The gap (so far)

Somehow this turned into another Misery Week. So let’s put it out of its… misery… with another miserable post. And what could possibly be more depressing that Generation Squeeze?

This consortium of professional whiners, moaners and wannabe adults, comprised of uber-educated basement-dwelling moisters who spend their days tweeting and texting about systemic age-related genocide have (naturally) turned into media darlings. So, you’ll hear a lot more about them in the future. And their agenda. If you’re older than 40 with real estate assets, hang on. Your world is gonna be rocked.

The GS manifesto is a widely-reported report called ‘Straddling the Gap.’ But it’s not about straddling, rather a wealth redistribution based on higher levels of tax and an inevitable assault on real property values. This is not too surprising, since most young people are flaming socialists and the current crop has birthed the ‘sharing economy’ concept, Many believe their elders won the housing and birth lotteries, while they’re squished like bugs on the windscreen of global capitalism. That’s cool. Rebellion’s a time-honoured badge of youth. The irony is these kids don’t want to change the world. They just want to become their parents.

Here’s the story.

It’s all about real estate, which now dominates our society. Millennials can’t afford what they want, or feel entitled to. The Gap report quantifies this, creating a storyline which was irresistible to the MSM. Typical coverage (CBC)…

On average, Canadian millennials would need to nearly double their average income in order to bridge the gap, according to the study. Either that, or the average price for a house would need to come down by half. “These are massive numbers,” said the report’s lead author, Paul Kershaw, who described the numbers as a “troubling portrait.”

The report said the chasm between money made and money needed is widest in B.C. and Ontario, particularly in Vancouver and Toronto. The price of a house in the West Coast city is quadruple what any millennial could “safely” afford, and triple their budgets in the Six. In Vancouver, millennials would need to make $200,400 every year in order to afford the average home. Torontonians would need an annual salary of $150,000.

As we all realize, employers are not about to start paying younger employees double their current wages – unless hyper-inflation develops – nor will average house prices fall by 50% – unless there’s a depression. The fatal flaw in the report is that it assumes people making average money and without any real estate exposure should be able to buy the average property. But that’s not the way the real estate markets have worked for generations. Typically people have climbed on the property ladder with ‘starter’ homes in cheaper locales, then moved higher as they gained equity momentum. That allowed the Vancouver phenom to develop – wherein families with modest incomes end up living in houses they could never afford to buy.

So what happened?

The Boomers didn’t do this. Forget that. Cheap rates brought big debt and higher prices. Sellers got greedy. Developers stopped building affordable accommodation since the profits weren’t there. And, convinced valuations would rise forever making prices irrelevant, buyers borrowed big, suffered FOMO and went nuts.

Over time this will heal itself (the process started two years ago in some markets and earlier in others). But, now forming families, the moisters can’t wait. Besides, many are angry. They’re convinced their parents got a free ride thanks to a bubbly, inflated economy, and they’re destined to have less. Hence, Generation Squeeze stirring emotions by saying average house prices need to halve, and government has a critical role to play in leveling out the playing field between the kids and the wrinklies.

This is a demand you should take seriously. They’re comin’ for you. Justin is listening.

“This is a reminder that housing first has to be a place to call home,” the report’s author cries.. “Not a stock market, not a way to launder money, not a backyard that protects you from all other changes in the neighbourhood, and generally not a strategy to get rich.”

Among the demands and proposals:

  • More public money should be directed to Mills to pay for their child care, parental leaves, transit and student debt. (Yes, higher taxes.) That wil free up income for real estate.
  • Rents should be “aligned with local incomes.” So, more controls.
  • Real estate gains should be taxed. “Estimates show that that non-taxation of capital gains from principal residences will cost the federal coffer around $6 billion in 2019, with corresponding losses to provincial coffers as well. These tax shelters have encouraged the commodification of housing in Canada.” Now you know why the principal residence tax exemption registry was established. It never had anything to do (as stated) with offshore money.
  • Governments should force house prices lower, as is happening in BC. “It is highly unlikely that local earnings in many major urban centres will rise enough to restore housing affordability by 2030. This means that a better, redesigned housing system must anticipate home prices falling over the next decade, especially after adjusting for inflation.”

Now imagine a Parliament dominated by Millennials. With all major party leaders in their forties and two barely out of their thirties, we’re not far off.

You may need a bigger fence.

160 comments ↓

#1 Captain Uppa on 06.14.19 at 3:36 pm

Laughable.

Once some of these comrades do get into housing, they are going to change their tune quickly. These fallers are all of a sudden going to become capitalists and want their home values to skyrocket.

What’s not funny is how seemingly in love this cohort is with socialism. Someone sit them down with some history books. Yeesh.

#2 Not So New guy on 06.14.19 at 3:40 pm

Toronto Raptors, NBA champions!

A marketing BONANZA! 30 million new potential viewers. Canada’s team.

This should be good for a decade. It could even lead to the sale of another Canadian franchise

#3 Polozified on 06.14.19 at 3:44 pm

Slapping capital gains tax on principal residences is a fantastic way to cause such a severe house price crash that it would kick off a banking crisis

#4 Yukon Elvis on 06.14.19 at 3:46 pm

The have nots can now outvote the haves. Cover your assets.

#5 Dolce Vita on 06.14.19 at 3:46 pm

They’ve gone from self-entitled to entitling themselves to the stuff of others. Well, at least their consistent.

1 missed flaw in their too young to know any better assertions:

“What comes around, goes around.”

Yes it does.

#6 crowdedelevatorfartz on 06.14.19 at 3:53 pm

Just move to Hooterville.
No millenials want to live in Hooterville

#7 Bguy1 on 06.14.19 at 3:54 pm

Pardon me, but the Federal and Provincial (Ontario at least) ran deficits through most of the boomers working life. And what happened when those Govt’s started running a surplus? Boomer elected politicians gave themselves tax cuts. Who cares about housing? Boomers still owe money for all of infrastructure and social programs that were implemented when they were young. Reduce the income level at which OAS is clawed back? Yes please. Implement a surtax on RRIF withdraws? Yes please. Stop providing Drug Benefits to seniors who have private coverage? Yes please. I am happy to increase the GST and provincial portion of HST to pay for the social programs provided to everyone. Boomers, as a cohort, are like locusts, feasting away and leaving destruction in their wake

#8 Ian on 06.14.19 at 3:56 pm

In the U.S., the IRS provides for an exclusion of up to $250,000 for single, and $500,000 for married filing joint on any capital gain from the sale of a residence. Any gain that is above the threshold limit would be subject to taxes, regardless of whether the property is U.S.-situs or foreign.

Your right, I am not objecting to some form of taxation above $500K for a married couple. We do owe a lot of debt and we will need a way to pay for it. Lower services as well.

#9 Nat on 06.14.19 at 4:01 pm

Reading this is super frustrating. As a millennial I am embarrassed and apologize on behalf of all of us. Buy what you can afford, or move… it’s not hard. I moved to the hammer and life is so much better.

#10 earthboundmisfit on 06.14.19 at 4:07 pm

If you’re not a “flaming socialist” in your 20s, you have no heart. If you’re not a conservative in your 40s, you have no brain.

#11 Dolce Vita on 06.14.19 at 4:12 pm

#7 Bguy1

Careful Junior, 1 day you’ll be one of those locusts.

At least we made up for it by having given you Sex, Drugs & Rock ‘n Roll.

What have you give us?

Diddly Squat and Incessant Whining – 2 well known Rappers from your Generation.

#12 Dayna Samuels on 06.14.19 at 4:15 pm

Once again Liberals, NDP, Greens, lefties, socialists etc. is bull. What capital gains. What about all the repairs, costs, property taxes, insurance etc. plus inflation that has eaten all the value of the house.

If I sell my house I can’t buy another house that is the same size. I get screwed. Also, if I sell the house and what interest am I going to get with that money, 2%, 3% at most.

If a senior or retiree does not want to sell the house and stay in their home gets desperate getting a reverse mortgage they will pay big fees and 6%, 7% mortgage compounding doubling debt in 10, 11, 12 years.

This is why our education system is terrible, they have no idea what reality is and are entitled, ignorant people. Pensions in Canada, C.P.P., OAS is only about $17,000 a year and is taxable.

They think money falls from the sky and they have no idea a Venezuela type country they will get and will not be able to turn back. For any future posters think you are making me angry, I am 85 years old, I’m not going to be here for long but you will live in a hell you created and chew on that.l

#13 Dolce Vita on 06.14.19 at 4:19 pm

Parliament Hill after PM Nutter’s single use plastics gaffe:

https://twitter.com/Bill_Henwood/status/1139352681707913216

Should of stuck a large straw in there for some extra “je ne sais quoi”.

Good to see Canadians have not lost their sense of humour.

#14 dakkie on 06.14.19 at 4:23 pm

The State of the Canadian Debt Slaves, and How They Compare to the American Debt Slaves

https://www.investmentwatchblog.com/the-state-of-the-canadian-debt-slaves-and-how-they-compare-to-the-american-debt-slaves/

#15 45north on 06.14.19 at 4:24 pm

This is a demand you should take seriously. They’re comin’ for you. Justin is listening.

Real estate gains should be taxed. “Estimates show that that non-taxation of capital gains from principal residences will cost the federal coffer around $6 billion in 2019, with corresponding losses to provincial coffers as well. These tax shelters have encouraged the commodification of housing in Canada.”

I double dare you

#16 FreeBird on 06.14.19 at 4:29 pm

Agree with right of passage to rebel and by all means be passionate about a cause. Great. But when it comes to real estate seems many Mills we know bought houses or condos in last 5-7 yrs only with help from their Boomer/Grand/parent/GenX/parent, often by borrowing against their own house and or savings. Let’s hope those same parents aren’t SOL down the road from falling house prices the same Mills are fighting for. Makes sense?

#17 gfd on 06.14.19 at 4:35 pm

“You may need a bigger fence.” Is this the Zombie apocalypse?

#18 Dolce Vita on 06.14.19 at 4:35 pm

You know Garth and fellow Boomer Commenters that after reading that Millennial manifesto it makes you:

Want to write the Dog into the Will and leave it everything and, I mean everything.

#19 Agree on 06.14.19 at 4:42 pm

I am a wealthy boomer (8 digits), and completely agree with the millenials on this. Yes, the boomers are not to blame, but our government certainly is. While it may be true that central bank interest rates had to be cut, our politicians could simply have countered the cheapening of mortgages (and the housing bubbles resulting from that) by shortening the amortization period, requiring higher downpayment, and so forth. It is extremely unhealthy for a society to encourage speculation in non-productive assets, as a result of this misallocation our country is now less competitive than ever. I see no way out, perhaps the least painful approach for our politicians is to further devalue the Canadian dollar, but that will only go so far and it not without serious risks of its own. But if I were a millenial today, I would also feel that the boomer generation of politicians stole our future for selfish reasons.

#20 Shawn Allen on 06.14.19 at 4:48 pm

Who Got What for Free?

#7 Bguy1 on 06.14.19 at 3:54 pm said:

Boomers still owe money for all of infrastructure and social programs that were implemented when they were young.

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

Will any of that existing infrastructure and social programs benefit the next generation?

How much do today’s youth owe for all the installed public infrastructure and for accumulated knowledge of the world that they will inherit?

Does fairness require that every single bridge, road water line and sewer line be fully paid for by the previous generation and be handed over to the next generation fully paid for?

Does the next generation owe anything, even any thanks, for the additions to knowledge generated by the previous generation or the accumulated knowledge of the world?

Grateful or not, you’re welcome.

#21 Agree on 06.14.19 at 4:53 pm

These millenials are not socialists, no more than those who started the French revolution were – our millenials are against the greed and selfishness of our politicians, in bed with ologoly interests in Canada, who have pandered to the boomer electorate at the expense of their future and that of Canada. The problem is that these elitists have let things gotten so out of hand that it appears there is no way to undo the situation, we have gone beyond the point of return with our mortgage policies. BC is doing things that should have been done way earlier. Quebec and Ontario are refusing to implement similar measures, hoping that the bubbles will move from BC to their provinces to keep the party going. When I was younger, I naively believed that Canada is similar to the way in which northern Europen countries deal with money laundering, corruption, oligopolies, and transparency, but when it comes to real estate boy was I wrong, sometimes I feel it is one big banana republic here.

#22 Agree on 06.14.19 at 4:55 pm

ologoly –> oligopoly

No thanks to tiny keypad…

#23 MF on 06.14.19 at 4:58 pm

1 Captain Uppa on 06.14

This post is just bait. Don’t get too worked up.

The more radical the more loud. Of course our socialist millennials will cause a lot of noise, but they are a minority.

Besides what do you think the silent generation thought about the hippies? Look at the end result of that.

MF

#24 Agreed on 06.14.19 at 5:03 pm

Garth, it is disingenious for you to suggest the author of the report is using the term “tax shelter” in reference to offshore money laundering, when it seems obvious that it refers simply to how to invest in an asset that does not have capital gain tax – it is proper to use the term “tax shelter” for that. Why do you feel the urge to make the report author look like he is clueless, when all I see when reading the report is someone clearly well-informed about the issues.

I made no such reference. – Garth

#25 Ace Goodheart on 06.14.19 at 5:04 pm

RE: “If you’re older than 40 with real estate assets, hang on. Your world is gonna be rocked.”

Only if you vote Liberal.

Keep Ford in Ontario, and we will get cheap beer, high speed limits and purges against left lane bandits. But we will NOT get real estate taxes or confiscation.

Oh and this thing about every Millennial being entitled to a house in Vancouver or inner city Toronto, they should go and visit New York. Maybe they are entitled to a condo overlooking Central Park?

If you want a house and you can’t afford Toronto, there are plenty of places in Canada where a nice four bedder costs under $200,000 CDN.

You just have to go a little rural….

#26 BlorgDorg on 06.14.19 at 5:04 pm

One of your better posts, Garth.

“Cheap rates brought big debt and higher prices. Sellers got greedy. Developers stopped building affordable accommodation since the profits weren’t there. And, convinced valuations would rise forever making prices irrelevant, buyers borrowed big, suffered FOMO and went nuts.”

Amen.

You say that “average house prices [will not] fall by 50%” but that “over time this will heal itself”. How can we have the latter without the former? A lost decade (or more)?

#27 TurnerNation on 06.14.19 at 5:06 pm

This generation? Sadly from the Killing us Softly dept. (Just don’t call it a self geno…).
What our elites’ and their culture of death has driven us to.

2009…post GFC then “smart” phones hooked em into nihilistic behavior. Self harm is a logical progression.

https://www.cbc.ca/news/health/teen-self-harm-emotional-maturity-1.5174104

“”The number of kids who have at least one visit for self-harm in a given year basically doubled from 2009 to 2017 after it had been falling consistently from 2003 to 2009”

#28 Ace Goodheart on 06.14.19 at 5:14 pm

Garth, have you ever read Canada’s constitution? If not, you should. It is a beautiful document. It sets out the division of powers, between Provinces and the Federal government, based on a very thoughtful formula.

That formula basically hard-stops Justin’s aspirations as the next real estate taxation Czar. Cause, well, the Constitution (which Justin probably hasn’t read) does not permit the Federal government to mess around with residential real estate.

That is a Provincial matter.

I know Justin has been crossing a number of boundaries which our Constitution considers sacred, using the “POGG” powers as his mojo, but residential real estate is a different story.

It is basically sacred.

Reason being, well, our Courts.

Superior Court Judges earn about $309,000.00 per year. They all own houses. Most of them, big houses. In major cities. They are the 1%.

These folks will ultimately decide whether Justin can trash our Constitution and start confiscating real estate.

Like their real estate…..

Yeah, I thought so…..

#29 Remembrancer on 06.14.19 at 5:29 pm

#8 Ian on 06.14.19 at 3:56 pm
In the U.S., the IRS provides for an exclusion of up to $250,000 for single, and $500,000 for married filing joint on any capital gain from the sale of a residence. Any gain that is above the threshold limit would be subject to taxes, regardless of whether the property is U.S.-situs or foreign.
—————————–
You support tax deductible mortgage interest then too?

#30 Welcome to Slurrey on 06.14.19 at 5:38 pm

I posted this question yesterday with no response, I ‘ll try again.

Does anyone implore the long term strategy of Buy to Rent and Rent to Live strategy.

Seems like this would be a good long term solution as you can buy a place within your means that provides a decent rent outside the city. But live in the city since it is cheaper to rent than own the place. It would provide the flexibility and freedom of renting, but also take away the FOMO by being an owner as well.

#31 Debtslavecreator on 06.14.19 at 5:50 pm

Too late – the wheels are already in motion
The Mills are right that boomers have made out like bandits at the young’s expense
CPP contribution rates, nominal and real home prices, pensions and way too low pension contributions , and massive deficits that we driven by keeping large and highly paid (including DB pension contributions) essentially untouched during tough times and on and in
The younger gen has been placed into a financial straight jacket by the older generation
Wait one day when rates will be forced higher (3-5 years out)
Whatever they don’t tax through printing money and raising taxes on the illusory gains they will take via targeted audits on “speculators “ or arguing investors are running a business

No amount of tax will help them but only destroy confidence resulting in less tax revenue

Apparently despite a 18 year era of unprecedented government intervention with debt loaded economies and a destroyed middle class, there are a large number of people asking for MORE government????

Buckle up- it’s onlh the 2nd inning folks
You ain’t seen nothing yet

#32 Howard on 06.14.19 at 5:52 pm

Those writers are over the top.

But – a cap on the personal residence capital gains exemptions is reasonable. It’s time. The middle class is tapped out, time to get more of the unearned gains from RE windfalls. What else can we do to pay the bills?

To those who say Millennials will change their tune once (if?) they own real estate in large enough numbers…I’m not so sure. I don’t think it’s possible for any generation to match the Boomers’ greed. A $500K cap on personal residence exemption will quickly become normalized by the population that it will not come under significant challenge once implemented.

#33 The Citizens on 06.14.19 at 6:00 pm

I learn something every day, and can tell you the citizens are very angry today. They are fed up with what they are seeing within our government, and everything else that’s going on. It surprised me to no end that they are not uninformed.

#34 Steven Rowlandson on 06.14.19 at 6:02 pm

“The irony is these kids don’t want to change the world. They just want to become their parents.”

This might in part be true but it is also in whole or in part true that such a goal is way above their pay grade thanks to market forces and the policy of curbing wage inflation.

#35 Michael Wegner on 06.14.19 at 6:02 pm

Garth – why do you call millennials’ moisters? I think it’s absolutely hilarious – along with Mr. Sox, wrinklies etc. etc. You need a glossary of euphemisms haha!

#36 45north on 06.14.19 at 6:11 pm

Ace Goodheart: I know Justin has been crossing a number of boundaries which our Constitution considers sacred, using the “POGG” powers as his mojo, but residential real estate is a different story.

Peace Order and Good Government

https://en.wikipedia.org/wiki/Peace,_order,_and_good_government

and no Justin Trudeau cannot tax properties that haven’t been sold and even if he tried to remove the principle residence clause, he would lose the election. He’s going to lose anyway.

#37 Pulp Faction on 06.14.19 at 6:14 pm

The higher that real estate values go, the higher they jump to try to get it.
Now come the jet packs and rocket shoes.

That’s why the market has to be allowed to work.

#38 Pete Floyd on 06.14.19 at 6:24 pm

DELETED

#39 A bud told me yesterday ... on 06.14.19 at 6:26 pm

Ask not what type of country will we leave our children but what type of children will we leave our country.

#40 GF Westcoast Correspondent on 06.14.19 at 6:39 pm

Not-Owner Occupied Condos

On average 30% of the entire lower mainland stock is not-owner occupied.

Vancouver – 46% not-owner occupied
Richmond – 37% not-owner occupied
Coquitlam – 36 % not-owner occupied
Surrey – 35% not-owner occupied
Burnaby – 33% not-owner occupied
Port Moody – 33% not-owner occupied
Pitt Meadows – 30% not-owner occupied
Maple Ridge 30% not-owner occupied
North Vancouver – 27% not-owner occupied
Langley – 25% not-owner occupied
West Vancouver – 23% not-owner occupied
Delta – 23% not-owner occupied
Port Coquitlam – 23% not-owner occupied

Those are called ‘rentals’. – Garth

#41 Linda on 06.14.19 at 6:47 pm

I have to agree with commenters who note that once the angry youth get what they want, they will instantly see the benefit of guarding their gains & want to reverse all those draconian policies that will now apply to (gasp) them.

As for who owes what, the generation transfer of wealth will eventually occur (or not – hard to pass on what isn’t there any longer) as the parents die off. Problem is, this is the age of instant gratification. Hence the complains about how the youth of today have been unjustly burdened with infrastructure, homes, education etc. that was put into place by previous generations. Heck, those ancient old dinosaurs actually invented the Internet. Off to the tar pits with them!

#42 Millennial Realist on 06.14.19 at 6:49 pm

This is only the beginning. Wealth taxes will be necessary and huge. Environmental change also demands we act vigorously, and now.

Boomer moisters (with your soaking wet diapers) – Be Part of the Change.

Or be run over by it.

We are not about to slow down, sorry.

#43 Smartalox on 06.14.19 at 6:50 pm

I think that one ‘advantage’ that those of golden age had, when growing up, was that of reduced expectations.

Rental apartment units were built by companies that valued them for that purpose, and ran them accordingly. Builders built small starter homes on lots that afforded backyards for growing families, and in neighbourhoods, and with transit systems that suited them.

These things were considered a huge step up compared to how that generation – or even their parents grew up with.For current expectations to meet or exceed what they grew up with, the bar of unmet expectations has been raised far higher.

I have younger colleagues who happen to be Irish immigrants, and some from Eastern Europe. They can’t believe their good fortune to be able to rent apartments that most would reject, and how inexpensive tough, reliable, 20-year old, North American cars can be, to own and run. Compared to living with three generations of one’s family in one room, and riding to school in an Oxcart, these things that most Canadians tend to view with disapproval are like gifts from heaven.

They know that what they have is not ‘the best’ but they sure don’t seem to care.

To be fair though, it is not just expectations on the part of consumers, that are skewed, mind you. Producers expectations are no better:

Developers still build, but take profits from condo pre-sales ‘up front’ instead of amortizing profits over decades of rentals. Builders of homes and cars eschew building ‘low margin’ entry-level options, instead charging premiums for ‘luxury features’ added incongruously to dress up (and pad profit margins) what are otherwise pretty basic offerings.

All paid for with cheap and easy credit, ever-longer amortization periods, and easy monthly payments.

But that’s what’s available, so that’s what’s expected. Nobody builds 4-bedroom houses with only one bathroom anymore – they wouldn’t sell. Pick up trucks used to be pretty spartan – lucky to do better than an AM radio – but now have leather seats (HEATED!), multiple entertainment options, and start at $50k.

#44 Bobby on 06.14.19 at 6:59 pm

I work with a lot of these millennials. I call them the ” I’m entitled to crowd, the skateboarders”. They feel that everything must be handed to them rather than having to work for it. Whereas we moved around to secure opportunities, took risks, gave up some luxuries and sought better paying jobs, they expect the jobs and opportunities to come to them. For example, a mining job pays well but they want the mines to be in downtown Toronto, next to the organic health food store, rather than up north. It is up to the politicians to make that happen. Suposedly they are owed.
What is interesting, once they buy a property or secure a much better paying job their tune quickly changes. Taxes when someone else is paying is a good idea, not so much when it is coming off their own paycheck.
No wonder this millennial generation isn’t having sex, they’re trying too hard to screw the life out of everyone else.

#45 crowdedelevatorfartz on 06.14.19 at 7:07 pm

@#32 Howard
“To those who say Millennials will change their tune once (if?) they own real estate in large enough numbers…I’m not so sure. I don’t think it’s possible for any generation to match the Boomers’ greed.”

++++++

I disagree.
I used to be just like you.
When I was voting in my first Federal election at 18 I voted NDP ( Ed Broadbent) much to my apoplectic Conservative voting Parental Units.
Next Federal election I was back to voting for Trudeau (senior) Then John Turner , Cretien, and Martin ( sorry folks . Ironically enough. I just couldnt hold my nose and vote for Mulroney…he stunk that bad).
I then liked what Harper had to say and voted for him.
After ten years he had become too arrogant and I decided to vote for Trudeau.
What the hell.
Now?
Trudeau will never get my vote again.
His simpering, social pablum reeks of dishonest pandering to a gullible voting public.
The result?
Decades of over taxation for ridiculous expenditures.

I never cared about taxes until I started making decent money and saw how much the govt sucks out of my wallet and vomits back in useless, mindless, beaurocratic horseshit.
Water box boy takes the cake.

Millenials will slowly come to the same realization when they reach their 40’s, 50’s 60’s and it slowly dawns on them that politicians dont give a shit about you until election day.
Then its back to overspending and over taxing.

Enjoy your squandered youth, it will come back to haunt you.

:)

#46 Timmy on 06.14.19 at 7:07 pm

If prices don’t drop by 50% then who under 40 will buy the homes that the boomers eventually need to sell?

#47 Lost...but not leased on 06.14.19 at 7:11 pm

Don’t ever EVER mess with seniors…

https://www.youtube.com/watch?v=SmzMzmnB-iQ

#48 Penny Henny on 06.14.19 at 7:18 pm

The Boomers didn’t do this. Forget that. Cheap rates brought big debt and higher prices. Sellers got greedy.-GT

??????????????

Sellers got greedy???????

Please tell me Garth how many properties did you sell below market value in your lifetime.

Sellers got greedy my ass.

#49 Jeff Santiago on 06.14.19 at 7:19 pm

Let’s tax I-phones’, I-pad’s, internet transactions and everything that young ones as well. Tax them to the stone age.

Tax everything 1000% so there would be more tahn enough money. The bottomline is the tax, spend, debt Liberals designed the system to always never have enough money. They are taking everyone for fools. Wake up Canadians.

#50 Mapleridgeguy on 06.14.19 at 7:19 pm

I get a kick out of these people saying the government will lose $6 billion dollars of capital gains taxes on principle residents. To “lose” something you have to have had it in the first place and then lost it. The government never had this money, so there’s no way they can “lose” it. I think what they really need to do is get their spending in check. Then they might end up “finding” money.

#51 Paul on 06.14.19 at 7:36 pm

42 Penny Henny on 06.14.19 at 7:18 pm
The Boomers didn’t do this. Forget that. Cheap rates brought big debt and higher prices. Sellers got greedy.-GT

??????????????

Sellers got greedy???????

Please tell me Garth how many properties did you sell below market value in your lifetime.

Sellers got greedy my ass.
————————————————————————————————
I know of one!
But from
what I see most properties Garth dealt he added value.

#52 Damifino on 06.14.19 at 7:41 pm

#35 Michael Wegner

Garth – why do you call millennials’ moisters?
————————-

Use your imagination.

#53 S.Bby on 06.14.19 at 7:48 pm

We were better off when interest rates were 10+% because it kept a lid on prices and made it easier to make some interest on our savings. Now it’s all reversed and not working for anybody.

#54 Drew on 06.14.19 at 8:04 pm

THIS… IS… THE… BEST… COMMENT… SECTION… EVER…

Anyway that anyone can spin this mess. We’re screwed and l got front row seat living on the outskirts of the GTA.

#55 Bytor the Snow Dog on 06.14.19 at 8:05 pm

Taxing capital; gains on a principal residence in Canada will never happen. Why? Interest on the mortgage payment would have to be made tax deductible that’s why.

If that doesn’t happen the class action suit against the implementing government will be delicious.

#56 AGuyInVancouver on 06.14.19 at 8:07 pm

“..The Boomers didn’t do this. Forget that. Cheap rates brought big debt and higher prices. Sellers got greedy. Developers stopped building affordable accommodation since the profits weren’t there…”-Garth
_ _ _
Of course Boomers did this. Go to any rezoning hearing where someone dares to suggest building multi-family housing in an area of lafy street and single family homes. Who’s out there screaming the loudest? The wrinkly, grey-haired overhoused.

Similarly, who’s been leading those companies that chopped benefits, introduced two-tier pay scales and offshored jobs? Boomers.

#57 Leo Trollstoy on 06.14.19 at 8:07 pm

#42 Millennial Realist on 06.14.19 at 6:49 pm
This is only the beginning. Wealth taxes will be necessary and huge.

We are not about to slow down, sorry

Um, the first is designed to slow you down, sorry

Lol mills so dum

Lololol

#58 Ace Goodheart on 06.14.19 at 8:10 pm

RE: #36 45north on 06.14.19 at 6:11 pm

“and no Justin Trudeau cannot tax properties that haven’t been sold and even if he tried to remove the principle residence clause, he would lose the election. He’s going to lose anyway.”

I seriously hope so. I know I’m not voting for him. He’s not really a Liberal. He’s actually turned into one of those nutty environmental freaks that like to chain themselves to logging equipment or lie down in front of bulldozers.

What he is trying to do to Alberta is a crime and a national disgrace.

Trudeau and his super minister Freeland need to go.

They’ve both already feathered their nests with borrowed taxpayer money, so they’ll probably have no trouble getting cushy jobs with international organizations as soon as they are tossed to the curbside of Parliament.

But really, taxing people out of their houses to free up space for under achieving young folks. What is he thinking? Is he going Comrade on us? In the USA he’d be illegal.

We need property rights. Canada has to try Meech Lake again. This stupidity has to stop. A person’s home is sacred. Stop trying to confiscate houses that people have worked their entire lives to pay for.

#59 Kato on 06.14.19 at 8:11 pm

Meanwhile in the prairies, our mortgage was 2.2 times our income. My wife walks to work, we have a yard for the dog and a garage for the car.

If you won’t go to a smaller city, fine. Paying taxes to the government so they can pay for your bus pass so you can plow everything into a slanty semi seems short sighted, though.

#60 Ace Goodheart on 06.14.19 at 8:16 pm

RE: #40 GF Westcoast Correspondent on 06.14.19 at 6:39 pm:

RE: “Not-Owner Occupied Condos

On average 30% of the entire lower mainland stock is not-owner occupied.”

This is just stupid. You know who owns these things?

Freakin’ Millennials.

They bought them as “investments”. We told them to. Back in the roarin’ 2015-17s, that is what everyone was doing. Live with your parents in their basement, and buy a pre-sale condo. When it is built, you rent it out.

Pretty much every Millennial I know in Toronto owns a condo. None of them live in them. They consider them “investments”. They rent them out.

Who do they think is buying all these condos? Us 40 somethings? Yeah I want to own a piece of garbage concrete junk in the sky somewhere, and deal with [email protected]$$ tenants and rent controls.

Just more stupidity. Tell the young folks to serve their tenants with an N12 and live in their condos. Then they wouldn’t be homeless in their parents’ basements.

They all own one. Ask them. You’ll see.

Every one of them has an investment condo. None of them live in them.

#61 X on 06.14.19 at 8:18 pm

Yep, everyone wants everything for nothing and are foolish enough to think that some smart politician will somehow get the needed money from someone else.

#62 AK on 06.14.19 at 8:21 pm

“Justin is listening.”
=============================

He may be listening, but Liberal MPs are jumping ship in droves as Trudeau continues to hobble the economy

#63 Keith on 06.14.19 at 8:23 pm

My parents bought their first house in Victoria in 1961 for 8500. Three little children, mom at home. Mortgage was 95 per month, Dad was an entry level lab tech for the provincial government with a salary of 395 per month, working towards an indexed pension.

There was such a shortage of teachers in 1966 they waived the bachelor degree requirement, hired people with three years of university. My mom went to work as a teacher.

They were able to move to a way better neighborhood, then move up to a dream house, buy recreational property and a boat. They didn’t have student debt of any kind, they had job security, benefits, indexed pensions, months of vacation time and retired in their fifties.

Some of their neighbors in the nice neighborhood were single income households where the breadwinner had no more than a grade school education, but had a union gig at much better than a living wage. The middle class was mind bogglingly large.

What working people have lost in income, benefits, pension and net worth opportunities since the seventies is one of the largest wealth transfers in human history. Some of the millenials, with a much better education are bitter about their lot in life. Not without reason.

#64 akashic record on 06.14.19 at 8:26 pm

“The Boomers didn’t do this. Forget that. Cheap rates brought big debt and higher prices.”

Cheap rates appeared out of blue, as act of G_d.

Or was it man-made, like global warming?
You are certain and vocal about the man-made climate change, but very fuzzy about the origin of “cheap rates”.

“Boomers didn’t do it”, you claim, millennials could not do it – it must have been the aliens.

“Sellers got greedy.” What?!

“Developers stopped building affordable accommodation since the profits weren’t there.”

What do you mean?

Where did the profits go in the economic environment of low interest rate, decades-long stagnant labour cost, and all the advantages of global trade?

I have a really weird theory, of the conspiracy level kind. Probably Russian fake news planted it somehow into my dreams.

In that impossible vision greedy bankers with irresponsible, ruthless, unethical, unprofessional landing practices and fraudulently engineered financial products created a near financial collapse, which they claimed would ruin the world economy, unless unleashing “cheap rates”.

I know, it’s trippy science fiction. On top of that, ironically, those banker CEOs all appeared as Boomers.

I know… I know… My Facebook profile is in mortal danger now. Luckily I don’t have one. I hope it doesn’t raise the terrorist red flag.

#65 damn son on 06.14.19 at 8:28 pm

mud slinging is epic on here today.
why does every issue have to be
black and white with you folk?

carry on you crusty buggers :)

#66 Barb on 06.14.19 at 8:36 pm

#9 Nat on 06.14.19 at 4:01 pm

Reading this is super frustrating. As a millennial I am embarrassed and apologize on behalf of all of us. Buy what you can afford, or move… it’s not hard. I moved to the hammer and life is so much better.
—————————–

Thanks Nat.
I’m grateful there’s a millenial who feels as you do.
There IS hope, albeit slim.

#67 Nonplused on 06.14.19 at 8:42 pm

The only way there is to effectively reduce the price of something, anything, is to increase supply. The responsibility for that lies with the zoning regulators. Convert all the R-1 properties in the core to R-4 and higher and watch the magic. Those dilapidated houses are not worth anything based on the old rotted structures, it’s the land that is worth the money.

Also, what is an “average house” and an “average income”? Both follow the Pareto distribution. Therefore few people can afford an “average house” and few people have an “average income”.

It would be like looking at car prices and saying an “average” car is a Porsche Cayenne. At $85,000 it’s less than a Ram Cummins truck fitted out with the same options. Very average. But something truly average is more like a Toyota Corolla.

My first house was built just after the war and the main structure was 800 square feet, although it had a nice lot and some renos including lifting it and adding a basement. So try letting that sink in a bit. In 1950 or so, the “average” person was buying a house in walking distance or certainly bicycle distance of down town Calgary that was 800 square feet and had no basement. Nor at that time a garage, that came in the 70’s. But it did have a nice 40×100 foot lot. It was zoned R-2, but you can’t really sub divide it because the rules say you need 50 feet wide to make a duplex.

Our grandparents were not buying what we currently consider to be “average homes”. They were buying houses that were no bigger than some apartments today and very poorly built. My dad’s first house, the one in which I was raised, was not much bigger although it did have a basement. So called “starter homes” today are twice as big and have a basement. These “millennials” have no idea for which they are whining. You don’t get to have an “average house” until you have an “average wage”, which means you are actually earning more than most people. Until then you are driving a Corolla. Not that there is anything wrong with a Corolla, they are probably the best car out there if reliability and ownership costs are considered.

Some people say that there are only three decisions you have to make to determine your financial future. Those are, according to my interpretation, as follows:

1. What line of work you will pursue.
2. Who you will marry.
3. How much you spend.

So my advice is whatever line of work you choose, marry a woman who will be happy driving the same Corolla for 20 years. Yes they actually do last that long if you don’t bang them up. If your wife wants a Cayenne I suggest sell everything and go live under a bridge where she can’t find you and do it now.

——————

Now, this next section is not a separate subject as is usually the case when I do the ———– thing, but hey. I read an interesting piece years ago where the author was making the case that students and otherwise generally young people were struggling was bad parenting. The parents, having achieved some measure of financial success, were buying expensive hair products and clothes, for themselves and their children, fly away vacations or perhaps a boat, big houses, RV’s, etc. The children grew up thinking this was normal. That they deserved it. That this was how everyone lived, or at least they certainly deserved to.

That is why my kids get whatever clothes they get from Costco. And we live in a fairly well-to-do area, and all the kids get their clothes from Costco. It seems that the people who have money have so because they are reluctant to let go of more of it than they have to. There are still a few Cayennes around, but for the most part the folks are buying what they can at Costco.

#68 Tax real estate gains on 06.14.19 at 8:45 pm

They need to Tax real estate gains retroactively to anyone who left canada in the last 3 years.

#69 SWL1976 on 06.14.19 at 8:53 pm

I looked but didn’t see the box to check about being squeezed by taxes and moronic government policy on multiple levels in this country… and these people want more

#70 Robert Ash on 06.14.19 at 8:57 pm

It is certainly disappointing to me, to see so many young folks, that are really frustrated and angry.
Certainly the Main Stream Media, is partially at fault, when one considers those changes imposed on the MSM, in concert with the development of the Internet.
News and information is only important if it has an entertainment value… So the Messages are not focused on Positive statements…. they are mostly on Negatives, and Divisive issues…. Sells, more stories, but the cost to Peoples, attitudes, and well being is certainly not very community oriented, or Nationalistic.

#71 acdel on 06.14.19 at 9:02 pm

The country has run its course; there was never any need for it to end up this way. We have it all; could be the richest; but???

Mad Max (for me) could care less of the results; meaning if it means splitting the so called right then so be it. Personally I will vote for real change whatever the outcome/circumstances; surely it cannot be worse than now or the near future.

#72 crowdedelevatorfartz on 06.14.19 at 9:06 pm

@#64 akashic record”
“Developers stopped building affordable accommodation since the profits weren’t there.””
++++++

Well.
Ironically enough.
This very situation is now happening in Burnaby.
The Municipal govt has just passed a by-law that rezones land to “rental only” building permits.

So.
As a developer.
If I spend millions buying a piece of property in Burnaby with the hopes of building Condos and reselling them at a profit…..
Then the local govt changes the rules….. only rental buildings may be built , not condos….

I own the property.
I will refuse to build anything.
No one wins.
People still scrambling for a place to stay.
If I can afford it I will wait until the local govt changes in an election and the rules change.
Unaccountable politicians and social engineering experiments meet real life.

https://www.cbc.ca/news/canada/british-columbia/burnaby-council-housing-policy-1.5152175

#73 John in Mtl on 06.14.19 at 9:08 pm

Among the demands and proposals:

More public money should be directed to Mills to pay for their child care, parental leaves, transit and student debt. (Yes, higher taxes.) That wil free up income for real
estate.

Tabarn*k, we already pay them enough with all the tax subsidies and govt programs devoted to families – 40% of them get a full refund and then some, for the taxes they do pay.

And who starts & raises families? the younger ones among us.

#74 Bdog on 06.14.19 at 9:11 pm

Well, it’s true:

their elders DID win the housing and birth lotteries, while they’re squished like bugs.

#75 Steve on 06.14.19 at 9:29 pm

I am at the tail end of the boomers, and I agree that younger generations got screwed. We had lower education cost and more opportunities. I am happy that the liberals started the child tax benefit. Kids need all the help to become members of our society. I am concerned about government deficits, but we should not cutting the safety net but stop corporate welfare. OAS should be clawed back at lower limits. GST should be increased.

#76 Lost..but not leased on 06.14.19 at 9:33 pm

#55 Bytor the Snow Dog on 06.14.19 at 8:05 pm
Taxing capital; gains on a principal residence in Canada will never happen. Why? Interest on the mortgage payment would have to be made tax deductible that’s why.

If that doesn’t happen the class action suit against the implementing government will be delicious.

===================
EXACTLY…..

Simply reverse engineer the system and even a pea brain would have this self -evident conclusion staring them in the face.

The economy is basically structured on various masking agents that try to deny/deflect/camouflage the power of central banks and usury.

#77 Chaddywack on 06.14.19 at 9:42 pm

Another non-voter for Trudeau.

He irks me and always has. I didn’t vote for him before either, but everyone knows he got in on one issue (marijuana), which funny enough has now lost a lot of support since legalization…..how’s everyone liking the pot that you smell EVERYWHERE? (https://www.buzzfeednews.com/article/dominicholden/americans-smell-marijuana-public-streets-canada)

In any event, now that this one issue has been settled I think a lot of his former supporters will either not turn out or will vote green the next election (appropriate I suppose).

I think the cons will get a majority. The conservatives have the most loyal voters in the country even though they are generally only around 33-36% of the electorate. If they turn out against sock boy and there is a surging green party with a three way split on the left (Lib Green and NDP) 36% might be enough for a majority.

One can only hope. T2 took the Libs so far left they are almost in Marxist territory. I just want him defeated so we don’t have a government in power anymore that tells me how I must think.

#78 tccontrarian on 06.14.19 at 9:42 pm

Speaking of ‘R’ (Recessions), from last day’s post.

Lots to read and digest here:

Vulnerable Windows and Swinging Trap Doors

“The received wisdom is mistaken on how recessions are made. They are not simply caused by shocks. They are caused by a window of vulnerability in the economic cycle where the cyclical drivers of the economy have weakened to the point where it’s susceptible to a negative shock. Within that window of vulnerability, virtually any reasonable shock becomes a recessionary shock. That’s how you get a recession.”

https://www.hussmanfunds.com/comment/mc190603/

My weekend reading material. Hussman gets ‘deep’!

TCC

#79 ImGonnaBeSick on 06.14.19 at 9:43 pm

#30 Welcome to Slurrey on 06.14.19 at 5:38 pm

No… No one does this. They buy a house, they live in it, get married, get pregnant, sell and buy a bigger house, raise kids, kids leave, sell and buy a smaller house, die.

Not saying you’re not on to something… But no. No one does that, except the three people that respond to this saying that they do it…

#80 Deplorable Dude on 06.14.19 at 9:51 pm

Don’t worry…..you forgot to mention they want all of this….without using fossil fuels…..

They won’t survive the first winter.

R.E. Raptors….apparently only have one Canadian on their team…yay Canada!

#81 Flop... on 06.14.19 at 9:54 pm

Flop’s Deal of the week.

Just the other day I wrote about how things are dropping so quickly that the people that are paying around a million for houses out in the valley that still need work,should be seeking better value in East Vancouver at the moment for a pair of commuters.

The details…

4212 Windsor St, Vancouver.

Originally asking 1.5 million

Assessment 1.45

Just sold for 1.16

This is not some old washed up heap of crap like myself, this one has only 30 years on the clock…

M44BC

https://www.zolo.ca/vancouver-real-estate/4212-windsor-street

#82 meslippery on 06.14.19 at 10:04 pm

I think what we need to look at is.
If I will shovel your drive for $10.00 bucks you my
say the boy on down at the corner will do it for $8.00
That,s healthy competion.
Not we can find some poor bugger over seas and bring him here and it will be better than anything he has ever seen. Then do it for $2.00 bucks.
Thats what all the fuss is about.??
The lowest common denominator/ Race to the bottom.
Or you could call it whining.
That is in my why of thinking how the 1 % get a bonus.
Find someone who will do it for less.
I think maybe we get what we pay for.
Was Henry Fords thinking pay the people so they can buy what we are making flawed ?

#83 Millennial Realist on 06.14.19 at 10:14 pm

Born on third base.

Years spent convincing yourselves you hit a triple.

Sound familiar, Boomer Moisters?

Don’t forget, do your diaper change before bedtime :)

#84 Retired on 06.14.19 at 10:17 pm

#67-Nonplused. We want that house! We have been looking for months. As retirees, we would like about 800 sq ft (with basement please) on a building lot. But in diffidence to our age, we’d like it spruced up with modern plumbing and wiring. A new build. Try to find that. They don’t build small homes anymore.

Our daughter is a mill. They want the same. Not available. No, we must buy 2800 sq ft with basements, garages, media rooms etc as that’s all they’ll build now on a SF lot. Want something smaller? Let me show you a condo. Don’t want a shared ownership? Let me show you this 2800 sq ft house.

It’s frustrating for both generations.

#85 Rexx Rock on 06.14.19 at 10:26 pm

#30, #79
I was told by a insider/coworker.He told me the secret but I didn’t follow through with it.Here it is,not to feasible now.First buy a cheap lot or tear down.Build a house as cheap as you can.Cut corners anywhere you can.Do as much as you can,paint,dry wall,insulation and fixtures.Pay cash for all services,no tax.All tradesmen will do it,so he says.Live it in for 18 months,no capital gains.Rinse and repeat.He told me he did this for 15 years.

#86 meslippery on 06.14.19 at 10:31 pm

Yukon Elvis on 06.14.19 at 3:46 pm

The have nots can now outvote the haves. Cover your assets.
————–
Or you could look at the Rich Kids Of The Internet (@rkoi) • Instagram photos and videos
———–
No money for the workers.

#87 TurnerNation on 06.14.19 at 10:33 pm

Kanada is done under T2 and the UN Agenda and today’s Millennials know it. Here they are, they got exactly what they wanted – a Raptors win – and felt like still destroying a police car last night.

(Though its was noted always the old end of life Crown Vic cars seem to be strategeically left where they may be trashed (See also the G20 in Toronto). To be replaced with a shiny new car. A fleet replacement strategy.)

They don’t even know what they rage against! Delusional and on T2 weed.

Video:
https://www.reddit.com/r/metacanada/comments/c0nepb/our_sports_team_won_better_smash_a_police_cruiser/

https://globalnews.ca/news/5389772/toronto-police-cars-smashed-raptors-win/

The kids are alright?

#88 Millennial Realist on 06.14.19 at 10:59 pm

Greenland just lost 2 Billion tons of ice.

Yesterday.

In one day. ONE DAY!!!!!!!!!!!!!!!!!!

https://www.cnn.com/2019/06/14/us/greenland-sudden-ice-melt-wxc/index.html

Do you f&^#@!g get it, Boomers?!?

Radical, drastic, urgent political and economic change has to happen within the next decade or less to give us any hope of surviving on this planet that the Boomer generation has accelerated the plundering of in the name of ridiculous, outdated, old-school capitalism.

We have no time to slow down to be “nice” to you diaper-wearing old farts.

Climb aboard the change.

Or be run over by it.

#89 fishman on 06.14.19 at 11:15 pm

You may need a bigger fence? I pulled the hoe out today. All week in the back getting rid of the loon sh*t & bringing in crushed. The last thing operator did was dig a hole down to the hard pan. The geo technical engineer checks it out next week so he can give the ok to the structural engineer for how deep the footings have to go. P Eng, the signature from God if you want to build a bigger & stronger fence in the Big Smoke. Which I am in the process of doing just as uncle Garth suggests. I don’t follow too much his financial advise but I got the kid on Garths program & he’s done 9%compounded/yr last 4 years. Better than me.

#90 Reality is stark on 06.14.19 at 11:20 pm

Public servants don’t just kill you slowly they can screw you quickly too.
Seems like a bright cowboy at the City of Burlington cut a $503,000 cheque to someone who told them that they needed to change some bank information before sending aforementioned cheque.
Management will likely have to politely tell the employee not to do that again.
By the way they will be recovering the money from property tax increases. Another problem solved.

#91 Headhunter on 06.14.19 at 11:33 pm

Ego is a hard nut to crack, no “mudslinging” intended.

Without question we boomers had it easier, at least in Canada. We won on way too many levels. Kids today are smart. Why play a game you cant win?

Socialism… “I’m In”

#92 the Jaguar on 06.14.19 at 11:36 pm

Examining that Instagram shot I cannot wonder why Garth would not carry a small yoga mat or something similar when Bandit needs a comfortable spot to rest. Go ahead and tell me to mind my own business ( wouldn’t be the first or last time it came my way), but at this point in his life he needs to be spoiled a little bit, doesn’t he?
No wonder he prefers Dorothy.

#93 Sail Away on 06.14.19 at 11:52 pm

#32 Howard on 06.14.19 at 5:52 pm
Those writers are over the top.

But – a cap on the personal residence capital gains exemptions is reasonable. It’s time. The middle class is tapped out, time to get more of the unearned gains from RE windfalls. What else can we do to pay the bills?

———————————————–

What makes you think RE tax proceeds would ever be used to benefit you or the group you identify with? Assuming your group would benefit if another group is penalized is a huge misconception.

#94 Ustabe on 06.14.19 at 11:57 pm

Have to chuckle at how stuff is fake news when we disagree but gospel when it fits our preconceptions.

A CBC article has caused all this foment and angst?

As previously reported I am on the Alcan Highway, north of Whitehorse at the moment and guess what? A pipeline is being built…work camps all over the place, all the oil and gas towns are booming. I guess the media is missing that bit of info.

You know who works on pipelines? Not boomers any more…these guys and gals are all solid millenial generation.

Anyway, having a blast, wish you were here, etc.

#95 Chaddywack on 06.15.19 at 12:04 am

@#79 ImGonnaBeSick

Actually I ran into a couple at a bar that did exactly that. They bought a house in Calgary and rented it out, but were renting in Vancouver.

They seemed to be pretty proud of their decision, but keep in mind this was over 8 years ago before the Calgary bust.

#96 Freedom First on 06.15.19 at 12:04 am

Today’s post is excellent!

Generational warfare at its finest. However, do not be alarmed. The only time people stick together, is when they are having sex.

Just look after yourself. I am, and have always been, #1.

Equally important to remember, is that after me, everybody comes first.

Freedom First

#97 yvr_lurker on 06.15.19 at 12:12 am

The fatal flaw in the report is that it assumes people making average money and without any real estate exposure should be able to buy the average property. But that’s not the way the real estate markets have worked for generations.

————————————–
In my view this statement is bogus (especially when applied to the hyper-inflated YVR and GTA). Let’s talk about the previous generation in YVR, those who were actively seeking to buy places in nice westside neighbourhoods around 1997-2000. These are numbers I know well and I still have the listings sheets in my garage from properties we were viewing in this period.

In this period a decent (but not spectacular) SFH in Kitsilano was around 450K. Two decent (but not spectacular incomes) of 75K + 50K for a couple would be 125K. Prime lending rate was around 6%. With a downpayment of 50-75K to put down, this was clearly affordable for this family, they can jump right in and not think of raising their kids in a 600sq foot starter condo and hopefully crawling slowly up the property ladder. This was my situation.

Fast forward to 2018. Price for comparable place in KITS is now around 2.5M. What type of family income can afford this starting from a 500K deposit say? Do we need a 500K annual family income? Which career path should they choose?

Perfectly clear to anyone who is not willfully blind that it has become much more difficult to have a comparable quality of life (as compared with 2000) in our major cities. Whatever the cause for this (and we can debate the causes ad nauseum) there is a clear gap in purchasing power between the current and former generation in real estate in our major cities. This breeds resentment.

When YVR prices were galloping ahead 20% year over year around 2016-2017, the term “Vancouver is rocking” was used to describe YVR. More like, a whole generation of people trying to get into the system were being pummeled by rocks.

#98 JPN on 06.15.19 at 12:14 am

#46 Timmy, why on earth do you think all of us boomers need to sell.. Dude, Not all of us are dying a slow death..
We’ll just stay in our great homes and then our heirs get it after our next stage.. not all of us live in poverty and are hanging on by a thread.. A few of us actually did OK.

#99 AGuyInVancouver on 06.15.19 at 12:52 am

#58 Ace Goodheart on 06.14.19 at 8:10 pm

…Trudeau and his super minister Freeland need to go.

They’ve both already feathered their nests with borrowed taxpayer money, so they’ll probably have no trouble getting cushy jobs with international organizations as soon as they are tossed to the curbside of Parliament..
_ _ _
Proof please. Or is that just some spittle-flecked rant from yet another wizened old conservative?

#100 Fortune500 on 06.15.19 at 12:55 am

Gotta disagree with you on this one Garth. Their arguments and suggested plans may not be perfect, but they aren’t wrong.

#101 Greg Franklin on 06.15.19 at 1:24 am

Tax generous government pensions. The longer you get your pension the higher the tax rate. Since the Liberals, NDP, Greens etc. all like a progressive income tax system.

I would say a 25% surtax after an income of $40,000 to $50,000. $50,000 to $60,000 35%, $60,000 to $120,000 45%, $100,000+ 55%. After each 10 years of collecting these government pensions add another 5% on top of these.

Government pensions are the real problem costing us taxpayers hundreds of billions of dollars. Most Canadians don’t get generous workplace pensions and rely on small C.P.P., OAS, GIS and small savings, RRSP, RRIF much less and less have much in these. For those that were responsible and prudent they are already getting 50% to 75% taxed called very low interest rates, 2.5% to 3% GIC’s today versus 4.5% to 9.5% GIC rates 11 to 25 years ago.

People are fed up being taken for fools and paying all the taxes for these too generous government pensions and benefits.

#102 Oh Canada, I weep. on 06.15.19 at 1:30 am

I called it long time ago, liberal globalists are intent on confiscation. We will see calls for wealth tax , higher individual tax, cessation of all capital gains exemptions and an audit on spare bedrooms, where an owner is occupying “decadent space”, an appraisal term for unoccupied square footage. Don’t be surprised to hear a call for “assignment” , where the government assigns a person, person’s or family into your home to occupy that extra bedroom. You’ll be forced to share a rack in your refridgerator. Any wild cultural practise you might not have asked for will be made law. Keeping goats for slaughter in the garage will be a mere by-law infraction. If you complain you’ll be branded on the forehead as a racist hate monger. Hey, this is already happening in Germany, Italy and UK…..name call all you want. The future us already there, you decide in a few months if you want it here.

#103 millmech on 06.15.19 at 2:28 am

#42
I hear you loud and clear, the first thing to be taxed should be inheritances, which should be counted as income, next any gifting of monies should also get the same tax treatment along with life insurance payouts. That will recoup all the ill gotten gains from those greedy boomers that our Government can then distribute to all their recent worthy third world causes.

#104 The Great Gordonski on 06.15.19 at 4:16 am

DELETED

#105 crazyfox on 06.15.19 at 5:31 am

Man the gates! All hands on deck! Cover our flanks! Keep six on land, water and skies! Lock and load! This is what we trained for! We shall not go quietly into this good night!!

Good morning. In less than a decade, millennials from here will join others from around the world. And we will be launching the largest PR battle in the history of mankind. “Mankind.” That word should have new meaning for all of us today. We can’t be consumed by our petty differences anymore. We will be united in our common interests. Perhaps it’s fate that today is the 15th of June, and we will once again be fighting for our freedom… Not from tyranny, oppression, or persecution… but from annihilation. We are fighting for our right to live. To exist. And should we win the day, the 15th of June will no longer be known as an ordinary day, but as the day the world declared in one voice: We will not go quietly into the night! We will not vanish without a fight! We’re going to live on! We’re going to survive! Today we celebrate our Independence Day!”

Disclaimer: Slight plagiarism has occurred in this comment. Otherwise, names, dates, places and speeches are purely coincidental in nature.

#106 dharma bum on 06.15.19 at 8:29 am

#25 Ace Goodheart

If you want a house and you can’t afford Toronto, there are plenty of places in Canada where a nice four bedder costs under $200,000 CDN.

You just have to go a little rural….
——————————————————————-

Remember this?

https://www.youtube.com/watch?v=umS3XM3xAPk

#107 dharma bum on 06.15.19 at 8:38 am

“You may need a bigger fence.” – Garth
——————————————————————–

I think I’ll need a WALL!

Wait…what?

Hmmm…maybe that orange lunatic is actually onto something.

#108 Ace Goodheart on 06.15.19 at 9:08 am

#88 Millennial Realist:

This is what bothers me about the climate change nazis.

Their way of stating facts.

First they say “Greenland lost however many tons of ice”

Then read further and you find out, this is only an estimate.

Read further and discover that there is no real way of knowing how much, if any ice was actually lost.

Read all the way to the end and you find out this has happened before (many times).

If you know a bit about weather you also learn that the warm spell was due to a blocking pattern in the front system which has nothing to do with climate change.

But the ice melt (which may or may not have actually happened) is climate change, it is an urgent threat to all of us (even though the same blocking pattern has occurred many times before with the same results) and the sea levels will surely rise and flood us all (even though they have not risen in result of this massive ice melt which occured yesterday).

Oh and the pic they used of the melted glacier is not Greenland. See if you can find where that is (where’s Waldo).

Justin will of course want to tax us more and send the money abroad to international climate change organizations.

Maybe he should actually go to Greenland…..

#109 Bezengy on 06.15.19 at 9:12 am

I bought my first home in Goldtown for 36k when I made 14k gross per annum. I just sold a house for 220k to a young guy who makes 100k per year. You do the math. There is no housing affordability problem, just don’t live in Toronto or Vancouver.

#110 Steven Rowlandson on 06.15.19 at 9:16 am

Considering the ice age cycles both small and great placing so much emphysis on real estate as an investment and driving the price into the stratosphere is foolish. The events associated with mini ice ages will decimate potential buyer populations from plague and famine if not war and major ice ages will in the case of Canada bury the country under snow and later a mile or two of slow moving ice. You can’t move land and moving a home is not fast or easy if it can be done at all. Since 2014 we have been in the initial stages of the Eddy minimum mini ice age which will dominate the century and we are near the end of the current interglacial that usually lasts 11,500 years on the average and is followed by major glaciation. So don’t fall in love with real estate. You or your property is at risk from global cooling and its side effects.

#111 Howard on 06.15.19 at 9:27 am

#84 Retired on 06.14.19 at 10:17 pm
#67-Nonplused. We want that house! We have been looking for months. As retirees, we would like about 800 sq ft (with basement please) on a building lot. But in diffidence to our age, we’d like it spruced up with modern plumbing and wiring. A new build. Try to find that. They don’t build small homes anymore.

Our daughter is a mill. They want the same. Not available. No, we must buy 2800 sq ft with basements, garages, media rooms etc as that’s all they’ll build now on a SF lot. Want something smaller? Let me show you a condo. Don’t want a shared ownership? Let me show you this 2800 sq ft house.

It’s frustrating for both generations.

———————————————-

Townhomes?

#112 Cottingham a bargain on 06.15.19 at 9:31 am

David Rosenberg , gluskin and schedule, BNN yesterday calling for three US federal rate cuts before end of year and for monetization of debt with inflation starting in two to three years.

Assets that will benefit , according to him in this environment are hard ,think gold , oil and real estate.

Don’t bother with the first two and just hyper focus on the last .

#113 Howard on 06.15.19 at 9:31 am

#98 JPN on 06.15.19 at 12:14 am
#46 Timmy, why on earth do you think all of us boomers need to sell.. Dude, Not all of us are dying a slow death..
We’ll just stay in our great homes and then our heirs get it after our next stage.. not all of us live in poverty and are hanging on by a thread.. A few of us actually did OK.

——————————————

The Boomers’ heirs will get nothing.

The Boomers will take out reverse mortgages and drain every cent of equity from their homes, leaving their children with nothing or possibly even debts to pay off.

And they’ll do it with a cackle.

#114 Long-Time Lurker on 06.15.19 at 9:45 am

Here, Smokey. Recent Area 51 photographs and videos. It’s near Las Vegas.

https://www.dailymail.co.uk/news/article-7140993/Mysterious-white-UFO-filmed-hovering-Area-51-aircraft-hanger-hikers.html

#115 Howard on 06.15.19 at 9:50 am

#93 Sail Away on 06.14.19 at 11:52 pm
#32 Howard on 06.14.19 at 5:52 pm
Those writers are over the top.

But – a cap on the personal residence capital gains exemptions is reasonable. It’s time. The middle class is tapped out, time to get more of the unearned gains from RE windfalls. What else can we do to pay the bills?

———————————————–

What makes you think RE tax proceeds would ever be used to benefit you or the group you identify with? Assuming your group would benefit if another group is penalized is a huge misconception.

————————————————

By that logic let’s have zero taxation since we have little oversight where any of the money goes. Fine by me, but I think the Boomers want their free healthcare. So who pays for it? Chronically underpaid Mills? Or the birth/housing lottery winners? Should we tax more heavily earned wealth, or unearned wealth?

#116 PastThePeak on 06.15.19 at 10:01 am

Sigh. So much hate between cohorts. Parents and their children, for the most part. And a cohort is simply people sharing birth years.

Blame the boomers? Well, I suppose you could say that in the last few decades that it was members of that cohort and the one before it (silent generation) that comprised most of the politicians, business and union leaders. But those people didn’t enact policies that benefited boomers specifically – just themselves (get elected/reelected, make money, hold power). Anyone else in the cohort that benefited was purely accidental.

The issue is not one generation against the next. It is the inept leadership. But guess what – THEY ARE VOTED IN! By Canadians of all ages. In the last 50 years, the majority of federal gov’t has been Liberal. And after that, Red Tory (red because otherwise they wouldn’t get elected). Leftist policies have shaped Canada for decades. You don’t like the result?

#117 Cottingham a bargain on 06.15.19 at 10:29 am

Why censored? . What could possibly have been wrong with my comment referencing David Rosenberg on BNN yesterday ?

Nothing was censored. – Garth

#118 crowdedelevatorfartz on 06.15.19 at 10:34 am

@#83 Millenial Surrealist.
“Born on third base.
Years spent convincing yourselves you hit a triple.
Sound familiar, Boomer Moisters?”

+++++

Surrealists
Strike out at home plate.
Told “Good Job!” and get carried to 1st base.
Soak their diapers at the unfairness of the rules that expect them actually run to home plate.
Take bat and ball owned by Boomers and go home.
Complain about wet diapers.

#119 crowdedelevatorfartz on 06.15.19 at 10:45 am

@#88 Millionaire Dreamist

A billion tons of ice in Iceland.

Blame the Norwegians…

https://www.theguardian.com/vital-signs/2015/apr/04/svaice-ice-cubes-glacier-melt-cocktails-bars

#120 Ace Goodheart on 06.15.19 at 10:50 am

RE: #99 AGuyInVancouver on 06.15.19 at 12:52 am
#58 Ace Goodheart on 06.14.19 at 8:10 pm

…Trudeau and his super minister Freeland need to go.

They’ve both already feathered their nests with borrowed taxpayer money, so they’ll probably have no trouble getting cushy jobs with international organizations as soon as they are tossed to the curbside of Parliament..
_ _ _
“Proof please. Or is that just some spittle-flecked rant from yet another wizened old conservative?”

Here’s the latest one:

https://pm.gc.ca/eng/news/2019/06/04/government-canada-makes-historic-investment-promote-health-and-rights-women-and-girls-around-the-world

Women and girls of course. Not boys. Boys are not children.

This money goes to organizations that T2 will likely want to work for as soon as he’s finished with government.

Mark my words here. If T2 does not get re-elected, he is off to work for the UN or one of its umbrella groups. He is pretty much guaranteed a job, as he has given them tons of borrowed Canadian tax money

#121 MF on 06.15.19 at 10:58 am

101 Greg Franklin on 06.15.19 at 1:24 am

Too generous? They paid into those pensions for years.

You wanted a government pension you should have worked for government.

Instead you wanted the benefits of the private sector (wealth generation and risk taking) with none of the risks. Now you are here complaining. It’s pathetic.

You made your bed now sleep in it.

MF

#122 Damifino on 06.15.19 at 10:58 am

#118

Good one Mr. Fartz.

#123 MF on 06.15.19 at 11:05 am

80 Deplorable Dude on 06.14.19

Your are right. One Canadian on the raps.

But thousands employed by the organization and owners.

Also an entire generation of children inspired by basketball in Canada.

There are no negatives to that win.

MF

#124 Mr Canada on 06.15.19 at 11:06 am

Agree with Garth. We are the proverbial Frog on slow boil. The wheels are well into motion but ask yourself what you can do to stop it. In the last 4 years Comrade Socialist Trudeau says if you are a critic, then you are on the wrong side of history, perhaps just fear mongering, or worse you are “intolerant” or not aligned with “real” Canadian values. Let’s not forget the solution to crime is to “ban” guns, while the solution to our drug problem is to “legalize” POT. The last election he said he would “ask” the rich to pay “more” and the budget of course will balance itself. Oil wealth in Alberta will need to stay in the ground, because we need to care for our children’s future. Global warming, now climate “change” will be taken care of by way of a carbon tax now conveniently called a “pollution” tax….the virtual signalling is only getting worse, don’t forget to thank the aboriginal people for allowing you to “occupy” your real estate, private property rights of course not enshrined in our Constitution, and democratic socialism is not about improving the “poor” in Canada , but making the rich much poorer, especially those greedy tax avoiding small business owners across Canada. So, ask yourself, will Trudeau really go after your real estate wealth?

#125 Renter's Revenge! on 06.15.19 at 11:06 am

#19 Agree on 06.14.19 at 4:42 pm

“It is extremely unhealthy for a society to encourage speculation in non-productive assets, as a result of this misallocation our country is now less competitive than ever.”

I totally agree with Agree.

The problem is this is the card they always play between resource booms. They don’t have any other ideas for the Canadian economy.

#126 Doug in Londinium on 06.15.19 at 11:22 am

The solution to this problem of overpriced houses is obvious. Just keep increasing interest rates bit by bit and reduce maximum allowable amortisation period.

#127 millmech on 06.15.19 at 11:49 am

#88 Millenial Realist
Screwed Canadian Millenial, no need to hide behind different names

#128 AGuyInVancouver on 06.15.19 at 11:52 am

#85 Rexx Rock on 06.14.19 at 10:26 pm
#30, #79
I was told by a insider/coworker.He told me the secret but I didn’t follow through with it.Here it is,not to feasible now.First buy a cheap lot or tear down.Build a house as cheap as you can.Cut corners anywhere you can.Do as much as you can,paint,dry wall,insulation and fixtures.Pay cash for all services,no tax.All tradesmen will do it,so he says.Live it in for 18 months,no capital gains.Rinse and repeat.He told me he did this for 15 years.
_ _ _
There’s a whole lot of spec builder/flippers sitting on their empty plywood palaces in Metro Vancouver right now. No more greater fools willing to pay a couple million for their creations. How much rope will the banks give them, or are they using shadow lenders?

#129 crowdedelevatorfartz on 06.15.19 at 11:57 am

@ Millenial Surrealist

Now I’m beginning to understand your “angst”.

https://nationalpost.com/opinion/why-millennials-arent-having-sex?video_autoplay=true

#130 Ace Goodheart on 06.15.19 at 12:01 pm

Well it’s half way through the month. Time once again to have a look at how well various members of our society are doing after tax income-wise.

As this blog post illustrates, the war on the older, established set of Society continues, with the younger generation now being set to forcibly remove from the oldies, what they are too lazy to earn for themselves.

So, taking a pre tax income of $110,000 per year, who does best, after tax?

The employed wage slave salary person:

Income taxes paid: $31,904

After tax income: $78,096

The self employed person:

Income taxes paid: $32,796

After tax income: $77,204

The trust fund kid earning income from capital gains:

Income taxes paid: $10,143

After tax income: $99,857

The trust fund kid earning income from dividends:

Income taxes paid: $9622

After tax income: $100,378

The verdict is in!!!!!!

Trust fund kid with dividend income wins for 2019!

And they are the only taxpayer to cross the $100,000 after tax income threshold!

The worst off after taxes?

The self employed person, with a miserable $77,204 after tax haul.

Look for our trust fund kid-led government to attack the self employed again in further budgets. We need to tax them more!

Young folks need houses!

Just whatever you do, don’t tax capital gains or dividends.

Or if you do, make an exemption for capital gains and dividends earned by high net worth individuals (that would only be fair).

Or just tax capital gains fully, if they come from selling a house. Leave all other capital gains at partial taxation.

That’s only fair, after all.

#131 Area 51 on 06.15.19 at 12:10 pm

#114 Long Time Lurker – The last time the Smoker went to Area 51, a young boy launched his toy drone chasing the Smoker down the road in fear of an alien craft out to get him. All were laughing at this coward yelling for help, and photos were taken.

#132 Jake Stokes on 06.15.19 at 12:16 pm

MF, you did not pay for your whole government pension. The employer which is government which is us suckers, private taxpayers paid at least 50% of your pension and government pensions.

You don’t even know what you are talking about as I am not surprised by the brainwashing from government workers unions. I’ve been around you know. I’m not ignorant and an idiot. If your government pension fails or is cut because the promises your government employer and union massively mislead you but we have to pick up the tab.

Government workers in Canada have found a goldmine for sure. Why don’t government workers use only their salary to have an RRSP and save money like teh majority has to do in the real world.

#133 Spectacle on 06.15.19 at 12:27 pm

#51 Paul on 06.14.19 at 7:36 pm
42 Penny Henny on 06.14.19 at 7:18 pm
The Boomers didn’t do this. Forget that. Cheap rates brought big debt and higher prices. Sellers got greedy.-GT

??????????????

Sellers got greedy???????

Please tell me Garth how many properties did you sell below market value in your lifetime.

Sellers got greedy my ass.
————————————————————————————————
I know of one!
But from
what I see most properties Garth dealt he added value.
———————————————
——————————————–
Exactly Paul #51 ::

My most significant and enduring takeaway from the last few Years of following Sir Turners blog is ::

– build something, add value to it, and realize a profit on the asset based on the new value.

I am now building on that principle, that opportunity, in a very tough economic and political environment.

I hope to add value to the Canadian landscape!

#134 Dogman01 on 06.15.19 at 12:35 pm

As a Gen X’er I rode the coattails of the Boomers. In my 20’s I saw two types of Jobs, Good jobs had benefits decent hours and had been established for a while. New Jobs or new industries were of much lower quality.
Getting a “good job” was hard, there was no hiring in the old established sectors at all. The young accepted the lower quality jobs.
I and a number of my male friends felt the “Run Rabbit Run” pull in our late 20’s and as if by miracle IT and the personal computer became a big thing that Boomers could not comprehend.

Get IT training, get on with an Old School company or Government and get a good Boomer style job.
In my career I saw it happen, the old employees had all the Perks but not the new ones. Hiring Freezes. The new industries all operated in the new style, efficient and no perks.

I was happy I got in “under the wire” got the old school Job salary, benefits and pension…..just barley.

Now add in outrageous housing costs, crappy jobs for the most part and the Millennials are in trouble. (the “Entrepreneur” aspiration message to re-enforce if you are not making it then it is your fault.)

Huge lowering of the Standard of Living in Canada, they did it by stealth, sacrifice the young, stagnation for the rest. Move most of the pie to the top.

They will now pit generation against each other so you do not think.

The solution Inheritance Tax on everything over say One Million. Then free Post – Secondary , more child benefits, pharma-care etc.

#135 Mean Gene on 06.15.19 at 12:51 pm

IF there were SOME capital gains taxes on a principle residence at sale time, it may temper prices and force joe public to diversify their investments and get away from the one asset strategy, which would diversify the economy.

Maybe the Yanks got it right when it come to real estate.

#136 MF on 06.15.19 at 1:05 pm

132 Jake Stokes on 06.15.19 at 12:16 pm

I work in the private sector you moron.

That’s the problem with using YOU.

YOUR post is basically a 250 list of complaints that would make a 6th header blush. It’s not us vs them. That’s toxic and incorrect.

I’ll say it again for YOU: if YOU wanted a government pension than YOU should have worked for government. YOU made YOUR bed now sleep in it and take responsibility instead of blaming everyone else and complaining.

Got it?

MF

#137 Marco on 06.15.19 at 1:19 pm

wealth redistribution is a norm in Scandinavia where people have the highest living standard in the world and their rich somehow do not relocate in Canada to avoid their social responsibility.
Milenials should coldly wait, Time is on their side.

#138 Sail Away on 06.15.19 at 1:49 pm

#115 Howard on 06.15.19 at 9:50 am
#93 Sail Away on 06.14.19 at 11:52 pm
#32 Howard on 06.14.19 at 5:52 pm
Those writers are over the top.

But – a cap on the personal residence capital gains exemptions is reasonable. It’s time. The middle class is tapped out, time to get more of the unearned gains from RE windfalls. What else can we do to pay the bills?

———————————————–

What makes you think RE tax proceeds would ever be used to benefit you or the group you identify with? Assuming your group would benefit if another group is penalized is a huge misconception.

————————————————

By that logic let’s have zero taxation since we have little oversight where any of the money goes. Fine by me, but I think the Boomers want their free healthcare. So who pays for it? Chronically underpaid Mills? Or the birth/housing lottery winners? Should we tax more heavily earned wealth, or unearned wealth?

—————————————

Chronically underpaid Mills? Oh, the whining. Nobody is owed a job or certain salary- someone is worth more when, and only when, they produce that value. If their salary is not enough, then they need to increase their value to the world. Claiming it’s somebody else’s fault and trying to take their wealth is a childish bully tactic.

#139 Sail Away on 06.15.19 at 1:55 pm

I employ a dozen Mills, and the only underpaid ones are the underproducing, and soon-to-be unemployed. Maybe they’re the loudest and most strident because they have all that non-working free time.

#140 Tammy Hamilton on 06.15.19 at 2:16 pm

To MF

Jane Stokes is right on the money. I did not see Jane or Greg wanted government pensions by what their posts stated. Governments don’t create anything except problems. The best thing government can do is get out of the way or better yet disappear.

I doubt you ever paid over a $1 million in taxes like our family has after 30 years. My family got financially sucked dry and thanks to lairs and thieves brought to you by the government. Government is the big bully that steals people’s lunch money and eats most of it and gives crumbs to their followers, voters.

Government is for protecting irresponsible, lazy, entitled, spoiled people that think they deserve whatever they want and make it their mission to get free stuff and throw it in people’s faces.

#141 T on 06.15.19 at 2:20 pm

#137 Marco on 06.15.19 at 1:19 pm
wealth redistribution is a norm in Scandinavia where people have the highest living standard in the world and their rich somehow do not relocate in Canada to avoid their social responsibility.
Milenials should coldly wait, Time is on their side.

——

Wait for what exactly? Wait until counts are low and eggs are spoiled?

Some of us millenials are starting to get a little long in the tooth and see our lives slipping away while ‘waiting’ for situations to improve. Whether buying or renting, it’s a bad position to be in these days and the job market isn’t actually that great for anyone looking to make a decent living.

Some of us understand the value of time and have left, like myself. It wasn’t an easy choice as I left my family and friends behind, some of which are very upset about it. I also took jobs with me as I relocated the medium sized business I spent years building, so my decision affected many. Some of my older employees have not been able to find equivalent positions anywhere near the city (Toronto).

Life is too short. 30,000 days +/- for most. Waiting often equals regret. You provide poor advice. Time is not on anyone’s side.

#142 Vampire Studies (doctoral thesis) on 06.15.19 at 2:27 pm

137 Marco – google ‘brain drain Scandinavia’

#143 Midnights on 06.15.19 at 3:08 pm

Great interview on Canadian and U.S. housing…
Josh Steiner
MacroVoices #171

#144 akashic record on 06.15.19 at 3:21 pm

#137 Marco on 06.15.19 at 1:19 pm

wealth redistribution is a norm in Scandinavia where people have the highest living standard in the world

Only as long as the redistribution does not kill the creation.

Good luck with redistribution after that.

#145 akashic record on 06.15.19 at 3:48 pm

#72 crowdedelevatorfartz

Yes, no entrepreneur wants to commit financial suicide.
Only governments are eager to do that.

#146 Prairieboy43 on 06.15.19 at 4:41 pm

@#137 Marco. Don’t give the Marco a disservice.
Maybe read more, complain less. You will be more productive.

Sweden’s Richest Man, IKEA founder, left Sweden for 40+ years to avoid high taxes.

https://www.reuters.com/article/us-sweden-ikea-idUSBRE95P1BQ20130626

#147 45north on 06.15.19 at 4:42 pm

akashic record:

Or was it man-made, like global warming?
You are certain and vocal about the man-made climate change, but very fuzzy about the origin of “cheap rates”.

like the Trudeau government that promises to balance the heat budget of the planet earth but cannot balance its own budget

#148 Coastal Zapper on 06.15.19 at 4:51 pm

I love reading the comments when you stir the pot.

Cheers

Happy Fathers Day

#149 45north on 06.15.19 at 5:38 pm

yvr_lurker: When YVR prices were galloping ahead 20% year over year around 2016-2017, the term “Vancouver is rocking” was used to describe YVR. More like, a whole generation of people trying to get into the system were being pummelled by rocks.

funny how the mood has shifted. When YVR prices were galloping ahead, nobody complained. A poster here, BPOE boasted that prices were going up. He said you gotta be rich to live in the best-place-on-earth. Funny he hasn’t posted for a while. Now that prices are going backwards, people are complaining. Prices are still high, but wage gains are not going up to match. This is the thing: Incomes don’t match prices, but they will.

Lots of people think that if there’s a problem then the government will solve it. No, it won’t.

#150 45north on 06.15.19 at 5:39 pm

crazyfox: Good morning. In less than a decade, millennials from here will join others from around the world. And we will be launching the largest PR battle in the history of mankind. “Mankind.” That word should have new meaning for all of us today. We can’t be consumed by our petty differences anymore. We will be united in our common interests. Perhaps it’s fate that today is the 15th of June, and we will once again be fighting for our freedom… Not from tyranny, oppression, or persecution… but from annihilation. We are fighting for our right to live. To exist. And should we win the day, the 15th of June will no longer be known as an ordinary day, but as the day the world declared in one voice: We will not go quietly into the night! We will not vanish without a fight! We’re going to live on! We’re going to survive! Today we celebrate our Independence Day!”


We few, we happy few, we band of brothers;
For he to-day that sheds his blood with me
Shall be my brother; be he ne’er so vile,
This day shall gentle his condition;
And gentlemen in England now a-bed
Shall think themselves accurs’d they were not here,
And hold their manhoods cheap whiles any speaks
That fought with us upon Saint Crispin’s day.

https://en.wikipedia.org/wiki/St_Crispin%27s_Day_Speech

#151 Linda on 06.15.19 at 6:56 pm

#84 ‘Retired’ – question? Can you purchase a serviced lot w/o the house? Because if the answer is yes, then if I were you I’d Google ‘pre-fabricated homes 800 square feet’ & look at what is available. Most manufacturers happy to help purchasers with foundation (basement) measurements, requirements or even build it for you. Alternative if a pre-fab simply is not your cup of tea but you can buy that serviced lot is to check with architects, see what they can come up with given your requirements. Don’t give up hope just because the developers are locked into a vision of 2,800 square feet or bust.

#152 oh bouy on 06.15.19 at 7:48 pm

@#140 Tammy Hamilton on 06.15.19 at 2:16 pm
To MF

Jane Stokes is right on the money. I did not see Jane or Greg wanted government pensions by what their posts stated. Governments don’t create anything except problems. The best thing government can do is get out of the way or better yet disappear.

I doubt you ever paid over a $1 million in taxes like our family has after 30 years. My family got financially sucked dry and thanks to lairs and thieves brought to you by the government. Government is the big bully that steals people’s lunch money and eats most of it and gives crumbs to their followers, voters.

Government is for protecting irresponsible, lazy, entitled, spoiled people that think they deserve whatever they want and make it their mission to get free stuff and throw it in people’s faces.
______________________________________

LMAO, this forum is great for all the ‘sweeeping generalizations. haha

#153 Remembrancer on 06.15.19 at 9:51 pm

#140 Tammy Hamilton on 06.15.19 at 2:16 pm
I doubt you ever paid over a $1 million in taxes like our family has after 30 years.
————————–
Wow, an average of $33,333 in taxes a year! Reflects a comfortable salary level, sure, but hardly enough to feel so haughty and entitled and go all Boston Tea Party… Did a recent audit go bad or something?

#154 Jay on 06.15.19 at 11:12 pm

Hi Garth,
I think a major reason for inflated house prices is not the cheap money but the shady mortgage market where people with no declared income can get million dollar mortgages.
I can easily say 70% would be pushed out of the mortgage market if they were to cross referenced with their reported income through Cra.
If mortgage approval required cra’s stamp,
A) people who buy those million dollar homes with no reported income would have to actually report their actual income(which they claim while getting a mortgage) and pay taxes to be able to qualify for a mortgage
B) cra would cover its otherwise lost revenue
C) this would lead house prices to come down to normal values as people would either not qualify for a mortgage or only qualify for an amount that based on their actual income, not the inflated fake income.
If a)even a 1% er cant afford a house in Toronto, b) foreign buyers is not even a factor, c) 60% dont even pay taxes
then,
who is buying all the houses?

#155 The Great Gordonski on 06.16.19 at 12:20 am

DELETED

#156 Edward Bear on 06.16.19 at 11:37 am

Before blaming us for not having the fully furnished 3000 square footer with twin Cayenne’s in the driveway and retiring at 40; some of you buggers better remember sitting, flatulating in silk whilst eating Mom amd Dad’s hard earned roast beef for thirty years. No one gave most of us a sou and we struggled through thick and thin to get a little something to retire on. If you think you are taking what we earned over 40 years of toil it for doing nothing and leaving us in the poor house you and those who feed you this nonsense, will be met with a venomous response.

#157 Tony on 06.16.19 at 6:30 pm

Re: #26 BlorgDorg on 06.14.19 at 5:04 pm

Edmonton Alberta resale apartments and resale townhouses have lost 50 plus percent in the last 12 years non-inflation adjusted. Adjusted for inflation around 70 percent in the last 12 years.

#158 Dan Cameron on 06.17.19 at 12:01 am

Taxes are purely just stealing. Let’s get real. Call for what it is. It is stealing from the success and hard work and taxes are an excuse to see others pay for those that are not capable of doing great things. Taxes and inflation are the duo thieves in society.

#159 Frank Desanti on 06.17.19 at 3:37 pm

The whole purpose of taxes is for more losers to be created in society so Liberals, NDP etc. can pass socialism. We are almost a socialist country and a blog like this will not be needed because private property will be criminalized.

#160 DM in C on 06.17.19 at 4:52 pm

Why has no one mentioned CMHC — prices went up when they eliminated the maximum home price threshold they would insure.

Remove their guarantee and banks will self-regulate mortgages and the prices will correct to market appropriate levels.

Moral hazard brought us here. It drove the bus.