

#191 SoggyShorts on 10.10.18 at 2:56 pm

#52 For those about to flop… on 10.09.18 at 7:57 pm
Sorry if your ego is too fragile to handle constructive critisism. Please continue to use 50 lines of text to tell us about another 2% price drop. Or you know…maybe use your blog and link to it here as per rule #4
“• Please avoid pasting the text of excessively long articles or news stories within your comment — provide a link to the item instead.”

Same goes for the Howmuch articles. A quick 2 liner and a link works just as well as a full 3 page copy and paste.

#192 mike from mtl on 10.10.18 at 3:00 pm

#188 Karlhungus on 10.10.18 at 2:35 pm

Imagine if a newly elected government implemented a new tax on any amount of liquid assets over 250k because you are all too wealthy.
//////////////////////////////////////////////////////////////////

Such a thing already exists and depending on exactly what, applies on far less an amount.

Nearly all financial holdings and ‘earned’ income are subject to taxation in some form, whereas RE is largely not.

#193 Remembrancer on 10.10.18 at 3:00 pm

#184 IHCTD9 on 10.10.18 at 1:49 pm

Its also been said “never argue with a man who buys ink by the barrel”… though as with many things, technology has democratized the sharing of opinion, much of which would have been relegated to the cranky guy’s section of a letters to the editor page in a former age…

This is Media Awareness 101 and while we are currently able to swim, wade or wallow in it 24/7 the concept of editorial bias and the need to consider the messenger along with the message is as old as story telling around the cave fire. Its just not taught very well, these days along with critical thinking – the polar opposite of conspiracy thinking :-) This is not a MSM thing – private or publicly traded media company’s have their issues, but you trust some random opinion with access to WordPress and a .org or .ru account more?

I personally had the fortune of having a neighbor who was a somewhat jaded though earnest reporter with a Thomson’s newspaper which will go unnamed – from that perspective what is happening now is nothing new, though the velocity and reach has definitely expanded with the need to be critical and informed, not just a Thumbs up/down or Like clicker…

#194 Remembrancer on 10.10.18 at 3:16 pm

#178 IHCTD9 on 10.10.18 at 1:29 pm
Biggest thing is attitude when you’re young and green.
————————————————————-

Definitely – its the basics like (and depending on the work place YMMV):

+ be on time, in fact be 5-10 minutes early…
+ show up with a night’s sleep, not tired or hung-over…
+ if you run out of work, look for more or ask…
+ if you don’t know what to do, ask…
+ get to know co-workers – you don’t have to be buddies, just be pleasant…
+ leave on time, not checking out 5 or 10 minutes before… if the place looks slammed, maybe there’s something you can help on rather then watching the clock, and build up some points…

#195 MF on 10.10.18 at 3:26 pm

#179 bdwy sktrn on 10.10.18 at 1:31 pm

Hey buddy your health doesn’t care how big your wallet is.

Richest guy in the grave is like everyone else.

Have another toke you moron.

MF

#196 Tony on 10.10.18 at 3:31 pm

Re: #187 bdwy sktrn on 10.10.18 at 2:27 pm

Rising Phoenix day today. I kept on thinking it would happen November 11th not October 10th and didn’t go double long the volatility index at the close yesterday like everyone else. So many biblical dates came and went and nothing happened in the past.

#197 jerry on 10.10.18 at 3:32 pm

“That’s hilarious considering that BMO hiked it’s 5 year fixed rate from 3.59 to 3.99% today.”

Look for all the other banks to shortly follow

#198 whiplash on 10.10.18 at 3:37 pm

#134 CHERRY BLOSSOM
T2 has inadvertently built a WALL between Canada and USA. No Canadian allowed to cross over to USA or be restricted for life if they are invested in grass or smoked grass. This DRUG WALL is built for free. Go figure.

I am assuming that Canadian banks have done their due dilegence when it comes to the new pot legislation. In particular Sec. 319(b) Patriot Act, if a foreign bank(RBC) has a correspondent relationship with a US bank(which they do) the foreign bank could be subpoenaed for banking cannabis money that the US government considers illegal and a form of money laundering. Interesting to see how many new pot clients the banks are going to take on!

#199 Ustabe on 10.10.18 at 3:39 pm

Thing of beauty.

https://www.brettkavanaugh.com/

#200 Rexx Rock on 10.10.18 at 4:07 pm

Great shorting oppurtunity!UXVY and TVIX for small share size.Good times.Also nice day trading for pot stocks.Looks like interest hikes are done now that stock market is tanking.The fed will not let the market fall and its hard for companies to buy back their shares with higher rates.Its all a game,a casino stock market and nothing is diversified.Good luck to every one and go long or short depending on the market direction.

#201 robert james on 10.10.18 at 4:08 pm

Dow down 831 … Apparently Pres. Shit hole`s trade wars and stupidity is not that great after all.. LOL

#202 Evangeline on 10.10.18 at 4:11 pm

#186 Shortymac on 10.10.18 at 2:14 pm”Smoking man and others: can we put a pin in non-financial talk? I get politics crammed down my throat 24/7 I’d rather not have this sane blog be bogged down with such comments.”

I believe Garth recently said that posts about politics are acceptable because politics and finance are related.

It’s amazing how easy it is just to scroll on by posts that don’t interest you.

#203 The Real Mark on 10.10.18 at 4:46 pm

“#171 Fish on 10.10.18 at 12:36 pm
Walking Away From A Mortgage in Cana”

From your article:

“Doug Hoyes: Well and with CMHC, they are a division of the federal government and so, in my experience, they will start taking your tax refund.”

Oh boy….

#204 Tony on 10.10.18 at 4:54 pm

Re: #200 Rexx Rock on 10.10.18 at 4:07 pm

I likely picked the wrong day November 11th (Sunday) instead of October 10th. To the day the market is closed Sunday so I blew that one.

#205 Tony on 10.10.18 at 5:19 pm

Re: #174 Ubul on 10.10.18 at 12:57 pm

Anyone with real money would have parked most of it in Switzerland ages ago. My father was related to people with big, big money back in the 1960’s. He never saw nothing in their will. One of them was Bruce the vice President of Ford back in the 1960’s. Another is Phil Carlton who was president of Warner Brothers. My father was related to his late wife Jean who froze to death about 30 years ago. Phil went from the very bottom to the very top. I used to go to the race track with him all the time. His second wife parked most of his money in Switzerland.

#206 Doug in London on 10.11.18 at 10:16 am

@bdwy sktrn, post #168:
That’s exactly why YOU should go to the next IPCC meeting to set the record straight. Well, what are you waiting for?

#207 Holly on 10.11.18 at 11:54 am

Yesterday the FLOTUS said she was one of the most bullied people in the world… Garth Turner piles on… it’s trendy.

Now where did I pile on? It was a fetching hat. Tres colonial. – Garth

#208 Nadine on 10.11.18 at 4:28 pm

Re: #50 Rexx Rock
Give me a break,24 and 25 netting $140,000.What are they growing weed and selling it to the oil patch workers.There is so much B.S. coming on to this blog with huge salaries and savings you have to be pretty niave and stupid to believe it.But I guess this what you have to expect.Do a poll,I bet more than half don’t believe this phoney baloney story.

Why would they fabricate? – Garth
———————-
A couple of things…
1. Had no idea this would be submitted as a blog entry and was looking for honest advice so I had no reason to fabricate our financial situation
2. I am so shocked how many people think this is unbelievable! Take two young people with hard work ethic and good saving habits and done deal
3. DINK – Dual Income No Kids, all our money goes into savings, I clear 6K per month and spend average 1K, so 5K/Month = 60K per year and that’s not including my spouse
4. Thanks Garth for responding! My fiancé wasn’t too happy about the post as he doesn’t see buying as an investment entirely, he wants to fix up houses in the future to make profit

Lastly a little back drop for the ones who don’t believe:
– I was fortunate to graduate my 3-YR diploma (not degree) with zero dollars in my bank account and debt free at 21. I have been a registered dental hygienist for last two years
– My partner did a trade, electrical and never needed a student loan, red seal certified at 24
– We moved from the Okanagan to a northern community to “get ahead” and have saved a substantial amount of money in 15 months.
– we don’t enjoy living here but we’re young and able
– Vehicles: 2015 Honda Civic bought brand new and paid off (wouldn’t buy new again but plan to keep this baby a long time), and 2011 GMC Sierra bought used 4 years ago and paid off
– I hope you all believe now