The wild west

In October a skinny detached, face-brick house in Brampton with a garage stuck on its snout was listed for $699,000 The neighbours were a tad started when it sold for $795,000. The sale price, in other words, was 114% of asking for the 31-by-100 property.

This month 10 Eastview Gate came back to market, about 100 days after that last deal. The asking price this time was $899,000. The hood chattered. And then it sold for $1,065,000. So in four months the street value of this place rose $366,000, or 52%. That’s an annualized gain of 157%.

Here it is…

Is this place, deep in the northern reaches of the outer GTA, worth seven figures? After all, the regional real estate board has just forecast that sometime in 2021 the average property – detacheds, semis and condos included – will jump that hurdle in the entire metropolis of six  million souls.

Well, maybe. But the point of this example (like a few others presented here lately) is that we’re in the grips of perhaps the greatest wave of residential real estate speculation in Canadian history – at least here, in the nation’s biggest market. You know why. Covid has turned people into nesting maniacs thinking that the virus will never penetrate a detached house. The WFH thing makes folks believe they can buy in the outer burbs, securing more space, because they’ll never have to trundle downtown again. Mortgages at an historic low of 1.5% allow families to pile on far more debt for the same monthly payment. And FOMO is rampant. The more prices escalate, the greater the emotion swells. Houseless couples in their thirties are convinced if they don’t grab real estate now – no matter the cost – they’ll have it never.

This is how a $699,000 house on a featureless, distant street turns into a $1 million object of desire. And as it happens, housing affordability erodes further. The divide grows between the haves and the havenots. Family indebtedness balloons. Liquid assets and savings – in RRSPs, TFSAs, bank accounts and non-registered investments – shrink. As a society we become more indebted, less diversified, assume greater risk and watch the growing gamification of real estate.

Brampton, by the way, is torrid. The average property is worth $102,355 more, or 12%, in the last two months. Detacheds now sell for an average of $1.168 million. Sales are up a stunning 50% year/year. It’s a zoo. Check this out…

How is government dealing with this speculation?

Not well. Most short-term sellers will claim the PR exemption to escape capital gains tax on the windfall. Some will be caught by the CRA and the profit declared business revenue, added to the seller’s annual income and taxed at that marginal rate (ouch). Others will get away with it. So far this has been an uneven approach. The bottom line is governments have been completely impotent to corral home flipping, even when politicians pay lip service to housing as a human right.

Meanwhile governments help make real estate even more costly. Look at the land transfer tax in Toronto – a prime example. A so-so $1.5 million property in 416 attracts $52,950 in tax on closing day. Money for nothing. And already it takes a couple with a combined income of $180,000 twenty-four years to save enough to buy a $1 million property. Now Toronto is about to jack the tax on so-called ‘luxury’ homes selling for $2 million or more. The LTT tax on a two mill hovel (now absolutely common in places like North Toronto) would be $96,475, combined with the provincial tax.

Ridiculous, say the critics. Nobody ever made houses more accessible by taxing them more. This will stem up-sizing by the elite WFH readers of this blog, thereby reducing overall inventory and squeezing prices higher. Real estate liquidity in the city could be affected, resulting in fewer homes coming available in lower price ranges.

In a word, dumb. But it goes to the meme that real estate is real wealth, and the rich are evil. Added to this is the vacancy tax, now in effect in Vancouver (at a whithering 3%) and set for Toronto next year. If you don’t rack up 180 sleeps in your home in any given year, it’ll be deemed empty and you’ll be taxed. The average Toronto condo bill will be about $7,000 a year, and $15,000 for detacheds or semis. Yup, more costs. More overhead.

The taxers say levies raised will be used for affordable housing. And while we need that, none of it will be made available to working, middle-class folk. They must continue to cope with higher valuations, squeezed inventories and the impact of unbridled cowboy speculation of the kind being played out in the wild west of Brampton. Ultimately the inability to buy leads more families to rent. That’s a valid (and less expensive) choice, but it also means more demand and increased lease rates.

Meanwhile, as this blog has been yakking about, mortgages are not going to stay at 1.5%. As the vaccines eventually defeat the virus, growth and inflation will goose bond yields and boost the cost of fixed-rate home loans. This may stall price escalation and nip the flippers, but it won’t crash valuations.

The conclusion? If affordable real estate is good and speculation is evil, why are we not taxing it? How does sucking off tens of thousands in transfer taxes and vacancy charges do anything but make houses cost more? The absurdity may have hit its zenith with BC’s ‘speculation tax’ that allows people to buy and flip properties (no tax) within a year but then whacks non-resident families who have owned and used places for decades.

Sheesh. We need new leaders.

About the picture: “I know you love dogs,” writes Jeff, “and feature dog pictures in your daily blog (I’m sorry to hear of Bandit’s passing a few months ago). During the pandemic, my dog has found a new pack to romp with in the local park.  One of the dog’s humans is a professional photographer who shot this photo of my dog Tola, an almost nine year old mostly Border Collie, on a very cold day. I thought it might make for a good picture for your blog, particularly if the theme was intensity, because Tola has a very focused stare. If you use it, can you please credit the photographer, Mark Krocz.” Done.

202 comments ↓

#1 catzndogz on 02.11.21 at 1:26 pm

Simple. Tax house sale profits at marginal tax rate. And keep the land transfer tax.

#2 Tom Grozny on 02.11.21 at 1:29 pm

“Most short-term sellers will claim the PR exemption to escape capital gains tax on the windfall. Some will be caught by the CRA … . Others will get away with it.”

I believe getting away with not paying taxes is now called a “good-faith mistake”.

#3 Faron on 02.11.21 at 1:32 pm

Awesome photo today.

Max housing froth. Lots of “get rich quick” vibes in many markets. Be fearful when others are greedy.

W/re bitcoin — another dimension that I haven’t seen talked about here is the geopolitical one. Currently China and Iran are the largest miners (Iran has cheap electricity, so mining is profitable). Iran and Iranians use bitcoin to circumvent sanctions. The western bloc will do what it takes to keep that tamped down even if the stated purpose is other.

#4 Beetman on 02.11.21 at 1:34 pm

Does the Dutch tulip bubble sound familiar?

#5 TurnerNation on 02.11.21 at 1:37 pm

This is new. New intra-provincial borders being erected. Per plan. This is Economic warfare, forcing local businesses to subsist on local scraps. The war is on INDEPENDENCE and small business. Forced UBI?

NFLD has new “CV” rules yesterday as well. This is Not going away, a tool of economic and social control.
Atlantic Bubble..yet still their rights an freedoms did not return. This is how it works, an Economic takedown
Tourism has been banned, you must subsist in you Prefecture only. #Stayhome they keep telling us right?

“Laura Stone @l_stone
#BREAKING: The medical officer in Hastings Prince Edward – includes wine country – is issuing a Class 22 order banning bookings for accommodations, personal services & dine-in restaurants to anyone still under stay-at-home order. The region goes “green zone” on Wednesday. #onpoli”

…….
To Ustabe’s link: State Street, Blackrock and Vanguard hold more assets then God. Well guess what is Vulture Capital’s next target. And we we know they gamifed Stock trading via Robinhood.
(https://theconversation.com/these-three-firms-own-corporate-america-77072 )

The next target is (of course) children and education. I maintain our leaders are working for these Globalists. Shutting down in-person learning forces people interacting with machines and A.I. For your health? Not really. It’s all a set up.
And what are those machines up to – mind blowing A.I. feed back loops for children:

https://wrenchinthegears.com/2021/01/28/secretary-of-education-dr-miguel-cardona-connecticut-hedge-funds-and-human-capital/

#6 The Woosh on 02.11.21 at 1:44 pm

This is how a $699,000 house on a featureless, distant street turns into a $1 million object of desire. And as it happens, housing affordability erodes further. The divide grows between the haves and the havenots. Family indebtedness balloons. Liquid assets and savings – in RRSPs, TFSAs, bank accounts and non-registered investments – shrink. As a society we become more indebted, less diversified, assume greater risk and watch the growing gamification of real estate.

——————————————

C’est la vie. If folks listened and did what you thought was best for them…there’d be nothing left to pontificate about. Other than Covid…of course!

#7 Spart-a-cuss on 02.11.21 at 1:44 pm

#113 Faron on 02.10.21 at 8:30 pm
#93 IHCTD9 on 02.10.21 at 7:35 pm
#94 Nonplused on 02.10.21 at 7:37 pm
#96 George S on 02.10.21 at 7:39 pm
#97 Millenidiot! on 02.10.21 at 7:44 pm
#100 Dogman01 on 02.10.21 at 7:46 pm
#105 Silent Observer on 02.10.21 at 8:04 pm

Don’t let the facts get in the way of your antiquated thinking:

But what are the global warming emissions of electric cars on a life cycle basis—from the manufacturing of the vehicle’s body and battery to its ultimate disposal and reuse? To answer this, the Union of Concerned Scientists undertook a comprehensive, two-year review of the climate emissions from vehicle production, operation, and disposal. We found that battery electric cars generate half the emissions of the average comparable gasoline car, even when pollution from battery manufacturing is accounted for.

https://www.ucsusa.org/resources/cleaner-cars-cradle-grave

And even if the electric car is powered by electricity generated from coal, it’s still less emissive in total and more efficient than an ICE on a BTU by BTU basis.

_____________________________________________

Garth, can you ask your steerage section to stop making such silly comments?”

We were speaking specifically about Alberta and electricity generation, which has been shown to be predominantly thru coal and natural gas, 87%, as you yourself alluded to.

We were also talking about how cold temps significantly reduce the useable energy given that a portion is used just to keep the battery warm and functional.

I’ve seen comments from this guy before so I already knew he wasn’t that bright. But those comments really highlight how gullible he really is. If nothing else, he should be banned for being “anti-fax”!

#8 SoggyShorts on 02.11.21 at 1:48 pm

Let’s see a picture of that lot today. On a corner lot, you are responsible for shoveling snow/mowing grass all the way to the curb. Gross.

#9 "NUTS!" on 02.11.21 at 1:56 pm

The problem with escalating home prices and the unmanageable debt load will not improve unless interest rates return to some semblance of normality. And this behaviour extends far beyond real estate purchases. It would be great to publish the state of HELOCs as an example. As a society, we have become addicted to debt as never before. The carnage we would witness if rates rise to a modest 4 or 5% would be horrific. Yet here we are.

#10 Wrk.dover on 02.11.21 at 1:59 pm

This is for IHTD9

In 73 I put down $200 on a lwb E150 V8 auto, chrome yada yada, $2800 build price, deliverable in a month, maybe.

My co-signer bailed the next week, the dealer gave me back the non refundable $200 because the price had gone up $500.

Fast fwd, to 1983. Priced the same new build, $10,800

Buckle up Buddy, were going into double OD.

#11 Adam Smith on 02.11.21 at 2:06 pm

God, I hate that it is Victoria I am trying to get into during this. Anywhere else I could easily convince myself (and the wife) that we sit and wait for rates to go up and the COVID-19 damage to start trickling in and normalize things.

It may not be different this time but I worry it is different here. The part of the island people want to live on has water on three sides and is not getting any bigger. It also has the nicest weather in Canada right as the boomers are retiring and fleeing pandemic-wracked Vancouver with pockets of cash after selling their $1.5 million dollar homes.

That’s not even mentioning what the beaten down Hongkongers or lefty Americans fleeing political turmoil and the crime/homeless-ridden west coast big cities can do to the market once the doors reopen.

We have decent jobs and a baby and another planned soon but how are you supposed to jump into a market where there is only 70 houses on the market at a time, every half-normal listing goes 50-100k over asking, and your realtor promises to sell any house in 48 hours or they will do it for free?

#12 willworkforpickles on 02.11.21 at 2:09 pm

Penny Henny…thanks for challenging me in yesterdays comments…it gave me the opportunity to clarify the claims i made regarding a certain stock pick.
Nobody likes being singled out as a liar when it just isn’t true.

#13 John on 02.11.21 at 2:12 pm

Sheesh. We need new leaders.

Amen to that. But bringing house prices back to sane levels would destroy the “wealth” of millions of voters, so where will we find them? Enough griping! What’s the way out of this mess?

#14 Bram Stoker on 02.11.21 at 2:15 pm

Hey – despite the rampant covid, sketchy administration, and treacherous 410 Brampton has more green space and amenities than many might think.

Is the HWY sign that says all roads lead to Brampton still up? Now it leads to tiny $1M houses.

#15 Comments! on 02.11.21 at 2:19 pm

I ask this genuinely Garth, what is the solution? Renting is obscenely expensive and unstable for most families, when we thought prices couldn’t get more ridiculous, they do and then some and it seems like the further you move from your roots, extended family and in many cases, your work/business, the more you pay. Prices going through the stratosphere everywhere even in provinces and communities that you couldn’t pay many people to move to for an abundance of reasons. Values won’t come down, borrowing costs will go up…what am I missing? Is it time to give up on Canada? How does a family who is employed or owns a business in or near a major Canadian city make ends meet? How are banks approving these loans with price gains like these? Do we hang central bankers high for all of this insanity over the past 12 years? No interest and money printers on hyperdrive since 2008…wow geniuses.

Sideliners seem to now be a bunch of observers with no solutions after 13 years of claiming that this won’t end well. Losers is more like it if they did not get in, I’m truly sorry. I’m fortunate enough to own all of my GTA residential and commercial property purchased 20 years ago, mortgage free but this is mortifying for so many others. I’d gladly accept a 60-70 percent collapse. Gives my child and so many others a fighting chance.

Seriously I’m lost here. A lot of belly aching with no answers or fixes Anybody? What the hell has happened to this country?

#16 Stoph on 02.11.21 at 2:20 pm

#215 Dr V on 02.11.21 at 1:42 pm
212 stoph – drive less. Works with all types of vehicles

—————————————————————–

Good point. Talk to TurnerNation, I believe he’ll tell you the globalists are working on it.

#17 Leftover on 02.11.21 at 2:20 pm

The usual response to, “why don’t we tax capital gains on primary residences”, is that it would be political suicide since 70% of Canadians own their home.

But it only takes 40% of the vote to get elected in Canada so, assuming the 30% non-homeowners support the idea, it would only take one in seven existing homeowners to get onside.

That’s totally possible. Many boomers, while smug about their good fortune, also worry a lot abut their kids’ ability to buy a house. Tapping into that anxiety would be easy, especially if the proposal was tempered by some sort of phasing-in of such a capital gains tax.

We need to broaden capital gains tax, not increase it.

#18 solutions on 02.11.21 at 2:23 pm

The solution is to raise interest rates to 3%

But the cowards at the bank of Canada will do no such thing

#19 Stone on 02.11.21 at 2:23 pm

Houseless couples in their thirties are convinced if they don’t grab real estate now – no matter the cost – they’ll have it never.

———

I recommend everyone in their 20s, 30s, 40s, 50s, 60s, 70s, 80s, 90s and houseless to…

…go on a real estate strike.

Don’t buy real estate (outside of a REIT ETF). Just don’t do it. Do that for a full year at a minimum.

And for those who own, sell. Sell NOW!

And rent.

#20 Dr V on 02.11.21 at 2:24 pm

212 stoph – drive less. Works for all vehicles types.

#21 Freedom First on 02.11.21 at 2:27 pm

Sheesh. We need new leaders.-Garth

When our Blog host writes this, it is the truth!

Respectfully,

Freedom First.

#22 Brian Ripley on 02.11.21 at 2:28 pm

“The recent valuations of Bitcoin, says the Bank of Canada’s deputy government Tim Lane, is “speculative mania.”” Garth, “Comin’ for you”, FEB 10th

My chart of Average Prices of VANCOUVER and TORONTO Single Family Detached Houses, BITCOIN and GOLD all Denominated in USD with January data is up:
http://www.chpc.biz/bitcoin-gold–re.html

Looks like everyone is in the pool, what could possibly go wrong?

#23 Faron on 02.11.21 at 2:45 pm

TSLA setting up to get hammered. Some big players are buying deep OTM puts (dirt cheap) to try to force, and capitalize on, a short gamma squeeze. This basically makes the price unstable with respect to downside moves. If it goes, there will be fireworks. And now that TSLA is a part of the S&P it will impact passive investors.

Due diligence now has to include options activity in any single stock. If you buy based on “fundamentals” or don’t buy based on same, you are missing a huge part of the picture. In the long run, this may not matter, but the frightening moves that happen in the short run may make having “diamond hands” awfully hard.

Aside from index ETFs, I have no position in TSLA.

No, Sail Away, this isn’t an attack on you.

#24 NoOneOfConsequence on 02.11.21 at 2:48 pm

DIY: Make Thousands Per Month with your Finance Newsletter

1. Buy an email list for $300 for 70,000 email addresses of people interested in investing.
2. Compose 2 different “free 30 day” subscription invite emails. To 35,000 send an email that says an ETF will be “UP” on Friday. To the other 35,000 send email that says an ETF will be down on Friday.
3. At market close on Friday, take the 35,000 emails that were “correct” and split into 2 groups of 17,500 each. Send the emails again, using the same ETF.
4. On the next friday, take the winning group of 17,500, cut it in half. Send your emails again, same split, same ETF. That’s 8750 emails betting ETF goes up, same number goes down.
5. Last Friday of the cycle, take the winning group, cut in half, send your emails. You will have 4,375 of each type of email.
6. At the end of next Friday, you will have 4375 people who will believe you accurately predicted ETF prices for a whole month in a row.
7. Send out your “sign up here for 50% off” email. In a month you should have 4000 subscribers at $30 per month…

There you go! How to make $120,000 per month selling a subscription based financial newsletter!!

We should all be thankful that Garth has principles and ethics.

#25 Guelph Guru on 02.11.21 at 2:52 pm

When people buy at these prices, they need to rent out part of the house to help out on the mortgage. This is a standard practice in Brampton and Mississauga. In fact, without the tenants, 2 in some cases, the owner cannot make the mtg payment.
Don’t understand why you would want to share your residence with strangers, when you can rent for cheap.
Well, we have left Saneville long way back. Will be interesting to see what happens at 5% mtg rates in 2023. Oh, but int rates never rise right?

#26 Comrade on 02.11.21 at 2:54 pm

“Sheesh. We need new leaders.”

But who, when the previous ones started all of this with 0% down and 40 year amortization.

#27 Linda on 02.11.21 at 2:59 pm

The justification for yet more taxation is – ‘we’ll use the revenues to provide affordable housing’. Problem is, what is the definition of ‘affordable’? Seems to be rather on the high side from what I can see. Also, would like to see just how much of the revenues collected actually is applied to housing affordability. Would not be too shocked to discover only a small fraction of the sums end up where they were supposed to be utilized.

#28 other guy in Vancouver on 02.11.21 at 3:02 pm

Government doesn’t act because government isn’t interested in lowering costs. Of anything, from cheese or houses. All about maximizing cash flow, and taxes, at the expense of the sheep.

#29 Doug in London on 02.11.21 at 3:08 pm

As I said sometime in the last week, it’s time to cash in that winning lottery ticket. Hurry, don’t wait, The Ontario Lottery and Gaming Corporation is trying to contact you RIGHT NOW!

#30 Faron on 02.11.21 at 3:08 pm

#211 Dr V on 02.11.21 at 1:24 pm

I apologize for lumping you into that group.

Yes, Canada is certainly not an ideal place, but it’s also far from impossible here and is a much better situation than the likes of Nonplused, who refuses to look at facts, make it out to be.

Fully agreed that running your current, fuel efficient econobox (speaking for myself actually) into the ground is better than buying a new Leaf. It’s the reason I don’t currently own an electric car.

Fully agreed that driving less is a great solution for some people/households.

Regardless, as Stoph writes, we have to get onto the offramp of O+G despite all of the inertia of that sector in Canada.

#31 Bill on 02.11.21 at 3:20 pm

#210 Faron on 02.11.21 at 1:10 pm (Prior)

Wish I had more time to engage.
In some areas where more populations reside…YES I have witnessed bleaching of some corals specially in the Caribbean. Terrible practice and quite upsetting to see.
Then theirs the garbage and crap in streams and water ways I’ve witnessed in Haiti and the Philippines all that stuff ends in the ocean, absolutely avoidable. Then there’s the fishing practices of, say the Taiwanese Illegal fishing fleets all over our oceans and the collapse of fish stocks….
THAT is far more important to me then the how much more or less frost is one the ground.
I’m heading over to plug in the Bobcat in case we get a pile of snow in Courtenay..
Cheers.

#32 Cpdlc on 02.11.21 at 3:25 pm

Wouldn’t taxing PR just make prices increase. I would imagine sellers would just hike the price to “make up” the tax difference.

#33 alexinvestor on 02.11.21 at 3:29 pm

Taxing real estate is a political non-starter because it instantly makes 40% of the voters single issue voters. Whereas the non-homeowners don’t care.

New central bankers might help though. Reduce the money supply by limiting the ability of banks to lend out demand deposits.

#34 mike from mtl on 02.11.21 at 3:32 pm

#23 Faron on 02.11.21 at 2:45 pm
And now that TSLA is a part of the S&P it will impact passive investors.
///////////////////////////////////////////////////////////

Good.

TSLA can go to 0 for all I care, should have never been added to the sp500, ARK and other bag holders will get their asses handed to them.

At 1.69% of SPX bring it on.

#35 WTF on 02.11.21 at 3:37 pm

Well if the freeway sclerosis here in Vandumb is any indication not many work from home.

Guess we cant count on politicians to do the right thing and pop this gas bag, way too much skin in the game for them and their overlords in the FIRE industries. The unholy mess when this collapses in on its self will be epic.

#36 Bill on 02.11.21 at 3:41 pm

On EVs
Battery density and longevity is critical to the efficiency.
Voltage suppression (time & cycle decay) still exists in these battery’s. Chemistry is also improving for extreme temperatures that reduce efficiency.
That’s the key to surpassing ICE models.
All of these are improving but if you don’t have reliable clean electricity there no point.
The lack of moving parts and electric motors that can last and last BUT, who wants a 10 year old car but me? as it ain’t cool anymore.
Then theirs the dealers…Less cars to be sold with very little maintenance.

#37 Handsome Ned on 02.11.21 at 3:49 pm

#19 stone

…for those that own sell now…and rent. Who do we sell it to, if everyone is selling? That is like telling everyone to buy only used cars. The problem is that if no new cars are bought the price of used goes up and you’ll end paying 50k for a ten year old Kia.

#38 Faron on 02.11.21 at 3:52 pm

#31 Bill on 02.11.21 at 3:20 pm

#210 Faron on 02.11.21 at 1:10 pm (Prior)

No worries Bill. I’ll probably do it anyway, just because I’m curious and I sit on all the data to make the calc.

Yeah, looks like Fri night and Sat are going to be SNOWY for the island although these are really hard forecasts to get right. Doesn’t look like it will be a big mid-island snow maker like you’ve seen a couple times already this year. Different dynamic in this one.

Regarding local impacts and future climate, I think a balance is critical. You are right to keep your own neck of the woods clean, that’s where you live and it will make you and everyone happier. But, it’s not a bad idea to save a few percent of your effort for the planet. Think of it as a hedge like holding a few percent gold or some such. Could come in handy.

Anyhow, I’m not telling you what to do. Hope you are staying warm up there. Great weather for a wood stove.

#39 Sail Away on 02.11.21 at 3:53 pm

#23 Faron on 02.11.21 at 2:45 pm

TSLA setting up to get hammered.

No, Sail Away, this isn’t an attack on you.

————

My friend, I would never take it so.

But also, and please don’t take this as an attack either: you have been proven wrong many, many times in the past while predicting exactly the same thing.

Eventually, it is possible you may be correct in the short term. I’ll bet you a 30′ Whiffen Point swell that Tesla maintains and increases value over the long term.

#40 cuke and tomato picker on 02.11.21 at 3:54 pm

The headlines of the Summerland Review say Osoyoos BC
is growing fast which is a small town in the South
Okanagan. We known this area well and loved the Okanagan however we now live in Central Saanich and are very happy to be living here. The overall weather here is easier on the body and retirement is great. We are now laid back islanders. No snow here yet.

#41 bdwy on 02.11.21 at 3:54 pm

The average price of a home skyrocketed year over year in some areas. In the Fraser Valley, the average price for all home types jumped 25.8 per cent to $944,996 and 26.7 per cent in the B.C. Interior to $634,465.

In Victoria, the average cost of a home went up 19.2 per cent to $868.509, while homes on Vancouver Island went up 10.9 per cent to $528,930. In Greater Vancouver, home prices jumped 11.2 per cent to $1,089,096

#42 bdwy on 02.11.21 at 3:55 pm

forgot link …https://vancouversun.com/news/another-record-setting-month-for-the-b-c-housing-market-bcrea

#43 Mountain Camper on 02.11.21 at 3:57 pm

Most uremarkable corner of this country fetching such insane valuation…..insanity.While my beloved Central Alberta suffers loss of property valuation.In Red Deer where I live , my house has lost 10% since it was purchased in 2012, despite being in nicest neighborhood.House in Brampton featured above, can be bought for 450k in Alberta.

Other features of Central Alberta : Just 2 hrs away from Majestic Rocky Mountains.The most beautiful of all Nat ional parks in Canada BANFF Jasper and Waterton lakes,within 4 hrs of driving.Economy can’t get any worse now ,is percolating steadily and hopes of some rebound in oil prices( though Mr Kenney needs to focus on diversifying economy).

Folks, if you have not visited the mountains yet, make it a priority as soon as we are out of COVID.

#44 Ian B on 02.11.21 at 3:57 pm

(Edited from the first post, I made a mistake)

This subject really scares me, it’s so sad to see hard-working families increasingly priced out. I’m lucky to have bought a house at age 25 for $600k (15 years ago) in North Vancouver (no, no money from mom and dad, busted my ass off). The old house on a busy street is now worth 1.5M..easy. I’ve always had renters in the downstairs suite who have basically paid the interest portion of my mortgage, my money pays the principle. Accept every year their rent goes up and my living gets easier. I don’t feel great about that either but it’s the world we live in at the moment. Now with a 3-year-old kid and another on the way, their future scares me. How in the world will they be able to buy somewhere to have security and raise their kids one day? I don’t know. So, I bought a Townhouse for them last month. This place was 520k and now get $2400 a month. Do the math, in 10 years(I took a 2.14% 10yr mortgage. Inflation is coming, and hard!) with a conservative property appreciation projection of 2.5% and rental increase of 2.5%, I will have paid approx. $27,000 in carrying costs, and will have approximately $250,000 equity in this place. Fast forward another 10 years and it will be so cash flow positive that I’ll be able to pay the kid’s tuition(a tax right-off of course) with the revenue. A further 10 years and we’ll sell it, splitting the profits for the two kids to use to buy something themselves. Or, we move in and retire in it, and sell our main house. Is this plan guaranteed, no way, but with future population projections for Metro Vancouver and climate change challenges making this area one of the more reasonable and hospitable to live in, land scarcity is an idea I can buy.. unlike Bitcoin. Am I crazy here?

Oh, and the townhouse beside mine just listed for $40,000 more than I paid, I and hear they have multiple offers already. This is nuts! I wish it wasn’t this way, but it is and I want to protect my kids the best I can.

#45 Sail Away on 02.11.21 at 3:58 pm

Whoops, sorry.

Full disclosure: I am long TSLA and wish Elon was my brother; he and I are the same age, so possibly twins separated at birth?

#46 Bill on 02.11.21 at 3:59 pm

DELETED

#47 crowdedelevatorfartz on 02.11.21 at 4:00 pm

Hmmm.
Where have I heard this before.

https://www.reuters.com/article/us-usa-china/china-will-eat-our-lunch-biden-warns-after-clashing-with-xi-on-most-fronts-idUSKBN2AB06A

War with China in 5 years or less over their claim of “ownership” of the South China Sea or the Sovereign country of Taiwan?

#48 Shirl Clarts on 02.11.21 at 4:01 pm

Regarding the House in Brampton…

I can tell you the OTR Microwave is going to be an issue with the Gas range, which should have been a SS hood fan only, and very high up. Gas gets hot hot hot! And stinky, too. You need a minimum 700 CFM or else don’t bother.

Folks, once you buy your house, there are always things that need renovating, even with a recent remodel.

#49 wallflower on 02.11.21 at 4:08 pm

stunning doogie
luv the doogies
doogies are best

#50 greyhound on 02.11.21 at 4:11 pm

Could it be that the RE market is sniffing inflation?

#51 Dolce Vita on 02.11.21 at 4:29 pm

1. The Cantillon Effect inflection point surpassed, flow paths follow.

2. Modern Monetary Theory (pay only interest) – already being done in HELOC’s.

3. Inflation in RE and the Stock Market net beneficiaries of CB actions (cheap money, QE) – Milkshake Theory (not the tightening part, the opposite).

4. Banks creating money (debt) prefer lending for RE vs. riskier loans such as new businesses startups and the like.

—————————–

Add it up and you can also explain the Wealth Gap (#3 especially, e.g., Bezos, Musk).

→ Expect social instability as the Rich get richer.
→ Invest in The Markets to keep pace (for now).
→ Gov Canada CERB etc. noble effort since the money flowed directly to the people, small business though it ended up in that “giant sucking sound” a.k.a., #3.
→ And ya, RE prices will still keep going up and The Markets as well.

Garth, you will not get your correction until the Milkshake tightens or all the above precipitates a global crash, latter just mean more .more #3 and so forth).

#52 Stone on 02.11.21 at 4:31 pm

#37 Handsome Ned on 02.11.21 at 3:49 pm
#19 stone

…for those that own sell now…and rent. Who do we sell it to, if everyone is selling? That is like telling everyone to buy only used cars. The problem is that if no new cars are bought the price of used goes up and you’ll end paying 50k for a ten year old Kia.

———

Those who sell early will win. The rest will be losers. Why be a loser, even if you’re handsome. Sell! Sell! Sell!

And rent.

#53 Eco Capitalist on 02.11.21 at 4:32 pm

For another example of insanity, take a look at the Barrie housing market. What was a 400K house 2 years ago is just cresting 900K this week.

#54 Stoph on 02.11.21 at 4:39 pm

#36 Bill on 02.11.21 at 3:41 pm
—————————————————————
You’re right, there’s little point to EVs if there’s no reliable clean electricity source.

However, the future of electricity generation is in clean power. In the short term this means less coal more natural gas. The cost of renewables is coming down, so I expect more to come online – add in some smarts to EV charging and the batteries can work together with renewables to help even out the dips and spikes from wind and solar.

#55 Reality Bites! on 02.11.21 at 4:39 pm

Just like in the 1981 real estate crash in Canada, the market will suddenly stop overnight and hundreds of thousands will be stuck with homes and mortgages no one can afford nor want for many years afterwards

#56 R on 02.11.21 at 4:39 pm

#23 Faron on 02.11.21 at 2:45 pm
If you are not in the market to buy a new car, do not test drive a Tesla. There is a reason Tesla spends $0.00 on advertising. Elon thinks spending the $ on building a better vehicle is a better use of potential advertising funds.

#57 Penny Henny on 02.11.21 at 4:48 pm

#12 willworkforpickles on 02.11.21 at 2:09 pm
Penny Henny…thanks for challenging me in yesterdays comments…it gave me the opportunity to clarify the claims i made regarding a certain stock pick.
Nobody likes being singled out as a liar when it just isn’t true.
//////////////

Last weeks boast was about turning $30k into $72k on the same stock 4 times a year.
https://www.greaterfool.ca/2021/02/06/horrible-bosses/#comment-765085

This week it’s a half mil in a penny stock and you didn’t even bother checking it one day.
Let me just say I’ll believe it when I see it.

#58 I’m stupid on 02.11.21 at 4:49 pm

There must be more to the story Garth. I checked out that home. The furniture is exactly the same from this listing to the previous listing. So either the deal fell through last time or it was never sold. Or maybe the buyers 10 months ago purchased the furniture too.

I don’t know, does anyone else have any idea what happened there?

#59 Faron on 02.11.21 at 4:49 pm

#45 Sail Away on 02.11.21 at 3:58 pm

Whoops, sorry.

Full disclosure: I am long TSLA and wish Elon was my brother; he and I are the same age, so possibly twins separated at birth?

That was a statement of the options market positioning rather than a projection of any price at any time. But, I’m aware of previous wrong-ness and am prepared to watch TSLA somehow slide up to $1500.

Whiffin Spit, not Point. No need for a bet, we have the markets. I want no business with a 30 foot breaking wave in any capacity, so not going to take you up on those grounds either. But, if you could muster 4′ 18 sec swell in the Strait, I would reconsider.

Seems unlikely that you and Elon are twins given the geographical separation of your birthplaces. But, could be quantum entanglement in which case it would be impossible to see you and he in the same place at the same time. That would have some strange implications for your respective mothers.

#60 Sail Away on 02.11.21 at 4:50 pm

#40 cuke and tomato picker on 02.11.21 at 3:54 pm

The headlines of the Summerland Review say Osoyoos BC is growing fast which is a small town in the South
Okanagan. We known this area well and loved the Okanagan however we now live in Central Saanich and are very happy to be living here.

————-

Right… Osoyoos… nice and warm, decent area.

Ponder this: you can drive 10km south to Oroville, WA and buy the same house for 40% Osoyoos prices.

#61 joblo on 02.11.21 at 4:58 pm

New Leaders? How bout less chumps?
Kanada seems to be full of em.

Definition of chump

informal : a person who is easily tricked : a stupid or foolish person

#62 Reximus on 02.11.21 at 5:00 pm

I assume a cap gain tax on a PR would also allow a seller to adjust the gain by all the expenses incurred along the way…that would no doubt lead to a hiring boom at CRA to swim through the mountains of receipts?

So the civil servant class should be all for it.

ACBs are not hard to determine. – Garth

#63 Habitt on 02.11.21 at 5:03 pm

What you post today makes sense Garth. However greater fool has been saying this since what 2008? It’s the only growth plan politicians have here. It sucks. Just keep bringing in 400,000 immigrants a year. Solves everything. Wonder how that affects our carbon footprint. lol oh and WFH is here to stay. Lowers costs ce la vie

No gush of immigrants now and house prices are ballistic. So much for that theory. – Garth

#64 Barb on 02.11.21 at 5:11 pm

Chrystia’s budget will no doubt put the fear of dog into most of us.

#65 Rainman on 02.11.21 at 5:21 pm

Squamish is in the same boat, but somewhat makes sense being so awesome! It is crazy how fast prices are appreciating, but just glad to be riding the wave.

#66 Faron on 02.11.21 at 5:24 pm

#54 Stoph on 02.11.21 at 4:39 pm

#36 Bill on 02.11.21 at 3:41 pm
—————————————————————
…In the short term this means less coal more natural gas. The cost of renewables is coming down, so I expect more to come online – add in some smarts to EV charging and the batteries can work together with renewables to help even out the dips and spikes from wind and solar…

But wait, Nonplused and others told me that if we can’t do it all and perfectly right now, then the whole endeavour is pointless ’cause muh trux n -50 degrees…

:-)

#67 S.O on 02.11.21 at 5:25 pm

They need to regulate realtors and how they present the offers, they should never keep the offers secret. All bidders involved should see all the offers and prices before making a counter offer. To many opportunities for a realtor to rip off a buyer.

#68 Annek on 02.11.21 at 5:26 pm

#14 Bram Stoker on 02.11.21 at 2:15 pm
Hey – despite the rampant covid, sketchy administration, and treacherous 410 Brampton has more green space and amenities than many might think.

Is the HWY sign that says all roads lead to Brampton still up? Now it leads to tiny $1M houses.
….
Sorry to say, but Brampton is the “armpit” of GTA. It is amazing that homes there are fetching theses prices. The faster they climb, the harder they will fall. Especially there.

#69 jess on 02.11.21 at 5:30 pm

how the few effect the many (skiing)

EU’s South Africa Covid-variant hotspot goes into lockdown: No-one is allowed to leave Austria’s Tyrol without negative coronavirus test after hundreds fall ill

Some 293 cases of the more contagious variant have been confirmed in Tyrol
Over 120 of those cases are currently active, Austria’s Chancellor said Tuesday
Officials in the area initially resisted restrictions, but on Monday drew up a list
New measures include more police checks on mask wearing and social distancing, and the requirement of negative anti-gen tests to use ski facilities
Austria’s initial response to the Tyrol outbreak drew criticism in Germany
========
alex jones roger stone and trump repeating word for word executive order to take your guns ….same words have a listen alex jones having the ear of trump !
https://www.pbs.org/wgbh/frontline/article/alex-jones-and-donald-trump-how-the-candidate-echoed-the-conspiracy-theorist-on-the-campaign-trail/
canada citzen lab helped
roger stones body guards?
https://www.cnn.com/2021/02/11/politics/oath-keeper-justice-trump-capitol/index.html

#70 S.Bby on 02.11.21 at 5:34 pm

#44 Ian B

You bought a townhouse for your 3 year old? And you complain about high housing prices. Do you see any irony in that?

#71 Georg on 02.11.21 at 5:35 pm

I recommend everyone in their 20s, 30s, 40s, 50s, 60s, 70s, 80s, 90s and houseless to…

…go on a real estate strike.

Don’t buy real estate (outside of a REIT ETF). Just don’t do it. Do that for a full year at a minimum.

And for those who own, sell. Sell NOW!

And rent.

………………….

good laugh

#72 Loonie Doctor on 02.11.21 at 5:35 pm

Sold our massive country home last fall and then invested the money on top of our other retirement savings. I miss my tractor, but holy crap is all I have to say. I had a NHTC34DA and Kubota F3080 (for IHCTD9’s benefit).

I find this scary because it is almost too good to be true and all of the free money has driven everything up so high. At least I have very little tied up in my home and it is 95% liquid investments at this point. I realized some capital gains today both rebalancing my portfolio and because the Federal budget is looming. Getting ready to live quietly amongst the masses when the tax-bomb of our deficits comes home to roost.
-LD

#73 Sail Away on 02.11.21 at 5:36 pm

#60 Faron on 02.11.21 at 4:49 pm

Seems unlikely that you and Elon are twins given the geographical separation of your birthplaces. But, could be quantum entanglement in which case it would be impossible to see you and he in the same place at the same time. That would have some strange implications for your respective mothers.

————

There are strange things done ‘neath the midnight sun by the men who moil for gold

#74 S.Bby on 02.11.21 at 5:39 pm

#68 S.O

Exactly a big reason why prices have escalated to where they are now. Realtors prey on the buyer’s fear and greed FOMO in these hot markets and the realtor always works for the seller. Even a “buyer’s agent” really works for the seller.

#75 S.Bby on 02.11.21 at 5:41 pm

#66 Rainman

Squamish is Awesome? It’s good for a bathroom break on the way to Whistler. To each their own I guess …

#76 S.Bby on 02.11.21 at 5:44 pm

#57 R

Apparently Elon thinks spending $ on Bitcoin is a better use of potential advertising funds.

#77 twofatcats on 02.11.21 at 5:46 pm

Property ownership in the biggest Canadian cities and their surrounding areas is going to go the way of the big cities in Europe. Only the wealthy and those lucky enough to have the property passed down through the family will be landowners. Everyone else will be renters.

#78 Sail Away on 02.11.21 at 5:46 pm

#62 joblo on 02.11.21 at 4:58 pm

New Leaders? How bout less chumps?

———–

Fewer. It would be nice to have fewer leaders, fewer chumps, and fewer grammatical gaffes.

That is more or less more correct than ‘less’.

#79 glenn wood on 02.11.21 at 5:48 pm

The majority of Canadians use sweeping rationalizations to make major decisions and will not waver or want to hear about the downside. Only a bad painful burn will smack them into reality. One day the easy money will be mopped up and the bond vigilantes will demand higher interest rates in exchange for rolling over their debt. Sadly this will lead to a large increase in unemploment due to the collapse of homebuilding and renovations not to mention real estate commissions……. Recovery will take a long time just like the extended life of the current real estate and debt bubble. Hopefully it does not happen until Covid-19 is in the rear view mirror.

#80 Rudy butt dialed to say antifer did it on 02.11.21 at 5:50 pm

Well if that ain’t a mess I guess it’ll do till the mess gets here.
Slapped up houses by assembly line crews using the cheapest materials they can get their hands on. They are townhouses that somebody screwed up and left a small (and I do mean small) space between. The mayor is on tv regularly talking about the multi-generational households adding to the covid problem. I don’t know why, you’d think every young couple would have two or three of those houses to themselves.
There is the happiest place on earth and the stupidest place on earth, Brampton is one of them.

#81 IHCTD9 on 02.11.21 at 5:52 pm

When re prices look like trouble, a ReMax agent comes to me, RE only goes go uppa, let it be.

And while my bank account gets slaughtered, he is standing right in front of me, RE just goes uppa, let it be.

It’s tax free, it’s tax free, it’s tax free, it’s tax free.
There will be a windfall, let it be…

#82 Reximus on 02.11.21 at 5:53 pm

It’s amazing what you used to not care that much about as if it will always be there, but when it’s cut off or scarce, you realize how much it should have mattered…like skiing at Blue next week!

Had to reserve online and got our passes for next friday, as though they were like rare boat passages from a troubled land…

#83 Penny Henny on 02.11.21 at 5:54 pm

#64 Habitt on 02.11.21 at 5:03 pm
What you post today makes sense Garth. However greater fool has been saying this since what 2008? It’s the only growth plan politicians have here. It sucks. Just keep bringing in 400,000 immigrants a year. Solves everything. Wonder how that affects our carbon footprint. lol oh and WFH is here to stay. Lowers costs ce la vie

No gush of immigrants now and house prices are ballistic. So much for that theory. – Garth

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

To think that immigrants arrive to our cities and immediately buy a house is a far fetched theory.
Will the majority of the newly arrived immigrants need a place to live and will be renters, absolutely.
It’s the immigrants that arrived 5, 6 ,7 or 10 years ago that will be buying housing stock.

They are now called ‘Canadians’. Just like you. – Garth

#84 IHCTD9 on 02.11.21 at 6:01 pm

#14 Bram Stoker on 02.11.21 at 2:15 pm
Hey – despite the rampant covid, sketchy administration, and treacherous 410 Brampton has more green space and amenities than many might think.
————-

I don’t live anywhere near there, but people tell me that if you wanted to give the GTA an enema, you’d put the pipe in right there in Brampton.

#85 Vision on 02.11.21 at 6:03 pm

Stoph on 02.11.21 at 4:39 pm
#36 Bill on 02.11.21 at 3:41 pm
—————————————————————
You’re right, there’s little point to EVs if there’s no reliable clean electricity source.

However, the future of electricity generation is in clean power. In the short term this means less coal more natural gas. The cost of renewables is coming down, so I expect more to come online – add in some smarts to EV charging and the batteries can work together with renewables to help even out the dips and spikes from wind and solar.
—————
Can you imagine if we all bought electric vehicles tomorrow and everybody was charging every night.
We would have power outages like you wouldn’t believe.
The infrastructure is not there for all of us to have electric vehicles. This is not going to happen overnight. Plus Canada is a big country. At present, some of these cars may do 400- 500 km per charge. Most do less. Half that in winter. A road trip would mean stopping to charge, for at least half an hour. What about line ups to charge? We do not have many charging stations yet.
In Europe ,these cars make sense because distances are not great from country to country.
Unless the batteries get better, these vehicles will have limited use in North America.
I considered purchasing an electric vehicle a few years back, but realized we are not there yet.
Tip: I think there will be good job markets for people involved in planning and developing electric grids for cities to accommodate all the vehicles charging every night.
This is the future, but we have to work out the logistics as well. Right now, mass purchasing of electric vehicles will create problems . Clean energy is only one side of the argument. But I see this as a job creator as well. Canada needs that.

#86 Long-Time Lurker on 02.11.21 at 6:08 pm

DELETED

#87 Long-Time Lurker on 02.11.21 at 6:08 pm

DELETED

#88 Faron on 02.11.21 at 6:09 pm

#74 Sail Away on 02.11.21 at 5:36 pm

#60 Faron on 02.11.21 at 4:49 pm

There are strange things done ‘neath the midnight sun by the men who moil for gold

So, your respective mothers’ names are Marge and LeBarge?

#89 Long-Time Lurker on 02.11.21 at 6:10 pm

DELETED

#90 Howard on 02.11.21 at 6:10 pm

ouses.

#15 Comments! on 02.11.21 at 2:19 pm
what am I missing? Is it time to give up on Canada?

————————————————

You’re getting it.

But why not put a positive spin on it? If this mania forces young Canadians to explore life abroad, that’s a good thing.

#91 Cheese on 02.11.21 at 6:14 pm

Lost 25k in gains today due to reddit idiots pumping stocks and the shorts piling in to crush them. Will never own a house, never have a family, will never succeed in the country as it exists today.

There is nothing more to lose.

It is time to end this.

#92 S.Bby on 02.11.21 at 6:14 pm

It’s a good thing that all those mortgage slaves who had to sell after their forbearance period ended have a whole crop of eager new buyers who are willing to overpay for their shacks.

#93 Sayid on 02.11.21 at 6:19 pm

So people are rushing to the Brampton, the Covid capital of Canada

#94 R on 02.11.21 at 6:22 pm

77 S.Bby.
My bet is Tesla’s investment in Bit Coin will be very profitable for Tesla . Full disclosure, I am long Tesla

#95 IM in C on 02.11.21 at 6:23 pm

I found an old copy of Dr. Morton Shulman’s 1960′ s investment classic titled “Anyone can Make a Million”. The investment vehicles he recommended for the average investor were convertible bonds and convertible preferred shares.
1. Is this still good advice today?
2. If so, perhaps you could devote a column to these investment vehicles

#96 S.Bby on 02.11.21 at 6:29 pm

#95 R

Full disclosure, I am long Tesla
…………………………………………

I’m not surprised.

#97 S.Bby on 02.11.21 at 6:32 pm

#92 Cheese

What about Tesla and Bitcoin? Apparently they are sure bets.

#98 Linda on 02.11.21 at 6:39 pm

#11 ‘Adam’ – there is this thing called compromise. Your post doesn’t mention a budget, but a quick search on Victoria RE showed a SFH listed for $699K. An older home dated 1959, the value is obviously in the land as it is a corner lot, appears to be quite a spacious amount of yard. There were listings for less, but I’m just presuming you want land, not a condo/townhouse/strata set up of some kind.

#99 Ian B on 02.11.21 at 6:41 pm

@S.Bby

First, I said the direction of real estate was scary, I wasn’t complaining. I’m also scared about some of the stocks recent runs I hold, but I’m not complaining. And yes, I completely see the irony in buying a townhouse for a 3 year old. But don’t you wish your parents bought a property in your name when you were a toddler to hand to you as a wedding gift so you didn’t have live under a mountain of debt and could then spend more time with your children? I sure do. The systems broken but I live in it. While I advocate for change I’ll also play the game.

#100 Charles Ramos on 02.11.21 at 6:42 pm

Elon and I always called her ‘Momma Lou’. She had a real thing for gold.

‘Then I ducked my head, and the lights went out, and two guns blazed in the dark,
And a woman screamed, and the lights went up, and two men lay stiff and stark.
Pitched on his head, and pumped full of lead, was Dangerous Dan McGrew,
While the man from the creeks lay clutched to the breast of the lady that’s known as Lou.

These are the simple facts of the case, and I guess I ought to know.
They say that the stranger was crazed with “hooch,” and I’m not denying it’s so.
I’m not so wise as the lawyer guys, but strictly between us two —
The woman that kissed him and — pinched his poke — was the lady that’s known as Lou.’

#101 crowdedelevatorfartz on 02.11.21 at 6:45 pm

@#92 Melted Cheese
“Will never own a house, never have a family, will never succeed in the country as it exists today.”

++++

I rent and couldnt be happier.
I don’t have a family and couldnt be happier.
I worked my ass off to succeed.
Never been happier.

It took 40 years from “absolute zero” in the bank to almost( a few more years max) be comfortably retired.

You have to be willing to work, listen to free advice, be willing to take the odd risk, be willing to move for work and be willing to sacrifice.
Worked for me.
But thats me.

Some people feel a house is a necessity.
Some people feel a family is a necessity.
Some people gauge “success” by your house and family.
Time to rethink your priorities?
Maybe.
If what you have been doing isnt changing your position…..change something.

#102 Ian B on 02.11.21 at 6:46 pm

@S.Bby

You’re bagging on Squamish from South Burnaby? Oh boy..

#103 Cici on 02.11.21 at 6:47 pm

OMG that place is hideous.

My eyes are still reeling from the gawdy, Mickey Mouse colour schemes, cheap cabinetry, god-awful furniture and piteous finishing details.

So the person who flipped this was obviously a realtor, right? And who bought the sorry, pathetic little structure that looks the garden shed for the massive house beside it?

Are Canadians currently the dumbest people on planet Earth? Just for the record, I’m not trying to be an A-hole and I am Canadian too. But seriously, what are they lacing our cannabis with that would that would explain such poor and reckless buying decisions?

#104 Bk on 02.11.21 at 6:51 pm

Your realestate blogging days are so depressing. Since all of bc is ridiculously overpriced(everywhere ).. .. You should write on “is it worth it to quit your career to move some place more affordable and start over”. The have people always tell the have nots to do so. Much easier said than done……..

#105 FriedEggs on 02.11.21 at 6:51 pm

DELETED

#106 Damifino on 02.11.21 at 6:53 pm

#31 Bill

YES I have witnessed bleaching of some corals specially in the Caribbean. Terrible practice and quite upsetting to see.
———————————

Patrick Moore’s new book may interest you. Or not.

https://financialpost.com/opinion/patrick-moore-de-bunking-climate-and-other-varieties-of-alarmism

#107 S.Bby on 02.11.21 at 6:57 pm

#100 Ian B

So I need to point out you are part of the problem, not part of the solution. You are also assuming it will be status quo for the next 20 plus years which is assuming a lot. And what if they don’t want to live there? And it’s also taxable because it’s not your PR. Invest in the S&P and an RESP as a more sensible option.

#108 Cowtown Cowboy on 02.11.21 at 6:57 pm

And you wonder how liberals ever get elected…

Stupid is as stupid does

#109 BigBinOtown on 02.11.21 at 7:06 pm

BAN buyers realtor getting commission from selling price and instead the buyer should pay a fixed fee for their services. All the realtors I met when I was buying property was ‘conditioning’ me to bid over asking price…how can anyone expect them the give good/honest advice to buyers if its in their interest for the house to sell at the highest possible price???

#110 BigBinOTown on 02.11.21 at 7:12 pm

I have serious doubts on the underwriting standards in the mortgage industry for purchases with less than 20% down payment because of the CMHC insurance. Are they giving out money to people who wouldn’t normally qualify just because for the CMHC insurance safety net?

#111 S.Bby on 02.11.21 at 7:21 pm

#110 BigBinOtown

The realtor works for the seller so they will try to get the highest price possible for their client and their own commission. The buyer is totally out of the picture except as someone to get fleeced.

#112 Stoph on 02.11.21 at 7:21 pm

#86 Vision on 02.11.21 at 6:03 pm
Stoph on 02.11.21 at 4:39 pm
#36 Bill on 02.11.21 at 3:41 pm
———————————-
Can you imagine if we all bought electric vehicles tomorrow and everybody was charging every night.
We would have power outages like you wouldn’t believe.
The infrastructure is not there for all of us to have electric vehicles. This is not going to happen overnight. Plus Canada is a big country. At present, some of these cars may do 400- 500 km per charge. Most do less. Half that in winter. A road trip would mean stopping to charge, for at least half an hour. What about line ups to charge? We do not have many charging stations yet.
In Europe ,these cars make sense because distances are not great from country to country.
Unless the batteries get better, these vehicles will have limited use in North America.
I considered purchasing an electric vehicle a few years back, but realized we are not there yet.
Tip: I think there will be good job markets for people involved in planning and developing electric grids for cities to accommodate all the vehicles charging every night.
This is the future, but we have to work out the logistics as well. Right now, mass purchasing of electric vehicles will create problems . Clean energy is only one side of the argument. But I see this as a job creator as well. Canada needs that.

—————————————————————

Yup, upgrades to the grid and generation will be needed as move people adopt EVs. Again, EV charging smarts can help to smooth demand so that all cars aren’t charging at full capacity just as people are cooking dinner – better to wait to charge until people go to bed and electrical demand is low.

For many two-car households having one EV would work out well with current EV technology. Commuting within the range of EVs accounts for much of the kms people drive. The second car with an ICE could be used for when driving further distances. Plus you have the convenience of not having to go to the gas station with the EV.

I’m not sure how the EVs of the future will handle charging at stations. Charging tech is improving rapidly, so targets of it only taking several minutes may be achieved. The other option is to do a battery swap at a station and you rent rather than own the battery (Nio is pursuing this option; I believe Tesla had been, but gave up after improvements to their charging ability.)

#113 AACI Homedog on 02.11.21 at 7:26 pm

Dat Dawg 95% wolf…

#114 Nonplused on 02.11.21 at 7:28 pm

Wait…what??? A $96,000 land transfer tax? Where are people supposed to come up with that kind of money? And of course it is a tax on a tax since you pay it with after tax dollars, so the total government take is closer to $150,000.

Perhaps this is why RV sales are skyrocketing. People are living in them. Get yourself a decent rig and a monthly lease at a year round RV park and you are set. Mind you that’s still probably going to set you back $95,000 for a decent 4 season trailer, $95,000 for a truck to tow it, $1,000 a month to rent the site, and a fortune for propane in the winter. (You’ll want a 420 lb tank with delivery, 2-30lb tanks and you’ll be going to the filling station every day in this weather.) But I think $1.5 million in a B&D portfolio might cover all that without touching principle.

(The campsite I am basing these numbers on is the Bow Rivers Edge campground in Cochrane, which is full hookups. It is also right beside the river if you like to fish, a dog park, a bike path that goes all the way to Calgary, and the Spray Lakes sports complex which includes everything including a wave pool. It also has a shower/laundry facility but who needs those when you have full hookups and a $95,000 trailer? Those come with their own mini laundry machines and showers. Or, you could just stay the regular season April to October and then bugger off to Phoenix or Florida for the winter. Won’t cost much more than airfare to get the whole rig down there, jet planes use a lot of fuel. You can probably get the whole rig down to Florida for less than you’d spend on propane during this cold snap. For you greenies out there, that means less CO2 emissions. And you are in Florida for 5 months of the year. WFT (Work From Trailer) rocks.)

((And yes I know Garth doesn’t like RV’s. But what is one to do when a house that isn’t a whole lot bigger and is much older and has no more amenities costs 20 times as much? And you can’t move it? The RV craze is just getting started.))

#115 Damifino on 02.11.21 at 7:32 pm

#30 Faron

Regardless, as Stoph writes, we have to get onto the offramp of O+G despite all of the inertia of that sector in Canada.
—————————

Good idea. While we’re at it, let’s take the offramp from steel, aluminum, concrete, glass and synthetic fabrics.

#116 Faron on 02.11.21 at 7:33 pm

#108 S.Bby on 02.11.21 at 6:57 pm

#100 Ian B

Prices become vulnerable to downside when the market runs out of buyers. The top occurs when the last marginal patch of buyers is tempted in. Ian, your example is one of pulling demand forward in the face of peak FOMO and may just represent membership in that last cohort of buyers. You may have just won the ultimate bagholder prize. Congratulations. You wont be alone, I will come in a not too distant second having purchased RE (with payments that we can afford even at much higher rates).

#117 Faron on 02.11.21 at 7:38 pm

#101 Charles Ramos on 02.11.21 at 6:42 pm

Ha, welcome to the club!

#118 Nonplused on 02.11.21 at 7:38 pm

#7 Spart-a-cuss on 02.11.21 at 1:44 pm

Why did I make your list? And are you asking Garth to cancel me? (I’ll just come back as “Coal Burner”.)

#119 KLNR on 02.11.21 at 7:43 pm

@#102 crowdedelevatorfartz on 02.11.21 at 6:45 pm
@#92 Melted Cheese
“Will never own a house, never have a family, will never succeed in the country as it exists today.”

++++

I rent and couldnt be happier.
I don’t have a family and couldnt be happier.
I worked my ass off to succeed.
Never been happier.

It took 40 years from “absolute zero” in the bank to almost( a few more years max) be comfortably retired.

You have to be willing to work, listen to free advice, be willing to take the odd risk, be willing to move for work and be willing to sacrifice.
Worked for me.
But thats me.

Some people feel a house is a necessity.
Some people feel a family is a necessity.
Some people gauge “success” by your house and family.
Time to rethink your priorities?
Maybe.
If what you have been doing isnt changing your position…..change something.

exactly.
folks like meltedcheese will never be happy
no matter if they had all they covet.

#120 Nonplused on 02.11.21 at 7:44 pm

#8 SoggyShorts on 02.11.21 at 1:48 pm
Let’s see a picture of that lot today. On a corner lot, you are responsible for shoveling snow/mowing grass all the way to the curb. Gross.

——————————–

Just get yourself one of them battery powered snow throwers. Of course you’ll need 3 sets of batteries as well, because just one won’t even clear the driveway. And new batteries in about 7 years. Oh wait, they won’t make them to fit anymore so you also need a new snow thrower! Unless you want to take the 48 volt battery packs apart and buy new cells at a specialty shop and you are handy with a soldering iron. Assuming you have a soldering iron. (No, you can’t use a plumbing torch on a battery.)

#121 Ponzius Pilatus on 02.11.21 at 7:48 pm

#102 crowdedelevatorfartz on 02.11.21 at 6:45 pm
@#92 Melted Cheese
“Will never own a house, never have a family, will never succeed in the country as it exists today.”

++++

I rent and couldnt be happier.
I don’t have a family and couldnt be happier.
I worked my ass off to succeed.
Never been happier.

It took 40 years from “absolute zero” in the bank to almost( a few more years max) be comfortably retired.

You have to be willing to work, listen to free advice, be willing to take the odd risk, be willing to move for work and be willing to sacrifice.
Worked for me.
But that’s me.
———————————-
Me, me, me
So you worked your butt off 40 years for a couple of mill.
There are many people in Vancouver who made that much simple by buying a house 20 years ago.
Btw, not sure if the guy is real, but you could show some compassion.

#122 willworkforpickles on 02.11.21 at 7:48 pm

#58 Penny Henny
“Last weeks boast was about turning $30k into $72k on the same stock 4 times a year.
https://www.greaterfool.ca/2021/02/06/horrible-bosses/#comment-765085

This week it’s a half mil in a penny stock and you didn’t even bother checking it one day.
Let me just say I’ll believe it when I see it.”
……………………………………………………………………………………………………….
First off, it was never meant as a boast either time it was posted, but a way and means for what seems of late a need for some solid info…on a how to what to do for beginners, safe way into the stock market for a great many who want in but don’t want to join the hoodies chasing nickels in front of fast approaching steam rollers.
I have been in and out of the stock i posted about 4 times in total before i loaded up in the third week of March 2020 with 500,000 shares. At that time i had a long standing order in at 0.10 cents. I cancelled that order and set the buy at 0.16 cents when it bottomed at 0.15 cents. (i have level 2 and follow it closely) 245,000 shares of that order filled at 0.16 cents. The rest filled a bit higher for a 0.18 cent average if you want to get technical about it.
Prior to this i was averaging about a 42k gain per quarter.
2020 was a messed up year and i held and didn’t sell.

This brings me to why i ever posted any of this to begin with…After 30 plus years of trading i felt compelled to share a trade secret or two here.
In trading penny stocks, for beginners i would tell them to seek out the consistent high quarterly earners with a readily consumable product.
Avoid the trash heap of mostly garbage penny stocks as the formulae i am about to share does not apply to the many and only the very few. Those with high quarterly earnings on the bid for under a buck.
Search them out reading their news releases, specifically their quarterly earnings reports.
Study their chart price swing histories from there.
High penny earners all have the same thing in common. Most are targeted by shorts and provide the consistent price swings swing traders dream of. Charts of these specific companies give a pretty clear and consecutive view over a yearly flow of the (shorted) bottomed out entry points and the peaks (when to sell)
Activity can be monitored daily through readily available short volume information.
There isn’t a great deal more you need to learn to begin with. Follow the news releases closely. The particular stock I’ve been posting about has a charted history of selling at the peak showing 10 days before every posted NR of upcoming earnings release dates.
Keep in mind, the better the consecutive quarterly earnings the less risk there is for the quarterly holding swing trader.
Covid upset the apple cart and threw things off a little in 2020. Recent spikes in 2021 changed things up a little too, but weren’t unexpected…the rules to the formulae remain intact.
All for the sake of clarification once again.

#123 Nonplused on 02.11.21 at 7:51 pm

#30 Faron on 02.11.21 at 3:08 pm

“Yes, Canada is certainly not an ideal place, but it’s also far from impossible here and is a much better situation than the likes of Nonplused, who refuses to look at my uneducated version of the facts, make it out to be.”

Fixed it for you.

#124 Nonplused on 02.11.21 at 8:00 pm

“No gush of immigrants now and house prices are ballistic. So much for that theory. – Garth”

Ya, I have often made the case here in this comments section that immigration should be tied to unemployment my number of just pulling it out of my arse being 4%. I mostly settle on that number because CB’s say it is the “natural rate”. I don’t know about that but there must be some number. However now we have 8%+ unemployment and near zero immigration and prices are still skyrocketing. We need a new scapegoat and it definitely isn’t immigrants.

“We have met the enemy, and it is ourselves.”

#125 yvr_lurker on 02.11.21 at 8:01 pm

#
No gush of immigrants now and house prices are ballistic. So much for that theory. – Garth

Indeed this is correct, but it is all due to interest rates near 2% for a fiver. Monthly costs stay the same despite large price increases. However, what is happening now does DOES NOT imply that spikes in prices in trendy areas of YVR and GTA were not fueled by large spikes of wealthy offshore immigrants a few years ago when interest rates were around 4-5% for a fiver.

Of course it does. – Garth

#126 Dr V on 02.11.21 at 8:07 pm

30 faron – I own (and enjoy?) an F150 so you can still lump me.

so a little F150 story

Business partner bought a 2009 ext cab with 5.3L triton engine. The on board computer would calculate gas mileage and list the km left to empty. His would regularly say upper 700s in mixed driving.

A couple of years ago I got a 2012 ext cab with 3.6L “ecoboost” turbo. Lots of power, but I use the “eggshell” method of pedal force. It is probably a bit lighter due to the smaller engine and maybe one or two other tweaks, and probably just a couple of percent more engine efficient. My km to empty will typically hit 870.

Partner decides he cant have an older truck than me, so a short while later to gets a 2015 ext cab with non-turbo 6 cyl. But now here is the diff – ford lost 700 lbs of weight by switching to aluminum. His km to empty now pushing 1000.

Funny how they improve these things in such incremental ways. Mileage +25% in 6 years. Ya have to wonder how much they could do if they went in all at
once……

#127 Spamalot on 02.11.21 at 8:09 pm

#24 NoOneOfConsequence on 02.11.21 at 2:48 pm

DIY: Make Thousands Per Month with your Finance Newsletter

___________________

Like most advice on this blog, you get what you pay for.

Reality is…. The vast majority of your emails would have ended up in the Spam folder! Even Faron could have figured that out!

#128 S.Bby on 02.11.21 at 8:10 pm

Random length lumber $979
Getting closer to $1000 every day.
I also heard prices for plumbing and especially electrical components is going through the roof (excuse the pun) so house construction is getting much more expensive. Also a shortage of pre-hung doors now.

#129 Drill Baby Drill on 02.11.21 at 8:14 pm

The place shown maybe $700K max.

#130 Nonplused on 02.11.21 at 8:15 pm

#110 BigBinOtown on 02.11.21 at 7:06 pm

BAN buyers realtor getting commission from selling price and instead the buyer should pay a fixed fee for their services. All the realtors I met when I was buying property was ‘conditioning’ me to bid over asking price…how can anyone expect them the give good/honest advice to buyers if its in their interest for the house to sell at the highest possible price???

———————————–

Ya, no. All commissioned sales work this way. The agent is much more interested in getting the deal done than the particular extra 10% he might get. I’ve had my “buyer’s” agent relentlessly talk the seller down just to get the deal done. It’s still 2.5/1.5 to him which is better than 0.0/0.0 if I say “no way Hosea”.

And anyway you are free to negotiate what you will pay your agent whether buying or selling. They don’t have a union, although it might be a bit of a cartel.

I even got the seller’s agent to take a haircut once. Made it clear that back in the day there was only so much CMHC I could get, and both agents took a haircut to get the deal done. They still walked away with money in their wallet though.

#131 Armpit on 02.11.21 at 8:17 pm

Folks…. what we have here is Inflation… ASSet inflation, coupled with Market Manipulation. And there will be more… but interest rates will be low.

#132 Drill Baby Drill on 02.11.21 at 8:18 pm

We Canadians act like such stuffed shirts. We think we are a first world country when in fact we are 2nd world and falling. I am in the oil & gas business past 40+ years. Ontario and Quebec need to wake up to the line 5 shut down by Michigan in May /21. When this happens all oil to Pearson airport is shut down. All of the Sarnia refineries are shutdown. All propane to Ont and Que gone. Gasoline will be shipped by truck and lake barge. Gasoline will be $4/liter. Wake up Canada.

#133 Darren on 02.11.21 at 8:18 pm

I am in close contact with my real estate agent houses selling $150,000 over asking in Niagara. All this in an area with few good paying jobs this will not end well. Most out of town buyers .

#134 Nonplused on 02.11.21 at 8:25 pm

#67 Faron on 02.11.21 at 5:24 pm
#54 Stoph on 02.11.21 at 4:39 pm

#36 Bill on 02.11.21 at 3:41 pm
—————————————————————
…In the short term this means less coal more natural gas. The cost of renewables is coming down, so I expect more to come online – add in some smarts to EV charging and the batteries can work together with renewables to help even out the dips and spikes from wind and solar…

But wait, Nonplused and others told me that if we can’t do it all and perfectly right now, then the whole endeavour is pointless ’cause muh trux n -50 degrees…

:-)

—————————————-

Whew, I really had to hold off on the ad-hominin.

The question is not whether we can or can not do it right now, but instead whether it will ever work. It won’t.

#135 crowdedelevatorfartz on 02.11.21 at 8:27 pm

@#122 Pouncing Ponzie.
“Me, me, me
So you worked your butt off 40 years for a couple of mill.
There are many people in Vancouver who made that much simple by buying a house 20 years ago.”

++++

God bless ya Ponzie.
You’re predictable if nothing else.
Won the Vancouver “housing location” lotto did you?
Well done. It required zero skill.
But I digress.
Free advice comes with a bit of personal anecdotes.
Sorry if that disturbs you…( actually I’m not sorry)
Either way.
I was in the same boat as Cheese and didnt let it crush me.
So what if I couldnt afford to own then?
I can own now but choose not to.
I watch the local govts that are broke cranking up the taxes, fees for garbage, water, gas, hydro, on and on and on.
Now?
You are better off renting.
I’ll just keep socking the bucks away and either rent forever or Vultch when the caca hits the fan.

Sorry Ponz
The advice was for a depressed person who is thinking about giving up.
Not a semi retired, rich sourpuss who spews acid at everyone about everything.
You get a free elevator ride….on me.
Goin up!

#136 Faron on 02.11.21 at 8:28 pm

#119 Nonplused on 02.11.21 at 7:38 pm

#7 Spart-a-cuss on 02.11.21 at 1:44 pm

Why did I make your list? And are you asking Garth to cancel me? (I’ll just come back as “Coal Burner”.)

You ain’t the one being cancelled. Look a little more closely.

How ’bout some data to show that what I understand about EVs is wrong? I’ll give in to data and sometimes even reason ( :-) ) but conjecture not so much.

#137 IHCTD9 on 02.11.21 at 8:29 pm

#104 Cici on 02.11.21 at 6:47 pm

Are Canadians currently the dumbest people on planet Earth? Just for the record, I’m not trying to be an A-hole and I am Canadian too. But seriously, what are they lacing our cannabis with that would that would explain such poor and reckless buying decisions?
———

I think the answer to that is hidden behind the numerous deletes tonight. I’ll try to lay it out in a more eloquent fashion:

Brampton is pretty much 99% South Asians at this point. Everyone else has pretty much gtfo of there. I’ve heard South Asian bro’s say that there is no better place for a brown dude to live *in the entire world* – than Brampton. Here, they live like they did back home, but with $$, and with none of the downsides – of which there are many (for now).

What’s that worth? I’d say quite a bit. Garth’s chart says a shitbox apt. condo in B-town goes for 480k. A cookie cutter pressboard crap pile sfd in B-town like the one featured today goes for 1.1 mil. A paid-off move up buyer going from one to the other is looking at a 620k mortgage. At today’s 1.6 rates, the buyers are looking at a $2500.00 mortgage payment. That’s probably as cheap as rent in most of the gta. Hell, it might even be CHEAP. Multi Gen households here are common, that means 3, 4, 5 – maybe even 6 incomes. Minimum wages might even be enough.

If you want to know where this stops, it stops where move up buyers with 500k in their pockets can’t afford the mortgage payment. It’s totally possible that Brampton, even though it’s a landfill, could keep climbing well above where it is now. Way above. The only limit is how many South Asian peeps that own paid off RE located somewhere other than Brampton, or condos within Brampton. And interest rates…

This is Canada, so it’s a little different. I’ve personally known folks who endured insane circumstances just so they could live here without having to assimilate into Canadian culture. I understand it, my grandparents on both sides of my family died, barely able to speak with their grandkids due to the language barrier. Folks from India/Pakistan/Middle East would have it even worse.

Today, there are only two types of folks buying RE in places like Brampton: specuvestors, and South Asians who’ve been here long enough to make some bank. Today’s blog highlights a specuvestor selling to one or the other.

Unfortunately, this is just fact, the way it is, love it or lump it. But things are changing even as the insane re prices continue to climb. The newcomers are pretty much euchred right from the get-go landing in a Canuck metro where wages suck, and a 500 sf condo is 600k. They’re not going to climb the ladder like those that came decades before them – the ethnoburbs themselves, have become too expensive.

Two choices, move into rural Canada, or go back home. In my experience, the choice has been – go back home.

#138 Caveman the slaveman on 02.11.21 at 8:30 pm

#45 Sail Away on 02.11.21 at 3:58 pm
Whoops, sorry.

Full disclosure: I am long TSLA and wish Elon was my brother; he and I are the same age, so possibly twins separated at birth?

_____________________________

That explains your incoherent ramblings and pointless diatribes against poor Faron …. But how do you explain that low sloping forehead of yours?

#139 Nonplused on 02.11.21 at 8:33 pm

#127 Dr V on 02.11.21 at 8:07 pm

“Funny how they improve these things in such incremental ways. Mileage +25% in 6 years. Ya have to wonder how much they could do if they went in all at
once……”

Ya and it would be nice if we could build the Star Ship Enterprise now. Or that the Commodore 64 was what a new lap top is. Or a 1913 Buick had fuel injection and an automatic transmission. But technology evolves much more than it is designed. Everything evolves. None of it is designed. The design components are just random mutations.

#140 kommykim on 02.11.21 at 8:37 pm

RE:#23 Faron on 02.11.21 at 2:45 pm
If it goes, there will be fireworks. And now that TSLA is a part of the S&P it will impact passive investors.

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

An ETF like VUN, which reflects the USA, holds 1.38% TSLA. Since a 60/40 balanced portfolio would hold apx 24% US equities, that means that your portfolio would only drop 0.33% if TSLA went to zero. So a non-issue IMHO.

#141 Stoph on 02.11.21 at 8:40 pm

#116 Damifino on 02.11.21 at 7:32 pm
#30 Faron

Regardless, as Stoph writes, we have to get onto the offramp of O+G despite all of the inertia of that sector in Canada.
—————————

Good idea. While we’re at it, let’s take the offramp from steel, aluminum, concrete, glass and synthetic fabrics.

————————————————

No body here is talking about taking an offramp that hasn’t been built, but please tell me, what’s the purpose or advantage of eliminating the use of steel, aluminum, concrete, glass or synthetic fibers?

I know that steel production and concrete represent a significant source of CO2 and people are researching on alternatives or how to reduce their emission – not sure about the other materials.

Of course if you don’t believe that CO2 emissions are problematic, then this whole discussion is pointless.

#142 Howard on 02.11.21 at 8:54 pm

#100 Ian B on 02.11.21 at 6:41 pm
@S.Bby

First, I said the direction of real estate was scary, I wasn’t complaining. I’m also scared about some of the stocks recent runs I hold, but I’m not complaining. And yes, I completely see the irony in buying a townhouse for a 3 year old. But don’t you wish your parents bought a property in your name when you were a toddler to hand to you as a wedding gift so you didn’t have live under a mountain of debt and could then spend more time with your children? I sure do. The systems broken but I live in it. While I advocate for change I’ll also play the game.

——————————————-

Ian, you say you advocate for change, but since you’ve just made a speculative purchase during a euphoric run, you will presumably vote for any political party you deem most able to keep the bubble inflated.

This isn’t an attack on you. Everyone votes in their personal interests (except some Millennials who vote Liberal on autopilot). Your interests are now heavily, inextricably tied to the state of the housing market and you will certainly not wish for change to occur in said market.

#143 Howard on 02.11.21 at 9:00 pm

#125 Nonplused on 02.11.21 at 8:00 pm
“No gush of immigrants now and house prices are ballistic. So much for that theory. – Garth”

Ya, I have often made the case here in this comments section that immigration should be tied to unemployment my number of just pulling it out of my arse being 4%. I mostly settle on that number because CB’s say it is the “natural rate”. I don’t know about that but there must be some number. However now we have 8%+ unemployment and near zero immigration and prices are still skyrocketing. We need a new scapegoat and it definitely isn’t immigrants.

—————————————

Because crashing interest rates goosed sales and speculation among Canadians over and above the temporarily absent immigrant demand.

Nobody ever said immigration was the ONLY driver of house price appreciation.

You must never have read the comment section. Xenophobes abound. – Garth

#144 crowdedelevatorfartz on 02.11.21 at 9:01 pm

What has killed more British Columbians in 2020 than ;
All drunk driving deaths, all homicides, all suicides and all prescription drug deaths combined last year…?

Overdoses!
A new record!

Over 1700 people died last year in BC due to illegal drugs.

https://globalnews.ca/news/7634754/bc-overdose-numbers-2020/

Way, way more dead than Covid.

#145 Ponzius Pilatus on 02.11.21 at 9:18 pm

#133 Drill Baby Drill on 02.11.21 at 8:18 pm
We Canadians act like such stuffed shirts. We think we are a first world country when in fact we are 2nd world and falling. I am in the oil & gas business past 40+ years. Ontario and Quebec need to wake up to the line 5 shut down by Michigan in May /21. When this happens all oil to Pearson airport is shut down. All of the Sarnia refineries are shutdown. All propane to Ont and Que gone. Gasoline will be shipped by truck and lake barge. Gasoline will be $4/liter. Wake up Canada.
—————
Gas at 4/liter will push Canadians to electro mobiles.
We are thinking what our next wheel will be 4 years down to road.
Personally, I’m no big fan of electro (still uses carbons, still clogs up roads) but I wait and see.
Still steaming that they don’t built stick shifts anymore.
Just loved driving them.

#146 TurnerNation on 02.11.21 at 9:18 pm

And yet you can rent a larger, 800 sq foot penthouse in a nearly-new low rise boutique building, 10 min walk to the downtown Toronto core, with parking and a locker…for $2700/mo.
Natural gas line on it large balcony also

https://www.realtor.ca/real-estate/22692852/1011-399-adelaide-st-w-toronto-waterfront-communities-c1

………

#171 AK on 02.11.21 at 7:50 am
Look at this recent real estate transaction in Toronto. Would love to see a post with your thoughts on this:
https://www.reddit.com/r/TorontoRealEstate/comments/lgvhue/yongewellesley_710_sq_ft_1m_sold_5_days_ago/?utm_medium=android_app&utm_source=share

……..

HOW Much longer? The ECONOMIC ATTACK in this WW3 against the Former First World Countries must go on.
2022-23 at least. This is a SCRIPT and once you get your mind around it this all makes more sense.

-Angela Merkel on [Germany] lockdown extension: ‘Mutations may destroy any success’ (m.dw.com)

– Ireland looks set to extend lockdown for 6 weeks when the current one expires on March 5th (independent.ie)

– Greece PM orders full lockdown in Athens after surge in COVID cases(reuters.com)

– To lift lockdown gloom, Israelis keep calm and carry on screaming (msn.com)

#147 Do we have all the facts on 02.11.21 at 9:19 pm

Financial institutions increase the money supply by
issuing mortgages to purchase outrageously overpriced homes. The amount of debt being devoted to residential real estate is doing very little to stimulate the Canadian economy. I find it irritating how our Federal government seems to be encouraging investment in real estate and all but neglecting investment in other sectors of the Canadian economy.

With adjusted unemployment at 8.0% and labour participation rates falling every day it seem very obvious that our economy is in desperate need of new investment. Lately our Central bank has been gobbling up guaranteed mortgage backed securities created by our government and financial institutions. No such government guarantees for investment in the bonds being issued by companies that are actually creating jobs

Most Canadians are far too busy trying to increase their
personal wealth at a time when Canada’s economy is in desperate need help.

The coffee we are starting to smell is being brewed in countries that are not twiddling their thumbs.

#148 Say Cheese! on 02.11.21 at 9:27 pm

#92 Cheese on 02.11.21 at 6:14 pm

Lost 25k in gains today due to reddit idiots pumping stocks and the shorts piling in to crush them. Will never own a house, never have a family, will never succeed in the country as it exists today.

There is nothing more to lose.

It is time to end this.

____________________________

Why so glum, chum? You live in the land’o’plenty. Opportunity abounds. Where you can be a nobody… Or even less… A drama teacher… And still end up as, shall we say… the big Cheese.

I know it sounds cheesy but.. Don’t give up.

#149 cramar on 02.11.21 at 9:27 pm

This terrible story illustrates the problem with young inexperienced stock speculators mot knowing what they are doing. This is not just another online game.

‘He would be alive today’: Parents detail son’s desperate attempts to contact Robinhood before he killed himself

https://www.cnn.com/2021/02/11/investing/robinhood-lawsuit-suicide-alex-kearns/index.html

#150 willworkforpickles on 02.11.21 at 9:30 pm

Seems now a way/one way for young people to afford a good house is by supplementing their incomes with a good investment or three in the stock market.
Some real moneymakers do indeed exist…not impossible to find either being what’s tantamount in order of importance.

#151 Bezengy on 02.11.21 at 9:34 pm

#115 Nonplused on 02.11.21 at 7:28 pm

Wait…what??? A $96,000 land transfer tax?
——————-

I’ve been walking the bow trail daily except for the last week when the cold weather hit. Nice little RV park indeed. You forgot to mention the brewery up the hill, and perhaps the fact you’re only an hour from the mountains. Not sure if anyone needs an RV though as you can buy a very nice townhouse for under $300k here, and the land transfer tax is ZERO.

btw…. I didn’t understand why many Cochranite’s all seem to have bigger dogs breeds, until yesterday when I took a ride out the George Fox trail and seen two Golden Eagles. Yikes, it all makes sense to me now. Cochrane is no place for a Chihuahua.

#152 crowdedelevatorfartz on 02.11.21 at 9:35 pm

@#147 TurnerNation

“HOW Much longer? The ECONOMIC ATTACK in this WW3 against the Former First World Countries must go on.
2022-23 at least. This is a SCRIPT and once you get your mind around it this all makes more sense.”

+++++

No no no.
You’re missing the point.
The media is totally focused…

Gina Carano has been booted from Star Wars….. the….. horror…….

https://www.ctvnews.ca/entertainment/gina-carano-fired-from-mandalorian-after-social-media-post-1.5304551

#153 Steve on 02.11.21 at 9:46 pm

“ The conclusion? If affordable real estate is good and speculation is evil, why are we not taxing it? How does sucking off tens of thousands in transfer taxes and vacancy charges do anything but make houses cost more?”

I see policy driven to encourage speculation. Less homes being built drives down supply. Less supply equals higher prices. Eventually prices increased can cover future tax needs without raising the tax rate (simply tax at what the increased value is.) Meanwhile, everyone involved in the industry, which accounts for a huge percentage of GDP, continues to make money. Everyone is happy. Except those in need of shelter at an affordable price.

#154 45north on 02.11.21 at 9:51 pm

Drill Baby Drill: I am in the oil & gas business past 40+ years. Ontario and Quebec need to wake up to the line 5 shut down by Michigan in May /21. When this happens all oil to Pearson airport is shut down. All of the Sarnia refineries are shutdown. All propane to Ont and Que gone. Gasoline will be shipped by truck and lake barge. Gasoline will be $4/liter. Wake up Canada.

I’m guessing Gretchen Whitmer will not shutdown Line 5 because that would block the flow of oil to Ohio too. But we in Canada need to provide for our own supply of oil. We should be building pipelines to ensure Ontario has secure oil.

Peak oil is real. The cheapest oil has already been found and extracted. Everything that comes after is more expensive. Technology break-throughs in fracking have brought the price down. The drop in price is a head fake.

#155 Capt. Serious on 02.11.21 at 10:06 pm

Every time you use “withering”, Garth, makes me think of all the WWII histories I’ve read describing withering fire mowing down unfortunate souls. Might be fitting, actually.

#156 45north on 02.11.21 at 10:10 pm

In October a skinny detached, face-brick house in Brampton was listed for $699,000 The neighbours were a tad startled when it sold for $795,000. The sale price, in other words, was 114% of asking for the 31-by-100 property.
This month 10 Eastview Gate came back to market, about 100 days after that last deal. The asking price this time was $899,000. The hood chattered. And then it sold for $1,065,000. So in four months the street value of this place rose $366,000, or 52%. That’s an annualized gain of 157%.

this is the blow-off top. I figure the bank is in for $500,000.

#157 Cici on 02.11.21 at 10:21 pm

#138 IHCTD9

Hey, thanks for the detailed explanation. That was really interesting, especially since I had 0% knowledge about Brampton and its demographic. But at least I probably got the specuvestor seller part right.

Cheers and have a good night!

#158 IHCTD9 on 02.11.21 at 10:31 pm

#73 Loonie Doctor on 02.11.21 at 5:35 pm

I miss my tractor, but holy crap is all I have to say. I had a NHTC34DA and Kubota F3080 (for IHCTD9’s benefit).
—- ——

Saying goodbye to one tractor is tough enough, let alone two. That F3080 is a sweet machine, but a little overkill for my humble abode. I bought a good used 61” Ferris IS700Z last summer, and am beyond pleased. I (almost) look forward to mowing now.

That TC34 looks like a sweetheart too. Love the NH blue. Those compacts cost a mint. I think I could own one someday if I ever move past my obsession with track shoes and grousers. :)

#159 Ustabe on 02.11.21 at 10:31 pm

#109 Cowtown Cowboy on 02.11.21 at 6:57 pm

And you wonder how liberals ever get elected…

Stupid is as stupid does

Actually I spend my time wondering how the Conservative Party of Canada allowed themselves to transform into a party that is not electable.

From Scheer and now O’Toole, the leadership does not inspire, the policy is not current, nor does it represent the majority of Canadians. Not even close. The whole mess is poorly represented by Kenny, Mo and Ford’s shenanigans.

When your view is that folks who don’t or won’t vote for your guy are stupid and you allow that world view to inform your guy…well enjoy opposition status because Canadian’s are not stupid.

I mean have you seen Thumb Boy’s latest television ad? He sure isn’t talking to me and I identify as a conservative…Progressive Conservative I’ll give you but there are more of me than of you. Get your guy talking policy that appeals to all the ones the CPC has left behind and see what happens.

But, I suppose it is easier to call your fellow Canadians stupid and bitch and moan about liberals than do the hard work of actually forming policy, developing strategy that appeals, etc.

#160 the Jaguar on 02.11.21 at 10:32 pm

Another magnificent creature featured in today’s post. In the presence of Border Collies one immediately feels ‘spiritually inferior’ . You can see it in their eyes as they know it as well or more than we do…. They will all get to ‘Heaven’ before you and I if you believe in such things. I don’t, but remain subserviant to their goodness.

These real life photos are more superior to the ‘posed shots’ where people dress up their dogs or photo shop their expressions to resemble humans. Thank you Garth for sharing them.

I refer not to the cute ‘Yorkies in Christmas sweaters’ taken by owners to be festive and record the years, but the web incarnations, etc. I know they love their pets, but still…. Let their own personalities shine through, not yours.

About this real estate madness. Brampton isn’t Oakville. Surrey (not South Surrey) isn’t Kerrisdale, or in my own hood Saddleridge will never be Lakeview. Some neighbourhoods will always have ‘cache’ and be somewhat more ‘bullet proof’ than others. And there will always be people who value real estate over other investments. I get it. They can roll the dice. Others will stand back like their ‘coyote’ equivalents and wait to pick up the pieces. They are usually well capitalized. It’s that ‘experience’ thing.

It seems reasonable to think that when income levels don’t keep up with related rapid price appreciation in real estate markets that, as Garth says, “It won’t end well”. It might be especially true for an entire generation that has no experience with rapid interest rate increases that will bear down like a freight train to the unitiated. Carnage.

P.S. Here in the heroic province of Alberta we now begin to pull out of the clutches of the Polar Vortex. Should be reasonably warm at weekends end. Local news says Van Island and maybe Vantown will get as much as 30 cm of snow this coming weekend. You may wish to cover up your delicate flower beds and Palm trees. Maybe get the snow plow out of mothballs. Oh, and please, no bragging out the tulips coming up while the rest of the country endures the entrails of winter. Not this year, anyway. Mercy.

#161 Dr V on 02.11.21 at 10:35 pm

140 nonplused – i don’t see anything radically new in a 6cyl, turbo or aluminum.

Much more a marketing thing. Let’s do it bit by bit so there is just one or two new things every couple of years so there is a reason to buy. Same with almost every big ticket item.

I know guys that buy new bikes every couple of years. We’re talking $7000+ bikes. I’d rather wait 2-3 extra years and get upgrades to multiple parts. Then buy last year’s model on sale.

#162 BCWally on 02.11.21 at 10:35 pm

I usually won’t comment on housing but I really like #17 Leftover’s comment. My kids are in their 20’s and the anger is quite real. Their friends all feel the same way, and would you believe it, they all have more conservative view points!
What’s possibly missing here is the real need to force the banks to have some skin in the game. When there is risk does the attitude ever change.
True story – I went and applied for a 10K line of credit which I use from time to time for tuitions, etc.
I offered $15K in bank preferred stock (same bank) as collateral to get a decent rate. I would buy new preferreds if any matured in that bank, and they could do whatever they needed to lock that away if it was needed to cover non payment. I was quite happy to hang on to them as I regarded them as quite safe and I was collecting a 4% dividend at the time.
They offered 8.5% because only with property would I get the best rate.
As I was laughing obscenely down the hallway at the fact that the bank’s own preferred shares were not solid enough for a better rate the loan officer, after realizing what had happened stopped me and made another offer.
Prime plus one. Deal. Never missed a payment yet, ever.

#163 IHCTD9 on 02.11.21 at 10:38 pm

#73 Loonie Doctor on 02.11.21 at 5:35 pm

(for IHCTD9’s benefit)

—— –

Oh, and thank you for getting my handle right, almost no one does. Besides you, the only other dude to get it right recently has been poster: “Dr. V”, looks like Doc’s are sticklers for detail. Or they’re all tractor guys at heart.

#164 Charles Ramos on 02.11.21 at 10:45 pm

#118 Faron on 02.11.21 at 7:38 pm
#101 Charles Ramos on 02.11.21 at 6:42 pm

Ha, welcome to the club!

———–

Heh, and a good club it is!

#165 Faron on 02.11.21 at 10:46 pm

For the record, I only post as myself in case 101 is an adopted identity.

Aside from that, any holders of DNN are in for a ride tomorrow.

#166 Axehead on 02.11.21 at 10:49 pm

I don’t get it … why don’t people build vs purchase off these cardboard glue shacks?

#167 Sail Away on 02.11.21 at 11:07 pm

#139 Caveman the slaveman on 02.11.21 at 8:30 pm
#45 Sail Away on 02.11.21 at 3:58 pm

Full disclosure: I am long TSLA and wish Elon was my brother; he and I are the same age, so possibly twins separated at birth?

————–

That explains your incoherent ramblings and pointless diatribes against poor Faron …. But how do you explain that low sloping forehead of yours?

————–

Good thing the poor guy can take care of himself.

You think I’m incoherent? Should’ve heard your mother last night.

#168 S.Bby on 02.11.21 at 11:19 pm

#138 IHCTD9

Much the same for Surrey BC (North Surrey anyways) and add in illegal basement suites to help goose house prices. And none of that rent is being declared for taxes.

#169 Pt on 02.12.21 at 12:02 am

The federation system in Canada is proving to be ineffective for I real estate.

As we have seen in the mismanagement and incompetence of COVID-19 recovery, we have seen in real estate similar failures.

Where there is not single accountable government on point, it leaves vulnerabilities that are exploited by some.

In the case of real estate since taxation, immigration,
money laundering, green belts/zoning, underwriting etc. all fall under various government jurisdictions, we get gridlock with an incomprehensible leadership.

We need:

1. speculation tax on a sliding scale ( 50% in year 1., 30% after after a 3 year flip, .no tax after 15 years as an example) – feds

2. Removal of opaque / offshore ownership – feds and provinces

Generations are now screwed.

#170 Where's My Money Going Greedeau? on 02.12.21 at 12:40 am

Almost every new home in BC I see that’s built and sold has a for sale sign on it at the 1 year anniversary mark to evade capital gains.
So that is also a scam.
Also what is the % of immigrants are high rollers, that might have to do with ever increasing house prices.
My guess at least 70/30 rich folk coming in that can purchase exorbinant housing.
And let’s not forget the drug dealers.
One group laundered over $110MM a year that was proven and used by law enforcement (they downplayed it) and how many gangs dealing drugs are there in each region.
So there easily could be a couple billion laundered each and EVERY year. My Belief those are low numbers
Why haven’t there been more money laundering charges in Canada and why is the federal govt allowing it and hindering/dropping investigations.
Trudeau needs to answer these questions himself!

Selling after 1 year does not make a new build exempt. – Garth

#171 Where's My Money Going Greedeau? To pay exorbitant taxes! on 02.12.21 at 1:08 am

Re: #15 Comments! on 02.11.21 at 2:19 pm
I ask this genuinely Garth, what is the solution?

Seriously I’m lost here. A lot of belly aching with no answers or fixes Anybody? What the hell has happened to this country?
+++++++++++++++++++++++
I think we need to hear from our illustrious monsieur Trudeau to see what HIS plan is instead of his hiding behind proroguing and cowering in his cabin. What a chicken. I have never seen a leader so unethical and devoid of a backbone in all my days.
I haven’t heard a word from that guy pertaining to our housing situation in years.

#172 Stoph on 02.12.21 at 1:21 am

#135 Nonplused on 02.11.21 at 8:25 pm
#67 Faron on 02.11.21 at 5:24 pm
#54 Stoph on 02.11.21 at 4:39 pm

#36 Bill on 02.11.21 at 3:41 pm
—————————————————————
…In the short term this means less coal more natural gas. The cost of renewables is coming down, so I expect more to come online – add in some smarts to EV charging and the batteries can work together with renewables to help even out the dips and spikes from wind and solar…

But wait, Nonplused and others told me that if we can’t do it all and perfectly right now, then the whole endeavour is pointless ’cause muh trux n -50 degrees…

:-)

—————————————-

Whew, I really had to hold off on the ad-hominin.

The question is not whether we can or can not do it right now, but instead whether it will ever work. It won’t.

—————————————————————

Nonplused, although I agree with the challenges you present that face EVs and the energy sector; I don’t share your pessimism in regard to their continued adaptation. Technological advancements of the last century are astounding and I don’t have a good reason to believe that similar advancements can’t be made with EVs if governments and industry are pushing for it.

Will ICEs be around in 50 years? Probably for some applications, but I doubt that will include the commuter car.

#173 Yosemite Saul on 02.12.21 at 1:41 am

Democrat Party Coup perpetrators hit a new laughable low by quoting the Pariah Prime Minister Justin Trudeau at the Second Impeachment Dinner Theater of the Absurd.

https://www.cbc.ca/news/world/trudeau-trump-impeachment-capitol-1.5910857

I think we can all agree that Trudeaus opinion on international affairs is smeared with blackface racism and bizarre costumes.

One needs only to observe how Justin is avoided like the plague at every international event. “The Biden Coup” had no one else to quote for support? This tells you how insecure they are that the coup might still fail.

Didn’t king maker PM Modi just make the point? Wasn’t the US great friends with India only weeks ago? Yet the coup quotes Trudeau? Makes a sober think, doesn’t it?

#174 Nonplused on 02.12.21 at 2:53 am

#152 Bezengy on 02.11.21 at 9:34 pm
#115 Nonplused on 02.11.21 at 7:28 pm

Wait…what??? A $96,000 land transfer tax?
——————-

I’ve been walking the bow trail daily except for the last week when the cold weather hit. Nice little RV park indeed. You forgot to mention the brewery up the hill, and perhaps the fact you’re only an hour from the mountains. Not sure if anyone needs an RV though as you can buy a very nice townhouse for under $300k here, and the land transfer tax is ZERO.

btw…. I didn’t understand why many Cochranite’s all seem to have bigger dogs breeds, until yesterday when I took a ride out the George Fox trail and seen two Golden Eagles. Yikes, it all makes sense to me now. Cochrane is no place for a Chihuahua.

—————————-

Ya I forgot to mention a lot of things, including the ice cream store downtown and Mclean Creek. And Banff. A bunch of things. Tyrell is not far away or the bad lands, or the Columbia ice fields. There is nothing you can see that you can’t see here except maybe a 365 day beach. Did I mention the hot springs? You know I was trying to be brief but you triggered me.

If you do your research on the campground you can figure out who I am, if I give you the hint that no, it wasn’t me. But I might know most of those people.

I’ve been to the brewery once a couple of times. More than cool. Small business in action. Even hiring some girl to play guitar and sing. I didn’t like it much, but it is better than nothing for her and who knows maybe practice makes perfect. Could she be the next Jewel? I’d say no. But it was a chance for her to find out and she did a good cover of “Wagon Wheel”.

#175 Nonplused on 02.12.21 at 2:58 am

“You must never have read the comment section. Xenophobes abound. – Garth”

I’m hoping you didn’t mean me. I’m kind of more about the 4% unemployment number.

#176 HUNGRY BEAR on 02.12.21 at 5:35 am

Leader of the “greatest nation on earth” WOW!!
Gotta love their comment section……LMAO

Watch “President Biden announces new Covid-19 travel rules for entering the US” on YouTube
https://youtube.com/shorts/THIwwhxatqM

#177 Sail Away on 02.12.21 at 7:26 am

#123 willworkforpickles on 02.11.21 at 7:48 pm

This brings me to why i ever posted any of this to begin with…After 30 plus years of trading i felt compelled to share a trade secret or two here.

———–

Thanks W. I, for one, have taken note and started a portfolio spreadsheet to track this. What you say makes sense, since the V is a den of vipers, so working the fix when the company itself is productive seems logical. Anyway, now to track companies, winnow the chaff, and watch for a few years.

#178 Another Deckchair on 02.12.21 at 7:42 am

@116 Damifino

“Good idea. While we’re at it, let’s take the offramp from steel, aluminum, concrete, glass and synthetic fabrics.”

I think 99% of the population have no clue on how things get made.

An unfortunate disconnect. Affects even posters here.

#179 Howard on 02.12.21 at 8:00 am

You must never have read the comment section. Xenophobes abound. – Garth

————————————

But is it xenophobic to say that high immigration is one of the factors (one of; not the only) behind soaring real estate values? Whether new immigrants tend to rent or buy is irrelevant. That excess demand for housing in general is not met with sufficient supply = prices go up.

Of course the current blowoff top has nothing to do with immigration given (apparently) closed borders from March 2020 onward.’

Canadian newcomer levels have remained below 1% of the population annually for decades. We do not have ‘high immigration.’ Nor can we do without it. – Garth

#180 crowdedelevatorfartz on 02.12.21 at 8:16 am

More homeowners insurance rates goin up!

https://www.reuters.com/article/us-usa-insurance-florida/florida-consumers-flabbergasted-as-property-insurers-push-for-double-digit-rate-hikes-idUSKBN2AC111

Time to sell the Florida condo….

The cost of owning vs renting……

#181 Dharma Bum on 02.12.21 at 8:38 am

#43 Mountain Camper

Other features of Central Alberta : Just 2 hrs away from Majestic Rocky Mountains.
——————————————————————–

Red Deer is a great town. I visit regularly.

I recently started looking for acreage rural properties in the surrounding counties. There are some great deals to be had. Nothing crazy – 15 to 25 acres of partially wooded land with a nice house and a couple of outbuildings (large garage, workshop, barn, etc.).

I’m getting listings sent to me that match the above description in the $500K to $650K range. For less money you can get the same acreages but with crappier houses on them.

Either way, they are a bargain compared to Brampton. The best part is that you don’t have a neighbouring house 3 feet away from you on either side. You can hunt on your own land. Hike in your own woods. Peace and solitude.

And only about 30 minutes to the nearest Costco in Gasoline Alley!

And only 2 hours to world class skiing. (Hope my back gets better soon.)

It’s definitely Dog’s Country out there.

What a sad situation that young people today stuck in the GTA have to sink their life savings into a downpayment on a crap house in an even crappier suburb, and take on a monster mortgage that they’ll never finish paying, while saving zero throughout their miserable hand-to-mouth lives. In Brampton. Ugh.

#182 BillyBob on 02.12.21 at 8:59 am

What a beautiful dog. Best buddy had a border collie, but contrary to typical behaviour of the breed it wasn’t hyper or high-strung. Probably something from it’s past, he was a rescue. He moped so much of the time we called him the melancholy border collie. But man, watching him RUN in open space, flat out with that long silky hair, tongue out and ears streaming back like sails, you couldn’t help but smile. They are the Springsteen of dogs – born to drink and drive, I mean, Born to Run.

The pic today is cool, I like the bokeh blowing out the lights through the snow flakes/crystals or whatever they are. Nailed the dog’s expressive look. But I’m guessing that the photographer offered multiple images to the owner and this was the owner (or Garth’s) favourite, as I don’t think a professional would be satisfied with eyes not being pin-sharp in a portrait.

Not a criticism just idle speculation since a pro was mentioned. Focus selection with shallow DOF on a fast-moving subject is tough.

#183 joblo on 02.12.21 at 9:09 am

Sale away, your my hero.

#184 Mattl on 02.12.21 at 9:27 am

I don’t think that house is worth anywhere near a mil, but some of you probably don’t understand that replacement cost on a new build has gone through the room. Builder cost would be north of 500K. I’ve looked at just cost to build, no land / no speculation and 700K is the minimum.

So that might not be a 1MM home, but that’s close to what replacement would cost. Don’t sleep on the steep increases in labour and materials the past few years.

#185 crowdedelevatorfartz on 02.12.21 at 9:30 am

@Greedeau
“Why haven’t there been more money laundering charges in Canada and why is the federal govt allowing it and hindering/dropping investigations.”

++++
Simple.
Typically the drug trials take years and there is a very good chance of acquittal ( since most trials involving big money get “big” lawyers).
Nah.
The govt picks the low hanging fruit for tax evasion etc.
The working plebes cant afford the best lawyers in town or an appeal…. or another appeal…..

#186 RE_Investor on 02.12.21 at 9:52 am

Wonder what this house will get?
House on Applefield Dr, Toronto Listed for $899k.
I’m thinking $1.2 mil. At least a 30% return from 2017.
If you collected rent since 2017, that’s pretty good positive cash flow.

#187 Wrk.dover on 02.12.21 at 10:01 am

#164 IHCTD9 on 02.11.21 at 10:38 pm
#73 Loonie Doctor on 02.11.21 at 5:35 pm

(for IHCTD9’s benefit)

—— –

Oh, and thank you for getting my handle right, almost no one does. Besides you, the only other dude to get it right recently has been poster: “Dr. V”, looks like Doc’s are sticklers for detail. Or they’re all tractor guys at heart.

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

sorry about comment #10

#188 IHCTD9 on 02.12.21 at 10:14 am

#188 Wrk.dover on 02.12.21 at 10:01 am
#164 IHCTD9 on 02.11.21 at 10:38 pm
#73 Loonie Doctor on 02.11.21 at 5:35 pm

(for IHCTD9’s benefit)

—— –

Oh, and thank you for getting my handle right, almost no one does. Besides you, the only other dude to get it right recently has been poster: “Dr. V”, looks like Doc’s are sticklers for detail. Or they’re all tractor guys at heart.

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

sorry about comment #10
___

No problem. My handle is surely the single most bastardized name on this blog, I’ve gotten used to it.

#189 Doug in London on 02.12.21 at 10:29 am

@Ustabe, post #160:
I agree fully. As I’ve said before here if the Conservatives could get a candidate of the old style Conservatives, like Brian Mulroney, Joe Clark, or Bill Davis I would be glad to vote for them. I think they would easily win in a landslide.

#190 willworkforpickles on 02.12.21 at 11:08 am

#178 SA

That stock, the one i posted about periodically here last year has bounced around a bit in the last 3 days from 0.96 cents to yesterday’s pullback (broad scale market influence) down to 0.79 and today up 6 cents to 0.85 cents CAD.
If you remember the symbol (its buried here in previous 2020 archived posts)…its a tough call now with pending US legalization in the wind driving the sp (pp’s) now, but i would suggest waiting a bit (if interested in it) to see what the shorts can do with it over the next little while before buying any shares…the next quarterly earnings are expected to exceed the previous ER.
Buy it on the downstroke but sell this one 10 days prior to the earnings release. The date of the next ER should be posted about 6 weeks in advance. Yearly charts reveal this quarterly peak sell trend quite clearly.

#191 jess on 02.12.21 at 11:10 am

claw backs /spirit of the law

“free money has driven everything up so high.’
and buybacks and dividends apparently

Why one MP wants companies like Bell to pay public money back

11 hours agoRadio25:44

Profitable companies have accessed the Canada Emergency Wage Subsidy while increasing dividend payouts to shareholders. And now both the companies and the program are under fire. Today, CBC’s Jonathan Monpetit explains how CEWS works, and Liberal MP Nathan Erskine-Smith who wants to see some companies pay part of that money back.

#192 Ponzius Pilatus on 02.12.21 at 11:10 am

@Ustabe, post #160:
I agree fully. As I’ve said before here if the Conservatives could get a candidate of the old style Conservatives, like Brian Mulroney, Joe Clark, or Bill Davis I would be glad to vote for them. I think they would easily win in a landslide
—————————
Joe Who?

#193 Millennial 1%er on 02.12.21 at 11:36 am

Also Garth, you keep on saying that remote work isn’t going to be permanent. I must again remind you that remote work (for tech workers) is going to be permanent. I was remote before this whole covid thing even started. And more and more of my tech friends are realizing that Canadian companies pay like doo-doo and american companies can triple your salary.

Not only is remote work going to stay, but tech wages are going to go up. God bless america

It may come as a shock to you, but not everyone is in IT. The rest of us don’t actually care where you guys live. Just answer the damn email. – Garth

#194 Sail Away on 02.12.21 at 12:02 pm

#192 willworkforpickles on 02.12.21 at 11:08 am
#178 SA

That stock, the one i posted about periodically here last year has bounced around a bit in the last 3 days

i would suggest waiting a bit

———-

Oh, I don’t work fast- anything in play right now will just have to do without my involvement. First, I’ll burrow down into a watchlist, checking fundamentals and tracking moves based on production and earnings reports… for probably a couple of years. Maybe after that will be time to dip a toe in.

I have noticed the pattern you mention (after you pointed it out, of course) on a number of penny stocks – peak at earnings then immediate 50% dropoff, then climb back 100% or more to another dropoff after earnings.

Intriguing. Thanks.

#195 Howard on 02.12.21 at 12:13 pm

#160 Ustabe on 02.11.21 at 10:31 pm

What are the philosophical differences between a so-called Progressive Conservative and a Liberal? Are there any?

I would imagine you declared Mr. Harper unelectable too. Leftists generally believe any centre-right politician is unelectable.

#196 Faron on 02.12.21 at 12:38 pm

#160 the Jaguar on 02.11.21 at 10:32 pm

the tulips coming up

Thanks for reminding me! The tulips are coming up, there are buds on the daffodils, snowdrops have been out for a month and the calendula and snap dragon never really stopped blooming this year.

I like it here, but I would trade the rainy gloom for sunny Alberta skies and snow given a chance. Polar Vorticies are seen as a bonus. Make life interesting and all.

#197 Ustabe on 02.12.21 at 12:56 pm

#195 Howard on 02.12.21 at 12:13 pm

#160 Ustabe on 02.11.21 at 10:31 pm

What are the philosophical differences between a so-called Progressive Conservative and a Liberal? Are there any?

I would imagine you declared Mr. Harper unelectable too. Leftists generally believe any centre-right politician is unelectable.

Howard, I am so very sorry I won’t be able to pass your purity test.

Having worked on two successful provincial campaigns and one successful federal campaign for the former Progressive Conservative Party of Canada I have seen the belly of the beast so to speak.

So to add to my thought that the CPC has transformed itself into an unelectable party I will now add current CPC or conservative adherents alienating those who have both the time and the means to actually do more than bitch about it on an Internet blog.

Good work.

PS: Harper did it to himself. Anyone who can’t or refuses to grasp that is a willful idiot.

#198 Comments! on 02.12.21 at 1:06 pm

Of course the current blowoff top has nothing to do with immigration given (apparently) closed borders from March 2020 onward.’

Canadian newcomer levels have remained below 1% of the population annually for decades. We do not have ‘high immigration.’ Nor can we do without it. – Garth

————————————–

Unbelievably enough, the country did attract nearly 190,000 new Canadians in 2020, not like it was zero. Immigration is 100% necessary, but in normal times we have the highest rate per capita in the world. It does play a significant role in housing, one of many factors for sure, but a significant one. These new citizens have to live somewhere with very few regions that seem desirable to them.

#199 Bill on 02.12.21 at 1:10 pm

Thanks for the reply’s guys.
I want to reply but swamped doing maintenance on my building and kicking some tenant butt.
Receiving a Cedar creek 36ft 5 slide unit I stolen for $25k today.
I can provide housing for my contractors on my new development.
There’s virtually nothing to rent where I reside.
Its bananas! Have fun out there stay warm!
Sorry Garth, your to polite about our political conditions these days.

#200 willworkforpickles on 02.12.21 at 2:00 pm

#194 SA

An experienced trader you are i can see.

#201 Nonplused on 02.13.21 at 12:52 am

“And I can’t see a sideline curve until it’s way to late…”

#202 westcdn on 02.13.21 at 12:50 pm

Regarding Derek, I don’t know – I take my best shots and get them back. I think interest rates should be higher but not by much. I think negative interest rates are death (less than inflation). I have been kicked to the curb on more than a few occasions.

One of us is going to be righter. I really don’t think the pampered ever get real when tough is required. Nope, I don’t see anyway easy out for me or less. It would help if the better off stopped scarfing the table. The status quo must change. There are too many who think labor is beneath them and doesn’t require intelligence.

Too many of the productive being punished and forgetting the pirates. Few admit they Federally elected a pair of socks – I despise how he digresses Alberta as deplorables and Quebec superior to be defended (my opinion). My heritance is very French but I speak little. I think butchering English is enough.

Even Warren Buffet tried to corner the silver market for profit.https://finance.yahoo.com/news/warren-buffetts-history-silver-203732471.html

“hick town”? Is that where you moved to Lunenburg for your own version of Green Acres? I doubt you met Conrad Black but your story sounds much like Kevin O’Leary’s.

Nice to be in the right space at the right time. Oh well, I don’t need to impress or care to pamper – I can survive but I don’t want to try with you.