It’s official

A few lenders are pushing five-year mortgage rates close to 4.5% this week. Ten days from now we’ll be a lot closer to 5% home loans. The stress test hurdle will be approaching 7% in late June.

On Monday the Bank of Canada brass told a key committee of MPs (of which I used to be a troublesome member) that its benchmark rate could exceed the ‘neutral’ mark in order to tackle crazy inflation. Neutral is when monetary policy neither stimulates nor retards economic growth. This means something north of 3%. That sounds like a nothingburger until you realize it’s about 2.25% more than right now.

Yikes. That would take the chartered bank prime to almost 5.5%, pushing most HELOCs to 6.5% and seriously increasing the sale of Tums to folks with variable-rate mortgages.

In light of this latest news, it’s more likely Tiff and his crew will jack the BoC rate by three-quarters of a point on June 1st. The US Fed, meanwhile, lights the fuse under its rate rocket next Wednesday. Once used cars are added into Canada’s inflation basket (next month?) our cost-of-living stat will charge ahead to 8%, says Scotiabank. While this is happening, the Chinese Covid lockdowns (26 million people in Shanghai) and the Ukraine war (Russia is waving the nuke threat again) further mess up the supply chain and add to prices.

Pandemics and wars eventually end, granted. But it takes a long time to dampen inflation, which is why CB tightening cycles typically last a year and a half or more. We’ve just started this one, and already Canadian residential real estate is collateral damage.

It’s official. Prices peaked in February. Every single week in March saw a decline. The retreat has picked up in April. Average prices in the GTA burbs, for example, have dropped between 10% and 20% says broker John Pasalis (who hates me). Detached homes in the core are down by single digits. Condos are flat. Sales overall are off by almost 25% – very weird for April (prime rutting season), while listings are up by half. And sales of new homes have cratered. Down 21% last month. (See more below.)

The core issue, say realtors and builders, is extra supply.

But it’s really about price. People stop buying things they cannot actually afford when the cost of financing rises from absurdly cheap to something approaching normal. And look at what new builds now command in Canada’s biggest market:

The benchmark price for new condominium apartments reached a record price of $1,252,515 in March, which was up 17.7 per cent over the last 12 months. The benchmark price for new single-family homes was $1,838,396, which was slightly less than February’s record high, but still up 27.3 per cent over the last 12 months.

Yup. You read that right. The average box on the 34th floor of a slab is $1.2 million. No dirt. Monthly condo fees. Land transfer tax. Property tax. And a vacant home tax if you don’t stay there enough. Oh yeah, and a flip tax if you sell it too soon.

As for newly-built (or pre-con) SFHs – detached, semis or towns – last month total sales of 838 in the GTA were exactly half the number a year earlier, and sit 32% below the 10-year average. But at almost two million bucks each, how can anyone be surprised? Especially when the cost of borrowing money has doubled? And they’re made out of fake wood and face brick?

So, is it any wonder as rates rise sale prices will crumble? FOMO is turning fast into FOOP, in both the new and resale home markets – and increasingly across the nation. Buyers must accept the very real prospect their newly-acquired digs will be worth less in a month, or three, or six. Maybe considerably less. More than the down payment. Then they’re in negative equity, owing more money than their residence is worth.

Meanwhile, foreign buyers have been banned. Vancouver is raising its under-utilized house tax to an insane level of 5%. Ottawa and Toronto are following suit with new ‘vacancy’ taxes. NS has brought in a stiff anti-Canadian ‘welcome’ tax and is making non-resident owners pay crippling come-from-away annual levies. BC is legendary for whacking Alberta owners. PEI hates everyone equally. Just when residential real estate is rolling over, politicians are piling on to pummel the carcass.

By the way, here are some current sales stats for select GTA communities, courtesy of the real estate cartel. Below is the percentage change in low-rise deals in April, compared to March (and remember that almost always sales rise – not fall – in this month of the year).

Aurora -44%
Markham -32%
Mississauga -22%
Oakville -37%
Pickering -46%
Oshawa -29%
Vaughan -26%

 

And for the urban core, the decline is just 14%. Yes, Bunnypatch, WFH is so 2021. Surely you knew this was coming…

About the picture: “This is our girl Rosie,” writes Astrid, in Nanaimo. “She was one of approximately 60 puppies that were taken from a puppy mill on Vancouver Island by the SPCA 11 years ago. She enjoys her daily walks and wants to say hello to every person she meets. Thanks for all the investment advice over the years. Because of this blog we are in good shape to face whatever financial storms are on the way!”

150 comments ↓

#1 Joseph R. on 04.26.22 at 2:31 pm

#88 Investx on 04.25.22 at 9:49 pm
At first I thought the title on the post, “Losing It”, was about the Left’s reaction to Elon Musk buying Twitter.

———————————————————

Look up TSLA today.

Capitalists are leftists?

Actually, lots of right-wingers would agree with you: “Everyone who disagrees with me is a woke leftist.”

#2 crowdedelevatorfartz on 04.26.22 at 2:31 pm

The Real Estate melt is gaining speed.
Good to see.
The Debt flood will be epic.
Long overdue.

#3 twisted_sisters on 04.26.22 at 2:37 pm

‘Just when residential real estate is rolling over, politicians are piling on to pummel the carcass’
______________________________________

I think I figured out why they are doing this. They are trying to get back at the nasty mp of Carleton who had his wife buy up RE and maxed their Helocs as well as their Alberta property holding company. Ahhh those nasty lib buggers are getting their revenge, no?

#4 Be Best on 04.26.22 at 2:43 pm

Yup.. WFH is over! I am shocked at the number of people that think it’s their right to work from home? Now you hear the excuse that we should not take the chance with everyone back in the office? Seriously, if you can go out to restaurants and travel.. I think it’s safe to go back to the office.

#5 crowdedelevatorfartz on 04.26.22 at 2:43 pm

Lessons from Boomers?
The horror.

https://www.burnabynow.com/local-news/past-holds-lessons-in-living-with-long-haul-economic-disruption-5301074

#6 alexinvestor on 04.26.22 at 2:45 pm

IF one truly thinks interest rates are going up to 5%, and 5 year GICs will hit 7%, there’s no point keeping bonds in the portfolio. Bonds will get wrecked … there’s simply no way around this. I’m keeping indexes and cash, and will be very happy to reinvest cash at 7% guaranteed in my RRSP.

GICs are not going to 7%. – Garth

#7 ElGatoNeroYVR on 04.26.22 at 2:46 pm

Randon thoughts:
Does anyone actually pays that posted rate ? Ever since I recall it was prime minus something for the regular borrower ( the best we got a long time ago was prime -1.5 % )
On a separate note :
-What should be banned is the assignment sales, it is disgusting how many condos have only assignemnt sales ,they can all crash and burn.
-ban SFH construction for 3-5 years and instead force duplexes and townhomes ,maybe even 2 level apartment/condo buildings.

#8 Soviet Capitalist on 04.26.22 at 2:48 pm

I wonder how the vacant home tax will be enforced.
The current plan appears to be letting owners self-declare.
My guess is that everyone will simply declare all their properties as occupied even if it’s only raccoons that live in there.

#9 TurnerNation on 04.26.22 at 2:51 pm

When clients ask to go all-cash the advisor could simply reply with the signup links to
TD Slaughterhouse
RBC Inaction Direct
Interactive Borkers
QworstTrade
Scotia Bye-trade
Q-Anon Trade

—– For Dolce to chew on. Oh these guys. Pfizer’s Biontech.

https://investors.biontech.de/node/11931/html#ic5e06a05a31d4c4491031d3208cef8c2_2806
D. Risk Factors
•We may not be able to demonstrate sufficient efficacy or safety of our COVID-19 vaccine and/or variant-specific formulations to obtain permanent regulatory approval in the United States, the United Kingdom, the European Union, or other countries where it has been authorized for emergency use or granted conditional marketing approval.


— The future. I keep mentioning that Ontario’s digital ID will drop this fall.
Indeed it the “news” lately we see more drumming for a case toward “Passports”. Oh yes this is part of the Global Digital ID. It must be sold to us, each region will get a unique marketing influence. We must be sold on the Digital IDs. Stay tuned for this fall…

#10 Søren Angst on 04.26.22 at 2:58 pm

Well Garth, it’s going getting ugly here in Europa and pretty sure the rest of the World.

Russia to suspend gas supplies to Poland (starts Wed)
https://www.bbc.com/news/business-61237519

Germany sending tanks to Ukraine
https://www.bbc.com/news/live/world-europe-61224804

Ukraine war to cause biggest price shock in 50 years – World Bank
https://www.bbc.com/news/business-61235528

——————–

You know, I was wondering why only oil was up a bit today with every Exchange in the Red except the VIX.

Now I know why.

#11 Rook on 04.26.22 at 3:00 pm

For those playing the home game:

FOMO: Fear Of Missing Out

FOOP: Fear Of Over-Paying

#12 RMTL on 04.26.22 at 3:01 pm

Hey Garth,
Thank for today’s post !
What would you think big rising rates both in the US and Canada, while EU soft rising rates will do to exchange rates CADUS and CADEUR?
Trying to see unhedged vs hedged ETFs allocations.
Thanks as always!

#13 Love_The_Cottage on 04.26.22 at 3:05 pm

In light of this latest news, it’s more likely Tiff and his crew will jack the BoC rate by three-quarters of a point on June 1st.
______
In fact based on Tiff’s remarks the market believes there is less of a chance of 75 basis points:

“I’m not going to rule out other options but anything bigger than 50 basis points would be very unusual,” Macklem said.

Short-term yields, already falling before Macklem’s testimony, dropped as investors pared back bets on an even larger hike. Canada’s benchmark two-year yield was at 2.524 per cent as of 1:10 p.m. Ottawa time — a drop of about 11 basis points from Friday’s close.

Odds of a 75-basis-point hike fell to about one-third, from more than 50 per cent earlier in the day.

https://www.bnnbloomberg.ca/bank-of-canada-will-consider-another-half-point-hike-macklem-1.1756627

#14 Mr Fox on 04.26.22 at 3:07 pm

One of my friends who has two variable mortgages, said if his primes get to 5%, he’s bankrupt.
I wonder if this is a reality, the 5% variable mortgages?

#15 Søren Angst on 04.26.22 at 3:07 pm

Forgot to mention in my prior Comment, this in the “misery loves company” Dept.:

The English response…

Ukraine can hit Russia with UK weapons – minister
https://www.bbc.com/news/uk-61226431

——————–

Hopefully this all blows over and is nothing more than brinkmanship.

If it isn’t, fear will take over economies and then we are all in for a rough ride.

#16 Gr on 04.26.22 at 3:08 pm

Some might be interested.

Manganese Could Be the Secret Behind Truly Mass-Market EVs Wanted: Abundant transition metal to electrify the automobile for the global mainstream
https://spectrum.ieee.org/manganese-ev-batteries

#17 TurnerNation on 04.26.22 at 3:11 pm

Thank god we pay the high taxes eh? World class health care system…

https://www.cbc.ca/news/canada/newfoundland-labrador/immigrants-health-care-nl-1.6427885
Anti-racism advocates say expanding access to health coverage could help keep immigrants in Newfoundland and Labrador — a province looking for solutions to its population decline.

— But, Down the memory hole:

https://www.cbc.ca/news/canada/newfoundland-labrador/doctor-shortage-physician-wait-times-clinics-hospital-health-care-1.6179908
1 in 5 Newfoundlanders and Labradorians are without a family doctor, recent research shows
CBC News · Posted: Sep 18, 2021


— We are this close to normalcy, maybe 2 more weeks? As mentioned Q2 2020 every system designed to protect us has been turned against us.

“He wasn’t allowed to visit as his mother died in hospital. Now he’s calling for compassion.
Even after she tested negative twice, he said he still couldn’t see her. ”
https://www.cbc.ca/news/canada/toronto/covid-scarborough-health-network-restrictions-1.6430570

— Shanghai. They are almost back to normal!
Nothing at all to do with Control over Breeding, Feeding and Travel/Movement. Nope.
39 people have died in a city of 26,000,000. The magnitude of this, begs pause and fathom.

.China’s food security, spring harvest threatened by excessive zero-Covid measures at local levels( scmp.com)
.Beijing shoppers clear store shelves as mass testing begins after Covid surge (dnaindia.com)
.Shanghai fences up COVID-hit areas, fueling fresh outcry (reuters.com)
.Shanghai Covid death toll rises as Beijing warns of ‘grim’ situation (trtworld.com)

#18 Stuck in NB on 04.26.22 at 3:14 pm

Maybe, maybe not. Here around the glorious capital du Nouveau Brunswick, insanity continues. New SFD used to be 250-280k before Bill C-19, 360-390k a year ago, and now the same design on the same street lists 500k, sold in 2 days. Still a long way to catch up with the rest of the country. Despite the “backwater” image of this province, lots of opportunity if you are white and French-speaking.

#19 Richard L on 04.26.22 at 3:15 pm

Have a relative who is selling outside the GTA and starting to accept offers Thursday. Has had a bunch of showings in < 1 week on market. It will be interesting to see if an offer is made.

#20 Arctic Gringo: Qalunaaq on 04.26.22 at 3:18 pm

Just received word that a permanent WFH colleague’s offer of 60k over asking (+ one of those personal, feel-good letters to sellers) was accepted. Asking 350000, sold 410000. Does Fredericton count as ‘Bunnypatch?’

Nuts.

Is Carrots more appropriate?

#21 Foresttrail on 04.26.22 at 3:20 pm

Says Broker John Pasalis ( who hates me)
Garth you always say this when you mention his name.

#22 Ballingsford on 04.26.22 at 3:21 pm

For Sale signs should soon start appearing on Investors lawns where they used to say For Rent.

#23 Adam on 04.26.22 at 3:27 pm

Time for Alberta real estate to shine. It has lost a lot of ground over the past 15 years to Vancouver and Toronto. Calgary actually used to be higher priced than Toronto. Now, I bet Alberta will see eiither flat prices, or small steady growth (2-3% a year) while places like Vancouver and Toronto see 30-40% price drops. Everything always returns to mean. Take a look at the teranet HPI numbers and look how skewed everything went in 2016. Calgary and Edmonton are the only two big cities in all of Canada that didn’t participate in the crazy real estate bubble of the last few years.

#24 crowdedelevatorfartz on 04.26.22 at 3:35 pm

@#130 IHCTD9
“She knows without Trudeau, she’d be teaching a Ukrainian language night course at a local College. She’s utterly unqualified for her current and previous positions in government.”

+++

I was thinking an art course teacher at an Easter Egg craft fair in Vegreville Alberta but whatever…..

#25 AM in MN on 04.26.22 at 3:37 pm

Restricting foreign buyers is insane. The capital pouring in works just like exports being sold, only in this case the country is “selling” its relative peace and private property rights.

It is a problem to have so many empty condos in the nicer parts of town, check out Coal Harbour at night.

A better solution is to crank up property taxes on everyone, but give a 1:1 discount on provincial income taxes paid. Everyone pays once, and the city gets more revenue and the nation gets a higher C$ (less inflation), along with all of the construction jobs.

There may be a limit to urban land, but not in the vertical direction.

#26 Søren Angst on 04.26.22 at 3:43 pm

Bulgaria’s gas to be shut off as of tomorrow.

https://twitter.com/rianru/status/1519035989599170560

So now that’s Poland and Bulgaria. I wonder who’s next?

———————-

This is not going to end well for putting fear into the World economy.

#27 Sam on 04.26.22 at 3:43 pm

@alexinvestor Oaken has GICs at 4.5%. 7% looks realistic.

Don’t hold your breath. – Garth

#28 Gb on 04.26.22 at 3:45 pm

GICs are not going to 7%. – Garth

Why not? Current rates on a 4 year are 3.5% already?

#29 Brian on 04.26.22 at 3:55 pm

Only another 4188 points to go on the S&P and the Fed will kill inflation!

#30 Trendy on 04.26.22 at 3:58 pm

This comments section, like much of the online personal finance community, spent too much time studying math and not enough time studying life. Just yesterday Garth talked about recency bias, and now the comments section is riddled with people who think recency bias doesn’t apply to them too.

Just because rates/yields HAVE shot up does not mean they WILL shoot up in perpetuity. You can’t just draw a straight line up because of what recent history is showing. There is a limit to this economy’s capacity for higher rates.

7% GICs? Keep dreaming…

#31 Sonny Kang on 04.26.22 at 3:59 pm

Can anyone please advise where to get these kind of stats for the Great Vancouver area? Thanks.

Aurora -44%
Markham -32%
Mississauga -22%
Oakville -37%
Pickering -46%
Oshawa -29%
Vaughan -26%

#32 Dave on 04.26.22 at 4:01 pm

Significant interest rate hikes should have happened long yime ago. It definitely could have happened in January 2022 but it didn’t.

Sadly it took a war….before crack shacks sold for $2M in 1 day in Vancouver.

A 50%+ correction is needed.

#33 Steven on 04.26.22 at 4:01 pm

$1.2 on the 34th floor.

In Toronto?

My god. Now I am ill.

#34 YVR Renter on 04.26.22 at 4:02 pm

Back in the crazy early 80’s, i was a student who worked 2-3 jobs. I put my savings in short term GIC’s which at that time paid anywhere from 11-18% if my memory is correct. I made money on my money and traveled on it in the summers. Then got married, bought a house in 1984 – mortgage was “only” 12%…but a decent, renovated older starter home in Waterloo was only $70,000. Now cheap builder junk on our rental street are $988,000 for starter homes, single garage, absolutely simple nothing fancy, small lot.

#35 Steven on 04.26.22 at 4:04 pm

GICs are not going to 7%. – Garth

100% correct.

Remember Banks are NOT in the business of helping YOU make money. They are ONLY in the business to make money for themselves.

Now more than ever and they have the politicians in their back pocket til eternity.

#36 NOSTRADAMUS on 04.26.22 at 4:05 pm

REAL ESTATE OFFICE LIGHTS ARE STARTING TO DIM!
MMMM.. With Real Estate sales on the decline, and agents backing up on their office dues, What’s a struggling franchise owner to do to stay afloat? I suspect before too long, a lot of overindebted Broker owners previous lives will flash before their eyes as they bleed out. Let’s take a realistic look at their options. When you cut spending, such as office overhead, advertising, etc. growth collapses. When you’re not growing or even shrinking, what exactly is the justification for losing money? It’s a typical death spiral conundrum, burn capital to show profitless growth or cut spending to show smaller losses while business shrinks. I suspect they will put their happy faces on and first try to outgrow the problem by throwing equity capital at it. When this fails to turn the sinking ship around, they’ll resort to cost cuts. As there are fewer sales, this means fewer secretaries, gala award banquets, etc. Agents with successful closings will find their commission checks slow to be paid. The agents who have backed up on their desk fees will be hounded mercilessly. Even with the cost cutting, revenue growth remains negative. Horror of horrors, this makes it even harder to raise capital to fund losses. The banks become concerned, with financing terms and additional collateral demands only getting worse by the hour. For a number of real estate franchise owners, the following quote would be appropriate. “The light that burns twice as bright, burns half as long, and you have burned so very, very brightly.” Yes the lights really are starting to dim in the real estate offices. Hold on, someone at the door.

#37 willworkforpickles on 04.26.22 at 4:06 pm

There’s that song on the radio from the early 90’s reminiscent of times as today…

…See, when it starts to fall apart
Man, it really falls apart

#38 Gr on 04.26.22 at 4:10 pm

Hi #9 TurnerNation,

You might be interested, if only for entertainment value in todays Ep. 2759a & Ep. 2759b of the ‘X22report’. He gives an option/guess on the Elon Twitter buy info control/access, and the [CB].
It might all be wrong of course with only some added bit to look even remotely possible, so the naïve like me keeps looking at his stuff and to see what the other guy might be saying, keeping in mind it’s probably wrong.
Unless you have some time to waste, and/or you real hate that trump guy, you might not want to bother looking him up at all.

Inflation, the lowering of the buying power of our money,
is going to hurt us all, some more than others. Most unfortunately it will hurt the families and there kids! Especially if buying health food or any food for that mater becomes a problem for them!

And if they have a lot still to pay on there homes it might hurt twice as much as interest rates rise.
Lets hope inflation can be lowered without taking jobs at the same time.
I guess we will find out sooner or later.

Like our blog host has repeated often markets go up, and markets go down, but they go back up and sooner than you might guess. And he’s seen a few ups and down, even seen them coming way before many other do!!
So I’m staying in my balanced investments. The investment guys here all seem much much much smarter than me, and given there historic take on past and present market moves why would you not listen to them after all.
Life’s not prefect, but I believe they are working to help as many as will listen. And one can not say the cost to the information on this blogs is an issue for anyone.

#39 Shawn on 04.26.22 at 4:11 pm

Land Transdfer Ta xwithout the land? Seriously?

The average box on the 34th floor of a slab is $1.2 million. No dirt. Monthly condo fees. Land transfer tax.

******************************
Not being interested in Condos or Ontario I have not kept up on this topic.

You pay land transfer tax on a condo although you don’t get any land?

I think in Halifax when I paid it in 1989 it was called Deed Transfer Tax. It was around 0.5% as I recall. I know it was minimal. The price at that time for an older rental house with two apartments plus a basement apartment was $147,000. I had a list of about 7 conditions in my offer, all accepted.

#40 Bill on 04.26.22 at 4:22 pm

I’m trying to time the market bottom, when is a good time to buy back in?

Garth, you don’t have to answer. Market timing isn’t for everyone.

#41 Joe Lalonde on 04.26.22 at 4:28 pm

Cash…
Many people falsely believe that cash in your account is ‘Cash on Hand’.
Nope.
What is in your account isn’t under your control.

#42 WTF on 04.26.22 at 4:30 pm

RE Slowdown is a Long time coming. Of course nobody responsible wanted to deal with this gasbag so they let it fester. For years. Then hit it with their favorite weapon, tax. Albeit Interest Rates are the real weapon.

Following quickly in its wake? The Health Care system(s) are on life support, no doubt similar game plan, ignore till it becomes critical (which it is already) and pray an external event force the tough decisions required. Health Care is terminal in its present state. Feds and Provinces both own this puppy. Feds wont allow public/private. 2nd Highest funding on the planet, 38th best outcomes. Money isnt the problem, the system is broken.

Next? Taxes, with the average schmuck already getting their pockets picked by every level of government independent of each other. And all based on spending instead of fiscal responsibility. Which is soo 1990’s

Add in “user fees”, inflation, increasing debt/deficit payments , dental, pharma care, $10 Daycare. Will be an interesting next few years in Canuckistan.

The economically suspect LNDP government gonna have to have some seriously delusional discussions to keep their lovefest percolating.

Meanwhile the Cons form a circular firing squad……

#43 Jeff on 04.26.22 at 4:39 pm

Hey Garth

Any way your mortgage broker homies can update us on projected refi’s happening in H2 2022 and beyond. People are in for one heck of a shock.

Cheers

#44 Tron on 04.26.22 at 4:41 pm

I finally convinced my mom this week to sell her 3 bedroom townhouse in Woodstock this week.

If she sold three months ago she’d have netted more than $400,000 on a property she bought for $190,000.

I hope she hasn’t missed her window…

#45 phoenix_rising on 04.26.22 at 4:43 pm

What area does Bunnypatch refer to?

#46 Crystal ball futurist on 04.26.22 at 4:44 pm

While the real estate market cools and NASDAQ heads into recession, the weather is warming up.
For those with low or no debt the near future looks warm, bright and happy.
Let’s put on our sun hats and watch the tide of cheap money recede.
Time to go plan the road trip. Oops have to factor in the high gas price. Oh well, no time to complain, another couple of 100s maybe.

#47 tkid on 04.26.22 at 4:52 pm

The situation with Russia is getting worse.

A month ago Lukashenko of Belarus had a map up on TV showing the Russian army moving into Moldovia. This past week a Russian general outright stated Moldovia was next. Today, a state security HQ in Moldovia’s breakaway province of Transnistria blew up, plus a pair of radio antennas.

https://www.reuters.com/world/europe/blasts-tear-through-state-security-hq-moldovas-breakaway-region-tass-2022-04-25/

https://www.wsj.com/livecoverage/russia-ukraine-latest-news-2022-04-23/card/where-is-transnistria-and-why-is-it-important-to-russia–

https://www.businessinsider.nl/moldova-warns-of-effort-to-create-pretexts-for-conflict-after-explosions-in-pro-russia-separatist-region-transnistria/

The civilian population in the area is now self-evacuating.

#48 Shirl Clarts on 04.26.22 at 4:52 pm

Garth, do you think the stress test will soon be scraped? We haven’t seen 7% pre-approval requirements since probably the 90’s.

#49 Ponzius Pilatus on 04.26.22 at 4:54 pm

#130 IHCTD9 on 04.26.22 at 2:45 pm
#123 Quintilian on 04.26.22 at 12:58 pm
#120 IHCTD9 on 04.26.22 at 11:44 am
“She hasn’t got those either.”

Yes, she does.

IHCTD9, don’t be a bitter Crowdie.

Remember how she mopped the floor with Trump’s goons at the negotiations.

The Gentle Kierkegaard said that:

“Life can only be understood backwards; but it must be lived forwards.”

The woman has full understanding of history, please don’t disparage that knowledge.
___

Lefty’s all tell me mopping the floor with Trump’s Goons is a super easy thing to do though? She cried to get a deal in the EU.

Her knowledge of (Russian) History and Slavic language is about as helpful to her as FM, as my knowledge of obsolete track layer final drive parts would be. Roughly Zip.

She has the job because she does not oppose Trudeau like those (now missing) MP’s who did. She smiles and bobbles, therefore she remains employed as minister of whatever.

If she ever becomes PM herself, she will be the worst PM in Canadian history having “learned” the ropes exclusively from Trudeau. Not to mention she can’t say or do a thing in opposition to Trudeau (even if she is right) without getting fired out the door (Like JWR, et al.). So she doesn’t. Not a single thing. She’s probably the least assertive Western politician who has ever lived.

Some Liberal MP’s such as Joel Lightbound actually swing a pair and will openly rebuke Trudeau knowing they could be next in an ever lengthening procession of cancelled Federal Liberal Politicians. Freeland ain’t one. She knows how her bread gets buttered. She knows without Trudeau, she’d be teaching a Ukrainian language night course at a local College. She’s utterly unqualified for her current and previous positions in government.
—————-
IHTCD0
you’re getting completely unhinged.
Too bad, because I think you’re a fairly decent guy.
You don’t know Freeland.
So you’re in no position to judge her.
I’ve been in accounting/finance for almost 40 years.
And I’ve learned that the top role in Finance is best suited for a Philosopher/Psychologist and a mentor and motivator.
In that position you have enough underlings to crunch the numbers, so you can focus on the big picture.
The last person you want to be in that role is a bookkeeper who can’t see past the numbers.

#50 Cash is King on 04.26.22 at 4:56 pm

HOMEMOANERS & PRETENDERS IN CANADA ARE TOAST
GOOD LUCK KEEPING YOUR HEADS ABOVE WATER AS YOUR PRICES START TANKING AND YOUR EQUITY DISAPPEARS DUMBOS. GLUG GLUG..

#51 Loonie Patient on 04.26.22 at 4:56 pm

Am I a sociopath to be laughing at the schadenfreude of unemployed realtors and Instagram couples deep in mortgage debt that they can’t repay?

#52 vancouver help on 04.26.22 at 4:57 pm

Hi Garth,

Thought your readers may want to ponder this

https://betterdwelling.com/greater-toronto-real-estate-development-files-insolvency-after-inflation-squeeze/

#53 Let them print oil and gas on 04.26.22 at 4:57 pm

The tax farm slaves will eat Teslas..right Garatho

#54 Linda on 04.26.22 at 4:58 pm

Everything is coming up Rosie:) She looks like a very happy pup.

Interesting to hear that adding used vehicles to the ‘basket of goods’ may jack the CPI to over 8%. I guess the possible drop in housing values won’t offset the addition of used vehicles when it comes to determining the rate. Of course, most folks can still afford a vehicle. Housing, not so much.

#55 Observer on 04.26.22 at 4:59 pm

#24 crowdedelevatorfartz on 04.26.22 at 3:35 pm
@#130 IHCTD9
“She knows without Trudeau, she’d be teaching a Ukrainian language night course at a local College. She’s utterly unqualified for her current and previous positions in government.”

+++

I was thinking an art course teacher at an Easter Egg craft fair in Vegreville Alberta but whatever…..

^^^^^^^^^^^^^^^^
Amongst other accomplishments beyond either of your abilities (talking to you CEF and IHCTD9), Freeland is the author of Sale of the Century, a 2000 book about Russia’s journey from communist state rule to capitalism, and Plutocrats: The Rise of the New Global Super-Rich and the Fall of Everyone Else in 2012.

Plutocrats was the winner of the 2013 Lionel Gelber Prize for non-fiction reporting on foreign affairs. It also won the 2013 National Business Book Award for the most outstanding Canadian business-related book.

How many books have you two written?

#56 Linda on 04.26.22 at 5:03 pm

#4 ‘Be’ – the difference is that folks WANT to go out to a restaurant or travel. Having had a taste of living without commuting, having to dress for work, not having to deal with that coworker in the next cubicle or office politics in general one can hardly blame folks for wanting to continue working from home.

#57 JOHN PICKETT on 04.26.22 at 5:15 pm

DELETED (Anti-immigrant)

#58 JEFF13 on 04.26.22 at 5:34 pm

Some might be interested.

Manganese Could Be the Secret Behind Truly Mass-Market EVs Wanted: Abundant transition metal to electrify the automobile for the global mainstream
https://spectrum.ieee.org/manganese-ev-batteries

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

Very interesting article. It seems that manganese might have some potential. I am aware of a few mining projects in potatoland, NB (McCain Estate).

One of the biggest irony about the Russian war is that it makes the energy/EV transition almost impossible to succeed. Russia is a key producer of Nickel, Palladium, Platinum, etc. Without Russian Nickel, I don’t think that the transition to EV vehicle is realistic. Canadian production (Sudbury, Thompson, Voisey Bay) is already in serious decline.
https://www.northernontariobusiness.com/industry-news/mining/with-nickel-reserves-running-out-sudbury-is-an-expensive-place-for-vale-to-do-business-3899669

#59 Big Bucks on 04.26.22 at 5:38 pm

One famous investor in 1975 said,”Canada Savings Bonds will never go to up 20%.”He was correct in 1979 they only went to 19.75%.

#60 ElGatoNeroYVR on 04.26.22 at 5:39 pm

#47 tkid on 04.26.22 at 4:52 pm
The situation with Russia is getting worse.
A month ago Lukashenko of Belarus had a map up on TV showing the Russian army moving into Moldovia. This past week a Russian general outright stated Moldovia was next. Today, a state security HQ in Moldovia’s breakaway province of Transnistria blew up, plus a pair of radio antennas.
============
Fun fact ,Moldovia is not really a historical state per se. Majority of it was culturally part of Romania. The moldavian language is just Romanian with a different accent and regionalized expressions ( think Southern US English vs. proper American English as an example). The current Republic of Moldova was formed by the Russians back in the 1940ˋs . Transnistria has a majority Russian speaking population so thereˋs that.
This whole war is really just a deadly effort to recreate the Russian empire of old.
When dictatorships fail economically they double down on nationalism and historical might of long gone times.
I do agree with your premise ,that Moldova is next as a potential target ,in case it wasnˋt clear.

#61 PeterfromCalgary on 04.26.22 at 5:49 pm

If we could get the federal government to restrain spending interest rates would not have to rise as fast to suppress inflation. Unfortunately, that is unlikely to happen with the NDLiberals in charge. Soon every Canadian will have great tax payer funded teeth but they won’t be able to afford food to chew with them.

#62 ogdoad on 04.26.22 at 5:59 pm

Its official…its over. BB’s is beginning to fade…honey crush, I guess. Need a break. Change the style and go again…later.

Rolling Thunder sounds like a bunch of kids with cards in their spokes…but the memories will last forever. That’s certain.

Og

#63 Ponzius Pilatus on 04.26.22 at 6:02 pm

#58 JEFF13 on 04.26.22 at 5:34 pm
Some might be interested.

Manganese Could Be the Secret Behind Truly Mass-Market EVs Wanted: Abundant transition metal to electrify the automobile for the global mainstream
https://spectrum.ieee.org/manganese-ev-batteries

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

Very interesting article. It seems that manganese might have some potential. I am aware of a few mining projects in potatoland, NB (McCain Estate).

One of the biggest irony about the Russian war is that it makes the energy/EV transition almost impossible to succeed. Russia is a key producer of Nickel, Palladium, Platinum, etc. Without Russian Nickel, I don’t think that the transition to EV vehicle is realistic. Canadian production (Sudbury, Thompson, Voisey Bay) is already in serious decline.
https://www.northernontariobusiness.com/industry-news/mining/with-nickel-reserves-running-out-sudbury-is-an-expensive-place-for-vale-to-do-business-3899669
—————–
Good point.
Putin maybe Evil, put he’s not stupid.
He knows he’s got a lot of stuff that the West needs.
Regarding materials needed for EVs:
I just read an article (sorry no link) that many Western Countries are now stepping up recycling programs to capture more of those metals that are needed to manufacture EV batteries.
Also, I’ve noticed that my local recycling centre is accepting more and more stuff for recycling and is constantly hiring.
Definitely, a growth business to invest in.

#64 Quintilian on 04.26.22 at 6:06 pm

#55 Observer on 04.26.22 at 4:59 pm
#24 crowdedelevatorfartz on 04.26.22 at 3:35 pm
@#130 IHCTD9

“How many books have you two written?”
I would speculate that Crowdie is not a published writer, he would likely declare the reason is he has been too busy working and paying taxes to support which he calls useless freeloaders with PHD’s in “Basketweaving”.

And while I do truly admire the contribution the hard sciences have made toward to the betterment of man; Crowdie may never realize, that life would be less without the enrichment of the human spirit afforded to us by the poets and philosophers, who were the first to release us from the horrible clutches of superstition as they began their quest for truth, and thus science was born.

#65 SI2K on 04.26.22 at 6:06 pm

Why is everyone so invested in herding people back into office buildings from the 1970s? It’ll come back for a while until everyone realizes it’s expensive and terrible for productivity in a contemporary tech and energy landscape. For several years pre-COVID, tech departments especially have been designing their new interior spaces, not necessarily for WFH, but for people to work from the field or while business traveling. They want hoteling for staff and large meeting spaces for when regulators or boards meet. External server farms run the infrastructure to do so. Thassit. That’s the future of office. Have been designing this for government and private clients since about 2018.

Schools similar. They want digital commons to expand reach beyond F2F learning. They want embedded security infrastructure — this alone tells you F2F is a contemporary liability. Barring an about face on gun control in the US, F2F is on its way out. An insight — I work in architecture. $$$$M project designs tell no lies.

#66 Ponzius Pilatus on 04.26.22 at 6:12 pm

#60 ElGatoNeroYVR on 04.26.22 at 5:39 pm
#47 tkid on 04.26.22 at 4:52 pm
The situation with Russia is getting worse.
A month ago Lukashenko of Belarus had a map up on TV showing the Russian army moving into Moldovia. This past week a Russian general outright stated Moldovia was next. Today, a state security HQ in Moldovia’s breakaway province of Transnistria blew up, plus a pair of radio antennas.
============
Fun fact ,Moldovia is not really a historical state per se. Majority of it was culturally part of Romania. The moldavian language is just Romanian with a different accent and regionalized expressions ( think Southern US English vs. proper American English as an example). The current Republic of Moldova was formed by the Russians back in the 1940ˋs . Transnistria has a majority Russian speaking population so thereˋs that.
This whole war is really just a deadly effort to recreate the Russian empire of old.
When dictatorships fail economically they double down on nationalism and historical might of long gone times.
I do agree with your premise ,that Moldova is next as a potential target ,in case it wasnˋt clear.
——————–
Thanks for reminding our North American listeners that this War was a long time in the making.
Putin did not wake up one day, and said “Let’s invade Ukraine”.
I read an article the other day “Putins 1 thousand year war”. This has been going on for a long, long time.
A close study of the history in that region is needed to understand what’s going on.
That’s why Freeland is probably a good source to listen to.

#67 Ponzius Pilatus on 04.26.22 at 6:17 pm

Did I just hear that Charest will scape the Carbon Tax for consumers, if elected?
WT.!

#68 Uncle Thomas on 04.26.22 at 6:18 pm

I have to say that in my area prices are still holding up with everything selling well over asking often times by a hundred or a hundred and fifty thousand. OK instead of them selling in a few days, it’s now a week or more…but still. If you want to know the actual selling prices of RE in your area check out http://www.zolo.ca

#69 IHCTD9 on 04.26.22 at 6:19 pm

#24 crowdedelevatorfartz on 04.26.22 at 3:35 pm
@#130 IHCTD9
“She knows without Trudeau, she’d be teaching a Ukrainian language night course at a local College. She’s utterly unqualified for her current and previous positions in government.”

+++

I was thinking an art course teacher at an Easter Egg craft fair in Vegreville Alberta but whatever…..
——-

FM used to be an enviable post. Now, after CF, we know a Walmart greeter could get the job. No relevant qualifications are required as it turns out. Apparently, there’d even be a collection of fanboi’s coming out of the woodwork trying to validate said non-experience as relevant to the position. Like, a degree in Slavic languages has long been a staple requirement for running a first world economy amirite?

1 Trillion plus in debt, raging inflation, 11 figure deficits, and a Russian history grad as FM – and somehow there are still folks out there who think everything is great.

That’s why LQAM, LCOL, + tax ultra-avoidance is my trident salvo for the next 5 years here at the bunker complex. We elected a squad of nose honkers, and we now transition into a multi-decade slide in national prosperity. It’s not even up for debate, and it’s only just begun.

#70 Penny Henny on 04.26.22 at 6:21 pm

The yields on ZPR and CPD just keep on going up and up.
/s

#71 Brian on 04.26.22 at 6:23 pm

USA’s Blinken says the US is ready to accept a possible peace agreement between Ukraine and Russia, as a result of which Ukraine will become a neutral country.

#72 KLNR on 04.26.22 at 6:23 pm

@#64 Quintilian on 04.26.22 at 6:06 pm
#55 Observer on 04.26.22 at 4:59 pm
#24 crowdedelevatorfartz on 04.26.22 at 3:35 pm
@#130 IHCTD9

“How many books have you two written?”
I would speculate that Crowdie is not a published writer, he would likely declare the reason is he has been too busy working and paying taxes to support which he calls useless freeloaders with PHD’s in “Basketweaving”.

And while I do truly admire the contribution the hard sciences have made toward to the betterment of man; Crowdie may never realize, that life would be less without the enrichment of the human spirit afforded to us by the poets and philosophers, who were the first to release us from the horrible clutches of superstition as they began their quest for truth, and thus science was born.

remember the two old guys from the muppet show?
thats CEF and IHCTD9 :)

https://www.youtube.com/watch?v=pYI5PwwnGj4&list=RD14njUwJUg1I&index=1

#73 Yvr Renter on 04.26.22 at 6:29 pm

#52 Vancouver help
Saw that too. Dug a little more into insolvencies after reading it. If you’re in Van you are familiar with the massive Richmond project near the airport of high and mid-rises, hoped for ground floor retail. They filed insolvency a while back, not. I have luck getting g any funders . I’m actually surprised, thought all the “investors” from Canada & beyond woulda floated that one. It’s blocks upon blocks.

#74 Love_The_Cottage on 04.26.22 at 6:32 pm

#49 Ponzius Pilatus on 04.26.22 at 4:54 pm
And I’ve learned that the top role in Finance is best suited for a Philosopher/Psychologist and a mentor and motivator….
The last person you want to be in that role is a bookkeeper who can’t see past the numbers.
_____________
Exactly. Elon Musk had no experience running a car company or a space company. What he had is leadership experience and a vision. You don’t have an actual rocket scientist running the company.

#75 Stealth on 04.26.22 at 6:40 pm

Great post, what I understood is “keep investing in a broad and diversified fashion all of the time when you have the money”.

When you or your weekend guests have a chance would a post about “investing in a rising interest rate environment” be acceptable?

Thank you

#76 crowdedelevatorfartz on 04.26.22 at 6:53 pm

@#52 vancouver help

That article on builder insolvency is the “trickle of water under the Mortgage Dam”.

Just the beginning.

I’m thinking the average person is more focussed on the looming Summer holidays …..as more and more developements quietly grind to an insolvency halt.

Lets see what mid Oct brings after several interest rate hikes and the Visa bills from Summer start to hit home.

Oh yeah.
Fire Depts will be busy.

#77 schadenfreude on 04.26.22 at 6:54 pm

@ #51 – Am I a sociopath to be laughing at the schadenfreude of unemployed realtors and Instagram couples deep in mortgage debt that they can’t repay?
—————————————————————-
Yes you may as it will be short lived. Too many elected officials up on the hill with the lobby groups are going to be bouncing off the walls as they are invested in the FIRE economy at your expense. In addition there is a whole bunch of actuarial reasons why rates need to go up periodicaly if you’ve ever witnessed negotiations of pension plans.

#78 under the radar on 04.26.22 at 6:55 pm

Noticeable uptick in borrowers looking for private funds. Always happy to find money a temporary home. Private funds on a first, 8 to 10% plus placement fees and legal fees. End of the day about 16%.

Fed will miss on a 2.5 % neutral rate, more like 4 as inflation is running hot, not enough workers for available jobs and China is locking up everyone further snarling supply chains. Fed seems determined. Deeds speak, let’s see.

Musk – my bet he does not get the financing on terms that make sense.

#79 crowdedelevatorfartz on 04.26.22 at 6:59 pm

@#55 Offended Observer
“How many books have you two written?”

+++
I was thinking of writing a best seller or two that wouldn’t put the average Canuck to sleep.

“How to blow $580 BILLION in two years with nothing to show for it ( and other Liberal strategies).
Or
“How to BS your way into the Finance Minister’s chair without really trying”

Anyone want to ghost read the first few chapters?

#80 crowdedelevatorfartz on 04.26.22 at 7:10 pm

@#64 Quinty’s Quandry
“…..that life would be less without the enrichment of the human spirit afforded to us by the poets and philosophers, who were the first to release us from the horrible clutches of superstition as they began their quest for truth, and thus science was born.”

++++
Ahhh yess.
How did we ever survive without poets and philosophers……?
The Dead Poet’s Society.
That would be all the poets that used to squat in the woods, use leaves to clean up afterwards and never washed their hands.
Yuck.
Until someone named “Crapper” invented a flushable toilet.

All while philosophers pondered that age old question , “If a tree in the forest falls on a poet and kills them…..will anyone notice?”

I always love when its a boring news day and the media drag out the local “resident poet”.
Does ANYONE know who the “resident poet” is for their city?
Me either.
How about our “National Poet Laureate “?
Me either.
They are usually some political hack that weaseled their way into another Liberal govt grant for thousands of dollars( $20,000 per annum plus per diems)….. to spew out barely understandable tripe….

A great gig when you can get it.

#81 I don’t know on 04.26.22 at 7:13 pm

30 Trendy on 04.26.22 at 3:58 pm

Well put.

Indeed there are a number of psychological processes at play here. A lot of disinformation as well, which is common for the usual swamp that is social media.

The idea that absolutely everyone who owns real estate is overleveraged. This may be true for some, but definitely not all. A lot of people chose not to pay off debt with rates so low for so long. It made no sense. Many of those people have seen their real estate (and other assets) increase in value tremendously. You never just consider the debt side of the equation.

Another is the person who has been (unwisely) hoarding depreciating cash, and who believes they are the only one following this strategy, and now is their time to shine. The line of people priced out is long, and in-demand inventory will still stay low.

Moreover, with rates rising, that person will have to deploy a larger portion of their (depreciating) cash to be able to carry a property they want to buy. It’s a wash in the end.

There are some deals to be had currently. But greed will prevent the majority of bears from taking advantage. Ditto the stock market bargains that exist out there right now. It’s never a good time to buy for some people.

Our host is also correct regarding GIC’s. It’s unlikely we see 7%.

IDK

#82 Investx on 04.26.22 at 7:22 pm

“This means something north of 3%.”

Well, well, well… the historically low rates will continue to persist for a while.

#83 Ponzius Pilatus on 04.26.22 at 7:27 pm

#79 crowdedelevatorfartz on 04.26.22 at 6:59 pm
@#55 Offended Observer
“How many books have you two written?”

+++
I was thinking of writing a best seller or two that wouldn’t put the average Canuck to sleep.

“How to blow $580 BILLION in two years with nothing to show for it ( and other Liberal strategies).
Or
“How to BS your way into the Finance Minister’s chair without really trying”

Anyone want to ghost read the first few chapters?
——————
A slippery eel.
Is he not?

#84 Observer on 04.26.22 at 7:30 pm

No doubt Ottawa residents, particularly those in the downtown core, are not looking forward to this week-end’s “Rolling Thunder” event.

Guised as a show of respect for vets, apparently some vets aren’t buying it.

Sitting-duck on reddit writes:

I am a veteran, and I believe I’ve met every “vet” that’s coming to harass the city.

Because they are, to a man, and woman, military f-ups.

They joined for the wrong reasons, they butted heads with their seniors, struggled and failed at many of their duties, wound up on the CO’s carpet often enough to leave footprints.

Yes, they were for the most part “honourably” discharged, but without having done much. Oh, they served, no doubt about it. But for them, it was a shitty job in a shitty place, done under duress. To that I say, too flipping bad.

They have taken their contempt for the military and grown it into a hatred for all things authourity, and Justin Trudeau particularly.

He is, after all, the face of a party and subsequent government they didn’t vote for. And that is enough for them to justify their behaviours.

#85 Observer on 04.26.22 at 7:32 pm

My apologies. I thought I had edited out all the bad words, but missed a couple.

#86 AK on 04.26.22 at 7:34 pm

This Is for Shawn.

He obviously doesn’t watch as much BNN as he says he does.

https://ca.news.yahoo.com/crude-oil-going-back-40-154932882.html

#87 Flop… on 04.26.22 at 7:57 pm

#31 Sonny Kang on 04.26.22 at 3:59 pm
Can anyone please advise where to get these kind of stats for the Great Vancouver area? Thanks.
Aurora -44%
Markham -32%
Mississauga -22%
Oakville -37%
Pickering -46%
Oshawa -29%
Vaughan -26%

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

Hey Sonny, go to Zolo, click on ‘Market Stats’

Garth’s talking about low rise for these stats, for me that means buildings 3-4 levels high, dunno.

Sales wise in Vancouver proper Zolo spits out these stats for each type of housing

https://www.zolo.ca/vancouver-real-estate

Detached-45%
Townhome-45%
Condo-15%

If you want to get more regional then just scroll down the bottom.

I saw your surname, a slur against Australians is to call us Kanger Bangers.

I just want you to know I’ve never had sex with a kangaroo.

Or slept in a Tesla…

M47BC

#88 crowdedelevatorfartz on 04.26.22 at 8:02 pm

@#72 KLNR
“remember the two old guys from the muppet show?
thats CEF and IHCTD9 :)”

+++
Damn you to Hell.
I was safe in my anonymity.
Until now.

haiku over.

#89 crowdedelevatorfartz on 04.26.22 at 8:06 pm

@#83 Ponzie’s perjorative praise.

“A slippery eel.
Is he not?”

+++
Praise from Caesar.
I am humbled.

#90 Bob Loblaw on 04.26.22 at 8:08 pm

I still think homes in the core need to drop at least 70%. There is no reason the average home in Toronto should be up 2500% in 40 years when wages only rose 150% during that time.

#91 Steve French on 04.26.22 at 8:15 pm

Well that’s another stinker day on the markets….

Steve.

#92 Observer on 04.26.22 at 8:27 pm

#79 crowdedelevatorfartz on 04.26.22 at 6:59 pm
@#55 Offended Observer
“How many books have you two written?”

+++
I was thinking of writing a best seller or two that wouldn’t put the average Canuck to sleep.

“How to blow $580 BILLION in two years with nothing to show for it ( and other Liberal strategies).
Or
“How to BS your way into the Finance Minister’s chair without really trying”

Anyone want to ghost read the first few chapters?

^^^^^^^^^^^^^

Offended Observer? Why would I be offended? You’re the one I embarassed.

#93 Cici on 04.26.22 at 8:40 pm

Thought I’d rejoice at the thought of some sanity hitting the markets and making shelter somewhat more affordable, but the numbers you’ve provided would be carnage to most families. And I’m just human enough that I could never derive pleasure if it were derived from someone else’s suffering.

Luckily, I won’t have to. I’ve seen this story before in 2017, but it didn’t last long or even pan out before interest rates dropped again to new all-time lows. Besides, those numbers are fantasy. I believe the central banks are trying to talk the market into self-tightening, and for two reasons only: upcoming Fed elections that won’t go well for Team Biden if inflation is rampant and a broken supply-chain due to events taking fold in China. So, the housing market may be softening at the moment, however inventory is so tight that the stock market will probably lay a gigantic turd before the housing market does. However, once the elections are over, I reckon that if the supply chain and trade issues with China are resolved, our friendly central bankers will once again open the money printing spigots and the debt junkies will be back at it again.

#94 Shawn on 04.26.22 at 8:43 pm

I made a mistake

#86 AK on 04.26.22 at 7:34 pm
This Is for Shawn.

He obviously doesn’t watch as much BNN as he says he does.

https://ca.news.yahoo.com/crude-oil-going-back-40-154932882.html

****************************
Fair enough, I did not see that.

#95 Cici on 04.26.22 at 8:48 pm

#90 Bob Loblaw on 04.26.22 at 8:08 pm
I still think homes in the core need to drop at least 70%. There is no reason the average home in Toronto should be up 2500% in 40 years when wages only rose 150% during that time.
_____________________________________________

You’ve brought up a very valid point. And what happens in 35 years, when the Millennials who have hoovered up $2.5 million “starter” homes with average salaries and astronomical debt levels need to sell their homes to fund their retirements? Will the average younger worker be able to shell out a down payment on a 6 250 000 000 home, even with an 80-year amortization?

#96 Ustabe on 04.26.22 at 8:55 pm

#78 under the radar on 04.26.22 at 6:55 pm

Musk – my bet he does not get the financing on terms that make sense.

While I agree with you I’m also certain that it won’t even get that far.

Buying a large, shareholder owned company isn’t easy…sure the Board has accepted his offer but what will the many individual shareholders do? What will the financial guys advising the institutional investors do?

Heck, what will Musk’s own due diligence turn up…will he even want to proceed or will he walk like he did on his promise to fix Flint’s water…or his promise to fully fund the UN’s child hunger program or his many, many other moments where he has flaked out.

This is just another man-child play, Musk Humpers had better not be holding their breath waiting for this to close.

Even the fact that you and I know about the deal makes it even more certain that it is theater.

#97 toronto1 on 04.26.22 at 8:56 pm

honestly this is the start….. the overleveraged have not even felt it yet… when the next two .5 point increases happen you will start to see some people start to worry…

inflation is going to run hot for a while- 9-12 months minimum as the effects of the skyrocketing price and lack of availability of fertilizer as well as the non existent farming season in the Ukraine along with the hundreds and hundreds of ships backed up not able to port in Shangai has not even been felt nor will it for 6-9 months out.

first inventory starts to build and you start hearing about deals falling through- then the RE investors start slashing their price to get out at break even or any cost and its downhill from there.

this is the 1st inning of ball game that is going into overtime…

#98 Reality is stark on 04.26.22 at 9:05 pm

Let’s look on the bright side.
The government goosed the unproductive housing market with the massive increase in money supply. So they know where the wealth is and it’s easy to tax it all back.
The Feds reduce payments to the Provinces, the Provinces reduce payments to the municipalities, and the municipalities jack the mill rate when your property value falls.
They’ll get their money back and you’ll pay.
They may have recklessly overspent but you’ll give them back all of it and more.
Good luck trying to build wealth going forward, you will be facing the taxman in all his glory.
Any gains you have made thus far are illusory, with this much debt it all has to be taxed back.
This is when the fun begins.

#99 Observer on 04.26.22 at 9:09 pm

Sorry Garth, on a roll or something.

The organizer of the coming “Rolling Thunder” bike convoy to Ottawa is promising a peaceful event this weekend, as possibly more than a thousand people arrive for a multi-day rally.

Speaking on Newstalk 580 CFRA’s The Evan Solomon Show, organizer Neil Sheard said the event is meant to “take back” the National War Memorial.

“This is a bike rally to help heal and give back that dignity to that monument that was desecrated by the powers that be,” he said….

When pressed about the presence of notorious far-right figure Chris “Sky” Saccoccia on the itinerary, Sheard claimed he was not involved in the event.

“He has nothing to do with this,” Sheard said. “He’s not a feature in this. He’s got nothing to do with this.”

The “Rolling Thunder” website’s schedule says on April 30 there will be a rally and march at Parliament Hill with “special guest speaker Chris Sky.” He is the only person named on the itinerary….

Saccoccia has been a prominent figure in protests against COVID-19 mandates. He’s been arrested in Winnipeg and Thunder Bay for violating public health orders and was charged in Toronto with uttering death threats, assaulting a peace officer and dangerous operation of a conveyance in 2021.

The Canadian Anti-Hate Network has also documented that Saccoccia has a history of bigoted comments, including Holocaust denial, racism and homophobia.

After being pressed, Sheard acknowledged he is “part of what is happening that day” but insisted there is no relationship between him and Saccoccia. Sheard eventually said Saccoccia has freedom of speech.

https://ottawa.ctvnews.ca/rolling-thunder-organizer-pledges-peaceful-demonstration-but-won-t-speak-to-controversial-guest-1.5877211

#100 David Greene on 04.26.22 at 9:11 pm

Well, according to your own arguments, CEF, you’re not qualified to do so, why would we care?

#79 crowdedelevatorfartz on 04.26.22 at 6:59 pm

@#55 Offended Observer
“How many books have you two written?”

+++
I was thinking of writing a best seller or two that wouldn’t put the average Canuck to sleep.

“How to blow $580 BILLION in two years with nothing to show for it ( and other Liberal strategies).
Or
“How to BS your way into the Finance Minister’s chair without really trying”

Anyone want to ghost read the first few chapters?

#101 crowdedelevatorfartz on 04.26.22 at 9:43 pm

@#92 Offended Observer
“You’re the one I embarassed.”
+++

Embarrassed? Moi?
The only thing I’m embarrassed about is….you misspelled embarrassed…
:(

#102 45north on 04.26.22 at 9:50 pm

vancouver help

good article. There’s a link to this one

https://betterdwelling.com/the-canadian-governments-housing-plan-makes-no-sense-and-wont-happen-bmo/

credit to Yvr Renter and crowdedelevatorfartz

once housing becomes political there’s no such thing as too much

#103 crowdedelevatorfartz on 04.26.22 at 9:52 pm

@#100 David in the Red
“Well, according to your own arguments, CEF, you’re not qualified to do so, why would we care?”

+++
Well.
If we want to talk “qualifications”….
Chrystia Freeland’s “qualifications” as a published author of economic fiction gives her the bono fides as the non finance Finance Minister…..
I’m in.
Can I be the next non finance Finance Minister?
I’ll agree to everything Trudeau says…. nod my head incessantly ….Hell, I’ll work for free.
It’s not every day I get to blow $580 BILLION dollars with nothing to show for it.
I could go on the lecture circuit for the rest of my life on that alone.

#104 Observer on 04.26.22 at 9:59 pm

#101 crowdedelevatorfartz on 04.26.22 at 9:43 pm
@#92 Offended Observer
“You’re the one I embarassed.”
+++

Embarrassed? Moi?
The only thing I’m embarrassed about is….you misspelled embarrassed…
:(

——————

Why would my typo embarrass you? Or me? It has nothing to do with my rebuke to your neverending negative critique of Freeland who is much more intelligent and educated than you are.

Now getting the substance of an argument wrong, that can be embarrassing. You should know.

#105 Brian on 04.26.22 at 10:03 pm

Port Dover Ontario with a population that is a fraction of Ottawa’s has about 100,000 Bikers come into town every single Friday the 13th….why is this too much for Ottawa to manage?

On the 13th they leave again. – Garth

#106 Shirl Clarts on 04.26.22 at 10:04 pm

#72 KLNR on 04.26.22 at 6:23 pm

@#64 Quintilian on 04.26.22 at 6:06 pm
#55 Observer on 04.26.22 at 4:59 pm
#24 crowdedelevatorfartz on 04.26.22 at 3:35 pm
@#130 IHCTD9

“How many books have you two written?”
I would speculate that Crowdie is not a published writer, he would likely declare the reason is he has been too busy working and paying taxes to support which he calls useless freeloaders with PHD’s in “Basketweaving”.

And while I do truly admire the contribution the hard sciences have made toward to the betterment of man; Crowdie may never realize, that life would be less without the enrichment of the human spirit afforded to us by the poets and philosophers, who were the first to release us from the horrible clutches of superstition as they began their quest for truth, and thus science was born.

remember the two old guys from the muppet show?
thats CEF and IHCTD9 :)

^^^^^
These guys are idiots AND old?

#107 neptunian on 04.26.22 at 10:07 pm

FOOP from buyers will lower the # of sales, which seems is already happening; FOMO from sellers will increase # of listings, which is not happening now. the latter will be a key indicator on how soon/much RE bubble burst.

#108 DON on 04.26.22 at 10:23 pm

#65 SI2K on 04.26.22 at 6:06 pm
Why is everyone so invested in herding people back into office buildings from the 1970s? It’ll come back for a while until everyone realizes it’s expensive and terrible for productivity in a contemporary tech and energy landscape. For several years pre-COVID, tech departments especially have been designing their new interior spaces, not necessarily for WFH, but for people to work from the field or while business traveling. They want hoteling for staff and large meeting spaces for when regulators or boards meet. External server farms run the infrastructure to do so. Thassit. That’s the future of office. Have been designing this for government and private clients since about 2018.

Schools similar. They want digital commons to expand reach beyond F2F learning. They want embedded security infrastructure — this alone tells you F2F is a contemporary liability. Barring an about face on gun control in the US, F2F is on its way out. An insight — I work in architecture. $$$$M project designs tell no lies.

***********
Agreed.

There was a news story on the US Federal gov shedding expensive office space for WFH. Makes sense saving taxpayers money. The IT systems can track everything.

They can tell if you are working
They can tell if you are sleeping
They can tell if you are even there
Or out of country now!

Oh you better watch out…you better not pout…

#109 Sail Away on 04.26.22 at 10:40 pm

#96 Ustabe on 04.26.22 at 8:55 pm

Musk – my bet he does not get the financing on terms that make sense.

Heck, what will Musk’s own due diligence turn up…will he even want to proceed or will he walk like he did on his promise to fix Flint’s water…or his promise to fully fund the UN’s child hunger program or his many, many other moments where he has flaked out.

————

Well, U, your facts seem all cattywampus. Let me help you out in regards to our African-American friend:

1. Yes, E did indeed follow through completely on his Flint water pledge, as follows:
https://www.independent.co.uk/news/world/americas/elon-musk-flint-michigan-water-b2011633.html

2. E did indeed donate $5.7B to charity, thereby solving world hunger in one swell foop. As follows: https://fortune.com/2022/02/15/elon-musk-5-7-billion-donation-weeks-after-asking-un-world-hunger/

3, 4-infinity. E has donated millions and millions to charities such as St. Jude, Red Cross, etc. As follows: https://www.vox.com/recode/22394867/elon-musk-foundation-philanthropy-xprize-tesla-spacex

Oh, and as a bonus, he single-handedly saved Ukraine’s internet.

Maybe you’ve done more to help the downtrodden than our hero, but he’s definitely got me beat. What a guy, eh? He just makes the world better.

#110 Flop… on 04.26.22 at 10:54 pm

The snow makes it hard for me to get over the hump.

And by hump, I mean The Rockies…

M47BC

“These 2 Canadian Cities Made The Top 10 Most Affordable Housing Markets In The World.

There are a lot of reasons to choose to live in Alberta, with its stunning natural scenery and access to some of the greatest hikes in the world. However, a new report has also found that Edmonton and Calgary are actually two of the most affordable cities for housing in the world, so now your wallet will be happy too.”

Edmonton was found to be the fourth most affordable city, behind Pittsburgh, Oklahoma City and Rochester in the U.S. Alberta’s representation was strong, as Calgary also made the list, rounding out the top 10.

Affordability was measured using “median multiples,” a price-to-income ratio, which is the median house price divided by the gross median household income before tax.

While Edmonton and Calgary can celebrate their affordability, other Canadian cities were not as lucky. Vancouver was found to have the least affordable housing in Canada and it was also the third least affordable in the world. This has impacted prices in other B.C. markets such as Chilliwack, the Fraser Valley, Kelowna and Vancouver Island.

https://www.msn.com/en-ca/money/finance-real-estate/these-2-canadian-cities-made-the-top-10-most-affordable-housing-markets-in-the-world/ar-AAWq7Y6?li=AAggNb9

#111 Satori on 04.26.22 at 11:29 pm

Ain’t happening here in Kelowna/West Kelowna, guess peeps aren’t reading this blog.

Prices are high, and people are listing and selling fast.

They sell a home and buy a home and up and down is relative. Unfortunately listings are 45% higher than two years ago and people are buying…so what gives??? Maybe no one has read the new, cause they are busy watching Fuff Local News??

#112 Satori on 04.26.22 at 11:38 pm

#10 Søren Angst on 04.26.22 at 2:58 pm
Well Garth, it’s going getting ugly here in Europa and pretty sure the rest of the World.

Russia to suspend gas supplies to Poland (starts Wed)
https://www.bbc.com/news/business-61237519
———————————

Soren – Poland found other resources. No big deal.

#113 Satori on 04.26.22 at 11:52 pm

#67 Ponzius Pilatus on 04.26.22 at 6:17 pm
Did I just hear that Charest will scape the Carbon Tax for consumers, if elected?
WT.!
————————
Canada actually has a ton of forests and wetlands and carbon that absorbs our CO2 emissions… so you tell me if that is worthy of a WT.?

https://www.cbc.ca/news/science/wwf-carbon-ontario-peatland-ecosystems-1.6244304

#114 Beth on 04.27.22 at 12:02 am

#80 crowdedelevatorfartz on 04.26.22 at 7:10 pm
@#64 Quinty’s Quandry
“…..that life would be less without the enrichment of the human spirit afforded to us by the poets and philosophers, who were the first to release us from the horrible clutches of superstition as they began their quest for truth, and thus science was born.”

++++
Ahhh yess.
How did we ever survive without poets and philosophers……?
The Dead Poet’s Society.
That would be all the poets that used to squat in the woods, use leaves to clean up afterwards and never washed their hands.
Yuck.
Until someone named “Crapper” invented a flushable toilet.

All while philosophers pondered that age old question , “If a tree in the forest falls on a poet and kills them…..will anyone notice?”

I always love when its a boring news day and the media drag out the local “resident poet”.
Does ANYONE know who the “resident poet” is for their city?
Me either.
How about our “National Poet Laureate “?
Me either.
They are usually some political hack that weaseled their way into another Liberal govt grant for thousands of dollars( $20,000 per annum plus per diems)….. to spew out barely understandable tripe….

A great gig when you can get it.
———————————————-
Sigh, it’s true. I wrote a chap book (poetry book about 40 poems) a long while ago. I love philosophy, it was based on Titus Adronicus by Shakespeare and Greek mythology about Psyche and Eros… hoping to win some money by entering some contests… good luck in qualifying… you gotta know a who’s who in the ‘situation’ just to get in.

You are right, it is an Elitist Club of which you need ties to before you can get in.

Grrrrrrr!!!!! Those damn Rodents!

#115 Hammersmith on 04.27.22 at 1:43 am

Lowest rates in 300++ years and it’s “ foreigners” fault? What a joke. Socialist manipulation , spending and borrowing vast sums, that’s not the problem? Presto, your house is going up, but at expense of your dollar going down just as fast.

Your dollar is depreciating against goods elsewhere. You’re not making more, but your paying more. It’s called stagflation, and you’re the loser by supporting politics that hoodwink you rather than manage your money.

People telling you otherwise are just liars. Trudeau has borrowed vast amounts and has had to sell mountains of debt to buy the foreign currency he gives away to the WEF. You don’t think Somalia or the global climate cabal takes Canadian dollars do you? Ergo, the value of the Canadian dollar is half what it was 5 years ago internationally. And that’s why your cost of shelter have doubled here.

Raising taxes will accelerate to cover the chasm looming ahead while Canadas resource complex is strangling under the heavy boot of the globalists. Of course this isn’t happening in any other country. No one would be stupid enough to accept the bitter consequences forced on Canadians.

Activism is controlling Canada, not the citizens. Try the Trudeau led activist approach in China or Saudi Arabia, even America, you would get out of the airport.

Canadas a slave state, full of silly non serious people . Who else would let American climate change protestors steal the bread off your table and then provide the criminals comfy hotel beds after the robbery?

Last thought. Trudeau has opened the door to war with Russia. So far he’s virtue signaled with second rate weaponry. But has recently signed off on long range artillery and training troops on the ground.

Doesn’t anyone know that Russia will begin shooting down and destroying those supply lines? Has Trudeau sleepwalked into a hot war where Canadians are killed? If our boys come back in body bags it won’t be possible for Canada to retaliate in any way except a weeping Trudeau at an orchestrated photo op.

Putin won’t hit the US, UK or German forces, that would spark a war. And the U.K, and US are actually ready for war, ( notice France isn’t shipping Russia killing supply). But Canada could be hit free of charge and we can do nothing about it.

Think Mr Trudeau, before our soldiers are committed to fight a war we haven’t the wherewithal to even skirmish. Putin can use Canada as an example without cost. Supplying Ukraine means fighting Russia. There are no punches in battle Justin. You’re not fighting a boozy smoking geezer in a publicity match.

#116 Freeland Pffft on 04.27.22 at 2:45 am

#66 Ponzius Pilatus on 04.26.22 at 6:12 pm

Thanks for reminding our North American listeners that this War was a long time in the making.
Putin did not wake up one day, and said “Let’s invade Ukraine”.
I read an article the other day “Putins 1 thousand year war”. This has been going on for a long, long time.
A close study of the history in that region is needed to understand what’s going on.
That’s why Freeland is probably a good source to listen to.

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

If you actually believe that, consider upgrading from a Canadian academic sycophant to a Russian chess grandmaster.

https://www.amazon.co.uk/Winter-Coming-Vladimir-Enemies-Stopped/dp/1610396200

Garry Kasparov called ALL of this in 2015. A fascinating read for those who can handle more than an online article.

#117 HUNGRY BEAR on 04.27.22 at 4:23 am

Who wants Roubles you ask??

Putin does and if you want natural gas to run your country and keep your families house warm then you better pay with roubles to.

https://www.cnbc.com/2022/04/27/russia-ukraine-live-updates.html

#118 Connie on 04.27.22 at 8:02 am

I notice that you only post pet photos from the readers who compliment your blog and advice. Interesting.

Pet people have superior intellect. – Garth

#119 Happy Biker on 04.27.22 at 8:26 am

Bikers are cool, good to talk to and they are like Garth once you get to know them. Cool.

The Truckers, on the other hand, spew divisive hatred and spread conspiracy theories to block entire thoroughfares, that the Toronto Police and TTC had to use their vehicles to protect the hospital corridor if they came to Toronto. Not cool.

#120 Brian on 04.27.22 at 8:33 am

Could get a little hot in Italy this summer!

Italians banned from overusing air con in a bid to save energy and end reliance on Russian gas.

https://www.euronews.com/green/2022/04/25/italians-banned-from-overusing-air-con-in-a-bid-to-save-energy-and-end-reliance-on-russian

#121 Dharma Bum on 04.27.22 at 9:30 am

Where’s the Happy Housing Crash Everyone Shyster Guy????

We miss you.

#122 crowdedelevatorfartz on 04.27.22 at 9:31 am

@#118 Confused Connie
“I notice that you only post pet photos from the readers who compliment your blog and advice.”

+++

As opposed to people that ridicule his blog and insult him?
How odd.

#123 crowdedelevatorfartz on 04.27.22 at 9:39 am

@#104 Obfuscating Observer
“…neverending negative critique of Freeland who is much more intelligent and educated than you are….”

+++
Never equate “education” with “intelligence”.
Some of the smartest people ( and rich) I have ever met were bereft of a formal education.
Some of the truly stupid were highly educated and painful to watch.
All things being equal.
I would rather hire an energetic, intellectual dullard than a lazy, educated person every day of the week.
More gets done.
They can quote Shakespeare on their own time.

#124 Ustabe on 04.27.22 at 9:41 am

@ #109 Sail Away on 04.26.22 at 10:40 pm

You need a Kleenex after all that?

Do you even read the links you provide or just pick whatever Google barfs up, expecting your narrative to be supported?

From your links: Flint’s water is still a problem except for a couple of schools. Far cry from “I will fix Flint’s water issues.”

And the UN has not rec’d dime one of the promised money, instead some anonymous “charitable” donation has apparently been made to somewhere…typical Musk bafflegab.

#125 millmech on 04.27.22 at 10:07 am

Shipper sold her place, took a 15% price cut and has now set the price for similar homes by that amount. She was the first to sell in her complex and now if someone else needs a quick sale you can expect another 5%-10% reduction to move the unit.
If I were in the market I would be lowballing by 25% just to see who bites and try to play the two most eager to sell owners against each other for the best deal.

#126 Quintilian on 04.27.22 at 10:21 am

https://twitter.com/SteveSaretsky/status/1518816732386791424/photo/1

Hey I read this on the net…don’t know how true it is.

Buyer’s remorse/Collapsing deals:
“…. And they believe [will] be losing only their deposit. This is a myth!”

True, of course. Losing a deposit is just the start of troubles. – Garth

#127 Shawn on 04.27.22 at 10:27 am

Lock in 3.8% for 30 years?

No one knows what inflation will be over the next 31 years. But if you want to lock in a safe 3.83% for 31 years you can.

Province of Manitoba 3.80% 05Sep53

Short Description: Offering of Provincial Bonds

Maturity: September 05, 2053
Coupon: 3.80% per annum
Accrued interest of approximately $2.50 (per $1,000 face value) will be paid by the client on the settlement date.
Price: $99.361 CND per $100 par value.
Yield to Maturity: 3.83% semi-annual; 3.87% annual
Settlement: March 5 2022

The settlement date seems odd, they probably mean May 5.

If a retailer investor buys these you also face a fairly fat bid / ask spread to sell later.

It will be interesting to see if this sells out fast.

I will not be a buyer.

#128 Yukon Elvis on 04.27.22 at 10:53 am

The federal government is looking to give itself new powers to seize and sell off already sanctioned assets from foreign entities, and use the proceeds to help rebuild impacted countries and compensate victims.
It’s a policy change the Liberals have already indicated a desire to use once it passes against sanctioned Russians over their ongoing attacks in Ukraine.
Under the proposed measures, the Special Economic Measures Act—which outlines Canada’s sanctions—would be updated to, among other things, allow the federal government to “take economic measures” in situations where breaches of international peace and security have occurred, when there are acts of “significant corruption,” or where systematic human rights violations have been committed in a foreign state or acts of significant corruption.
Through the changes to the Act, Canada could be empowered to order applicable property to be forfeited, and the funds collected could then be turned around to help rebuild a war-torn country, compensate those victim to human rights abuses or corruption, or generally help restore peace and security.

#129 Bill on 04.27.22 at 11:35 am

On the 13th they leave again. – Garth

Are you suggesting that the bikers will sleep atop their bikes downtown Ottawa for 3 weeks? Is that a conspiracy theory lol

Trudeau is far past his expiration date. Twitter is rocking these days. It’ll be hard to keep a lid on the “so call facts.”

I’m sure that made sense to you. – Garth

#130 Sail Away on 04.27.22 at 11:39 am

#124 Ustabe on 04.27.22 at 9:41 am
@ #109 Sail Away on 04.26.22 at 10:40 pm

You need a Kleenex after all that?

Do you even read the links you provide or just pick whatever Google barfs up, expecting your narrative to be supported?

From your links: Flint’s water is still a problem except for a couple of schools. Far cry from “I will fix Flint’s water issues.”

And the UN has not rec’d dime one of the promised money, instead some anonymous “charitable” donation has apparently been made to somewhere…typical Musk bafflegab.

———

And Ukraine? I thought Elon donated thousands of Starlink systems, free internet to the entire country and free supercharging?

Again, maybe not more than you’re doing, but way more than I am. Olympus may call him back for being too obvious.

#131 Squire on 04.27.22 at 11:39 am

#4 Be Best on 04.26.22 at 2:43 pm
Yup.. WFH is over! I am shocked at the number of people that think it’s their right to work from home? Now you hear the excuse that we should not take the chance with everyone back in the office? Seriously, if you can go out to restaurants and travel.. I think it’s safe to go back to the office.
———————————-
I’m personally not afraid of returning to the office. However, most all offices have not open windows and recirculated air. People tend to come to work even if they have a cold etc so they don’t fall behind in work. If we can find the right balance or at least have some common rules where you stay home and work if you feel a bit off or sick. Otherwise we’re back to the usual of spreading colds and viruses in the work place as pre-covid was.
Many people lack common sense. That’s my main message.

#132 Ponzius Pilatus on 04.27.22 at 11:57 am

#128 Yukon Elvis
That should be interesting.
Many other countries have already sanctioned the same assets and people.
How’s it gonna be split up?
And how will we know if the funds will ever reach the victims, which are millions?

#133 Brian on 04.27.22 at 12:00 pm

DELETED & BANNED

#134 Sail Away on 04.27.22 at 12:03 pm

#131 Squire on 04.27.22 at 11:39 am

People tend to come to work even if they have a cold etc so they don’t fall behind in work. If we can find the right balance or at least have some common rules where you stay home and work if you feel a bit off or sick. Otherwise we’re back to the usual of spreading colds and viruses in the work place as pre-covid was.

———

Colds and flus are good for you. An immune system needs regular exercise, same as the body and mind. Embrace the cough. Share it around to help others.

#135 Summertime on 04.27.22 at 12:05 pm

#117 HUNGRY BEAR on 04.27.22 at 4:23 am
Who wants Roubles you ask??

Putin does and if you want natural gas to run your country and keep your families house warm then you better pay with roubles to.

https://www.cnbc.com/2022/04/27/russia-ukraine-live-updates.html

There will be statues of Putin as the creator of Unified Europe.

He is fast achieving the seemingly impossible unification of Europe (against his dictatorship),
other than that it was about time for Europe to cut off russian energy dependency, for oil there is plenty of alternatives, for natural gas it will be reduced consumption and import of LNG.

A bigger problem will be the shortage of fertilizers.

The poor will pay the bill as always – Africa and Asia.

Latest developments and the constant threats of nuclear war (seriously, many times by russian leaders)
prove the popular saying that being russian is a diagnosis, not a nationality.

They prove that it is best not to have any relationship whatsoever with them, dog forbid a dependency.

#136 IHCTD9 on 04.27.22 at 12:29 pm

#55 Observer on 04.26.22 at 4:59 pm

How many books have you two written?
____

If I’ve written a few books, then am I good to go for Finance Minister?

#137 IHCTD9 on 04.27.22 at 12:34 pm

#49 Ponzius Pilatus on 04.26.22 at 4:54 pm

IHTCD0
you’re getting completely unhinged.
Too bad, because I think you’re a fairly decent guy.
You don’t know Freeland.
So you’re in no position to judge her.
I’ve been in accounting/finance for almost 40 years.
And I’ve learned that the top role in Finance is best suited for a Philosopher/Psychologist and a mentor and motivator.
In that position you have enough underlings to crunch the numbers, so you can focus on the big picture.
The last person you want to be in that role is a bookkeeper who can’t see past the numbers.
____

Well she definitely ain’t seeing the numbers from the looks of it.

If I hired a philosopher to run a horizontal boring mill – how’d you think that would turn out?

#138 IHCTD9 on 04.27.22 at 12:40 pm

#88 crowdedelevatorfartz on 04.26.22 at 8:02 pm
@#72 KLNR
“remember the two old guys from the muppet show?
thats CEF and IHCTD9 :)”

+++
Damn you to Hell.
I was safe in my anonymity.
Until now.

haiku over.
______

Those two crusty old hecklers were a hoot! Best part of the show next to Beaker and the Swedish Chef :)

#139 Observer on 04.27.22 at 12:47 pm

#123 crowdedelevatorfartz on 04.27.22 at 9:39 am
@#104 Obfuscating Observer
“…neverending negative critique of Freeland who is much more intelligent and educated than you are….”

+++
Never equate “education” with “intelligence”.

^^^^^^^^^^^
Why do you think I wrote that Freeland is “much more intelligent AND educated than you are”?

#140 crowdedelevatorfartz on 04.27.22 at 12:51 pm

@#135 Summertime
“There will be statues of Putin as the creator of Unified Europe.”

+++

Will these Putin statues be made from the beheaded Soviet statues?

https://globalnews.ca/news/8788131/kyiv-soviet-monument-dismantled/

Putin’s head on a pike outside the Kremlin in 6 months?

#141 morry on 04.27.22 at 12:56 pm

even rich people are paying less:
The most expensive detached home sold in the past 30 days was at 2958 West 45th Avenue in Kerrisdale for $17 million.

This 8,520 square foot house was on the market for 59 days. It was initially listed for $20.98 million, then dropped to $18.988 million.

This means the seller got 20 per cent less than what they were expecting when it first listed. The property sold on April 2, and was reported as sold on April 14.

#142 WTF on 04.27.22 at 12:56 pm

#125 Millmech” Shipper sold her place, took a 15% price cut and has now set the price for similar homes by that amount. She was the first to sell in her complex and now if someone else needs a quick sale you can expect another 5%-10% reduction to move the unit.
If I were in the market I would be lowballing by 25% just to see who bites and try to play the two most eager to sell owners against each other for the best deal.”

—————————————————————

Agreed, While not even close to that time, A good tactic if listings grow and become moribund, Ruthlessly lowball, then get an inspection, regrind. Be Prepared to walk and move on .

If it gets to that point there will be blood, RE vendor agents will become grief councilors.

The back end of goosing RE for the Political benefit of the day is potentially going to be brutal. The sheep get fleeced, convo’s about how much you have made in RE abruptly stops.

Lost DP’s, Bank of Mom never getting her loan $ back , Mom’s house value dropping so nest egg shrinking, Banks calling in loans. The Benz gets repo’d Bankruptcies, divorce. Carnage

#143 willworkforpickles on 04.27.22 at 1:01 pm

#135 Summertime

There is a big war brewing in the Mideast between Israel and Iran with Iran on the doorstep of nuclear capability.
The annihilation of Israel is a long coveted intent of Iran where nukes could be exchanged in a more real confrontation using them than even with Russia/Ukraine.
Another powder keg very soon to explode guaranteed.

#144 Summertime on 04.27.22 at 1:18 pm

#140 crowdedelevatorfartz on 04.27.22 at 12:51 pm
@#135 Summertime
“There will be statues of Putin as the creator of Unified Europe.”

+++

Will these Putin statues be made from the beheaded Soviet statues?

Maybe, but the heads could be his, his Botox is of a very fine quality, as everything he wears:

coat:
https://www.mirror.co.uk/news/world-news/putins-expensive-fashion-10500-coat-26517337

collection of watches etc.
https://abcnews.go.com/blogs/headlines/2012/06/putins-extravagant-700000-watch-collection

#145 crowdedelevatorfartz on 04.27.22 at 1:27 pm

@#139 Obfuscating Observer
“Why do you think I wrote that Freeland is “much more intelligent AND educated than you are”?”

+++

You’re biased?
:)

#146 Stone on 04.27.22 at 1:49 pm

#118 Connie on 04.27.22 at 8:02 am
I notice that you only post pet photos from the readers who compliment your blog and advice. Interesting.

Pet people have superior intellect. – Garth

———

Where does that put people who have wonderful B&D portfolios?

#147 Lead Alchemist on 04.27.22 at 1:53 pm

Negative equity you say, well you could always walk away. You did once suggest that, many many moons ago.

Not me. Way too consequential. – Garth

#148 Love_The_Cottage on 04.27.22 at 2:37 pm

#139 Observer on 04.27.22 at 12:47 pm
#123 crowdedelevatorfartz on 04.27.22 at 9:39 am
+++
Never equate “education” with “intelligence”.
__________
Why do you think I wrote that Freeland is “much more intelligent AND educated than you are”?
__________
The fact that he didn’t pick up on that is hilarious. Better to keep your mouth shut and be thought a fool…

#149 Phylis on 04.27.22 at 4:38 pm

#136 IHCTD9 on 04.27.22 at 12:29 pm
#55 Observer on 04.26.22 at 4:59 pm

How many books have you two written?
____

If I’ve written a few books, then am I good to go for Finance Minister?
Xxxxxxx
And Smoking Man says yes.

#150 Tony on 04.28.22 at 1:14 pm

The higher interest rates go in America without the American housing market breaking (falling) the harder real estate will fall in Canada. Our interest rates will follow theirs. I seem to be the only one that figured it out well before the fact. No one else gets it.