What I learned

  By Guest Blogger Sinan Terzioglu

.

Fifteen years ago I was a New Yorker. Just 28 at the time, it was exciting. An adventure. I was single, no dependents and didn’t own real estate, so it was an easy move. For the first three months the bank I worked for put me up in a furnished apartment in the heart of the city. All I had to do was pack my suitcases and suddenly I was a resident of the Big Apple. If only life were always this easy!

Before the New York gig I’d been thinking about buying a condo in downtown Toronto.  Early on in my career I heard many people say renting was throwing money away – so in moving to one of the most expensive residential markets in the world and putting my purchasing plans on hold I feared I was falling behind.

As those three months of paid-for comfortable living came to an end, I had to find a place to live. The bank set me up with a rental agent to take me around the city. I was shocked.  I knew New York was extremely expensive but on top of that the standards were definitely not what I had become used to. The price range I initially set would easily pay for a nice apartment in Toronto but in New York it basically got a closet. Everywhere I went I discovered something else I couldn’t believe.

Like Toronto today, New York’s vacancy rate is extremely low and rents steadily rise most years. Most available units are gone in 24 hours. There were multiple agents showing dozens of people a single unit. Even if you decided to take a unit after seeing it there was a good chance someone who had just seen it was already in the process of filling out the paperwork. It happened to me several times and needless to say it was frustrating.

Like many people in Toronto and Vancouver today I felt owning would give me security so I started to consider buying an apartment. After the initial sticker shock wore off, I crunched the numbers and had a really tough time making sense of the valuations. Like in Toronto, it was cheaper to rent but my decision to stick to renting had a lot more to do with liquidity, flexibility and freedom. Everyone’s goals and circumstances are different and being single I had to worry about only myself. After going over all the numbers I couldn’t justify the large transaction costs. Unless I owned the property for at least 5 years (as a resident or landlord) it didn’t make sense to buy, since at least 5% would go to transaction costs. I was young and had no clue what lay ahead in the following few years with my career and personal life. I decided that based on my circumstances having flexibility was what I valued most.  So I happily became a renter and took advantage of the defined contribution plan of my employer as well as the US equivalent of our TFSA.  I still had the desire to own real estate but realized it was much more important to build the financial foundation of my life early on, so I didn’t have to worry about it later.

A few years into my days on Wall Street the financial crisis hit. Investment bank Lehman Brothers crumbled and Bear Sterns had to be rescued for pennies on the dollar. In a matter of months some of the largest investment banks and financial institutions in the world had turned to ashes. I couldn’t believe what I saw. Working on an institutional trading desk in those days was intense. All of a sudden industry colleagues lost their jobs. Some had expensive homes with big mortgages. Severance packages helped buy them time but their big lifestyles quickly ate away at the remaining cash until reality hit. Many had a mountain of mortgage debt and savings were raided to cover costs.  I was fortunate to still be employed, with the flexibility of liquid financial assets and no huge mortgage. I, too, could have been out on the street at any point. Sure my investment account was feeling the pressure but I took comfort in knowing I had a balanced and diversified portfolio of quality productive assets.

Toronto increasingly smells like New York to me. Lots of exciting growth especially in the technology sector but there’s no such thing as job security anymore. Just like my days in New York I think it is extremely important for everyone to ensure they build a strong financial foundation for themselves and households. The 2008 crisis proved anything can happen so risk management can never be taken lightly. I’ve worked with several people who never got back to their pre-crisis earnings and regret not saving and investing more. There are plenty of stories around the US of people getting greedy with real estate and eventually being wiped out. We know most don’t have pension plans nor save enough, so whether you are 30, 40, 50, 60+ you must always ensure you’re prioritizing the building of financial assets. If you need $60,000 net a year to live today, then in 10 years you will need the equivalent of $80,000 because of the consistent force of inflation. It’s the silent killer of purchasing power and you must have a strong plan to stay ahead of it.

I was recently asked by a 50-year-old if he should liquidate his entire portfolio and purchase a condo because he feared he would not be able to afford a place to live in Toronto one day.  It was emotional, as he’d recently divorced with no dependents. His portfolio was worth approximately $500,000 spread out across a RRSP, TFSA and non-registered account. No pension plan and income of about $90,000 a year. He wants to retire in a decade with $5,000 a month in net income – close to what he earns now.  If he is able to invest an additional $15,000 a year for the next 10 years and earn an average annual return of 6% his portfolio will be worth ~$1,100,000 by the time he’s 60. This would generate ~$65,000 gross a year in dividends, interest and growth.  Add to that CPP and he will have a good chance of meeting his objective so long as he stays invested. But if he liquidates his portfolio and buys a condo he runs the risk of not meeting his retirement goals.

As Garth says, stop worrying about a roof over your head because you can always rent one but you cannot rent cash flow. If you can afford real estate after you contribute to your financial portfolio, go ahead and buy but, but don’t make the mistake of thinking real estate is the only strategy you need.  If you want to retire at 60 you need to plan to grow financial assets that will take care of you for at least 30 years.

You have no idea what’s coming. So be ready. I was.

Sinan Terzioglu, CFA, CIM, is a financial advisor with Turner Investments, Private Client Group, Raymond James Ltd.   

112 comments ↓

#1 not 1st on 11.21.19 at 4:24 pm

Not sure what Quebec is crying about. They want to end fossil fuels and hydro is so great, what do they need propane for?

https://www.cbc.ca/news/canada/montreal/quebec-cn-strike-strike-propane-1.5367945

#2 IHCTD9 on 11.21.19 at 4:31 pm

Nice. My career job imploded with a company bankruptcy a few years after the GFC hit at 38 years old. We were lucky the mortgage was small and near done, and Ms. IH had a job that was unaffected by the crises down south.

The GFC really did come out of the clear blue sky – at least to me it did. You never know where the or when the next SHTF event will strike.

#3 Stan Brooks on 11.21.19 at 4:37 pm

Oh, I do have a very good idea of what is coming.

Bank of Canada governor says climate change poses risks to financial systems

https://ca.finance.yahoo.com/news/bank-canada-governor-poloz-says-171841300.html

It is getting mental at highest levels.

cuckoo, cuckoo,

And Toronto literally ‘smells’ like New York (in the garbage department) but lacks the money.

#4 FreeBird on 11.21.19 at 4:55 pm

Getting started is the tough part but once compounding interest works for you it gets easier. It’s not a sacrifice to put money away, it’s freedom for the future.

Speaking of other half wants to know how much a portfolio has to kick out before they can buy a Porsche and offering the benefits of buying used. I used this blog’s logic of renting.

That went well.

#5 FIRE'd up on 11.21.19 at 4:58 pm

my investment portfolio is at $1,990,983.23

how should I celebrate when it hits $2Mil? Any suggestions?

#6 PastThePeak on 11.21.19 at 4:59 pm

Thanks for the article Sinan. Always great to hear your perspective.

One thing you forget when comparing GTA and New York – GTA is the centre of the known universe! Housing is impervious to any correction – ask any number of persons on this blog. It is diamond and adamantium coated. GTA RE will only fall back a few % points every decade or so, and then it is off to the moon again.

Or so I hear…

#7 The Wet One on 11.21.19 at 5:01 pm

Good article.

#8 Oakville Rocks! on 11.21.19 at 5:04 pm

No offense to Garth, but I really enjoy the posts from the cabana boys, even though they lack his sense of humor and wit.

Thanks for sharing your life experience Sinan.

#9 NoName on 11.21.19 at 5:13 pm

#6 FIRE’d up on 11.21.19 at 4:58 pm
my investment portfolio is at $1,990,983.23

how should I celebrate when it hits $2Mil? Any suggestions?

Today wifi forbid me to drink, for a little while I hope. We all know who’s fault that is.

As for celebration I would try Blanton’s single barrel bourbon whiskey.

#10 Camille on 11.21.19 at 5:16 pm

Conspiracy theorists connect bank governor interest in climate change to how they will take our money. Check out Mark Carney. Who knows for sure; their interest may be proportional to everyone else’s. But remember his fear mongering on rising interest rates and debt. He did nothing. And he is accused of fear mongering on Brexit. I even remember back in 2007 or so how they so feared raising rates if it might collapse the stock market. That’s where I learned they won’t normalize rates if the market has to pay. Instead we got a crash.

#11 ThoughtPolice on 11.21.19 at 5:17 pm

#6 – How about celebrating by being less of a narcissistic douchebag?

#12 Sail away on 11.21.19 at 5:23 pm

#6 FIRE’d up on 11.21.19 at 4:58 pm

my investment portfolio is at $1,990,983.23

how should I celebrate when it hits $2Mil? Any suggestions?

——————————

Sort of up to you- you could always post again, saying that your portfolio hit $2M, I guess.

Bit of a random comment. In the same vein, I’ll be getting a new bird dog in the spring.

#13 baloney Sandwitch on 11.21.19 at 5:25 pm

Its absolutely silly to tie yourself to brick & mortar in your 20’s.

#14 Parksville Prankster on 11.21.19 at 5:32 pm

#6 FIRE’d up on 11.21.19 at 4:58 pm
my investment portfolio is at $1,990,983.23

how should I celebrate when it hits $2Mil? Any suggestions?

Donate half to those in need, or choose to go out and turn the 2 into 4.

When it comes to money and vanity, there really are no limits…. the frustrations of being caught up in the maddening squirrel cage of ‘self’.

#15 GBiddy on 11.21.19 at 5:40 pm

You mention being unable to rent anything, then say you can always rent a roof over your head, and then say you were “ready” for the GFC when in reality you were only lucky.

Plus you didn’t loose your job, so had you been able to buy, you coulda held.

Given this, I’ll be you wish you’d bought back then. Anything – a condo, a parking space, a shack.

It’s not cool to represent good fortune as wisdom. Not sure if that’s a proverb or anything, but if not know this: I just coined it.

#16 Josh in Calgary on 11.21.19 at 6:15 pm

I’ve always had 5 years as my rule of thumb. You have to be reasonably sure that you will live in one place for 5 years in order to make purchasing a house a good idea. Chances are if you’re young and in your first job then you need the flexibility more than a house. Hell, you should WANT the flexibility more than a house.

#17 SoggyShorts on 11.21.19 at 6:15 pm

#6 FIRE’d up on 11.21.19 at 4:58 pm
my investment portfolio is at $1,990,983.23

how should I celebrate when it hits $2Mil? Any suggestions?
***********

Congrats on your upcoming double. Is 2m your “number” for FIRE?

I just joined the “double comma” club this year, and provided it doesn’t get wiped out by some crazy tweet my real celebration will be retirement in 18 months.
Mini celebration is a couple of weeks snorkeling in Belize over new years(and my 40th) then SE Asia for a few months before my final year of work.

#18 tccontrarian on 11.21.19 at 6:19 pm

“Toronto increasingly smells like New York to me…”

But NY has better restaurants, I’m told.

Yes, history will ‘repeat’ (or only rhyme). That’s the way to bet anyway.

I forget who said this (I’m paraphrasing):

“The strongest or the fastest don’t always win, but that’s the way to bet.”

I bet WITH history – most seem to subscribe to the notion that …

“it’s different this time”.

tcc

#19 MF on 11.21.19 at 6:21 pm

Sounds like a bit of an advertisement for a GTA condo.

Of course it’s hilarious, but expect further increases in prices. The reasons are nothing new: failed central bank policy, and stupid government policy. Add in RE industries full of primitives and shills and you have a steaming pile of sh** stew that’s stinking up the whole area.

MF

#20 Out Of Work CEO, Will Travel on 11.21.19 at 6:52 pm

In 1969 (Woodstock) I shared a rent controlled apartment in Manhattan with my uncle one block from Bloomingdales on Lexington Avenue in Manhattan. It was very relaxing then as hippies were kind of turned off of money. When the housing crisis hit I benefited from the downturn in rent in Naples, Florida renting a huge, almost new villa for $1,300 a month in the winter season. Now the villa goes for at least $3,000 per month. Landlords were desperate to get some kind of cash with their properties dropping 20% in a matter of days.

#21 Flop... on 11.21.19 at 7:06 pm

That’s just great.

How does an Australian become the face of a mass transit strike about to happen in Vancouver?

Just another reason for people to tell me to piss off to Whistler when they hear me speak…

M45BC

#22 Pablo on 11.21.19 at 7:09 pm

Thanks for sharing your story Sinan. It’s nice to hear from a well-seasoned advisor that he has also rented. It’s hard to resist the siren call of leverage and debt when residential prices continue to rise; and people around me, who have made poor financial planning decisions, continue to have paper gains from over-leveraging in their homes in Toronto. I would hate to see what would happen to their financial situation if another financial crisis were to hit.

#23 akashic record on 11.21.19 at 7:11 pm

how should I celebrate when it hits $2Mil? Any suggestions?

Congratulations, wishing you good health to enjoy abundance.

You can double your daily gratitude. It still costs the same when you had nothing, feels twice better.

#24 crowdedelevatorfartz on 11.21.19 at 7:11 pm

“His portfolio was worth approximately $500,000 spread out across a RRSP, TFSA and non-registered account. No pension plan and income of about $90,000 a year. He wants to retire in a decade with $5,000 a month in net income – close to what he earns now. If he is able to invest an additional $15,000 a year for the next 10 years and earn an average annual return of 6% his portfolio will be worth ~$1,100,000 by the time he’s 60….”

+++++

While I agree one should remain liquid.
6% per year over a decade?
Somewhat optimistic in these turbulent Trumpian times.
Lets not forget last Dec-Jan when the market squatted in the street and let fly.

#25 not 1st on 11.21.19 at 7:13 pm

You didn’t seriously think we were going to stake our future on Justin and TMX. Not a chance. Patch is way ahead. Love that Western ingenuity.

https://www.cbc.ca/news/business/debottleneck-enbridge-oilpatch-pipelines-wcsb-1.5361021

“This is effectively adding another major pipeline,” said Ian Gillies, the managing director of institutional research at GMP FirstEnergy, during a recent presentation.
In total, pipeline companies could add up to 575,000 barrels per day of capacity by the end of 2022, according to Gillies.

#26 Flop... on 11.21.19 at 7:14 pm

Garth, I’ve got a stat for you.

73% of detached houses sold in Vancouver in 2019 sold below assessment.

Who knows what’s gonna happen, but prices are currently receding quicker than the assessment rollback so this number looks likely to increase…

M45BC

#27 RWZM on 11.21.19 at 7:22 pm

Considering that the once-in-a-lifetime mega crash barely had any effect on NY prices, there’s not a lot of vindication here.

#28 crowdedelevatorfartz on 11.21.19 at 7:35 pm

@#155 Pontificating Pablum
“Last strike, which lasted 4 months, I walked from Westwood Plateau down to the Westcoast Express.
And then zipped Downtown in style.
Was fit as a fiddle.
Mind over matter.
That separates us from the animals.”
++++

Oh, I get it.
People who drive during a Bus Strike are “animals”.
Nice.

Just curious.
I noticed you walkd DOWN from Westwood Plateau to the Westcoast Express (taxpayer subsidized) train….

https://www.cbc.ca/news/canada/british-columbia/gas-prices-explainer-1.5103973

Apparently , according to the CBC article in April 2019 (when gas was almost $1.70/liter in the Lowerbrainland…..)
17 cents of that $1.70/liter went to subsidize the money pit also known as Translink.

So, mock us truck aficionados all you want “Ponty”.
If it wasnt for us…..Translink would tax YOU even more.

After you trip downtown during the last strike…..
Did you walk back up that miles long steep hill or did you have wifey pick you up in a gas guzzler?

Cause I’ve ridden my bicycle up that hill (to pick up my truck at friends place after a night of drinking) and when I reached the top…..i smelled like an “animal”.

#29 Down and Out on 11.21.19 at 7:46 pm

New York rent control caused the problem explained in Thomas Sowell’s book Basic Economics part 1 which would be a good read for the NDP and Liberals

#30 Flop... on 11.21.19 at 7:49 pm

They have had Donald Trump as President and been forced to watch Sean Spicer on Dancing with the Stars by the prison guards.

Let all the low risk offenders out.

They have suffered enough…

M45BC

“Mapping The Cost of U.S. Prisons on Each State.

The U.S. has both the highest incarceration rate in the world and more people are in U.S. prisons than any other country. That means that Americans spend a lot of money caring for and maintaining prisoners, but just how much depends on where you live.

Louisiana puts more people behind bars on a per capita basis (942 per 100K) than any other state.

Alaska spends the most on prisons on a per capita basis ($436).

The Northeast has relatively low imprisonment rates. Massachusetts throws the fewest people in jail per capita (150 per 100K).

States across the South put people in prison at the highest rates in the country while also spending the least amount of money. Alabama is perhaps the worst in this respect, imprisoning 812 individuals per 100K people but spending only $150 per capita on their maintenance.”

Top 10 States with the Highest Imprisonment Rate (per 100K People)

1. Louisiana: 942
2. Oklahoma: 931
3. Mississippi: 812
4. Arkansas: 781
5. Texas: 746
6. Arizona: 740
7. Missouri: 687
8. Kentucky: 682
9. Georgia: 666
10.Alabama: 626

Top 10 States Spending the Most on Corrections per Capita

1. Alaska: $436
2. California: $370
3. New Mexico: $346
4. Delaware: $337
5. New York: $335
6. Wyoming: $318
7. Maryland: $317
8. Oregon: $316
9. Virginia: $310
10. North Dakota: $300

https://howmuch.net/articles/how-much-prisons-cost-state

#31 tccontrarian on 11.21.19 at 7:51 pm

“In a matter of months some of the largest investment banks and financial institutions in the world had turned to ashes. I couldn’t believe what I saw. Working on an institutional trading desk in those days was intense. All of a sudden industry colleagues lost their jobs. Some had expensive homes with big mortgages. Severance packages helped buy them time but their big lifestyles quickly ate away at the remaining cash until reality hit. Many had a mountain of mortgage debt and savings were raided to cover costs. …. I, too, could have been out on the street at any point. Sure my investment account was feeling the pressure but I took comfort in knowing I had a balanced and diversified portfolio of quality productive assets.”
– – –

Well, in a couple of years – maybe 3, you’ll be able to cut-n-paste the above paragraph (hopefully including the last couple sentences of your own personal experiences).

The real question is, are you now savvy enough to separate the noise from most relevant (ie predictive) indicators?

Here’s some review – for you and your colleagues:

“Even the most circumspect friend of the market would concede that the volume of brokers’ loans—of loans collateraled by the securities purchased on margin—is a good index of the volume of speculation.” -John Kenneth Galbraith, The Great Crash 1929

TCC

#32 Tony on 11.21.19 at 8:02 pm

Good post. Real estate can be a great way to build wealth, but cash flow is what matters.

The value of anything is the market value of an asset and some multiple of the net present value of the cash flow it generates.

A zillion dollar house with zero cash flow is not worth any more than the next idiot like you might give you for it. Plus the sucker is depreciating.

#33 Butcher on 11.21.19 at 8:10 pm

Reply to #6:
I would get a bottle of single malt Scotch called Lagavulin

#34 DON on 11.21.19 at 8:37 pm

@IHCTD9

https://ottawasun.com/2012/08/31/public-auto-insurance/wcm/b09d69db-fa81-4491-a5b7-6e0072360eae

“Since Ontario has the highest car insurance premiums in Canada and the worst accident benefits coverage for the majority of accident victims, perhaps it’s time we revisited Bob Rae’s proposal …”

https://toronto.ctvnews.ca/brampton-couple-shocked-after-major-car-insurance-increase-1.4661376

https://www.insurancebusinessmag.com/ca/news/auto-motor/albertas-auto-insurance-crisis-and-the-simple-fixes-needed-176468.aspx

“Alberta’s auto insurance “crisis” and the simple fixes needed
On August 31, the NDP’s 5% rate cap is due to expire, but it’s not yet clear how the newly elected UCP government will tackle Alberta’s so-called auto insurance “crisis”.”

https://www.thestar.com/news/gta/2019/03/10/your-postal-code-is-a-big-factor-in-determining-your-car-insurance-rates-critics-say-it-shouldnt-be.html

“Your postal code is a big factor in determining your car insurance rates. Critics say it shouldn’t be | The Star
When Pankaj Sallh and his family moved to Brampton from Mississauga last year, he had no idea that changing his postal code would be so costly. The relocation resulted in a nearly 50 per cent ..”

Who ran B.C.

1952 – 1972 Social Credit Government – Libs/Cons/Social Credit

1972 – 1975 NDP

1972 – 1991 Social Credit

1991 – 2001 NDP

2001 – 2017 BC Liberals (Social Credit, Cons took over Lib party massive amounts of corruption still coming out).

2017 – present NDP

BC liberals/Conservatives looted BC Hydro and ICBC of profits and placed them in general revenue to balance the budget.

The present government just announced a law to be brought in the Spring to make it illegal to take any profits going forward as profits should go to drivers and pay down the organizations current debt.

https://www.straight.com/news/1025746/martyn-brown-how-bc-liberals-have-made-us-all-icbcs-crash-test-dummies – Martyn Brown was the Chief of staff of Gordon Campbell in the early days 2001 – 200? and had to distance himself from his own party.

How did the Insurance Brokers Association of B.C. tilt in political donations from 2005 to 2017? B.C. Liberal party $62,575 B.C. NDP $19,795

Last year sometime Gordon Campbell was in Ontario helping Doug Ford’s team set their agenda, then he went to Manitoba Hydro to consult (Gordon was trying to privatize a crown jewel that used to supply cheap power, than it went up. His contract was cut short because of sexual harrassment charges levied against him when he was the Canadian something to Britain (Harper appointed him) as BC booted his ass out cause he lied about bringing in the HST among other things like drunk driving in Hawaii and the list goes on and on and on.

Also insurance rates are set to go up in Sask, New Brunswick etc. All private.

Private rates will also always in increase do to bad drivers and the profit driven model of private firms. What was once seen as cheaper to out source is now becoming cheaper to do in house. Private firms seek increasing profits year over year.

#35 crowdedelevatorfartz on 11.21.19 at 8:41 pm

Yoooo Hooooo Ponzieeeee!
Your hero “Jo Ho” is wrapping his arms around the unions and tossing the bus stranded “animals” to their own demise.

How long before the pro Union NDP are booted?
I’d reckon….Less than 6 months if the strike lasts over Christmas.

https://www.citynews1130.com/2019/11/21/horgan-not-looking-at-making-transit-essential-service-as-strike-action-escalates/

Socialists pandering to their union masters….
hey!
Maybe we could film a new Christmas movie in the Lower Brainland…..

Horgan ; The Stooge that stole Christmas……

#36 crowdedelevatorfartz on 11.21.19 at 8:47 pm

@#34 Butcher
“I would get a bottle of single malt Scotch called Lagavulin”
++++
If he’s worth 2 mil.
What year of Lagavulin?

#37 Ustabe on 11.21.19 at 8:51 pm

@#6 FIRE’d up
To some of us that is a small amount, made even smaller by your pitiful, off topic need to brag. Grow up.

@#1 not 1st
You really should start your own blog.
You do have one thing correct tho, you do not belong in Canada.

My Canada at any rate.

#38 Flop... on 11.21.19 at 8:59 pm

As the street sweeper rumbled by the tony area of Shaughnessy I am working in at the moment, I wondered how long before they come over and do the streets of Normalville?

We have to move our cars once a year so the city council can sweep the gutters, normally between Remembrance Day and Xmas to capture the most leaves.

You guys in other jurisdictions such as Burnaby and Surrey get this royal treatment too?

O.k so let’s have a competition to see who’s council can neglect them the longest.

A street sweeping competition.

I’ve done stupider things on here, with witnesses…

M45BC

#39 TC on 11.21.19 at 9:19 pm

Very interesting life story Sinan. You lived the dream. Living in both the U.S. and Canada……………and on Wall Street! Good Job! Your story takes me back to my days of living in Michigan and then back into Canada. The U.S. is great and I do miss being there. Wifey and I are still very happy here in Canada. P.S. Garth………..offers are still in play and almost completed and firmed up.

#40 Metro Van Observer on 11.21.19 at 9:35 pm

Very nice post. Thank you for sharing your personal experience. There are lessons to be taken from this for sure.

Liquidity is so important and I feel underappreciated. That seems to be evident with the cash flow crunch that so many people are facing every month, as noted in earlier posts. Surveys in this country confirm that.

Real estate really can suck you dry of much needed liquidity and the ability to build a financial portfolio. Your post outlines how so many people are prioritizing things backwards.

Appreciate yours and Garth’s reminder that CASH FLOW is king. Residential real estate typically sucks it away, especially at today’s obscene valuations in markets like TO and YVR.

I wonder at what point (if ever) the collective conscience of Canadians will come to realize that balance (i.e. retirement, educational savings, adequate insurance, etc.) is essential for a well-built financial house.

#41 Dumb Wealth on 11.21.19 at 9:58 pm

Do 20-year olds really want to deal with leaky roofs and yard work?

#42 Nonplused on 11.21.19 at 10:11 pm

Nice story Sinan.

#1 not 1st

Most people out east don’t realize that propane and gasoline are hydrocarbons that come from oil & gas.

My understanding is that propane is the preferred fuel of choice for backup generators because it does not go bad so you can store it indefinitely until needed. In many jurisdictions you cannot tie your Gererac to the natural gas system so it is either diesel or propane. Gasoline is too hard to store for long periods of time.

If we keep adding solar and wind to the power grid soon we will all need one as they are finding out in California.

#43 Flop... on 11.21.19 at 10:14 pm

Where’s the money Greedeau?

Hey G, remember that house you wrote me about the other day?

They paid 1.33 in late September and just sold for 1.2

Serious coin gone in two months on the second rung of the ladder…

M45BC

MLS® Sales History (Since Jan 2014)
3027 E 20TH AVENUE
Date Comments MLS® Number
2019-Nov-20 Sold $1,200,000 R2418880
2019-Nov-08 Listed $1,188,000 R2418880
RE/MAX Crest Realty
2019-Sep-23 Sold $1,330,000 R2405968
2019-Sep-17 Listed $1,128,000 R2405968
RE/MAX Central

#44 ImGonnaBeSick on 11.21.19 at 10:18 pm

#38 Ustabe on 11.21.19 at 8:51 pm

—-

Stop being a prick.. there is a lot of room for differing points of view in Canada.. best not forget that..

#45 NoName on 11.21.19 at 10:23 pm

#37 crowdedelevatorfartz on 11.21.19 at 8:47 pm
@#34 Butcher
“I would get a bottle of single malt Scotch called Lagavulin”
++++
If he’s worth 2 mil.
What year of Lagavulin?

He didnt get there buying expensive stuff, maybe this would be good choice for stuff from across a pond.

https://www.pastemagazine.com/articles/2019/08/glenmorangie-lasanta-quinta-ruban-nectar-dor-review-extra-matured.html

Or if he is hipster, maybe hibiki 17 lots of craft projects with hibiki bottles, or nikka from the barrel and nika cofee grain, its eather good marketing hype or they are just very good.

#46 Nonplused on 11.21.19 at 10:26 pm

#1 not 1st

PS. The woke greenies in Vancouver should look at this situation and ponder it carefully. They are relying on a 60 year old pipeline to provide most of their fuels, and if it ever needs to be shut down either due to a leak or age they will find out quite quickly that there isn’t infrastructure available to replace it. They’ll still have natural gas and electricity, but that’s about it. Gasoline would have to be rationed and so would diesel, propane, and jet fuel. They could probably bring in enough to keep essential services and maybe transit running, but I doubt they could do a whole lot more than that. Most of the train cars are already full and it’s too far to haul most of that stuff by truck. (It would be about a 4 day return trip by truck from Edmonton, which means that they would need a lot of trucks. Trans-mountain currently moves about 300,000 bls of various products per day. A large truck can haul about 368 barrels. So you’d need 815 large trucks arriving every day. Even if they could get the return trip down to 2 days by putting 2 drivers on each truck we’re still looking at 1630 trucks. That’ why there is a pipeline in the first place.)

#47 Fortune500 on 11.21.19 at 10:29 pm

Thanks for your contribution to the blog. The big argument against this of course is that, in 2007/2008 the governments of the world had the ability to lower interest rates to re-inflate the markets and now they don’t.

Also, unlike the US, we have a nation (government and people) who have agreed that real estate should be sacred and the beast that is too big to fail. Just look at the crazy schemes and incentives that have been used over the past decades to try and get as many people into homes as possible. Those same tools and more will be used to make sure the 70% of homeowners relying on their homes to fund their retirement will not be disappointed.

And what about the next generations? Well screw them, ‘I got mine’ seems to be the attitude.

#48 yvr_lurker on 11.21.19 at 10:31 pm

I had a two-year contract in NYC from 1991-1993. The job was really interesting, and in the end was a good career stepping stone. At the end of the second year they offered me a full-time position, which came with a partial housing allowance for a two-bedroom 750sq foot apartment in Greenwich Village. They gave me a month to decide whether I wanted the offer; It took me about 10 minutes to decide. Thanks, but no thanks. Although the job was great, the tension of living in that frenetic city with so many stressed out hostile people would have driven me to an early grave. Couldn’t get out of there fast enough.

#49 Ustabe on 11.21.19 at 10:41 pm

39 Flop… on 11.21.19 at 8:59 pm

…As the street sweeper rumbled by the tony area of Shaughnessy I am working in at the moment, I wondered how long before they come over and do the streets of Normalville?…

I live in a simple neighbourhood in a small town somewhere on Vancouver Island. My area is 4 to the acre, so leafy large lots, homes built out in the mid to late 70’s. My properrty taxes are just over $2,000 per year and that include water and garbage/recycling/yard waste pick up.

We see the street sweeper about once a month. At least that, more often if we get a windstorm.
One of the drivers, if he sees you running out to move your vehicle, even stops and idles, waits for you.

Its tuff not living in a big city.

#50 Cowtown Cowboy on 11.21.19 at 10:50 pm

#6 FIRE’d up on 11.21.19 at 4:58 pm
my investment portfolio is at $1,990,983.23

how should I celebrate when it hits $2Mil? Any suggestions?
***********

Congrats on your upcoming double. Is 2m your “number” for FIRE?

I just joined the “double comma” club this year, and provided it doesn’t get wiped out by some crazy tweet my real celebration will be retirement in 18 months.
Mini celebration is a couple of weeks snorkeling in Belize over new years(and my 40th) then SE Asia for a few months before my final year of work.

Do tell how one accumulates $2mil before 40 without significant inheritance?

#51 DON on 11.21.19 at 10:52 pm

#36 crowdedelevatorfartz on 11.21.19 at 8:41 pm

Yoooo Hooooo Ponzieeeee!
Your hero “Jo Ho” is wrapping his arms around the unions and tossing the bus stranded “animals” to their own demise.

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

I don’t see it man…i have been following these union contracts closely and most are getting 2% increases and Horgan is enforcing the law. The teachers are still not getting what they want. The School support workers in Saanich went on strike for three weeks and teachers wouldn’t cross the picket lines – so no school. They just settled, everyone needs to pay their bills and judging by the $200 away from broke stats…no striker will be able to last more than 2-3 weeks. Things have changed, not 2001 anymore.

If Horgan jumps in…the opposition will say he is meddling, or authoritarian or or or… He is not a stupid man. He has to act at some point as you stated or feel the wrath.

And without unions in the past, all our wages would be lower. Are you telling me that those first unions workers weren’t hard workers.

Yes unions need to be more efficient and so does big business. I worked in many private firms/companies and some of those people were useless as well (friends of friends and family etc) and did nothing of value but the customer got billed for them.

#52 Smoking Man on 11.21.19 at 11:03 pm

Sinan, wtf man , Ryan and Doug alternative weekends. You show up once a month or two..

Blad guys are oppressed, time to start a movement…

#53 DON on 11.21.19 at 11:03 pm

It’s beginning to look a lot like a delayed US/China Trade deal as both sides start to pile on extra demands.

I think that Trump is betting on keeping the pressure on China to get re-elected as the democrats continue to struggle. Maybe he no longer needs the trade deal only the perception of being tough with China and taking jobs back. No doubt, barring a black swan event – the American economy will still be somewhat strong, well at least until he gets re-elected. All he needs to worry about are the next 10 months.

#54 DON on 11.21.19 at 11:08 pm

#41 Dumb Wealth on 11.21.19 at 9:58 pm

Do 20-year olds really want to deal with leaky roofs and yard work?
*******************

Not my nieces they don’t want that ball and chain. Besides to them anyone over 29 is old.

#55 Annon-e-mouse on 11.21.19 at 11:40 pm

@Sinan Terzioglu

Thanks for sharing. Since your are familar with how things are in the states, wonder if you can post some tips here. Ive been unsuccessful in finding any details on any legal investment vehicle details as what gets shared here about Canadian stuffs.

Ie: there things like there is $40k dividend tax credits

I know there are 401k and roth IRA etc but are there any other tax saving options for american residents?

Seems with the roll over amounts each year for TFSA and RRSP and $40k annual dividend credits, we have better investment options here.

Much appreciate it in advance! Thank you

#56 Ponzius Pilatus on 11.21.19 at 11:40 pm

#35 Don
Thanks for taking the time and doing the research.
IHTC and Fartzo see what a well reasoned argument look like.

#57 DON on 11.22.19 at 12:05 am

#3 Stan Brooks on 11.21.19 at 4:37 pm

Oh, I do have a very good idea of what is coming.

Bank of Canada governor says climate change poses risks to financial systems

******
Something has to be the root cause…might as well blame it on Climate Change and the lack of snow in Canada.

It just couldn’t be due to loose money, low rates, easy profits and human nature across the board.

#58 Ray on 11.22.19 at 12:05 am

The Ogallalal Aquifer extends from North Dakota to Texas, was/is a small underground great lake created by the ice age melt. It is dropping at about 2 ft per year and will be effectively dry by 2030( it would take 6,000 yrs of rain fall to fill it back up !). So-No water, no agriculture, no oil fracking? This is the US’s Achilles Heel. As global warming continues, the US south will become a desert. Canada could /will be a net benefactor of global warming as more of her northern land mass becomes warmer to grow crops. Canada has water, land and oil ( oilsands) up the wazoo. Would the US just take it, she might.

#59 joblo on 11.22.19 at 12:06 am

DELETED

#60 Ronaldo on 11.22.19 at 12:51 am

#6 FIRE’d up on 11.21.19 at 4:58 pm
my investment portfolio is at $1,990,983.23

how should I celebrate when it hits $2Mil? Any suggestions?
—————————————————————
Bragging are we?

#61 Jenny Wang on 11.22.19 at 1:14 am

Bus drivers who pull down $90 grand are striking in BC . Does anyone wonder why taxes are piercing the stratosphere? The Dippers ordered an inquiry on gas pricing that was disallowed to include the multiple layers of tax on tax . Trudeau watches a million Canadians lose jobs homes families on the prairies and stands firm because of international activists funding his ‘foundation’.

Fellows, these politicians and every other greedy bureaucrat in the world has you pegged as weak kneed and stupid. Climate hysteria is an obvious fraud geared towards wealth distribution and you suck it up while China gives you the middle finger.

The Guardian: China’s appetite for coal power returns despite climate pledge.
https://www.theguardian.com/world/2019/nov/20/china-appetite-for-coal-power-stations-returns-despite-climate-pledge-capacity

While countries around the world thrive Western Nations puke up self loathing. Bottom line. They’re screwing you. Wake up MoFO, before your milk and honey gets turned into rancid bat crap. You’re doing it to yourself. You’re allowing it to happen.

You won’t beat Trudeau’s plan to outvote you by creating more and more bastion ridings around Toronto’s ” Golden A-Hole’. I’m all in for separation from Canada. If you have an ounce of sense you are too. I’m buying in Calgary and will gladly man a barricade in the near future. Freedom or Death. Blood and Fire. No taxation without representation.

#62 Lizard Man on 11.22.19 at 2:49 am

#3 Stan B. ” Getting mental at the highest levels”. You got that right. And, if you’re following ( which you obviously are” the scripted message is being regurgitated ad nauseum in Western liberal legislatures. It’s a message, not a reality. The global coordination that’s happening to keep the climate fraud going is hypocrisy at the highest levels. Because the reality is the Climate Emperor has no clothes.

So, as an investor, I don’t care. I wait and watch, play fast and loose with both sides, and tax advantage profit against loss. Over five years my portfolio looks like a hockey stick. I’m staying invested in reality. If Trudeau is saying stupid things now, you know his rhetoric will fail as food and energy poverty affects more and more people.

Energy is way oversold. Look at fundamentals. Trudeau is not in control. Yields are great. It’ll go the way of a pendulum swinging. What just happened in Quebec, running out of gas inside a few days of a strike is also happening in the EU and Asia. Investors look big picture.

#63 North of 50 on 11.22.19 at 4:18 am

New York and Toronto, eh? Sounds interesting. Never been east of Medicine Hat. Paying 1000/mo for 5 acres, but that comes with some responsibilities and bears out back. Have to rattle a few pans before starting the commute.

#64 Gulf Breeze on 11.22.19 at 4:48 am

#6 fired up,

How should you celebrate when your fartpolio hits 2million? Uncork the champagne and then jump off the nearest cliff??

#65 earthboundmisfit on 11.22.19 at 6:31 am

#34 Butcher … “I would get a bottle of single malt Scotch called Lagavulin”

Ugh …. like drinking iodine. Perhaps a lovely Speyside, like Macallan 18.

#66 not so liquid in calgary on 11.22.19 at 6:42 am

@ #6 FIRE’d up on 11.21.19 at 4:58 pm

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

Ya, shove it where the sun don’t shine… one dollar at a time!

#67 Stan Brooks on 11.22.19 at 7:17 am

#57 DON on 11.22.19 at 12:05 am

Something has to be the root cause…might as well blame it on Climate Change and the lack of snow in Canada.

It just couldn’t be due to loose money, low rates, easy profits and human nature across the board.

The delusional look/face of the BoC governor is what scares me, these people live in their own universe and imaginary world and are perfectly capable of introducing negative nominal rates while inflation roars and suffocates consumption.

And the way this important topic was presented… It seems climate change will be the boogeyman for all stupidities with excess credit and ultra loose and wrong monetary policies, i.e. consumers and regular citizens will have to make a ‘small sacrifice’ for the good of all and no, definitely not for the interest of the oligopolies and the ultra rich.

Brace for impact, folks, it won’t be pretty.

#68 not 1st on 11.22.19 at 7:40 am

#38 Ustabe on 11.21.19 at 8:51 pm

Thanks for the shout out, love the diversity of your opinion, so progressive and woke.

I lose little sleep over crying socialists like yourself who don’t have a clue about the country they profess to love. When your family makes the kind of contribution to this country that mine did, then we will have a talk. Until then, troll away.

#69 Tater on 11.22.19 at 8:04 am

#6 FIRE’d up on 11.21.19 at 4:58 pm
my investment portfolio is at $1,990,983.23

how should I celebrate when it hits $2Mil? Any suggestions?
——————————————————-

Maybe see if you can buy some class?

#70 Phylis on 11.22.19 at 8:07 am

#46 Nonplused on 11.21.19 at 10:26 pm thank you for calling xyz trucking. I’m sorry, all of our trucks are busy. Trucks are not currently available due to the CN strike. Please re-calculate.

#71 IHCTD9 on 11.22.19 at 8:26 am

#35 DON on 11.21.19 at 8:37 pm

—-

Yes, at one time, Ontario’s rates were starting to get up there and BC hadn’t gone insane yet, that’s a pretty old article. Today, I pay 650.00 in On., while Fartz pays 2400.00 in BC. Same age demographic, same vehicle, same driving record.

Brampton is a bit of an outlier and they do pay out the wazoo. They deserve it 110%.

https://www.bramptonguardian.com/news-story/3068832-brampton-paying-a-high-price-for-insurance-fraud/

Once they stop crawling out of their vehicles after a fender bender pretending to have a broken back, their rates will be cheap too.

#72 Phylis on 11.22.19 at 8:26 am

#58 ray, never fear, there’s a solution on the horizon. diverting water from the great lakes will solve that problem… https://greatlakesecho.org/2019/07/15/a-crack-in-the-great-lakes-compact-approved-water-diversion-prompts-pushback/

It’s been on the table since i was little.

#73 crowdedelevatorfartz on 11.22.19 at 8:38 am

@#51 Don
“If Horgan jumps in…the opposition will say he is meddling, or authoritarian or or or”
+++++

Translink and the union arent even at the table talking….
At least he could force them to do that….this week?
But no.
Jo Ho is in the back pocket of his union brothers and doesnt want to cut off the hand that literally feeds the NDP election donations in the hundreds of thousands per year.

I full expect a full on bus strike for about a week or two before they are ordered back to work as an essential service. “Because it isnt 2001” and hundreds of thousands of more people take transit now… unlike 18 years ago….possibly because they cant afford to insure their cars …..

Either way its a lose lose for Horgy Porgy in the eyes of voters. Damned if he does or doesnt…

As for your pro union stance ( Teachers deserved a raise …perhaps if they didnt take 10 Pro-D days per year they would have more money?) and your pro ICBC comment in #35. (You really believe “the govt will pass a law where upon they wont raid the cash cow known as ICBC”? Bwahahahahaha)
Riiiiight.
I can only assume you or your spouse work for the obscenely expensive govt car insurance leeches.
But thats ok.
Non gas guzzling car driver Ponzi Pilot will still sit in the corner with his party cap, whizzer , clapping, and cheering you on.
Since he’s incapable of providing verifiable links to any of his drivel.

#74 IHCTD9 on 11.22.19 at 8:40 am

#6 FIRE’d up on 11.21.19 at 4:58 pm

my investment portfolio is at $1,990,983.23

how should I celebrate when it hits $2Mil? Any suggestions?
___

If you ever ask your extended family this question – the reaction would be even worse!

I vote YAMAHA dealer.

#75 crowdedelevatorfartz on 11.22.19 at 8:45 am

@#61 JW
“I’m buying in Calgary and will gladly man a barricade in the near future. Freedom or Death. Blood and Fire. No taxation without representation.”
+++++

my my, The fumes from the Tar sands are particularly thick this week……

#76 the Jaguar on 11.22.19 at 9:12 am

Thank you Sinan. Interesting stories and perspective. I liked this post.

#77 the Jaguar on 11.22.19 at 9:31 am

@#61 JW
“I’m buying in Calgary and will gladly man a barricade in the near future. Freedom or Death. Blood and Fire. No taxation without representation.”
+++++

my my, The fumes from the Tar sands are particularly thick this week……

…..Yes, and about to get thicker given the propane crisis unfolding in Quebec, Ontario and soon to be Nova Scotia. What’s that sound I hear overhead? Mercy, it’s the chickens coming home to roost!

#78 JacqueShellacque on 11.22.19 at 9:42 am

Long-time renter with only one nearly paid off vehicle, surrounded by 500k to 800k homes where each has 2 new cars in the driveway. Household income is well above the regional (GTA) average. Garth-approved portfolio that’s grown 10% this year. So someone is doing something really, really wrong – them or me.

#79 crowdedelevatorfartz on 11.22.19 at 9:46 am

@#77 The Jag
“it’s the chickens coming home to roost!”
++++++

:)

Well they can always use the chicken manure to create methane fuel

#80 crowdedelevatorfartz on 11.22.19 at 9:53 am

Ok all you tree hugging climate worriers.

Get your “CyberPunk” electric Pickup Truck from Tesla…..
Just dont expect to haul a sheet of drywall in the back….

https://ca.reuters.com/article/businessNews/idCAKBN1XW0BT

Oh, Ponzie.
Its electric so you’re allowed to own one too.

#81 Remembrancer on 11.22.19 at 10:08 am

Gen-X finally gets mentioned in a financial study, but not in a good way. That debtslave guy may be on to something – or given we are heading into the season, from Charles Dickens’ “A Christmas Carol”

Ebenezer : But have they no refuge, no resource?

Spirit of Christmas Present : [quoting Scrooge] Are there no prisons? Are there no workhouses?

First Collector : At this festive time of year, Mr. Scrooge, it is more than usually desirable that we should make some slight provision for the poor and destitute.

Umm, humbug?

https://www.ctvnews.ca/business/two-in-five-indebted-canadians-don-t-ever-expect-to-escape-debt-says-survey-1.4697565

#82 Sail Away on 11.22.19 at 10:08 am

Stop the propane altogether as well as gas and oil. Perfect chance to try out the non-GHG system.

An eco-woke friend told me that the only way we’ll get carbon neutral is to outlaw it.

I’m game for a temporary choke-off to prove the obvious. Nothing gets attention like death. Short-term pain, long-term gain for the country, and especially Alberta.

#83 Dharma Bum on 11.22.19 at 10:11 am

The idea that owning property is preferable to renting is primarily psychological.

It gives people the feeling that they have more control over their destiny. We live in a culture that craves and values stability, and residential real estate “ownership” provides the illusion of that, notwithstanding the overwhelming amount of debt obligation people undertake to achieve that “stability”.

It’s strange how the human psyche operates. Nesting instincts obscure the logic of financial reality, and cause us to minimize the importance and significance of real financial wealth, liquidity, and the stability it actually brings to our lives.

We are fooled into thinking that carrying massive debt, and working like slaves for decades in order to service that debt for the sake of hanging onto our homes for dear life is superior to building real financial wealth and enjoying the freedom and flexibility that it brings.

The problem with most people is that they lack the discipline, education, intelligence, mental fortitude, and focus to make a financial plan early enough in life and stick to it in order to fulfil their dreams. They are brainwashed and deluded by the propaganda perpetuated by the system, and become debt fueled out-of-control mega consumers with zero concept of the longer term benefits available to them through delayed gratification.

Their lives are lived on a treadmill of stress, fear, depression, false hope, mortgage payments, maintenance, property tax, overdrafts, car payments, helocs, layoffs, valium, fast food, xanax, TV watching, living for the weekend, booze, and hockey.

If only they had listened to Garth and his crew.

#84 CHERRY BLOSSOM on 11.22.19 at 10:12 am

I think we need a Ministr of the Poor as well as a Minister of the Middle Class.

#85 Shawn Allen on 11.22.19 at 10:52 am

How Did You get Rich?

Cowtown Cowboy at 50 asks:

Do tell how one accumulates $2mil before 40 without significant inheritance?

**********************
Excellent question.

It reminds me of Benjamin Franklin who among so many other things was a long-time founding member of a social club.

Standing order of business at each meeting was to ask: (I paraphrase)

“Do you know anybody who is rich, and do you know how they got that way?”

So, you are thinking like Benjamin Franklin here.

Meanwhile others complain of the bragging or suggest jumping off a cliff. There is winning thinking and there is defeatist losing thinking. We can all choose how to think.

#86 Remembrancer on 11.22.19 at 10:59 am

#77 the Jaguar on 11.22.19 at 9:31 am
@#61 JW
“I’m buying in Calgary and will gladly man a barricade in the near future. Freedom or Death. Blood and Fire. No taxation without representation.”
+++++

my my, The fumes from the Tar sands are particularly thick this week……

…..Yes, and about to get thicker given the propane crisis unfolding in Quebec, Ontario and soon to be Nova Scotia. What’s that sound I hear overhead? Mercy, it’s the chickens coming home to roost!
————————————————
How do those contracts work? FOB or not? Depending on who pays and when, that propane isn’t going to store itself at the terminal waiting to move – talk about cutting off your nose to spite your face…

Hmm, and how hard to find other supply sources vs. finding new customers, you really want to ring that bell?

#87 Mattl on 11.22.19 at 11:04 am

#83 Dharma Bum on 11.22.19 at 10:11 am
The idea that owning property is preferable to renting is primarily psychological.

It gives people the feeling that they have more control over their destiny. We live in a culture that craves and values stability, and residential real estate “ownership” provides the illusion of that, notwithstanding the overwhelming amount of debt obligation people undertake to achieve that “stability”.

It’s strange how the human psyche operates. Nesting instincts obscure the logic of financial reality, and cause us to minimize the importance and significance of real financial wealth, liquidity, and the stability it actually brings to our lives.

We are fooled into thinking that carrying massive debt, and working like slaves for decades in order to service that debt for the sake of hanging onto our homes for dear life is superior to building real financial wealth and enjoying the freedom and flexibility that it brings.

The problem with most people is that they lack the discipline, education, intelligence, mental fortitude, and focus to make a financial plan early enough in life and stick to it in order to fulfil their dreams. They are brainwashed and deluded by the propaganda perpetuated by the system, and become debt fueled out-of-control mega consumers with zero concept of the longer term benefits available to them through delayed gratification.

Their lives are lived on a treadmill of stress, fear, depression, false hope, mortgage payments, maintenance, property tax, overdrafts, car payments, helocs, layoffs, valium, fast food, xanax, TV watching, living for the weekend, booze, and hockey.

If only they had listened to Garth and his crew.

—————————————————————

Does this fantasy make you feel better?

65% of Canadians own homes, and 43% of these don’t have a mortgage at all. Median Canadian mortgage is 180K, which at 3% is under 1K to service. This number has grown substantially however.

Are some people stretched too thin, sure. Are some going to go tits up, of course. Are Canadians overspending on consumer goods – 100%, people are idiots.

But this narrative that most or many homeowners are barely getting by is not supported by the numbers. This is a fantasy that renters have built to make themselves feel better.

It’s all good, renting is fine, no need to paint this dystopian picture of home ownership. Overwhelming majority of homeowners are in pretty good shape. Deal with it.

Mortgage debt: $1.6 trillion. – Garth

#88 Sail Away on 11.22.19 at 11:09 am

#84 CHERRY BLOSSOM on 11.22.19 at 10:12 am

I think we need a Ministr of the Poor as well as a Minister of the Middle Class.

———————————-

Definitely a minister for the poor. Each new minister position probably relocates a several hundred previously-productive Canadians to help create unproductive procedures and enact unproductive policies. Big government is getting bigger and sucking off taxes to fund it.

My firm benefits because government doesn’t actually design things anymore, so it’s all contracted out. They are very good at writing restrictive guidelines for the designs that focus on things like colours or handrails. A bridge structure itself gets a free pass but there will be multi-hour, 12-person meetings about painted bike lanes and railing geometry. Easy billable hours.

Should I be saying this? Maybe they’re watching me like they are Flop and Ecks… is there a new minister of citizen surveillance?

#89 LP on 11.22.19 at 11:18 am

#6 FIRE’d up on 11.21.19 at 4:58 pm

my investment portfolio is at $1,990,983.23

how should I celebrate when it hits $2Mil? Any suggestions?
**********************************

With the help of a travel agent, I would find out the best, most recommended resort/lodge in each province and territory. Then I would book several days or a week at each of those, following the seasons across the country starting in Newfoundland/Labrador in June. Take your fishing rod and get a temporary licence to fish at each place. Avoid cities!!!
Sounds like heaven on earth to me. Oh, and buy a decent car; personally, I don’t fly.

#90 IHCTD9 on 11.22.19 at 11:36 am

#80 crowdedelevatorfartz on 11.22.19 at 9:53 am
Ok all you tree hugging climate worriers.

Get your “CyberPunk” electric Pickup Truck from Tesla…..
Just dont expect to haul a sheet of drywall in the back….

https://ca.reuters.com/article/businessNews/idCAKBN1XW0BT
___

That thing looks like it would be more effective at splitting wood than hauling it.

#91 LP on 11.22.19 at 11:46 am

Just read that one can’t drive to Nunavut. But by the time I get to two million it’s likely that there’ll be a road!

#92 Bob The Builder on 11.22.19 at 11:58 am

It wasn’t clear from the article, but is Sinan still renting or did he pull the RE trigger at some point over the past few years?

#93 Barb on 11.22.19 at 12:23 pm

Interesting to read your story, Sinan. Today it remains all about choices and their timing.

Hub and I watched “Money for Nothing: Inside the Federal Reserve” this week. Who knew it was prudent to pay attention to the philosophies of Volcker, Greenspan and Bernanke? Certainly more than Presidents or PMs.

#94 DON on 11.22.19 at 12:31 pm

#75 Crowded

Someone piss all over your cornflakes lately?

I am not pro union or private sector, lazy people are everywhere. I spent my early 30s milling logs, my own business. I hussled and worked long hours…best job ever. I will be going back to it different twist this time around. My retirement job.

My lovely wife…works in the private sector. No family or friends at ICBC.

And where exactly did you read that i was in support of teachers??? How did you mis innterprey that. My wife knows not to let me go to parent teacher checkins…due to me saying something trurhful yes about pro d days. I was the one the taught my kids how to read and do math. Now we are onto science.

YOU know what happened to ICBC. And my insurance hasn’t gone up. I haven’t had a ticket in 15 years. Doesn’t mean i don’t speed…just know when and where to do it. Look around you in vancouver the population has increased since 2001 also…and the roads are still jammed…so not everyone is taking transit.

And political strategy is just that Political strategy. The scene hasn’t even finished yet and you are piling on.

Notice that i didn’t include Ponzi…i don’t need any help defending my positions. My ego is big enough I dont need validation.

#95 Mattl on 11.22.19 at 12:42 pm

Mortgage debt: $1.6 trillion. – Garth

9.5MM homeowners.

Actually 8.5 million. And mortgage debt is growing faster than the population. It’s not all sunshine & ponies. – Garth

#96 DON on 11.22.19 at 12:48 pm

@IHCTD9

The articles on both public and private insurance are not that old…last couple of weeks and the Martyn Brown article is months old but still appliws as it provides the background about ICBC.

You pay cheap insurance cause you live in a rural area…Crowded pays more as he lives in Vancouver and when it rains the roads become slick and the accidents pile up cause they don’t slow down. Did you even click on the articles.

This whole left right shit is a pile of crap. THEY ALL DO IT. I betvha I care more about your family’s well being than some political party.

And you wonder why MF and others get some what fustrated with the older generations. My parents the older boomers (rip) would be telling the younger boomers. Gen x an mills to suck it up and gat back to work.

#97 DON on 11.22.19 at 1:00 pm

@Nonpulsed

If BC is already paying high gas prices…why wouldn’t we buy all our gas from Washighron state/US?

The US upped production and Alberra is suffering. I have family in Alberta that are affected. It’s not like this has never ever happened in the history of Alberta. And it is different this time as some peoe can now choose electric vehicles. I see more and more on the road…people of all ages. I am waiting for the bugs to be worked out. Still have my gas guzzlers for long trips…but not everday driving.

#98 SoggyShorts on 11.22.19 at 1:31 pm

#89 LP on 11.22.19 at 11:18 am
#6 FIRE’d up on 11.21.19 at 4:58
personally, I don’t fly.
*****
Like, ever?
Doesn’t that mean you’ll never check out most of the world?
Is it medical, climate, or fear based?
Just curious– I can’t imagine being tied to north America

#99 Mattl on 11.22.19 at 1:32 pm

Actually 8.5 million. And mortgage debt is growing faster than the population. It’s not all sunshine & ponies. – Garth

Agreed, there are issues for sure. HELOC growth is concerning.

But just posting 1.6 trillion without the context – which includes a residential market valued at 8.5 trillion – is only a partial picture.

#100 Sail away on 11.22.19 at 1:36 pm

#6 FIRE’d up on 11.21.19 at 4:58 pm

my investment portfolio is at $1,990,983.23
how should I celebrate when it hits $2Mil? Any suggestions?

————————————

I like to celebrate milestones by treating the people who helped me get there. For me, that’s usually a Friday takeout lunch/drinks for the office- no need to tell them you now have $2M, since that would only cause jealousy; just let them know you enjoy working with them and appreciate their support.

#101 Lost...but not leased on 11.22.19 at 1:57 pm

#1 not 1st on 11.21.19 at 4:24 pm
Not sure what Quebec is crying about. They want to end fossil fuels ..

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

PUHLEEZE….what is “fossil fuel”???

…..OMG are you telling us they are derived from “fossils”…..seriously?

#102 IHCTD9 on 11.22.19 at 2:01 pm

#97 DON on 11.22.19 at 12:48 pm

You pay cheap insurance cause you live in a rural area…Crowded pays more as he lives in Vancouver and when it rains the roads become slick and the accidents pile up cause they don’t slow down. Did you even click on the articles.
____

No need to complicate things Mr. Don:

I pay 650.00/yr in On.

Fartz pays over TWENTY FOUR HUNDRED DOLLARS in BC.

We are near identical customers.

End of discussion.

If you want to pretend this is just the standard ho-hum, run of the mill difference between rural and metro – be my guest.

FWIW, here is an article where some rural BC’ers say they are getting screwed over by ICBC on car insurance:

https://www.wltribune.com/news/freedom-of-information-campaign-on-rural-vs-urban-icbc-rates/

#103 Sail away on 11.22.19 at 2:02 pm

for Shawn Allen:

Here’s a case that might interest you: Reitmans has been on my watchlist for years as a Buffett-type value stock- it continues to decline in value, but has lots of cash and pays a high dividend now. It’s currently trading at about 1/3 its book value.

It seems either acquisition or fold and pay out might be approaching. It’s been steadily declining for years to this lowest of the low state but is maintaining a solid balance sheet. Tax-loss selling will probably drop it more. Any thoughts?

#104 Tyberius on 11.22.19 at 2:20 pm

#6 FIRE’d up on 11.21.19 at 4:58 pm
my investment portfolio is at $1,990,983.23

how should I celebrate when it hits $2Mil? Any suggestions?
+++++++++

I’m thinking that you need glasses and one of the commas (“,”) is actually a period (“.”)

So, take your $1,990.98323 and buy some cannabis stocks. Or as someone else said, get some ‘class’.

#105 Sail away on 11.22.19 at 2:21 pm

It looks like the whole Trump impeachment hope is going off the rails like all the other attacks. Poor Democrats. What do you think, Conan?

#106 Sold Out on 11.22.19 at 2:55 pm

Maybe some Canadian home owners are whispering that old Alberta prayer:

“Dear Dog, please send us another property bubble, and this time I promise not pi$$ away all the equity.”

But 43% of them have no mortgage, perhaps after smartly cashing out, and downsizing. I bet lots of them have stuffed the old investment portfolio with those windfall profits, too.

#107 IHCTD9 on 11.22.19 at 3:07 pm

#101 Sail away on 11.22.19 at 1:36 pm
#6 FIRE’d up on 11.21.19 at 4:58 pm

my investment portfolio is at $1,990,983.23
how should I celebrate when it hits $2Mil? Any suggestions?

————————————

I like to celebrate milestones by treating the people who helped me get there. For me, that’s usually a Friday takeout lunch/drinks for the office- no need to tell them you now have $2M, since that would only cause jealousy; just let them know you enjoy working with them and appreciate their support
——

That sounds like a good plan too (followed by trip to YAMAHA dealer when no one is looking!).

#108 JonBoy on 11.22.19 at 3:59 pm

BC gas prices are high because we buy some higher-priced gas from Washington to make up for the slight lack of gasoline coming from elsewhere in Canada.

That higher-priced gas sets the price for all other suppliers. The Lower Mainland only needs a few thousand extra barrels a day (9000, give or take, I believe) from Canadian sources to drop prices in Vancouver to more reasonable levels.

Some light reading to understand the root cause.

https://achemistinlangley.net/2019/04/29/how-the-ccpa-completely-misses-on-the-root-cause-of-our-elevated-gasoline-prices-in-the-lower-mainland/

We still have the most heavily taxed fuel in Canada but we’re paying a premium on top of that due to a lack of domestic (Canadian) supply.

#109 Sail Away on 11.22.19 at 4:51 pm

#108 IHCTD9 on 11.22.19 at 3:07 pm
#101 Sail away on 11.22.19 at 1:36 pm
#6 FIRE’d up on 11.21.19 at 4:58 pm

my investment portfolio is at $1,990,983.23
how should I celebrate when it hits $2Mil? Any suggestions?

————————————

I like to celebrate milestones by treating the people who helped me get there.

————————-

That sounds like a good plan too (followed by trip to YAMAHA dealer when no one is looking!).

————————–

Haha… you bet!

#110 LP on 11.22.19 at 4:57 pm

#99 Soggy Shorts

The last time I flew (economy, 2011) was to and from a funeral in bc. When I got home it was to find black bruises waist to thigh down my sides. I am a big person who can’t afford 1st class so it’s driving for me. Add to that, arthritis makes me very stiff and slow moving. Other passengers aren’t awfully patient nowadays with the likes of me.

#111 Kozman on 11.23.19 at 11:03 pm

Nice post sinan.

I don’t often post (once/year).
And here it is.

Well thought out, hopefully the blog dogs are forwarding to friends of theirs.