Here we go

Poor Mills.

Yesterday we yakked here about the Squeezy Tax which a lobby group for Millennials, supported and funded in part by the CMHC (your tax bux hard at work), wants to slap on people living in homes worth $1 million or more. Which, these days, seems to be ubiquitous in any major city.

The levy would soak off about $6 billion (give or take a b) and is aimed at Boomers – because they stole all the houses. The Generation Squeeze plan is the latest example of bad thinking by those who just don’t understand market forces or why real estate costs what it does. Let’s hope Chrystia, our non-financial finance minister, was doing something distracting when the news arrived. This is the last thing our nation needs. A regressive wealth tax.

Anyway, another day and another ennui.

So let’s talk rates. And let us all never forget that the single greatest factor in determinung the price property is the cost of money. Not the virus. Not FOMO or YOLO or HGTV. There is an inverse relationship between house values and interest rates – which helps determine supply and demand. And things are about to change.

First to the US. Bond yields have ben surging in the last few days – ironically, along with Omicron, the slithery spawn of the slimy little pathogen, Covid. Treasuries have roared back to 1.7% (that’s yuge) rekindling talk of 2% coming. The Fed now says “it may become warranted” to raise rates faster and quicker than previously announced. As you know, three hikes starting in the spring were baked in. Now the trigger may be pulled in March and we could see four blasts.

The market, in fact, is pricing in 70% odds of this happening (up from 55%). So bond yields are charging forward as the CB worries a lot about inflation and a looming wage spiral.

We’ll know Friday morning (when the latest labour stats are printed), but it sure looks like job creation continues apace with the unemployed (six million) being overwhelmed by job openings (11 million) while a torrent of resignations (4.5 million) show workers are confident, aggressive and willing to hunt for higher incomes. Even Omicron – now ripping though a largely maskless America – ain’t stopping this employment juggernaut.

Now in Canada the first thing to understand is that our CB follows the lead of the Fed 93% of the time. If we did not, the currency would be impacted and trade issues would erupt. It’s a slam-dunk, kids. What they do, we do.

Our official Bank of Canada rate is now just a quarter of 1%, and that’s expected to surge to 1.5% by the end of the year. That still sounds absurdly low, but if it happens would represent five interest rate increases. The prime rate at the banks, now 2.45% (determining the cost of most HELOCs and all variable-rate mortgages) would climb to over 3.5% and we’d be on our way to 4% fixed-rate mortgages – or double what they were a year ago.

In short, those who come here to tell us rates will rise two, maybe three times, then retreat in fear, are nuts. The government is not going to intervene to keep mortgages cheap. The central bank cares more about currency destruction than it does about your line of credit. Besides, everyone in power has been telling people to curb their debt-snorfling since we had the credit crisis a dozen years ago.

Now, bad news for the moisters. It comes in the latest Nik Nanos poll. When asked whether CBs should keep rates low and let inflation rip, or hike money costs to corral prices, the answer is definitive. Almost 90% told Nanos they care more about the cost of living than the cost of money. And while a majority admit higher interest rates will hit them negatively, that’s the choice.

“Canadians are currently fixated on the rising cost of everyday goods like food or gas. Rising interest rates are not as much of a worry,” the pollster says. So this is another encouragement for the Bank of Canada to commence its tightening cycle – which could start within just a few weeks.

As for the Millennials:

“Younger Canadians are much more likely to report a negative sensitivity to higher interest rates compared to middle-aged and older individuals. This suggests that there is latitude to increase interest rates with a recognition that they could result in a negative generational squeeze on younger people.”

What next?

There is an astonishingly low supply of residential properties at the moment. There will also be a strong desire on the part of many buyers to make an offer soon while they can still borrow at low rates. This is why Q1 is expected to be a gong show in most markets, and why you should stay indoors to avoid infection.

Beyond that, all bets are off. A steady stream of rate hikes will absolutely have an impact after house prices swelled 40% in a single year in community after community. This asset inflation cannot last and affordability is at the lowest level in more than 30 years.

The wise will be the sellers. The risk-takers will be the buyers. They may end up with cheap mortgages and more debt than equity. Don’t fight the Fed.

About the picture: “This is our poodle mix. He was found wandering around a construction site north of Beijing, China where a nice worker picked him up and surrendered him to a local rescue,” writes Joanne. “His Chinese name is Dom, which we think translates to “light” and a name we decided to keep. Arriving on a cargo plane 3 weeks ago, we had no idea what we were in for, but he has proven to be a ray of light for our family and a best friend for my husband who swore he couldn’t possibly love an animal more than a human. Wishing everyone a bright 2022!”

Do you have a creature to share with the pack? Email me ([email protected]) a picture and details. – Garth

187 comments ↓

#1 Adam on 01.06.22 at 3:23 pm

We should have property tax brackets in Canada. It would make a lot of sense. We have income tax brackets because we know it makes sense that someone who makes $20k should not pay the same percentage of tax as someone who makes $200k. So why not apply that exact same logic to real estate? We have to pay down this massive debt somehow. I don’t see any better ideas. Taxing income and goods is no longer going to cut it. We *need* to tax assets and since housing accounts for more than 40% of our economy it only makes sense to start there. If you disagree, then you must disagree with income tax brackets too?

How about less spending? – Garth

#2 MakeHousesGreatAgain on 01.06.22 at 3:28 pm

“What next?”

Let’s see a recent profecy, bill C273 about Guaranteed Basic Income (or UBI as per WEF and others).

“Indeed, the world of work is changing faster than ever before. More workers are shifting to the gig economic, there are more temporary and short-term jobs, and many jobs, whether blue collar or white collar, are being eliminated by automation and artificial intelligence. In addition, disruptions in our economy are happening at an accelerated rate, faster and more frequently, leaving more Canadians working harder, longer and feeling like it is more difficult to get ahead.

Throughout history, humans have had to adapt to major disruptions like the ones we are going through now, which include COVID and the move to digital economy, among many others, and we eventually do adapt. However, the period of change can be harsh, even ruthless, leaving countless workers behind, with many never recovering. Our social safety net is not well designed to help Canadians through transitions, so in my opinion we need a new model, one that provides stability to those who have been trapped in a cycle of poverty, to those who are in danger of falling into poverty and to the middle class threatened by disruption.”

https://openparliament.ca/debates/2021/6/14/julie-dzerowicz-1/

Anyone can guess what’s going to happen?

#3 Dave on 01.06.22 at 3:52 pm

Federal Government has taken on Huge debt…unreal levels. How do they service this debt……Taxes.

Where do majority of taxes come from…..Real Estate. Land Transfer tax, GST, etc.

Federal, Provincial and Municipal Governments all need big taxes to pay for everything. Thus, real estate can not have a Major Correction!!!!

#4 X on 01.06.22 at 3:54 pm

So you wanna tax the houses that you can’t afford. Then when you can afford them why would you want to be stuck with such a self defeating tax bill. Makes no sense imo.

#5 Sublime on 01.06.22 at 3:57 pm

There is something beautiful about boomers selling out their homes at interest-rate driven price peaks to millennials, which will be followed by boomers investing their cash in conservative high-yield investments as rates rise while millennials flounder in debt.

Stick it to millennials on the way down and on the way up. Beautiful.

#6 BC Renovator on 01.06.22 at 4:03 pm

Just had this conversation today with my Brother regarding our Kelowna rental, up 25% in a year. Prob a good time to dump it.
Only hesitation is we would then have no skin in the Game…

#7 espressobob on 01.06.22 at 4:06 pm

As a contrarian, it always seems darkest before the dawn.

Just an observation over the years.

#8 Jesse on 01.06.22 at 4:10 pm

Canadian debt is through the roof, and even more is being piled on in the coming year. I don’t think most Canadians have any idea hoe serious this is, as debt goes up, so does the portion of our taxes that goes to serving the debt. Taxes will absolutely sky-rocket, unless T2 plans to default and turn the Canadian Dollar into toilet paper. Canadian productivity is also set to be the lowest of the OECD for the next 10 years.

#9 Faron on 01.06.22 at 4:15 pm

#211 crowdedelevatorfartz on 01.06.22 at 3:16 pm

@#208 Lorne.
Interesting.
Estimate of 47% of US millenials have tats…
Faron.
Sailio.
Care to comment?
( what am I thinking?)

I will most likely not get a tattoo although I have considered it as a memorial for my mom (fierce hummingbird w/ honeysuckle that is intertwined with bull kelp if you are curious). I think tattoos are a bit overdone and modifying one’s body to follow a trend seems like a bad idea to me. However, there are many that are very good and look great.

Regarding people’s negative opinions of them? Get a life. It’s none of anyone’s business whether someone has or doesn’t have tattoos. Complaining about them is shallow sauce and analogous to BillyBob making comments on my appearance here in steerage (although when he catcalled me on the street the other day, it was kinda nice).

Chances are also good that you are thinking about them because media wants to use this as yet another wedge issue.

#10 Leftover on 01.06.22 at 4:16 pm

We’ve heard the “don’t worry about rates because mortgages were stress tested” argument, but there’s a difference between qualifying for a loan because you passed a hypothetical means test versus actually having to pony up the money. Big difference.

Then add in inflation on everyday goods. Cash-flow crunch is coming and, unless the BOM doubles down on their HELOC’s, that means now is a good time to sell your house.

#11 TurnerNation on 01.06.22 at 4:17 pm

The War on Small Business is real and un-ending. This is a wreck of every Former First World Country THIS is the reason for the lockdowns & curfews.

.Quebec expands vaccine passports to liquor, cannabis stores, with 3rd dose requirement on the way (cbc.ca)

— As noted last week:

——
#5 TurnerNation on 01.04.22 at 4:01 pm
— So…when they finally let us out of our cages – this lockdown will last for months – what will be the new restrictions? Look to EU. Yep this will further destroy small business. Permanent electronic lockdown is here – QR Code.
.PeterSweden @PeterSweden7 In the German city of Hamburg, the double vaccinated will no longer be allowed to eat in restaurants without also taking tests.
——

— Control over travel yep. (And are we moving toward a complete and total lockdown per the wacky leaked email?) The War on Vitamin D.

.Air Canada suspends flights to sun destinations because of COVID-19 (montreal.ctvnews.ca)

.GO Transit is about to reduce train and bus service due to COVID-19 related staffing shortages (cbc.ca)


— We pay high taxes for our World Class Health System and safety net! So worth it.

.Ontario teen says it’s ‘heartbreaking’ to have surgery postponed indefinitely because of Omicron wave (toronto.ctvnews.ca)


— There no longer is News only manufacturing of consent. The sole reason over these crocodile tears by The Star is the push toward a UBI.

.Toronto Star @TorontoStar Pay rent or buy food: Workers face gut-wrenching choice in new lockdown.
Workers worry the latest government lockdown benefit of $300 per week isn’t enough to cover basic living expenses.

#12 Sail Away on 01.06.22 at 4:26 pm

Re: Chinese dog

My infantry company at Camp Casey in Korea had a local dog we named Claymore who had full run of the base, and joined us on field exercises and carousing downtown.

We had to sign him out as: ‘Pvt Claymore (canine), Company C’ at the gate in order to return hassle-free.

#13 Dogman01 on 01.06.22 at 4:28 pm

Alberta vs Norway wealth fund

#183 Shawn on 01.06.22 at 12:07 pm
#178 Josh in Calgary on 01.06.22 at 11:30 am
#129 DonJuan on 01.05.22 at 10:04 pm#

The Conservatives in Alberta had 40 years in power and they blew the concept of a “Sovereign Wealth Fund\Heritage Fund”. That is 100% on the Conservatives in Alberta. They are short sighted and with a small business mentality.

Regarding Canada and Alberta (Western Canada.)

Terry Glavin: Justin Trudeau went all in on China a decade ago — and nothing can shake his resolve | National Post
https://nationalpost.com/opinion/terry-glavin-4

“Trudeau joined the race for the party leadership and invested his credibility in a big idea: China is the future.

While Harper’s vision was to establish Canada as a “global energy superpower,” which would shift the centre of Canada’s political gravity westward, Trudeau’s was just as straightforward: Beijing’s promise of a win-win relationship would unlock untold riches for Canada’s middle class. The power would not shift westward, but would rather entrench itself in the Liberal party’s bastions within the Montreal-Ottawa-Toronto triangle.”

As power is a zero sum gain , any increase in Western Canada’s power would clearly diminish Quebec’s. I am quite certain that the ongoing destruction of Western Canada’s Energy sector is a deliberate strategy to maintain the traditional power base and traditional families in power over Canada.
Let’s face it each barrel of oil left in Alberta is easily replaced by a Saudi or Russian barrel, so climate change is just convenient cover. The oil will get burned, it only a matter of where the wealth goes.

So it is clear, Trudeau and the established Liberal Party elite, would prefer to align closely with a Genocidal totalitarian dictatorship of China then allow the power base to shift away from Quebec.

#14 Ponzius Pilatus on 01.06.22 at 4:29 pm

#212 Dr V on 01.06.22 at 3:17 pm
145 Ponz – I remember hearing Reagan’s description on
the radio at the time. Googled it (had the number slightly wrong) and that link popped up. I opened it, reviewed the first paragraph and pasted the link.

I thought it was a good visualization, and provided it
mainly for entertainment purposes.

Quit looking under the bed for right wing Christian extremists.

Time for a refresher on disclaimers.

Not really a doctor
Dont have a doctorate
Not a vampire.
Not a right wing extremist. More like small ‘c’
conservative. If such a political creature still exists.
—————
Thanks for clarifying.
Did not hold you for an extremist.
That’s why I was a little suprised.
But I have to admit that whenever someone mentions the Great Reagan, it just pushes my buttons.
One of the worst Presidents ever.
Reganomics, Trickle down crap etc, he’s still idolized by the far right.
He and Maggie were a right wing Bonnie and Clyde.
The Reagans were simple minded people who saw the world in black and white.
Nancy’s “Just say no” disastrous campaign to stamp out drug abuse, just proved that.
Kinda naive. Nice couple, though.

#15 Arcticfox on 01.06.22 at 4:30 pm

Came across this today ..food for thought !

“ Prompted by @jimiuorio: Imagine the boomers lose half their assets owing to regression to the mean (optimistically) and half their spending power over 9 years owing to 8% inflation. You think they’ve budgeted for that? I’m buying Kibbles futures.”

#16 Stone on 01.06.22 at 4:30 pm

Interest rates rising? Bond values dropping! House prices swelling and then deflating? Taxing homes valued over $1 million? Oh my! Oh my!

Pfffft! Don’t care. I rent, no debt except an itty bitty car loan at 0.99% interest rate, and I’ve got a sweet B&D portfolio. It’s already churning out a nice yield of 0.44% ytd. Exciting! Especially when you consider what’s just below.

Have you seen VAB? It’s -0.82% for the same period. Ouch!

What about AARK? It’s -11.76% for the same period.

I guess VAB holders are geniuses compared to those holding AARK. Why does anyone still pay attention to one trick pony Cathie Wood?

#17 HUNGRY BEAR on 01.06.22 at 4:31 pm

The UN-VAXED are too blame for all of this mess.

“TAX THE UN-VAXED!”

#18 Adam on 01.06.22 at 4:31 pm

How about less spending? – Garth

——————

My suggestion was assuming we DO spend less (which won’t happen with Trudeau). Honestly, taxing houses isn’t going to cut it. We will also need to tax cars (which Trudeau has already announced he is doing with luxury cars) and anything else that can be easily be taxed. And if that doesn’t work, you know what’s coming right? A new GST. It will be called the “PRT” Pandemic Recovery Tax. A broad 3% general sales tax which is only to be implemented for 5 years…. and then extended for another 5 years….. and another 5…. and, well, let’s just say you probably won’t be around when it expires. The Trudeau legacy tax as it will be known.

#19 ManOfLaMancha on 01.06.22 at 4:33 pm

Governments worldwide created trillions of dollars of new money out of nothing during the last 2 years. Why do we even need a tax system? Cui Bono? Everyone.

#20 Sail Away on 01.06.22 at 4:33 pm

#211 crowdedelevatorfartz on 01.06.22 at 3:16 pm

@#208 Lorne.
Interesting.
Estimate of 47% of US millenials have tats…
Faron.
Sailio.
Care to comment?
( what am I thinking?)

——-

Naw. It’ll already be enough work pulling my teeth and sanding off fingerprints. Then there’s that damn tracker they injected with the ‘vaccine’.

#21 Adam on 01.06.22 at 4:34 pm

Stick it to millennials on the way down and on the way up. Beautiful.

——————-

Jokes on them because they have to die sometime and they can’t take it with them! Well, unless they get buried in a sold gold casket I guess, surrounded by gold bars, encased in 20 feet of concrete. The ultimate F-U.

#22 T on 01.06.22 at 4:37 pm

And Tech stocks are going to be pummeled.

A source of “wealth” for the Millennials.

#23 Nonplused on 01.06.22 at 4:42 pm

I’m still not sure rising rates will make houses any more affordable even if the prices come down. Does it really matter if the monthly goes to principle or interest?

The only solution to high housing prices is to build more housing. Unfortunately that is not easy to do, and increasingly expensive to do also.

#24 Søren Angst on 01.06.22 at 4:47 pm

It’s not that bad Garth.

At least Canada is not Argentina:

Nov. 2021 Inflation Rate = 51.2%
CB lending rate = 34%
Q2 2019 Buenos Aires Avg. Home Price +25.8% (-19.2% after inflation)

—————–

EU is forecasting a small hit in GDP due to Covid-19 (Chart 1 & Box 2) with HICP inflation is projected to decrease sharply during the course of 2022 (Chart 3):

https://www.ecb.europa.eu/pub/projections/html/ecb.projections202112_eurosystemstaff~32e481d712.en.html#toc6

Not saying EU forecast applies to the US but it does mean:

1. Rate increases Q1-Q2 2022.
2. Rate increases small, if any, Q3-Q4 2022.

And yes, ECB doing tapering (slowly) but they don’t say by how much:

https://www.ecb.europa.eu/press/pr/date/2021/html/ecb.mp211216~1b6d3a1fd8.en.html

————-

Looks to me Garth CB rate increases modest in Q1-Q2 2022, wait and see what happens and then decide in Q3 and beyond.

#25 Brunett43 on 01.06.22 at 4:51 pm

The pup is a Bichon Frise. How is the government going to assess house values, since (in ONT) MPAC assessments are always lower than purchase prices. This will be interesting to see how they do this. Maybe millionaires will flee.

#26 Big Bucks on 01.06.22 at 4:58 pm

Too many have been living too long on too much debt—even rewarded handsomely because of it.Does anyone seriously think the odds of that continuing are good?When a house has appreciated $500,000(or even more)in 12 months and people are moaning about paying a measly $2000 surtax,the greed and entitlement is off the charts and that is always the attitude before the “big flush.”

#27 Nonplused on 01.06.22 at 4:58 pm

#1 Adam on 01.06.22 at 3:23 pm
We should have property tax brackets in Canada. It would make a lot of sense. We have income tax brackets because we know it makes sense that someone who makes $20k should not pay the same percentage of tax as someone who makes $200k. So why not apply that exact same logic to real estate? We have to pay down this massive debt somehow. I don’t see any better ideas. Taxing income and goods is no longer going to cut it. We *need* to tax assets and since housing accounts for more than 40% of our economy it only makes sense to start there. If you disagree, then you must disagree with income tax brackets too?

——————————

Very first comment and we are already off to the races with proposals from someone who obviously doesn’t even understand the current situation.

Houses are taxed, by the municipality. And almost all municipalities use a “fair share” system, which basically means that the amount you pay is set by the appraised value of your house (or other real estate). Thus, someone with a $1,000,000 house is already paying 10 times as much as someone with a $100,000 apartment, assuming there are any of those left.

The only thing new about the proposal to tax houses is that the federal government should do it too. But thee isn’t any room there left. The municipalities are already taking all they can.

And if the Fed gets in on it, why shouldn’t the provinces as well? Why not pay property tax to all 3 levels of government?

This bit: “I don’t see any better ideas. Taxing income and goods is no longer going to cut it. We *need* to tax assets and since housing accounts for more than 40% of our economy it only makes sense to start there. If you disagree, then you must disagree with income tax brackets too?” is pretty muddled. I’ll break it down:

“I don’t see any better ideas.” – In fact you don’t have any ideas at all.

“Taxing income is no longer going to cut it.” – You can’t really tax anything else. Assets are not money and they do not represent cashflow other than any income they generate, which is already taxed. As Elon Musk already eloquently proved, you can’t pay taxes on assets without liquidating the assets. So you have to sell. But to whom?

“We *need* to tax assets…” – Now we don’t, and we can’t either because assets are not money. All asset taxes including property taxes have to be paid out of income, which we already tax, so you may as well just adjust the income tax rates.

“If you disagree, then you must disagree with income tax brackets too?” – Why? What grade did you achieve in high school? There is no logical reason to assume that someone who thinks property taxes are onerous enough as they are is opposed to progressive income taxes. They are unrelated. That’s like saying “If you don’t vote for me (Biden), you ain’t black”. Oh wait Biden did say that. I guess this logical fallacy is widespread.

#28 Ken R on 01.06.22 at 5:05 pm

I think there is an ECON101 lesson for many. The pendulum is about to swing the other way.

#29 Oakville Rocks! on 01.06.22 at 5:09 pm

@#12 SailAway

“Re: Chinese dog

My infantry company at Camp Casey in Korea had a local dog we named Claymore who had full run of the base”..

Wow, how sweet!
And you brought him back with you?
in your stomach?

#30 willworkforpickles on 01.06.22 at 5:09 pm

“In short, those who come here to tell us rates will rise two, maybe three times, then retreat in fear, are nuts”

Those are the duped house greedy masses i have been saying this of for the past 2 years… among many other things.

Further…

“There will also be a strong desire on the part of many buyers to make an offer soon while they can still borrow at low rates.”

As i have been saying in the last year or so, nonetheless… the greater fools continue to rush in, duped by the smooth talk that rates will retreat after they rise. And they will reason to get in before they rise a little, but erroneously feel they will retreat by renewal time … as if some kind of perfect world has been modelled just for them..

“Canadians are currently fixated on the rising cost of everyday goods like food or gas. Rising interest rates are not as much of a worry,” “the pollster says.”

This is what i said would happen more than a year ago and all along (right here) when all the talk was on how interest rates will not and cannot go up…back when i was saying, the coming inflation concerns would supersede the worries of rising rates that are destined to rise anyway… to a wall of response – such as … that can not possibly happen here… not ever.

I have been getting ahead of the times considerably lately on topics several years off (as i project).
Several years off that will have the interest rates to come over the next 2 to or so years well compounded within those later years to come.

So going way back to what i have said that’s likely to transpire over the course of 2022…2023, that of historically normalizing interest rates… and the hundred/s of times without again going over the many reasons why, now long forgotten absolutely i would assume…as in, This Message Will Self Destruct In The Next 5 Seconds and such… we will see if it becomes worth going over some of the reasons i previously spoke of in another year… or so.

Its a slow process anyway…i have always said that.

#31 Linda on 01.06.22 at 5:10 pm

It isn’t just a shortage of RE for sale. It is also a shortage of available rentals, especially in smaller communities. The idea that ‘you can always rent’ doesn’t factor in that rentals may literally be non-existent or if there are some available, that the rental amount is beyond one’s budget.

#32 cramar on 01.06.22 at 5:10 pm

Heard on business news that stats for Toronto housing 2021 have just been finalized. Housing prices up 25% across the board with averaged detached at $1.44M. That is almost $1M more than a similar house in more affordable areas of rural Ontario. Looking forward to watching the feeding frenzy in Q1.

#33 Nonplused on 01.06.22 at 5:11 pm

#211 crowdedelevatorfartz on 01.06.22 at 3:16 pm

@#208 Lorne.
Interesting.
Estimate of 47% of US millenials have tats…

———————————–

I personally like tattoos… on other people. The nature and number of tattoos a person chooses, nay goes out of their way at great expense and in pain to acquire, says a lot about them.

If there are demons and skulls, keep said person away from your children, if for no other reason than that the kids find that imagery scary. Face tattoos? I don’t even know what can be said. Tramp stamp? Tramp. But a dolphin on the ankle or the name of a lost loved one probably isn’t anything to worry about.

#34 Søren Angst on 01.06.22 at 5:14 pm

Been reading press about EV’s, e.g., UK EV 2022 sales to double, 20% of car sales EV by 2025.

So, I wondered if there will be enough power to charge the damn things in Canada if all vehicles EV.

Used 2018 data rather than cherry picking 2018, 2020 and so forth numbers.

Used Tesla Model 3 as a lot of data out there for this vehicle. To be BLUNT, Tesla has done very well (Jul. 2, 2020 share price US $3.84, today $1,064.70).

——

Canada 2018 Power, billions of kWh

Own consumption 522.2
Production 649.6
Import 2.68
Export 73.35
Net Surplus Power 56.73

——

Tesla Model 3

Avg km per year 20,050
kWh/100 miles 34
kWh/100 km 21.25
kWh/year power consumption = 4,260.625

[Avg US Home consumes 10,715 kwh/yr]

——

LEAP OF FAITH – What would happen if all Cdn Motor Vehicles in 2018 were Tesla Model 3’s???

Did not bother to round.

# of Registered Vehicles Canada = 35,108,602
Total Tesla’s in Canada, 2018 = 67,373
Vehicles not Tesla that would need power = 35,041,229
Power shortfall per year, kWh * = 92,567,536,308

Hoover Dam kWh per year = 4,000,000,000
# of Surplus Hoover Dams needed in Canada, 2018 = 23
Time to build a Hoover Dam, years = 5
Cost to build a Hoover Dam, todays $CDN = $1,140,406,704 ($49M US in 1931 to 2021 CDN $)
Total cost of 23 dams size of Hoover $CDN = $26,391,159,745

* = Net Surplus Power – Tesla Model 3 kwh/yr x Vehicles not Tesla that would need power

——————-

Basically if all motor vehicles in Canada in 2018 were EV’s this many would be SOL trying to charge them:

35M

Canada needs +23 new Hoover Dams to charge the SOL vehicles.

“Jun 29, 2021 — Canada will ban the sale of fuel-burning new cars and light-duty trucks … by 2050, Prime Minister Justin Trudeau’s government said on Tuesday.”

Well Justin, you’ve got 23 x 5 years of Hoover Dam building to get there in 29 years time if only 35.1M vehicles on the road, like forever.

Myself ALL IN on EVs…just one small problem per the above.

#35 Don Guillermo on 01.06.22 at 5:15 pm

It’s a perfect 26 C sunny family day here in beautiful Mexico!

“Feliz dia de reyes a todos” from the Pearl of the Pacific!

#36 Josh in Calgary on 01.06.22 at 5:17 pm

#13 Dogman01 on 01.06.22 at 4:28 pm
Agreed that the Conservatives blew an opportunity to have a bigger wealth fund. But you must also acknowledge the ~$600 billion that AB has contributed to the rest of Canada over the years. If we are to be compared to Norway then that money could/should have gone to a sovereign wealth fund.

#37 crowdedelevatorfartz on 01.06.22 at 5:22 pm

@#209 KLNR
“why would anyone care if folks they don’t know have tats?”‘
++++

because ……..they usually look hideously cartoonish?

#38 Devil Anse on 01.06.22 at 5:23 pm

How hard will this tightening cycle hit equities?

Already anticipated. – Garth

#39 Søren Angst on 01.06.22 at 5:23 pm

#35 Don Guillermo

Presumably you are not an Internet Influencer from La Belle Province and will be able to catch a return flight by a non-Cdn airline some time this year.

#40 Chameleon on 01.06.22 at 5:26 pm

Between yesterday’s close-up and today’s close up – no contest….

The Cat is The King!

Cat looks regal and refined, in charge.

Dog looks desperate, subservient and with significant eye run-off.

#41 Comment on a comment on 01.06.22 at 5:29 pm

#203 BlogDog123 on 01.06.22 at 1:55 pm
re: #87 Comment on a comment on 01.05.22 at 7:15 pm

===

No, it’s a great suggestion. Supply of people coming to GTA won’t be solved until we increase supply of housing to where people want to live and be close to work.

Be creative: split those wide lots into two properties… My old neighbourhood with 60′ lots just gets a monster home to replace the 50’s era home. No splitting allowed by current NIMBYism bylaws. Meanwhile the neighbourhood is filled with single retirees on big lots, using one bedroom, the land is under-utilized for the demand we have…

Lots of room in Canada if we’re creative about it… Politicians get re-elected if the keep propping up NIMBY laws.

===

Agreed. I was being sarcastic.

The fact that we’re sold this “shortage of land” in the 2nd biggest country on the planet with one of the lowest human population densities is being ridiculous.

The fact that we believe it is dumb.

There is SO MUCH SPACE in Canada!

There is absolutely no reason for this nonsense to continue. It’s an artificial shortage. Like Apple iPhones. All to keep prices high.

The illusion has become real. And the more real it becomes the more they want it!

#42 Act I Loved on 01.06.22 at 5:31 pm

#195 Covid Latte on 01.06.22 at 12:44 pm
#187 Vital Code on 01.06.22 at 12:15 pm
#175 Diet Vocal on 01.06.22 at 11:13 am
#149 Anne in NV on 01.06.22 at 1:29 am

Dolce!
Where are you? I enjoy reading your comments. Hope you haven’t succumbed to Covid. If people don’t like you flair of info, let them skip over them…

——–

He misplaced his Green Pass somewhere. Spent the day in line trying to get a replacement.

If he’s over 50, he’s been mandated to get a booster, so he was in line getting it yesterday. Cell towers in the area were overloaded, so he couldn’t report in.

He was on a plane yesterday, so he could be in Washington, D.C. on January 6th…a quick trip to visit the sights.

——–

He was Covid balcony singing, leaned over to kiss the pretty lady next door and fell three stories

He told a group of three Russians that they were barbarians with terrible taste, so they gave him a swim in the fountain and he’s busy keyboard-warrioring against Russia

He misplaced his Tilley hat so is blowing up all the online shopping and auction sites trying to find a replacement

——–

He was working through a tricky Excel problem and is stuck in a repeating ‘does not compute’ loop

He complimented an online ally, but then realized they were American, so is serving a self-imposed internet ban

His DNA test came back showing Venezuelan heritage so he and Sail Away now post as a team

—–

OK, this Dolce absence is starting to concern?

Has it been 24 hours?

Can we file a missing person’s report?

Anyone have a Carabinieri friend?

#43 NoName on 01.06.22 at 5:36 pm

On a tangent here but definitely Interesting read. Some distinguished dude write up about life in 2022, in an article in 1922. Funny part is where he sad divorce will be as easy as is now in Nevada…

He got quite few thing correct, definitely something to read.

https://tile.loc.gov/storage-services/service/ndnp/dlc/batch_dlc_crowfoot_ver01/data/sn83045774/00271744274/1922050701/0247.pdf

#44 JC on 01.06.22 at 5:36 pm

#1 “Adam We have income tax brackets because we know it makes sense that someone who makes $20k should not pay the same percentage of tax as someone who makes $200k”

I have always disagreed with this concept, and I don’t make $200K, never have. But the fairest approach is the same percentage for everyone, with the exception of those considered below poverty. The more you make, the more you pay. At the same percentage, the person who makes makes $200K is paying twice as much what the person at $100K would pay in taxes.

#45 wallflower on 01.06.22 at 5:37 pm

I am observing pressure in the rentals market in my mom/pop group I am following in my mid-size city, not GTA.
Average price drop is $200 and of that price drop group, DOM pushing past 60.
The only safe zone for low DOM is under 1700 per month and those are nasty basement apartments. Everything else is sitting, sitting, sitting, as are many of the nasty basements.
Also, it is clear that 90% of these houses are owned by outsiders as their listing agents mostly reside GTA.

So, how many months can they ride zero rental revenue?
That is the big question. All these specuvestor-held houses/condos … how long can they ride vacant?

And, if there are so many of these (which there are), do we really have a supply problem?

#46 a non on 01.06.22 at 5:37 pm

The biggest recent cause of the expanding wealth gap is whether someone owned real estate or rented real estate in robust markets over the last 10 years. It is appropriate to address this inequity through progressive taxation. Rather than a wealth tax, the right thing to do is to abolish or strongly cap the principal residence tax exemption. It makes no sense that if I make 1 million dollars in a year I have to pay $535,000 in personal tax and if I have a $1 million gain on my house in a year and realize the gain, there is no tax at all. Too bad politics trump common sense because anything that increases taxes for home owners likely wouldn’t win elections compared with selling ideals of unlimited spending and deficits that will run forever.

#47 Søren Angst on 01.06.22 at 5:38 pm

RE: Cdn 2018 EV power

Another way to look at is this:

Cdn 2018 Net Surplus Power = 56.73 billion kWh
Tesla Model 3 kwh/yr = 4,260.625 *

max # of Tesla 3’s charged w/surplus power, 2018 = 13,314,948

So basically NOT 35M sh!t out of luck vehicles (I exaggerated for effect); rather, more accurately:

22M

EV’s there would not be enough power available to charge in 2018 if all vehicles a Tesla 3 (avg. EV there is data for).

* Interestingly, EV MSM reports Tesla 3 drivers drive their cars more than the average in the 1st 3 years.

Then they blow them up with dynamite (well, in Finland).

————–

Watch FOMO EV sales in Canada skyrocket.

#48 Don Guillermo on 01.06.22 at 5:41 pm

#39 Søren Angst on 01.06.22 at 5:23 pm
#35 Don Guillermo

Presumably you are not an Internet Influencer from La Belle Province and will be able to catch a return flight by a non-Cdn airline some time this year.
************************************
You are correct Søren. I’m not an influencer. I live in Mexico > half time, am not from La Belle Province and have a return flight to Calgary in mid April. I’m from La Grande Province d’ Alberta!!

#49 crowdedelevatorfartz on 01.06.22 at 5:46 pm

My Elementary School teachers never looked like this …. thank God.

https://www.youtube.com/watch?v=UOc10B8Bn6E

#50 Sail Away on 01.06.22 at 5:46 pm

#29 Oakville Rocks! on 01.06.22 at 5:09 pm
@#12 SailAway

“Re: Chinese dog

My infantry company at Camp Casey in Korea had a local dog we named Claymore who had full run of the base”..

——-

Wow, how sweet!
And you brought him back with you?
in your stomach?

——-

Haha, nope. However, I did indeed eat dog in Korea, as previously discussed here, and quite enjoyed it.

However, I don’t necessarily think having and caring for a companion dog while at the same time eating dog for dinner is a big deal, see, because many people keep goldfish and eat fish for dinner, or budgies and eat chicken. And in war, people have human friends while at the same time shooting other humans.

#51 Josh in Calgary on 01.06.22 at 5:49 pm

#1 Adam on 01.06.22 at 3:23 pm
————
So many errors in your assumptions. You assume that you can just keep layering tax upon tax on the same group of people and they’ll have more and more to give.

You also assume that people with high house value also have high income to afford these new taxes that you want. There are plenty of reasons why people who have a high value house don’t have high income. One example would be a retired person who bought a modest house during their working years but now they’re on a fixed budget and their house has increased in value over the decades.

#52 Albertistan on 01.06.22 at 5:52 pm

#36 Josh in Calgary on 01.06.22 at 5:17 pm
#13 Dogman01 on 01.06.22 at 4:28 pm
Agreed that the Conservatives blew an opportunity to have a bigger wealth fund. But you must also acknowledge the ~$600 billion that AB has contributed to the rest of Canada over the years. If we are to be compared to Norway then that money could/should have gone to a sovereign wealth fund.
+++++++++++++++++++++++++++++
Agreed, the province vs country debate is not equitable. Conservative leadership lately has been lacking. Alberta needs another visionary like Peter Lougheed, actually Canada could use one. Norway has made all the right calls, choosing not to join the EU was another winner given the amount of have not countries with no intent to ever pay their way. Sound familiar?

#53 willworkforpickles on 01.06.22 at 5:54 pm

#5 Sublime

“There is something beautiful about boomers selling out their homes at interest-rate driven price peaks to millennials, which will be followed by boomers investing their cash in conservative high-yield investments as rates rise while millennials flounder in debt.

Stick it to millennials on the way down and on the way up. Beautiful.”

……………………………………………………………………………………………………

When millenials start losing their houses possibly by the millions across NA in the not too distant future, and are left with unbearable taxes, bills and the costs of everything… blame on everything that’s wrong in life and society will fall heavily on the boomers.
It will be the young taking it out on the old then.

If you are a boomer, it might be wise to move to a rural gated community.
Or you could remain in the city under siege. But you may need to then invest heavily in solid steel doors and bullet proof glass if your staying.

#54 Søren Angst on 01.06.22 at 5:57 pm

#48 Don Guillermo

Ah good, a fellow Àlbertàn.

One that is wise and wealthy enough not to remain home and be frozen into position.

Better watch out, getting closer and closer to Mexico:

https://i1.wp.com/electroverse.net/wp-content/uploads/2022/01/gfs_asnow_namer_fh0-384-10.gif?ssl=1

Page ref, scroll a1/3 of the way down:

https://electroverse.net/record-snow-sweeps-us-drives-nh-snow-450-gigatons-above-avg-scandinavia-suffered-cold-dec/

————

Narwhals in Nayarit.

#55 habitt on 01.06.22 at 6:01 pm

31 Linda another excellent and accurate post. Thank you

#56 dragonfly58 on 01.06.22 at 6:06 pm

I agree there is vast amounts of land in Canada. But have you ever tried living in a remote area ? The land will be cheap. But all of your other costs will be very high.
Fine if you are moving for a high paying, resource industry job, or perhaps a moderately decently paying Gov Service job. Put in your time. Build up a nest egg then after a decade or so come back. But long term, not so good unless you yearn to be a hermit.

#57 Søren Angst on 01.06.22 at 6:07 pm

#42 Act I Loved

Since the World is hot under the collar about Omicron and ready to smite anyone not vaxd, wearing a mask, turning a charter flight into a nightclub, etc. I have decided to rename myself

from

Dolce Vita

to

Søren Angst

to reflect the times until Covid-19 and its spawn vanquished.

Bonus I get to be bitchy just like Kierkegaard was.

Could have gone Stoic but Seneca and Marcus Aurelius too Latin, boring for Italian me. And of course, no point in trying to understand & accept The World and its Mood at present like a Stoic would have done.

Better to Kierkegaard bitch about it, as in you can’t win for losing.

Considered Albert Camus but that would have been absurd.

#58 Reality is stark on 01.06.22 at 6:08 pm

The government has goosed an unproductive sector (housing) during a pandemic and will tax the wealth out of that sector in the future to pay for the debt incurred.
That is not the big issue, it’s ultimately a zero sum game.
Let’s focus on the travesty.
Harper had a revolutionary immigration policy which has strengthened the country immensely. We should have seen 2% yearly GDP growth as a result of the initiative (these people are sharp), I work with them.
But our current government is more interested in directing wealth from the private to the public sector. Imagine the idiocy of that policy. Transferring wealth from risk takers to the risk averse. Obviously we are curtailing opportunity.
As a result GDP growth has been muted despite the large growth in world GDP in the last decade.
Stupid is as stupid does. Vote these clowns in at the peril of your children’s future.

#59 Scooby Snacks on 01.06.22 at 6:10 pm

The “squeezy tax” is being proposed as a progressive surtax…
0.2% for houses valued at $1M-$1.5M
0.5% for houses valued at $1.5M-$2M
1% for houses valued over $2M

We just bought a house last spring in BC, the value went up $278k and assessment is sitting at over $1M now. We can barely afford life right now, this punishment tax (if implemented) is beyond cruel. It should NOT apply to principle residences.

#60 TurnerNation on 01.06.22 at 6:10 pm

#90 R on 01.05.22 at 7:29 pm

Can you give us some tips for visiting Arizona?
Best city for nightlife, entertainment?
Any suggested hotels or AirBnbs?

#61 Reality Check on 01.06.22 at 6:12 pm

Inheritance tax

I am surprised the idea of an inheritance tax has not gained more traction. Given the major non-pension wealth held by boomers now is their house, it would be a way to tax some of the value of the principal residence. That is, when a boomer dies the value of the house end up in the estate and would have the inheritance tax applied to it. Now a boomer could sell their house and gift the proceeds to their kids before they die – to counter that their would have to be some tracking of gifts and perhaps a sliding scale of taxes to be paid on gifts.

Dispute the “tax” fairness arguments against inheritance taxes, many countries employ them. Japan has a rather onerous inheritance tax on estates and gifts, which has the effects of making people spend like drunken sailors in their retirement.

#62 Dr V on 01.06.22 at 6:17 pm

14 Ponz. Thanks for the reply. I can get a little touchy when I feel I’m being pushed into one camp or another.

I was raised in a very strong NDP household, but my work has been decidedly free-enterprise, and I have enjoyed both good times and endured tough times with
governments of either stripe. It seems all a balancing act, and can sway one way to the other. To me, it’s not so much as “trickle up” vs “trickle down”. It’s just
plain “trickle” with ebbs and flows.

But Nancy R had it right on the drug thing. “Just say no” is the only true answer. The question then becomes how
do we get people to just say “No”?

#63 Linda on 01.06.22 at 6:18 pm

What I’m wondering is how penalizing homeowners via punitive taxation will fix the housing shortage. As per the mighty Google some 47% of Millennials were living with their Boomer parents pre-Covid. That number jumped to an estimated 52% during Covid & has apparently been slowly declining to pre-pandemic levels. The spike in RE prices has unfortunately seen an corresponding spike in rental pricing. I can sympathize with wanting a place of one’s own, but I’d say the multi-generation family unit is going to be the new reality if for no other reason than to stretch $ for all concerned.

#64 Ed on 01.06.22 at 6:26 pm

23C today in Potrero…heading to the Baja for a few months tomorrow with 6 other motor homes…2 Albertan 3 from BC.
Hope the Covid thing is over when I get back! Stay safe!!

#65 Rogerhomeinspector on 01.06.22 at 6:33 pm

#10 Leftover

YES!!

I’ve been saying this for a while now.

In theory, my spouse and I could pile away $100k a year in savings to invest. But we don’t- because eating cat food and living in a van down by the river gets old really fast.

I think you also make a very good and often overlooked point- the stress test assumed your cost of living didn’t really change relative to your income. If 60 percent of your expense increase by 10 percent, you can be in really big trouble even without an increase in mortgage rates. It also doesn’t account for the fact your income may go to zero if you lose your job because the economy poops the bed.

#66 Søren Angst on 01.06.22 at 6:34 pm

Of course here in Italia I have gone nuclear with an

FFP3 mask
(€1.28 each)

FFP2’s now mandatory in indoor public spaces & public transport.
(€0.75 each)

I have ENJOYED my FFP3, besides sounding like Darth Vader to myself breathing in and out, that

I no longer have to shave closely 1/2 my facial hair area.

I thank Omicron for that.

#67 Waystar Royco Shareholder on 01.06.22 at 6:35 pm

There is no shortage of real estate.

There are simply too many investors competing with each other

Once the bulk of investors and speculators are removed, supply will surge.

This could happen in a few different ways according to reports that I’ve read from the OFSI, such as:

– increasing the down payment on investment properties from 20% to 35%

– prohibiting using HELOC’s as financing or by adding undrawn HELOC balances into debt service ratio calculations.

– maximizing the number of “doors” per borrower

This is all on top of rising rates and tighter credit markets.

#68 Subliminal advertising on 01.06.22 at 6:39 pm

#5 Sublime on 01.06.22 at 3:57 pm

There is something beautiful about boomers selling out their homes at interest-rate driven price peaks to millennials, which will be followed by boomers investing their cash in conservative high-yield investments as rates rise while millennials flounder in debt.

Stick it to millennials on the way down and on the way up. Beautiful.

————–

Well, that’s the plan anyways. Maybe even cash in my wife and I’s commuted DB pension that has since been bankrolled to at least 2X in less than 5 years, for an annuity once rates get high enough.

I ran the numbers. It would be like getting a 40 year pension for working only 15. Sounds fair to me. Remember… 5 year Canadian bond rates were pretty cheap when we commuted.

Tell me you wouldnt do the same.

#69 cuke and tomato picker on 01.06.22 at 6:39 pm

We do not need another tax. Yes the average home on south Vancouver Island is around $1,324,000.00 but the costs for property tax, house insurance ,upkeep, water,
sewer, electricity, phone, internet etc keep going up and
as seniors with good pensions things are fine but costs
going up are shrinking our purchasing power.

#70 John in Mtl on 01.06.22 at 6:41 pm

@ #12 Sail Away on 01.06.22 at 4:26 pm
My infantry company at Camp Casey in Korea had a local dog we named Claymore who had full run of the base, and joined us on field exercises and carousing downtown.

Did you get the idea from the AP mine of the same name?

(sorry for derailing the conversation, Garth!)

#71 habitt on 01.06.22 at 6:44 pm

13 Dogman01 You realize the Liberals won the most seats of any party in BC and finished second in Manitoba. As for Quebec they were neck and neck with the bloc. Maritime liberal seats almost cancel out the PC seats in Alberta. It was and usually is down to Ontario. When they vote blue zippo Quebec can do unless they vote blue as well. As for the equalization formula I think it should be reviewed again. Harper’s changes did not solve the issues for the west. I live in the frozen tundra that is Saskatchewan so i feel our neighbors concerns. However it’s not as simple as it appears. Thank you for your post.

#72 dragonfly58 on 01.06.22 at 6:48 pm

Not all kids are created equally. Our youngest is bright and hard working, but has learning disabilities. Actually diagnosed as both gifted and learning disabled. Quite frustrating for him , and something that I think will always limit his earning potential. About the only hope for him ever owning a house is when he inherits from the wife and I. The other kids are aware of this and have no problem with the youngest ending up with the house. They are doing reasonably well on their own anyway. An inheritance tax would be a major set back in his life. One he could probably never recover from. Otherwise we would have to re mortgage and help him out with a small apt. or similar. It would seriously impact our retirement .

#73 habitt on 01.06.22 at 6:50 pm

53 pickles boomers don’t need to worry much about the woke soft sucks. They do hold the moral high ground though lol

#74 Ponzius Pilatus on 01.06.22 at 6:58 pm

#24 Soren Angst
It’s right.
Dolce is now either in Norway or Germany.

#75 Serge on 01.06.22 at 6:58 pm

#17 HUNGRY BEAR on 01.06.22 at 4:31 pm
The UN-VAXED are too blame for all of this mess.

“TAX THE UN-VAXED!”

—————————–

Enough already. This is not the blog for medical advise and the latest posting has nothing about it. Get your two-double-triple booster if you like, but please stop posting this garbage.

#76 earthboundmisfit on 01.06.22 at 6:59 pm

#16 Stone “I’ve got a sweet B&D portfolio. It’s already churning out a nice yield of 0.44% ytd. Exciting!”

Dude, it’s three trading days into the new year. You really need to get out more.

#77 The beast within on 01.06.22 at 7:01 pm

#9 Faron on 01.06.22 at 4:15 pm
#211 crowdedelevatorfartz on 01.06.22 at 3:16 pm

@#208 Lorne.
Interesting.
Estimate of 47% of US millenials have tats…
Faron.
Sailio.
Care to comment?
( what am I thinking?)

I will most likely not get a tattoo although I have considered it as a memorial for my mom (fierce hummingbird w/ honeysuckle that is intertwined with bull kelp if you are curious). I think tattoos are a bit overdone and modifying one’s body to follow a trend seems like a bad idea to me. However, there are many that are very good and look great.

Regarding people’s negative opinions of them? Get a life. It’s none of anyone’s business whether someone has or doesn’t have tattoos. Complaining about them is shallow sauce and analogous to BillyBob making comments on my appearance here in steerage (although when he catcalled me on the street the other day, it was kinda nice).

Chances are also good that you are thinking about them because media wants to use this as yet another wedge issue.

—————–

Nope. I just find MOST tattoos disgusting, especially the full body ones. I’ve never seen one that made me feel like disfiguring myself for life. Most of them today are so “busy” they make the Exxon Valdez spill look like child’s play.

Yes, i do have a life. But it does not include anything or anyone related to tattoos. And no… This is my opinion not caused by any media. I despised them just as much before the pandemic as I do now.

All I ask is that you send Garth a glossy photo so we can all have a look and a laugh!

#78 Leichendiener on 01.06.22 at 7:09 pm

#17 HUNGRY BEAR: Yes, of course, it would definitely work…

#79 Shawn on 01.06.22 at 7:21 pm

Alberta is back…

West Texas Oil just went over $100 a barrel. A hundred Canadian dollars that is. But that’s the kind we use in this country.

Heavy Canadian Select is naturally discounted but it’s at $85 Canadian which is also highly profitable.

#80 Ponzius Pilatus on 01.06.22 at 7:25 pm

#63 Linda
As per the mighty Google some 47% of Millennials were living with their Boomer parents pre-Covid. That number jumped to an estimated 52% during Covid & has apparently been slowly declining to pre-pandemic levels.
——————
Like so many people you assume that Google “knows” anything.
It’s just a Search Engine that kinda survived out of all the search engines that were around when the Internet became common.
Just like there were many Internet provider in those days, too.
Now you’ve got just a few.
One of the original search engines that were popular was “Just ask Cheeves”.
The research that you mention was done by “Pew”, and is the first one that comes up when you Google “How many millenials live with their parents”.
Always be aware of the 1st choices that come up, as Google gets paid by hits.
As I always say, do your research, check other sources, and use your judgement.
Not saying it’s wrong, but 52% of Millenials still living at home, seems kinda high.
Also, you may wanna watch “The Billion Dollar Code” on some insights how Google operates.

#81 Ponzius Pilatus on 01.06.22 at 7:35 pm

Haha.
Sailo fought in the Korean war!
No wonder the Amis lost.

#82 Shawn on 01.06.22 at 7:36 pm

Houses are so productive

#58 Reality is stark on 01.06.22 at 6:08 pm

The government has goosed an unproductive sector (housing) during a pandemic

***************
It’s fair to criticize the government about high house prices. But unfair to call houses unproductive.

Houses and housing provide an absolutely essential service. I suspect you live in housing of some kind? Many are in their house / housing unit 20 plus hours a day now. It’s the most productive and valued thing. No wonder we value housing so highly. ’cause t’s worth it!

The most basic hall mark of every developed county is more elaborate housing. You want to live in a cave?

#83 Wrk.dover on 01.06.22 at 7:54 pm

#34 Søren Angst on 01.06.22 at 5:14 pm
Tesla Model 3
Avg km per year 20,050
kWh/100 miles 34
kWh/100 km 21.25
kWh/year power consumption = 4,260.625
[Avg US Home consumes 10,715 kwh/yr]
_____________________________

Ten 400W solar electric panels produce 4400Kwh annually in SW NS, in total.

Twenty panels would just about provide the 55km average, on most days of the year, NOT GRID TIED, with the leftovers being consumed by the house, on the many better days.

The stated average yearly house consumption can be done with two dozen panels here, grid tied.

If anybody wants to know.

#84 Drew on 01.06.22 at 8:07 pm

CBs move at glacial speeds if March is quicker than expected.

When the market predicts rate increases what does that mean and where does that 70% come from?

#85 Ustabe on 01.06.22 at 8:07 pm

Might I interrupt all you subject matter experts and relay an observation?

Lots of posts today on the subject of equalization. Lots of those posts would indicate that the poster has no idea of the how of equalization. Probably nor the why either. (hint: its called being a country, not a Balkanized mess)

But believe what you want to believe.

However, the Feds have an income stream made up of various duties, taxes and etc levied at the Federal level.

Neither Alberta nor PEI have anything to do with this income. However, after meeting its own expenses the Fed disburses funds to various Provinces according to an established and agree upon formula. Some receive more than others as per the established accords, some less. At no point does any Province, have or have not, ever dig into their Provincial pocket and drag hard earned money out and pass it onto the Fed. Except in the fevered dreams of too many Albertastans I guess.

This has been Civics 101, a course very much needed by many subject matter experts it seems.

Lastly, a little quote, a snippet of that which is easily available in the Internets.

Following the 2006 Canadian federal election, the newly elected Conservative Party led by Stephen Harper committed to a “renewed and strengthened Equalization program”, as outlined in the 2006 Canadian federal budget entitled, “Restoring Fiscal Balance in Canada”.

#86 kommykim on 01.06.22 at 8:15 pm

RE: Regarding people’s negative opinions of them? Get a life. It’s none of anyone’s business whether someone has or doesn’t have tattoos.

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

Sorry bud, but if you deliberately put something in a visible place then you shouldn’t complain about people seeing them, having an opinion about them, and yes, talking about them.
Get a life indeed!

#87 Wrk.dover on 01.06.22 at 8:18 pm

#56 dragonfly58 on 01.06.22 at 6:06 pm
I agree there is vast amounts of land in Canada. But have you ever tried living in a remote area ? The land will be cheap. But all of your other costs will be very high.
________________________

Yeah, I get charged $800/yr for a group of three cars that don’t get the antique rate of the others, yet. Gotta be cheaper in GTA!

The well water bill, NADA. The wood heat from the yard.

And so on. Twenty minutes on paved road to CTC, Sobeys, Wally’s etc. City though, three hours distant.

Ocean view, and night sky, priceless.

But, I’ll never afford leaving, true.

#88 Faron on 01.06.22 at 8:19 pm

#77 The beast within on 01.06.22 at 7:01 pm

All I ask is that you send Garth a glossy photo so we can all have a look and a laugh!

Reading comprehension not your strong suit, eh?

Really love how clear the tattoo issue makes things regarding personal choices and your personal discomfort. You clearly don’t like them. That’s perfectly fine. 100% A-OK. But you get all tripped up on yourself in hating on those that have them. Insofar as you express such hate, that’s an overstep of personal freedoms that I would otherwise think are a cherished hallmark of conservatism. But maybe it’s only certain kinds? Like, you do you insofar as it’s you doing you things that I think are okay. Otherwise, maybe you shouldn’t do you. Actually, here’s a paternalistic hand to make sure you do exactly as makes me the most comfortable.

Something tells me those 47% of tattooed millennials are glad they won’t have to worry about being included in your life.

#89 Faron on 01.06.22 at 8:22 pm

#85 Ustabe on 01.06.22 at 8:07 pm

Yeppers.

Furthermore, the Alberta hero Jason Kenney, helped formulate the current system. Y’all brung it upon y’all’s selves.

#90 Faron on 01.06.22 at 8:25 pm

#86 kommykim on 01.06.22 at 8:15 pm

Yep, you are free to whine, hand-wring and pearl clutch all you want while the rest of the world (the millennials that have tats and those that admire them) cringes at your fragility.

#91 Sail Away on 01.06.22 at 8:25 pm

#81 Ponzius Pilatus on 01.06.22 at 7:35 pm

Haha.
Sailo fought in the Korean war!
No wonder the Amis lost.

———

Oh yes, North Korea won. It is a veritable paradise of joy, freedom, and prosperity over there.

Much like East Germany in its heyday. Did you hear about the reporter who asked the East German what he thought about his freedom of speech? ‘Can’t complain’ was the response.

#92 Ponzius Pilatus on 01.06.22 at 8:33 pm

#69 cuke and tomato picker on 01.06.22 at 6:39 pm
We do not need another tax. Yes the average home on south Vancouver Island is around $1,324,000.00 but the costs for property tax, house insurance ,upkeep, water,
sewer, electricity, phone, internet etc keep going up and
as seniors with good pensions things are fine but costs
going up are shrinking our purchasing power.
———————
Sorry, Cukey.
No sympathy from me.

#93 Ponzius Pilatus on 01.06.22 at 8:36 pm

#86 kommykim on 01.06.22 at 8:15 pm
RE: Regarding people’s negative opinions of them? Get a life. It’s none of anyone’s business whether someone has or doesn’t have tattoos.

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

Sorry bud, but if you deliberately put something in a visible place then you shouldn’t complain about people seeing them, having an opinion about them, and yes, talking about them.
Get a life indeed!
—————-
Xi (She) is outlawing tats.
Don’t you just love the guy.

#94 mark on 01.06.22 at 8:39 pm

2/3 of the time governments get it wrong and cause a market(stock or house) crash by overcorrecting.

Lets get real 10 rate hikes still equal low rates, quite beating a dead horse \.

#95 Tent city on 01.06.22 at 8:44 pm

#15 Arcticfox on 01.06.22 at 4:30 pm
Came across this today ..food for thought !

“ Prompted by @jimiuorio: Imagine the boomers lose half their assets owing to regression to the mean (optimistically) and half their spending power over 9 years owing to 8% inflation. You think they’ve budgeted for that? I’m buying Kibbles futures.”
___________

Sounds like a plan; just not my plan.

Me, I’m buying shares in Coleman, one of the largest manufacturers of tents.

See you under the bridge.

#96 HUNGRY BEAR on 01.06.22 at 8:49 pm

TO …. #75 Serge on 01.06.22 at 6:58 pm

#17 HUNGRY BEAR on 01.06.22 at 4:31 pm
The UN-VAXED are too blame for all of this mess.

“TAX THE UN-VAXED!”

—————————–

Enough already. This is not the blog for medical advise and the latest posting has nothing about it. Get your two-double-triple booster if you like, but please stop posting this garbage

—————————–
You want liquor, you want to smoke some funny stuff……. Better have that QR Code by Jan 18th. Quebec has had enough with the UN-VAXED.

https://www.google.com/amp/s/www.cbc.ca/amp/1.6305992

#97 Heavy Eastern Canada Select on 01.06.22 at 8:52 pm

#79 Shawn on 01.06.22 at 7:21 pm
Alberta is back…

West Texas Oil just went over $100 a barrel. A hundred Canadian dollars that is. But that’s the kind we use in this country.

Heavy Canadian Select is naturally discounted but it’s at $85 Canadian which is also highly profitable.
———————-

” Today, a barrel of maple syrup is worth about $1,200 — that’s around 18 times the value of U.S. crude oil.” Mar 8, 2018

#98 Barb on 01.06.22 at 8:59 pm

Dom’s a very lucky pooch, Joanne.
Looks like he knows it, too!

#99 Haters gonna hate tattoos on 01.06.22 at 9:04 pm

#88 Faron on 01.06.22 at 8:19 pm
#77 The beast within on 01.06.22 at 7:01 pm

All I ask is that you send Garth a glossy photo so we can all have a look and a laugh!

Reading comprehension not your strong suit, eh?

—–———-
Trigger easily? Rhetorical question. We’ve followed the blog enough to know what you are about.

Perhaps it is I who should be asking about your reading ability.

So im a ‘hater’ for hating tattoos? Then so be it.. You caught me red-handed. I never said anything bad about the people who have them and I respect their choice to do as they please with their body. I just prefer to have very little to do with them because i wouldnt want to look at those creepy things.

Now get over yourself.

#100 Russ on 01.06.22 at 9:04 pm

Søren Angst on 01.06.22 at 6:07 pm
#42 Act I Loved
Since the World is hot under the collar about Omicron and ready to smite anyone not vaxd, wearing a mask, turning a charter flight into a nightclub, etc. I have decided to rename myself
from
Dolce Vita
to

Søren Angst
===========================

Welcome M. Angst.

Thank you for announcing your transformation here.

This blog section, as well as most of Canada, is a safe space for trannies.

Now I can always think of you as our second SA.

Please post away, as wont to do.

Cheers, in hugs, R

#101 Ponzius Pilatus on 01.06.22 at 9:08 pm

#91 Sail Away on 01.06.22 at 8:25 pm
#81 Ponzius Pilatus on 01.06.22 at 7:35 pm

Haha.
Sailo fought in the Korean war!
No wonder the Amis lost.

———

Oh yes, North Korea won. It is a veritable paradise of joy, freedom, and prosperity over there.

Much like East Germany in its heyday. Did you hear about the reporter who asked the East German what he thought about his freedom of speech? ‘Can’t complain’ was the response.
—————
You know why the Amis lost was because McArthur got greedy and pushed too far and got the Chinese involved.
And the story about German reunification:
Every West German wage earner had to pay a 5% re-unification tax to help East Germany modernize.
I visited my West German relatives a few month after the wall came down.
I asked them what they thought about the re-unification.
They said: Put the The Wall back up, just 3 meters higher.
That was the mood of the majority of West Germans at that time.

#102 Stone on 01.06.22 at 9:12 pm

#76 earthboundmisfit on 01.06.22 at 6:59 pm
#16 Stone “I’ve got a sweet B&D portfolio. It’s already churning out a nice yield of 0.44% ytd. Exciting!”

Dude, it’s three trading days into the new year. You really need to get out more.

———

Uh…you know…there’s this thing…called a…spreadsheet. Investing 2 minutes of my day to update it is not a huge investment.

Most people spend more time exerting themselves trying to poop out each day. And normally…it’s because they’re constipated from unhealthy eating habits and lack of exercise. And probably because they’re not well invested. That does impact digestion. Lol.

If you understood what that 0.44% represented in dollar values, you’d probably be excited too. And compared to most other B&D portfolios out there, it’s positive ytd while they are not. That too is exciting!

#103 dragonfly58 on 01.06.22 at 9:15 pm

Well Wrk.dover if you are 20 minutes from Sobeys I hardly call that a remote location. I would trade my well for city water any day. Wells are blasted expensive to drill. And in my area generally produce poor quality water. Most in my area have expensive treatment systems to make it reasonably safe to drink. Tens of thousands over the years.
Sure firewood is money cheap, but a big investment of time if it is your only or main heat source. I have been doing the remote, rural or at least semi rural thing for most of my life. Only 1 year in Northern B.C. but that was fly in. Tell me what part of that was cheap living ? Money was good as the company paid all the expenses, but the place we flew the small plane out of was very expensive for the locals. I often wondered why anyone actually lived there , but about 350 hardy souls did.

#104 canuck on 01.06.22 at 9:19 pm

#97 Heavy Eastern Canada Select on 01.06.22 at 8:52 pm

#79 Shawn on 01.06.22 at 7:21 pm
Alberta is back…

West Texas Oil just went over $100 a barrel. A hundred Canadian dollars that is. But that’s the kind we use in this country.

Heavy Canadian Select is naturally discounted but it’s at $85 Canadian which is also highly profitable.
———————-

” Today, a barrel of maple syrup is worth about $1,200 — that’s around 18 times the value of U.S. crude oil.” Mar 8, 2018
____________________________________________

Needs and wants makes all the difference. Millions of people don’t go through liters or gallons of maple syrup every day to get to work, school or earn a living.

#105 crowdedelevatorfartz on 01.06.22 at 9:34 pm

@#92 Pretentious priggish Ponzie poopoo’s Poor property people.

“No sympathy from me”

+++++

Why change now eh Ponze?.

#106 Sweet 'n crude on 01.06.22 at 9:37 pm

#104 canuck on 01.06.22 at 9:19 pm
#97 Heavy Eastern Canada Select on 01.06.22 at 8:52 pm

” Today, a barrel of maple syrup is worth about $1,200 — that’s around 18 times the value of U.S. crude oil.” Mar 8, 2018
____________________________________________

Needs and wants makes all the difference. Millions of people don’t go through liters or gallons of maple syrup every day to get to work, school or earn a living
================

Thanks for enlightening me. I really had no clue. Maybe that explains why my truck wouldnt start the other day.

I knew there was a reason I spend so much time on this blog.

#107 ImGonnaBeSick on 01.06.22 at 9:44 pm

#23 Nonplused on 01.06.22 at 4:42 pm
I’m still not sure rising rates will make houses any more affordable even if the prices come down. Does it really matter if the monthly goes to principle or interest?

The only solution to high housing prices is to build more housing. Unfortunately that is not easy to do, and increasingly expensive to do also.

——–

It’s a shame they didn’t give housing construction a TN status during the USMCA negotiations… Getting some more skilled trades into this country would surely help…

#108 crowdedelevatorfartz on 01.06.22 at 9:54 pm

@#104 canuck
“Millions of people don’t go through liters or gallons of maple syrup every day to get to work, school or earn a living.”

+++
Imagine the possibilities.
Maple at the Pump.
Light Syrupy Sweet Quebec Crude powering the world’s green vehicles…. AND they could pay back Alberta Equalization payments for 40 years…

#109 leebow on 01.06.22 at 9:59 pm

#80 Ponzius Pilatus

>> One of the original search engines that were popular was “Just ask Cheeves”.

It’s Jeeves, of “Jeeves and Wooster” fame. An immortal character by P.G. Wodehouse. There is an amazing TV series based on it with Stephen Fry and Hugh Laurie. One of the very few worth watching.

#110 Sail Away on 01.06.22 at 10:07 pm

#101 Ponzius Pilatus on 01.06.22 at 9:08 pm

I visited my West German relatives a few month after the wall came down.
I asked them what they thought about the re-unification.
They said: Put the The Wall back up, just 3 meters higher.

——–

Huh. Last name Trump?

#111 Faron on 01.06.22 at 10:16 pm

Happy Jan 6th blog dogs. The anniversary of the day in which a bunch of right, far-right and new-right goons decided they would try to cancel democracy by invading the US capital with a goal of hanging Mike Pence at the behest of the worst US president of all time. Fighting to overturn a legitimate vote based on a lie that Nonplused and lesser members of steerage stood behind and promulgated and probably still do in their heart of hearts. Good job everyone!

Stephen Colbert puts it more eloquently and in song:

https://twitter.com/colbertlateshow/status/1479236427674234881?s=20

#112 Yasmin Flora on 01.06.22 at 10:26 pm

The Pope says “ choosing pets over kids is selfish” . Don’t like it, take it up with God. So no picture. How about a change up to girlie pics?

Watch the exploding universe and see why ‘climate taxes’ won’t save the planet. Every sun heats up and eventually explodes. No tax will put nature on hold. Chaos is chaos.

https://www.cnn.com/2022/01/06/world/red-supergiant-star-supernova-scn/index.html

Climate taxation is really all and only about building boondoggles elsewhere. Why do you think Carney said that “ you don’t know how a global economy works” to Pierre Pollievre when asked why Trudeau is killing Alberta but supporting pipeline construction in Senegal and Tunisia. It ain’t about global warming. The sun is doing that already, tax free. If you want to live forever , talk to God, not Greta.

#113 R on 01.06.22 at 10:28 pm

60 TurnerNation:
I am going to dissapoint you. We have ‘SnowBird” in Tucson for the last 15 years. We have a 1 bdrm Condo close to Sabino Canyon, but we are not very adventurous re nightlife. We do not have any personal experience with AirNub. I can tell you we love it down here, and have found the people generous with their friendship and hospitality. If you like outdoor activities ( 100 mi paved bike loop around the city) , or university lectures ( U ofA),Tuscon is great. I hope this helps somewhat.

#114 DON on 01.06.22 at 10:28 pm

#21 Adam on 01.06.22 at 4:34 pm
Stick it to millennials on the way down and on the way up. Beautiful.

——————-

Jokes on them because they have to die sometime and they can’t take it with them! Well, unless they get buried in a sold gold casket I guess, surrounded by gold bars, encased in 20 feet of concrete. The ultimate F-U.

*********

I heard they are approving Bitcoin for after life transactions.

ha ha ha

#115 Drinking on 01.06.22 at 10:43 pm

#147 protea
#72 Drinking on 01.03.22 at 7:17 p
Suggest you disappear into a giant hole. I didn’t appreciate your ugly tone and lack of appreciation of what Garth & associates bring to this informative blog.

I also have benefitted from the free advice given so suggest we see the last of you.
———————————————————
Never heard or read of one of your posts in the past 8 yrs or so; yeah, sure, I will take your advice, piss off!!
I have always appreciated Garths advice and if you are a long term reader you will know that he and I have agreed to disagree! At least I do not hide or change my user name; Garth can attest to that!

#116 DON on 01.06.22 at 10:56 pm

BAM!

Garth’s got the Jazz

When I read the Nanos poll at 5am, I thought ‘hurdle removed’ for the Fed to raise rates. Folks more worried about inflation. Who paid for the poll…just curious.

Love the tats side bar chat…if they are discreet in design and location fill your boots. Considered it once but not for me.

As for taxes they can raise the GST as property transfer tax revenues declines. Or they cut spending…given the current gov situation, I bet there will come a time when the people would rather raise consumption taxes then property or income taxes – if they have a choice….is another Nanos poll on the way.

#117 Michael in-north-york on 01.06.22 at 11:01 pm

#14 Ponzius Pilatus on 01.06.22 at 4:29 pm
But I have to admit that whenever someone mentions the Great Reagan, it just pushes my buttons.
One of the worst Presidents ever.
===

Reagan is one of the three greatest U.S. Presidents:
Abraham Lincoln – defeated the slavers
Franklin D. Roosevelt – helped defeat the Nazis
Ronald Reagan – finished off the Eastern Communist block. I will be grateful to him forever. I don’t care if people dislike Reaganomics, his global contribution is far more important than his domestic policies.

#118 Michael in-north-york on 01.06.22 at 11:05 pm

#75 Serge on 01.06.22 at 6:58 pm

#17 HUNGRY BEAR on 01.06.22 at 4:31 pm
The UN-VAXED are too blame for all of this mess.

“TAX THE UN-VAXED!”

—————————–

Enough already. This is not the blog for medical advise and the latest posting has nothing about it. Get your two-double-triple booster if you like, but please stop posting this garbage.
===

Let’s tax the Hungry Bears. Bring the FUR TAX !!

#119 Faron on 01.06.22 at 11:15 pm

Which of you blog dogs was I arguing with about bitcoin $10,000/20% ago? Buying the dip?

#120 mike from mtl on 01.06.22 at 11:30 pm

#109 leebow on 01.06.22 at 9:59 pm
#80 Ponzius Pilatus

>> One of the original search engines that were popular was “Just ask Cheeves”.

It’s Jeeves, of “Jeeves and Wooster” fame.
//////////////////////////////////////////////////////////

Yes but Ask Jeeves was a minor player to AltaVista – the defacto first search of the 90s. Back in those days search engines were very different and were sourced by human entered indexes.

Man brings back the ghosts of the past bubble.

-Netscape
-Yahoo
-Lycos
-Real Video
-Geocities
-AOL

Google was hardly known until the late 2000s with their actually junk mail free gmail and new at the time junkless ad search. The switch was a no-brainer at the time.

Spot the Canadian boomer with a @symaptico.com, yahoo.com or aol.com personal email address suffix.

#121 fishman on 01.06.22 at 11:41 pm

Ponzius, You do know that General McArthur said that we should have a war with the Chinese now or we will have one four generations from now. Was he wrong? Truman wouldn’t ok the tactical nukes, I get that. Nevertheless, there is no question that China will encompass all our attention as it strides to world domination. Living in Vantown, like a Frenchman at Normandy in 44, we are at a beachhead of the march of history. . China will be the most formidable opponent the west has ever faced. Their word for”sympathy” toward us will be found in the English dictionary between shit & syphilis.

#122 kommykim on 01.06.22 at 11:46 pm

RE: #90 Faron on 01.06.22 at 8:25 pm
#86 kommykim on 01.06.22 at 8:15 pm
Yep, you are free to whine, hand-wring and pearl clutch all you want while the rest of the world (the millennials that have tats and those that admire them) cringes at your fragility.

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

There are many things I dislike. Liars, creeps, raw sewage, scammers, self mutilation tats, etc…
Only meek frail bobbleheads would nod and say they like things that they find repulsive.
Most tats are gross and a waste of money. Very few look decent. Even fewer will stand the test of time.

#123 I don't know on 01.06.22 at 11:55 pm

Interest rate hikes are coming, and everyone knows it.

However, the bitter truth for those hoping to buy a house at a deep discount is going to be tough to accept. After the recent historic ~20-30% rise in house prices, a temporary 10% dip or stagnation won’t resonate and will be forgotten in short order, just like in 2017. Remember when our host gave the green light to buy during the market breather in 2017? Those that listened were rewarded. Those sitting in cash positions trying to time the market were forgotten, again. Expect the same.

Human nature is predictable. The moment the frustrated renter calling for policy changes becomes a proud home owner, the tune will change quickly. You might even catch them with all their friends at cocktail parties (zoom cocktail parties that is) raving about their new investment if you look closely.

#124 Faron on 01.07.22 at 12:06 am

#99 Haters gonna hate tattoos on 01.06.22 at 9:04 pm

All I ask is that you send Garth a glossy photo so we can all have a look and a laugh!

Trigger easily? Rhetorical question.

I usually put question marks at the ends of questions even if only rhetorical.

Indeed, triggered by dunces who hate tattoos enough to invent screen names and rant about them.

#125 Ponzius Pilatus on 01.07.22 at 12:30 am

117 Michael in-north-york on 01.06.22 at 11:01 pm
#14 Ponzius Pilatus on 01.06.22 at 4:29 pm
But I have to admit that whenever someone mentions the Great Reagan, it just pushes my buttons.
One of the worst Presidents ever.
===
Reagan is one of the three greatest U.S. Presidents:
Abraham Lincoln – defeated the slavers
Franklin D. Roosevelt – helped defeat the Nazis
Ronald Reagan – finished off the Eastern Communist block. I will be grateful to him forever. I don’t care if people dislike Reaganomics, his global contribution is far more important than his domestic policies.
————————-
I think you are referring to his speech in Berlin, where he declared in his B-movie actor voice “MR. Gorbachev tear down this wall”
By that time, the hated Communism was already imploding and the Iron Curtain was fraying on the edges.
As usual, the Americans are taking too much credit for watershed moments in history. Hollywood needs its heroes.

In a September 2012 article in The Atlantic, Liam Hoare pointed to the many reasons for the tendency for American media to focus on the significance of this particular speech, without weighing the complexity of the events as they unfolded in both East and West Germany and the Soviet Union.[19]

#126 DON on 01.07.22 at 1:33 am

#89 Faron on 01.06.22 at 8:22 pm
#85 Ustabe on 01.06.22 at 8:07 pm

Yeppers.

Furthermore, the Alberta hero Jason Kenney, helped formulate the current system. Y’all brung it upon y’all’s selves.

*********

It’s Alberta not Alabama, no y’alls…but yah Kenney.

#127 westcdn on 01.07.22 at 2:05 am

I may not remember your name 24 hours later but I never forget your actions. Poor little Jaguar being frisked at Pearson airport – be afraid… there are consequences.

Alberta is suffering in the cold. Nothing new. I see T2 is upset with a few Quebecers on a flight to nowhere butt warming. The society of Cdn light has been dimmed yet if it had been Albertans he would have been thrilled. T2 and a few of his minions may be secret angry they missed out on the party. Sorry dude, you don’t know how to measure Albertans up. I will be back…

“Sucks to be you” is a credo I hate but seems to be common. Me first – not on my watch. I will protect my family (think Canada) though the taste is bitter.

They say the VIX (call vs put options) is low and stable, I don’t see that view. Capital is moving and that is what counts. Motto – you got it, keep it. Follow the money because it doesn’t me. Riches avoid me yet I intend…

I am still trying to figure Canadian debt. Amazing. Money/Services for Nothing has consequences. Let someone else dictate my life – GFY.

I am not above learning, maybe the fatal flaw among elites. I can not say much against about mental midgets in control then how did this happen? Status Quo and a bunch of self appointed Guardians is my answer. Dog, reasonable people are outnumbered.

#128 millmech on 01.07.22 at 2:16 am

#111
Imagine this blog was full of people discussing hyper sonic weapons, nukes, cyber warfare, and all Americas enemies had to do was to recruit a bunch of bumbling rednecks to overthrow the Government. I guess the other super powers can relax now as all they have to do to sabre rattle is bring a bus load of ignoramuses close to the capital and do a drive by hoe down and drop the worlds super power to its knees.

#129 Nonplused on 01.07.22 at 2:20 am

#61 Reality Check on 01.06.22 at 6:12 pm
Inheritance tax

I am surprised the idea of an inheritance tax has not gained more traction.

——————————–

For the umpteenth time, Canada has a “death tax” or “inheritance tax” or whatever you want to call it, as all assets are deemed sold in the year of death and capital gains taxes or any other taxes that would incur upon sale are due.

Primary residences do not incur taxes upon death but they don’t when you are alive either.

Much debate ensues as to whether primary residences should or should not be subject to capital gains taxes. Garth seems to maybe be in favor as well as many commenters, I am opposed. I am opposed because nobody really makes any money owning a primary residence until they sell for the last time. Having to pay a capital gains tax every time you had to move for some reason could be extremely burdensome and throw yet another wrench in the housing market machinery.

Besides, most of that gain is just inflation anyway. The exception being the YVR and YYZ service areas, which are also impacted by artificial shortages and huge demand pressures.

#130 DonJuan on 01.07.22 at 2:39 am

Put a 10% flat tax on everything and we could all be free to live happier, healthier, and more productive lives.

#131 under the radar on 01.07.22 at 5:13 am

A patient goes to their doctor feeling depressed and socially isolated .
Doc says write down 5 people who would drop everything on a moments notice and come to your rescue, no questions asked.
Patient thinks long and hard, and can’t come up with more than one .
Doc – writes a prescription – Find 4 more .

#132 Wrk.dover on 01.07.22 at 7:31 am

#103 dragonfly58 on 01.06.22 at 9:15 pm
Well Wrk.dover if you are 20 minutes from Sobeys I hardly call that a remote location. I would trade my well for city water any day. Wells are blasted expensive to drill. And in my area generally produce poor quality water. Most in my area have expensive treatment systems to make it reasonably safe to drink. Tens of thousands over the years.
________________________________

Your version of remote is isolated remote fly in.

I am talking about remote from dense populations.
As noted the difference is, my version of remote has the cheapest cost of living nationwide in Canada.

My 8″ drilled well tests as commercially bottleable.
40′ deep through a ledge, 10 gallons per minute.
Cost $1800, 1981 dollars, on an excellent $3000 lot.

#133 Chum the Water on 01.07.22 at 7:32 am

Heads up, nope it’s not the jobs numbers “ always faked” , but the ancient traders adage “gas and oil futures spike the first there’s snow in the driveways of New Jersey”. Well, today is New York’s first big snowfall. This is more accurate than the Farmers Almanac.

#134 Tree Trunk Licker on 01.07.22 at 7:38 am

#108 Crowd. Rogers own a lot of that syrup. RSI up 50% this year sand pays a ‘sweet’ 6% dividend monthly.

#135 crowdedelevatorfartz on 01.07.22 at 7:43 am

@#114 Don
” Well, unless they get buried in a sold gold casket I guess, surrounded by gold bars, encased in 20 feet of concrete. The ultimate F-U.”

++++

You mean like this guy?
He threatened to have priceless paintings cremated so his kids wouldnt have to pay the govt inheritance tax.

Seems reasonable to me.

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

#136 the Jaguar on 01.07.22 at 8:14 am

Morning Snippets:

Oh Canada………………

“One of the more interesting developments in the midst of this COVID-19 world is the accelerating digitization of the global economy, in which size is everything when it comes to being able to compete, scale up and steal market share. This shift is so big that it is helping reshape the entire economy.

Canada, though, has decided to take an entirely different approach: going all in on real estate speculation instead of getting in on this digital transformation. Perhaps this has been reinforced by past spectacular failures such as Nortel Networks Corp. and Blackberry Ltd.

More than 10 per cent of Canada’s GDP is now derived from residential real estate activity, which is higher than any other member of the Organisation for Economic Co-operation and Development, with the exception of New Zealand.

But real estate is a non-producing asset and sucks capital out of the economy that could be used to fund and create more growth companies such as Shopify Inc., or even transform our still-dominant traditional energy, banking and telecommunications sectors. “+++++

Meanwhile, back at the ranch…………………

“Are the protests in Kazakhstan over high energy prices a taste of things to come?

“High global prices for energy and food often serve as a leading indicator for outbreaks of civil unrest,” Hugo Brennan, head of EMEA Research, at global risk intelligence company Verisk Maplecroft, told the Post in an emailed statement.

“Only falling per capita GDP makes it more likely that protests end up with real political change.” (Charlie Robertson, global chief economist at U.k.based Renaissance Capital).

Disconnect between energy policies and realities on the ground is among the top 10 threats to the global economy this year, according to Eurasia Group, a research firm.

“These rising energy costs will stoke global inflation and provoke anti-incumbent sentiment, causing instability in some emerging markets and affecting elections in France and the (mid-term elections in) U.S.,” the consultancy noted.”

#137 Dharma Bum on 01.07.22 at 8:15 am

#57 Soren Angst

I have decided to rename myself from Dolce Vita to Søren Angst.
———————————————————————————————————

I thought Ponzi took over for you.

You know.

Humourless.
Misguided.
Foreign.
Spiteful.
Jealous.
Ornery.
Wrong.
Angry.

Oh well, the steerage section wouldn’t be as much fun without those that troll others and generally miss the point of everything.

I’m allowed to say that. I troll as much as the next guy.

The difference is, I know everything, and I am always right.

My mom said so.

#138 Fortune500 on 01.07.22 at 8:20 am

I agree on the interest rate front, but with supply the way it is, just how far will these prices drop? Price gains can be very sticky. We have seen wave after wave of Covid. I for one do not feel comfortable with the idea that it is done, and more ’emergency’ rates wont occur in the future.

I am just saying, the idea of completely reverting back to a pre-Covid era where we thought of housing in a certain way seems unlikely.

#139 Dharma Bum on 01.07.22 at 8:36 am

#53 Pickles

If you are a boomer, it might be wise to move to a rural gated community.
—————————————————————————————————-

Now THAT’s whuttimtalkinabout!

Can you please explain it to the ponzmeisterburger?

Thank you.

#140 Dumb Tattoos on 01.07.22 at 8:50 am

I give you….

Dumb Tattoos by comedy duo of Drennon Davis & Karen Kilgariff

https://www.youtube.com/watch?v=EjMqu8Mqegc

Your baby is melting!

#141 Love Ad Tic on 01.07.22 at 8:58 am

#137 Dharma Bum on 01.07.22 at 8:15 am
#57 Soren Angst

I have decided to rename myself from Dolce Vita to Søren Angst.
———————————————————————————————————

I thought Ponzi took over for you.

You know.

Humourless.
Misguided.
Foreign.
Spiteful.
Jealous.
Ornery.
Wrong.
Angry.

Oh well, the steerage section wouldn’t be as much fun without those that troll others and generally miss the point of everything.

I’m allowed to say that. I troll as much as the next guy.

The difference is, I know everything, and I am always right.

My mom said so.

————————————————————————————————

Is this really the sentiment toward Dolce?

We are going to have a hard time forming a search party.

#142 KLNR on 01.07.22 at 9:00 am

do the unvaxxed have a death wish?
considering only about 10% of the populace aren’t dbl vaxxed the ICU numbers don’t look good.

‘Ontario Health Minister Christine Elliott said of the 319 patients in intensive care, 232 of them are not fully immunized against COVID-19 or have an unknown status, while 87 are double-vaccinated.’

#143 Wrk.dover on 01.07.22 at 9:02 am

Worldmeters.com USA serious critical hospitalizations now up 40% since Christmas.

Previous all time peak attainable this month?

Mr. Market accepts new jobs # below attrition rate?

#144 Do we have all the facts on 01.07.22 at 9:38 am

The shortage of housing units in Canada seems more imagined than real. As we enter 2022 there are more than 325,000 dwelling units under construction across Canada of which 235,000 are multi storey apartments and 54.000 are single detached dwellings. This ratio is definitely shifting.

In 2021 approximately 52% of the total housing stock in Canada was in the form of single detached dwelling units,
11.0% was in the form of single attached dwelling units and 37.0% was in the form of multiple dwelling units.

IT is projected that a minimum of 260,000 dwelling units will be started in 2022 including a minimum of 90,000 single detached dwellings and 140,000 multi storey apartments. This represents a significant shift towards the construction of single detached dwellings since 2019.

In 2022 a minimum of 240,000 dwelling units will be completed across Canada of which 73,000 will be single detached units and 130,000 will be multi storey apartment units.

The total number of households in Canada in 2022, including net in migration, will increase by a maximum of 145,000 households. When you examine the housing market in Canada from a demographic standpoint the net demand for accommodation can be fully satisfied by the projected rate of supply.

What seems to be occurring is an increase in the purchase of dwelling units in Canada as investments that are currently unoccupied. Recent studies by the OECD indicated that over 1,300,000 dwelling units in Canada in 2022 are currently unoccupied.

The media and the Government of Canada seem to be ignoring the simple fact that dwelling units are being purchased as investments and that they number of units required to meet the need for accommodation in 2022 is not only being met but is being exceeded by the private market.

When you extract the units purchased as investments in 2021 and projected to be purchased as investments in 2022 the current supply chain is more than adequate to meet true demand based on accommodation needs.

Like many forms of investment based assets the value of housing has been inflated by a $500 billion increase in money supply. It might be time to base the future of the housing market in Canada on an examination of actual facts.

#145 Sail Away on 01.07.22 at 9:48 am

I like Dolce, but don’t know about this Soren character.

#146 Kiril Peev on 01.07.22 at 9:51 am

For those that are interested I’ve posted the Ottawa Real Estate Market Update for December 2021.

December was another solid month for real estate activity in Ottawa.
Inventory levels remain very low as we head into the busier months. I am expecting continued upward pressure on prices due to the low inventory to properties sold ratio. As long as the ratio stays around 1 there should be price appreciation as demand beats out supply.

Month’s of inventory chart is also available via the link below:

http://kpre.ca/Blog/ottawa-real-estate-market-stats-for-december-2021

#147 Yukon Elvis on 01.07.22 at 10:14 am

#121 fishman on 01.06.22 at 11:41 pm
Ponzius, You do know that General McArthur said that we should have a war with the Chinese now or we will have one four generations from now. Was he wrong? Truman wouldn’t ok the tactical nukes, I get that. Nevertheless, there is no question that China will encompass all our attention as it strides to world domination. Living in Vantown, like a Frenchman at Normandy in 44, we are at a beachhead of the march of history. . China will be the most formidable opponent the west has ever faced. Their word for”sympathy” toward us will be found in the English dictionary between shit & syphilis.
++++++++++++++++++

China is not as scary as we are led to believe. Nobody likes them any more and they are surrounded by unfriendly countries, some of them nuclear armed. India, Pakistan, NKorea, Russia all have nukes. Japan and SKorea are nuclear capable,have delivery systems, and could build nuclear weapons in short order. The US has nukes nearby and on submarines in the area. China is surrounded. Countries in the region like Vietnam, Taiwan, Philippines, Australia and many others dislike China. The EU doesn’t like them. NATO doesn’t like them. Even Russia and NKorea dislike the Chinese and are only “allies of convenience against the US”. China has internal problems as well. Tibet and Mongolia want China out of their lives. The Uygurs in Xinjiang provice want China gone. Afganistan does not like China due to Chinese treatment of Uygur Muslims in Xinjiang province, and now the Taliban have nice new American weapons and night vision capabilities as well. The Falun Gong are not happy. The property bubble which compromises 30% of China’s of economy is bursting. Foreign companies and investors are being hosed and many large companies are leaving China. China could implode. I could go on but I think you get my point.

#148 Shawn on 01.07.22 at 10:28 am

Housing and the Jaguar

Nothing wrong with actual capital going into houses meaning concrete and lumber and labour. Houses are highly productive. Try living outside. There is no shortage of capital for software or anything else.

Shoplift is incredible but took very little capital. A billion or less actually spent on software is valued 100 times higher or more. Totally awesome. Heroic. Brings in tons of money from other countries.

#149 Shawn on 01.07.22 at 10:29 am

Drat I meant shopify is awesome. It really is such a huge Canadian success story.

#150 Quintilian on 01.07.22 at 10:50 am

“There is an inverse relationship between house values and interest rates – which helps determine supply and demand. And things are about to change.”

Maybe not Garth.

Real interest rates have been negative for a long time and in most of the western economies, yet housing bubbles have developed in a relatively small number of markets, and most of them are in Canada.

So there must be some other more potent forces at work.

One of those forces is cultural.

#151 Observer on 01.07.22 at 10:58 am

John Pasalis has the right idea, imo (from his twitter account):

“A surtax on $1M+ homes is not a good solution to Canada’s housing affordability problems

Instead, lower income taxes and raise all property taxes – not just on high end homes

Renters get tax relief and higher property taxes will slow down price growth ”

Divorcing property tax from income is a regressive, ill-conceived idea. It is the worst form of tax possible since real estate values are determined by a market no homeowner can influence nor control. – Garth

#152 Observer on 01.07.22 at 11:01 am

Also from John Pasalis: ” To be clear, I would think that any adjustment from income tax to property tax would have to go to the respective provincial and federal governments.

You can’t lower income taxes and then raise prop taxes going to the municipalities”

#153 Observer on 01.07.22 at 11:03 am

Of course, it will never happen (more commentary from John Pasalis):

“… the odds of this happening are almost zero %.

Even though it narrows the wealth gap, helps renters and cools home prices – there is no interest from the Liberals to do any of these.”

#154 Shawn on 01.07.22 at 11:13 am

When official inflation is under 2%. Fully indexed DB pensions are not that much better than the provincial DB pensions that are only 60% indexed.

But when official inflation hits 5% or more being fully indexed is a huge benefit.

CPP and old age pension are fully indexed.

Federal employee pensions are fully indexed.

Yes only to official inflation but still great.

Most provincial government employee pensions are 60% indexed. Good but it falls behind noticeably if inflation is high.

All hail the CPP and olds age and GIS for lower income people.

Be jealous of federal DB pensioners.

#155 Sail Away on 01.07.22 at 11:24 am

#148 Shawn on 01.07.22 at 10:28 am

[Shopify] is incredible but took very little capital. A billion or less actually spent on software is valued 100 times higher or more. Totally awesome. Heroic. Brings in tons of money from other countries.

——–

Maybe so, but it has a negative return over the last 52 weeks, while the TSX has a total return with dividend of +16.5% in the same period.

#156 Satori on 01.07.22 at 11:32 am

#60 TurnerNation on 01.06.22 at 6:10 pm
#90 R on 01.05.22 at 7:29 pm

Can you give us some tips for visiting Arizona?
Best city for nightlife, entertainment?
Any suggested hotels or AirBnbs?
_____________________________________

Scottsdale’s Keirland outdoor mall, believe me, you wont get bored. Hike Camel back (unless you are not in shape) Definitely hike in Sedona, its everything everyone says about it, it was absolutely Gorgeous! And definitely check out water caves, if you can, and a canyon… really depends where you stay.

Wishing you a blast there, you will love it! Even when it’s hot, it’s not because it is dry heat. So you don’t even sweat. It’s amazing! Good choice!

#157 DON on 01.07.22 at 11:38 am

#150 Quintilian on 01.07.22 at 10:50 am
“There is an inverse relationship between house values and interest rates – which helps determine supply and demand. And things are about to change.”

Maybe not Garth.

Real interest rates have been negative for a long time and in most of the western economies, yet housing bubbles have developed in a relatively small number of markets, and most of them are in Canada.

So there must be some other more potent forces at work.

One of those forces is cultural.

*****
Recently I heard Taiwan is grapling with raising rates to calm their market. Othet bubblicious nations are Australia, New Zealand, China, UK, Canada, US again?. Remember Ireland, Spain others already learned their lesson. All Countries where rates are close to zero. I am sure there are more. I do get your cultural stance like Germany and maybe France. Japan recently admitted to fudging economic numbers in the past.

The main bubble market that affects us is second to China and Australia. There are also a fair number of Countries that never reduced their rates to zero in the first place.

#158 tbone on 01.07.22 at 11:39 am

I am afraid of people with neck tattoos.

#159 Satori on 01.07.22 at 11:43 am

61 Reality Check on 01.06.22 at 6:12 pm
Inheritance tax

I am surprised the idea of an inheritance tax has not gained more traction.
__________________________________

I seriously don’t agree, WHY?… parents paid taxes, and now they die and they have to pay more taxes to give the little hard-earned money to their kids… “they paid tax”…. and now they are going to be taxed again!!???

Shake your head, we already pay 42.5% of compound taxes “not including gas and clothing etc.” And god knows what it is in 2022?

(*that means for every dollar you earn, you pay the government over 42.5 cents!)

https://globalnews.ca/news/3691159/canada-taxes-incomes-fraser-institute/

Why not just give the government 90% your pay cheque?!! Give that “a think”!

#160 Dr V on 01.07.22 at 11:46 am

145 Sailo

“I like Dolce”

Dolce made a rookie mistake, tripled down on it after it was pointed out to him, insulted several bloggers personally and engineers in general, and never apologized.

A mistake is human and forgivable. The rest is not.

#161 Cat I Loved on 01.07.22 at 11:46 am

#142 KLNR on 01.07.22 at 9:00 am
do the unvaxxed have a death wish?
considering only about 10% of the populace aren’t dbl vaxxed the ICU numbers don’t look good.

‘Ontario Health Minister Christine Elliott said of the 319 patients in intensive care, 232 of them are not fully immunized against COVID-19 or have an unknown status, while 87 are double-vaccinated.’

—-

Aren’t you just a little amazed about how good the virus is at finding the unvaccinated?

Or about how this virus is a 10PM to 5AM party animal in Quebec only, not elsewhere?

Or how it never seems to be at any NFL stadiums? I mean…whatever Omicron prevention NFL is implementing, WE NEED TO DO IT NOW!

#162 Sail Away on 01.07.22 at 11:47 am

Picked up some NASDAQ index today at -8% below 52-week low. Omicron unrest may drop it further but this seems like a decent value.

#163 IHCTD9 on 01.07.22 at 11:48 am

#56 dragonfly58 on 01.06.22 at 6:06 pm
I agree there is vast amounts of land in Canada. But have you ever tried living in a remote area ? The land will be cheap. But all of your other costs will be very high.
Fine if you are moving for a high paying, resource industry job, or perhaps a moderately decently paying Gov Service job. Put in your time. Build up a nest egg then after a decade or so come back. But long term, not so good unless you yearn to be a hermit.
____

If I were me as I am right now except single with no kids – that’s probably right where I’d be. In the boonies somewhere along Hwy 11. I’d pick up a 40-50K fixer upper house to work on, get a basic whatever job for ~20.00/hr, and pay that 200.00 monthly with a smile.

I’d buy myself a boat, an ATV, a good tent, and a sled. I’d fish all year around, hike, camp, ride the trails and back roads all summer and (real) winter long. I’d build a little shop and a big woodshed.

It would be like going back in time, when (IMHO) Canada was still a great country. A good safe distance from the now totally insane southern Ontario. It makes more sense to me to make the $$ down here first, and once you’ve got yourself set up, head north for simple basic living. Overall your COL will be super low compared to SO, and the QOL will be sky high for the right person.

#164 Linda on 01.07.22 at 11:55 am

#80 ‘Ponzius’ – I agree the numbers seem high, but I did look at more than the first search result. Multiple results all cited much the same numbers. Now, Garth correctly states that a lot of news is simply ‘repeats’ of original articles so facts should be questioned. However once I thought about how many folks I know who have adult children living at home, however ‘temporarily’ have to say that those very high percentages can’t easily be argued with.

#165 DON on 01.07.22 at 11:57 am

Dolce is familia.

I caution his trolling critics…don’t make me return to my old blog dog ways. I am trying to be more respectful and less pitbullish these days.

#166 Ron Don on 01.07.22 at 11:57 am

Two things:

1) I am so tired of hearing people firmly state that Trudeau can’t/won’t dare to raise rates.

Somehow they need to be made to understand that rates are determined internationally, not at the whim of a Prime Minister. This a really important fact and SO MANY people don’t understand it.

This deserves more attention here IMHO. Finance lessons maybe, easy explanations would perhaps help.

2) So many people blame sellers for the high prices.

Prices are determined by BUYERS.

If a buyer offers me a stupid amount for my house should I say “No thank you, please offer me less”?

Do you really think that I bought my house in 2002 Planning and Scheming to see it worth a ridiculous amount in 2022?

Nope, these high prices are a reflection of FOMO stoked by social media and a shocking level of internet born ignorance.

Financial literacy has been replaced by Google, where everyone has an opinion and everyone can do a quick search and conclude they are an expert.

This will not end well.

#167 Dr V on 01.07.22 at 12:03 pm

144 facts

“What seems to be occurring is an increase in the purchase of dwelling units in Canada as investments that are currently unoccupied. Recent studies by the OECD indicated that over 1,300,000 dwelling units in Canada in 2022 are currently unoccupied.”

That’s almost unbelievable. Something like the size of BC’s lower mainland.

But if these are purchased for investments, does it not make sense that a good portion are actually available
for rent? In a frenzied market, holding “vacant” can make sense for a short time. Perhaps many are unofficially rented out? Any idea of Air B&B unit numbers?

I could also see a smaller number of units serving as
work sleepovers in larger centres for people who have city jobs but wish to live elsewhere, commuting on the weekends. WFH would cause utilization to drop further,
though owners may still hold the unit for the time being.

Any stats or opinion on these more gray areas?

#168 Dumb Tattoos on 01.07.22 at 12:41 pm

#158 tbone on 01.07.22 at 11:39 am
I am afraid of people with neck tattoos.

—-

I once saw this guy (link below) walk down a concourse at an airport with few thousand people sitting gates waiting to board flights.

I was at the second last gate near the end, and was standing – (my usual thing before the flight. I’ll sit the whole flight, may as well earn it). Anyhow, I saw a WAVE of synchronized head turning from both sides of the concourse – EVERYONE. And since there were people in the middle I did’t see what they were looking at. All I saw were faces turning, fingers pointing, mouths open.

Eventually, the guy came into my field of view.

https://i.pinimg.com/originals/ba/ac/15/baac156db9046f7802e5805a36a7a064.jpg

I have to say…if you’re going to get a Tattoo, go big or don’t waste your time.

This guy basically erased his face. Erased his identity. While at the same time being easy to identify, obviously.

He’s a work of art. At his level, I appreciate neck tattoos, but what he did above I feel is art at highest level.

Thing is, anyone trying to copy this is going to be just lame. It’s one of those things were only 1 per humanity is allowed, and that’s brilliant. Next guy who did it…LAME!

#169 Quintilian on 01.07.22 at 1:00 pm

#157 DON on 01.07.22 at 11:38 am

Just to point out how ridiculously ignorant of economics and heavily influenced by hype and to what degree RE is a cult in Canada, particularly in BC. I was travelling on Vancouver Island when Meghan Markle and Prince Harry moved there, a radio talk show had a real estate “expert” to explain how that might affect the housing market.

There is nothing but hype holding this gasbag together.

#170 dragonfly58 on 01.07.22 at 1:03 pm

I guess I am too tied to Lower Mainland and U.S. Pacific North West { covid has to end some day doesn’t it ?} activities. Mid Spring to mid Fall there is something going on close to every other weekend that in normal time I attend. Swap meets, club meetings , car shows , race meetings , picking up parts , etc.
My sister and BIL live in 100 Mile House. Prices there are still almost manageable. Up a ton vs say 5 years ago, but not truly insane like my area. Wife and I have thought about it a couple of times. But every time we visit the 5 hours of driving there and 5 hours of driving back make it clear why it would not work for us. And that’s in the Summer, winter all bets are off. One year the fires made a serious detour necessary, the 5 hour drive home became 10.
I am a vintage car / old sports car guy. I am not going to re invent myself into a 4 WD, hunting and fishing, snowmobile guy in my mid 60’s. Just shy of 50 years as a vintage MG owner.
Yes, I would like more land, 2 1/2 – 5 AC would be ideal. But trading one set of problems for a different set of problems is not a solution for me.
Lower Mainland is so much different than Ontario. Super expensive , then a substantial mountain range, then Southern Interior that is still pretty darned expensive , then finally prices start to taper off as you get a fair way North.
I still hope that someday the gap between my semi rural, residential property and a very basic, small acreage returns to something resembling what it was 20 years ago. But that is unlikely. Lottery tickets ?

#171 Sail Away on 01.07.22 at 1:08 pm

#160 Dr V on 01.07.22 at 11:46 am
145 Sailo

I like Dolce

——-

Dolce made a rookie mistake, tripled down on it after it was pointed out to him, insulted several bloggers personally and engineers in general, and never apologized.

A mistake is human and forgivable. The rest is not.

——-

Nobody’s perfect. Except that one guy. So we killed him.

Moral of the story: Don’t be perfect

#172 All lies and manipulated u decide on 01.07.22 at 1:21 pm

Garth
Thank you.
The ignorance of this dude in charge is astounding.
Has he done anything right?
Please do tell. I can’t see anything.

#173 IHCTD9 on 01.07.22 at 1:27 pm

#150 Quintilian on 01.07.22 at 10:50 am

So there must be some other more potent forces at work.

One of those forces is cultural.
————

You’re not wrong on that, but out in my drumlin blistered Old Stock filled redneck Podunk, prices went just as ballistic over the same time period. It seems greed is a universal culture. We’re loaded down with it in Canada.

Maybe we should take the Maple Leaf off the flag and replace it with a dollar sign framed with a heart.

#174 vatodeth on 01.07.22 at 1:29 pm

The market is dependent on stimulus. Nothing else matters. Take way the stimulus and it collapses. It can’t hold itself up without stimulus.

A healthy full deleverage is needed. Do Central Banks have the political will to reset the economy like Paul A. Volcker 40 years ago? It’s all up to Jerome Powell and he is transforming from dove to hawk as of late.

#175 NEVER GIVE UP on 01.07.22 at 1:30 pm

#33 Nonplused on 01.06.22 at 5:11 pm
#211 crowdedelevatorfartz on 01.06.22 at 3:16 pm

@#208 Lorne.
Interesting.
Estimate of 47% of US millenials have tats…

———————————–
To me anyone with a significant Tattoo tells me one main thing about them….Low Intelligence. At least you have some advance warning when you are ponying up at the bar!

#176 Do we have all the facts on 01.07.22 at 1:33 pm

#166 Dr. V

Approximately 80,000 active airB&B listings in Canada in 2019. Current stats are a bit sketchy.

#177 DON on 01.07.22 at 1:35 pm

#166 Dr V on 01.07.22 at 12:03 pm
144 facts

“What seems to be occurring is an increase in the purchase of dwelling units in Canada as investments that are currently unoccupied. Recent studies by the OECD indicated that over 1,300,000 dwelling units in Canada in 2022 are currently unoccupied.”

That’s almost unbelievable. Something like the size of BC’s lower mainland.

But if these are purchased for investments, does it not make sense that a good portion are actually available
for rent? In a frenzied market, holding “vacant” can make sense for a short time. Perhaps many are unofficially rented out? Any idea of Air B&B unit numbers?

I could also see a smaller number of units serving as
work sleepovers in larger centres for people who have city jobs but wish to live elsewhere, commuting on the weekends. WFH would cause utilization to drop further,
though owners may still hold the unit for the time being.

Any stats or opinion on these more gray areas?

*********

Lots of rentals in my area…nice new places. The problem is they are unaffordable for most of the would be residents.

I know many folks who have multiple investment properties on leverage. Big bank loans…high rent for shitty places. Only professionals and criminals can afford to rent a big house and most of those folks already own their own houses or multiple houses.

It’s like playing pick up sticks…all interconnected.

My nieces are staying at home, finishing their studies, why pay the big rent bill if you don’t have to, especially with more online studies. If my oldest niece a new nurse wants to buy a house she is looking at 900k plus. BIL/SIS have a larged sized lot and are planning on building a smaller house next store snd give the kids the big house, allowing them to save more money and still live in a central location on ground level.

That young tatted neighbour who is an import/exporter and always home durimg the day…hmmmm lol

#178 Dr V on 01.07.22 at 1:35 pm

170 Sailo

If he just went 1 for 5 and apologized I’d be fine with it.

I’ll watch the NASDAQ though. Thanks.

#179 IHCTD9 on 01.07.22 at 1:39 pm

#167 Dumb Tattoos on 01.07.22 at 12:41 pm

I once saw this guy (link below) walk down a concourse at an airport with few thousand people sitting gates waiting to board flights.
———

Tattoos can look great, but it’s a package deal to be done right.

I think Juan Rekers looks awesome. He’s totally covered in tats, but the big beard and hulking physique are what make those tattoos work.

https://beautyphiz.com/some-of-the-best-tattoos-juan-rekers-has

#180 All lies and manipulated u decide on 01.07.22 at 1:42 pm

PS
Their making me ALOT wealthier cause own piles of RE for decades. Taxes up last year 20% building insurance 100% in 3 years. BUT all gets passed off to my commercial tenants. Their all wealthy corps but then pass off their increases in their goods and services to the consumer. The consumer gets killed over time.
The great squeeze is here. I’m a fortunate one that’s just surfing the crazy ass wave.

Its also time to defund the CBC. T2s propaganda machine.
This week, Tara Henley, a former CBC producer, raised a lot of eyebrows with her story about why she resigned after a decade working there: says:
CBC now embodies “some of the worst trends in mainstream media,” she writes. It has embraced the radical woke agenda.

#181 IHCTD9 on 01.07.22 at 1:51 pm

#160 Dr V on 01.07.22 at 11:46 am
145 Sailo

“I like Dolce”

Dolce made a rookie mistake, tripled down on it after it was pointed out to him, insulted several bloggers personally and engineers in general, and never apologized.

A mistake is human and forgivable. The rest is not.
—- –

I like D too, but Dr V is bang on here and this post is straight up wisdom. The steerage section is indeed worth keeping around.

That said, I’ve probably said much worse than D ever has, but you’ve never read it thanks to Mr T’s deft moderation index finger. D likely just fell victim to posting while half in the bag. I’m guilty too :)

#182 IHCTD9 on 01.07.22 at 2:04 pm

#170 Sail Away on 01.07.22 at 1:08 pm

Nobody’s perfect. Except that one guy. So we killed him.

Moral of the story: Don’t be perfect
—- ——

Indeed, nor do we have much choice.

“Life is a long lesson in humility.”

James M. Barrie

#183 All lies and manipulated u decide on 01.07.22 at 2:12 pm

#110 Sail Away on 01.06.22 at 10:07 pm
#101 Ponzius Pilatus on 01.06.22 at 9:08 pm

I visited my West German relatives a few month after the wall came down.
I asked them what they thought about the re-unification.
They said: Put the The Wall back up, just 3 meters higher.
——–
Huh. Last name Trump?
=========================
I know some US Mexicans near the boarder.
They said put the dam wall up its a sh!t show here. They immigrated legally.
They loved the DON.
I asked if he was a racists, the fell over laughing. They attended a lot of his rallys.
Ya wont see that on the telly tube

#184 All lies and manipulated u decide on 01.07.22 at 2:27 pm

#181 IHCTD9 on 01.07.22 at 2:04 pm
#170 Sail Away on 01.07.22 at 1:08 pm
Nobody’s perfect. Except that one guy. So we killed him.
Moral of the story: Don’t be perfect
—- ——
Indeed, nor do we have much choice.
“Life is a long lesson in humility.”
James M. Barrie
=================
LOL loved that.
I just figured out I’m an idiot at times.
How liberating!

#185 Sail Away on 01.07.22 at 2:27 pm

“An Oregon man is going to jail after he bought 15,740 shares of Tesla with pandemic relief funds”

Probably Faron in disguise actually following my Tesla lead while pretending otherwise:

https://www.msn.com/en-ca/money/smallbusiness/an-oregon-man-is-going-to-jail-after-he-bought-15-740-shares-of-tesla-with-pandemic-relief-funds/ar-AASxwHU?ocid=msedgntp

#186 Love_The_Cottage on 01.07.22 at 2:29 pm

I’m not saying O’Toole is right or wrong to champion the rights of the unvaccinated, I’m simply saying he’s not on the side of the majority of public opinion when 90%+ are vaccinated. This is how you end up with Liberal governments for the foreseeable future.

https://www.cp24.com/news/erin-o-toole-urges-reasonable-accommodations-for-unvaccinated-canadians-who-need-to-work-1.5730345

#187 GARY SMITH on 01.07.22 at 2:34 pm

In 2018 we had sold our smaller strata property and looking to upsize (3 young kids, etc). I was reading all the “top of the market” news and prognostications on this site. Purchased in LM anyways.

What happened since? On a 1 million SFH, I gained 300K in equity. I’ll never see the equity of course. It will be passed down to kids- let them worry about it.

But would not be able to get back into the market and have a stability if I held off.

I do think there are headwinds NOW with no choice but to jack up interest rates.