Defeated

Long-time, addicted blog dogs who, for their own tortured reasons, come here daily will recall mid-2017.

Like now, we’d just been through a real estate tsunami. FOMO everywhere. Crazy prices. People making blind bids after only driving by a property. Sellers reaping windfalls. Then, suddenly (like now), everything changed. Anti-real estate taxes imposed, sentiment shifted, buyers gone and prices plopped.

We chronicled the experiences of one of the pack who sold a place in the burbs for mega-bucks in a multiple-bid situation. Soon thereafter the purchaser backed out, pled personal distress and refused to close. Seller sued buyer. The house was relisted and eventually sold for much less. Months (and buckets of money in legal costs) later the courts ruled the negligent buyer was responsible for huge costs – over half a million.

The story migrated from blog to MSM and became a national cautionary tale on what happens when real estate takes a giant bite out of your backside.

Well, here we are again. Nothing learned. Same story. Same outcomes on the way.

Coincidentally, Tom just passed this on to me from that dark, sad, Millennial-infused place known as Reddit Personal Finance:

Got a pre approval 2 months ago. Our house was appraised by the bank at $900,000. At the time, a very low number in my neighbourhood in what they were going for. Fast forward a few weeks later. The “shift” had happened, prices levelled about. Our realtor didn’t know an accurate number to use as a baseline, since a house hadn’t sold since the shift. One comes up a few doors down from mine, sells for $930,000. A decent bit less than what they were going for at the peak, but still a good amount. Great. I made the now regrettable decision of buying a new place just a day or two after this for $985,000. As long as we sell for 9 we’re good. which seemed like a slam dunk, easily attainable number, even after the shift.

Barely a month after that house sells, mine hits the market. Been up for a week. Viewings died down after the first week. Only got 2 offers on offer day, the best one being 70 grand less than what we ideally need. Now I feel doomed, hopeless. Never in my wildest dreams did I think things could change and drop this quickly as drastically. I’m stressed, not gonna be able to get what I need to close on the other house. I feel defeated.

Hmm. This is a circumstance many will face in the coming weeks. Others will find, pre-closing, that appraisals by increasingly-cautious lenders come up far short of what horny buyers paid in a frenzied budding war in February or March. They may lack the funds to do the deal. Still others may realize a property they paid $1.6 million for six weeks ago is now worth $200,000 less, and decide it’s a better option to walk away from their 5% deposit.

It’s already started. Just as in 2017 a boatload of buyers will discover how messy and expensive it is to wiggle out of a firm house-buying contract. The greatest myth is that forfeiting a fat deposit is the worst outcome. But that would be a dream scenario. For most, that’s but the beginning.

Over the past week, a legal beagle has been circulating this note, headed ‘Buyer’s Remorse’ (likely looking for clients):

In the past 15 days I personally dealt with 5 collapsing deals involving buyer’s remorse. For the first time in 6 years, I’m seeing people intentionally backing out and not completing their deals. My perception is that people who have purchased properties between December and February are feeling that they have paid too much, and they believe that by not completing their purchase, they will only be losing their deposit. This is a myth! …if one of the parties does not complete, the amount paid for the deposit will have nothing to do with the damages to be paid by the breaching party.

So what happens when a terrified, remorseful, financially-stressed buyer tells the seller’s agent they want out of a deal?

First, kiss the deposit goodbye. It sits in a brokerage trust account and stays there until buyer and seller sign a mutual release – which ain’t ever happening. Worse, the buyer might have been working with an agent and signed a BRA stating they’re personally responsible for paying commission on a deal which they want out of. Ouch.

The seller will relist the property at a realistic market value (likely less than the original buyer paid). Meanwhile the seller’s lawyer sues the buyer for potential damages. Eventually the property sells at a discounted price, making it clearer what the claimed damages will be. They include:

  • The difference between the final sale price and the original price offered.
  • Carrying costs on the property incurred by the owner between the original closing date and the new one – mortgage, insurance, property taxes etc.
  • All legal fees paid by the seller.
  • Additional real estate fees or costs resulting from re-listing and marketing the property again. And none of this is tax-deductible.

In short, most people would be better off closing the deal – doing whatever is necessary to raise the funds – then waiting for market conditions to improve before bailing. At least that way legal costs would be contained, your deposit is not lost, you get to live somewhere and retain some control over the situation.

Of course, this could also ruin your financial life. But lust never comes cheap.

About the photo: “For over 10 years now our household has been a diligent reader of The Greater Fool,” writes Gary. “It is our daily dose of information, entertainment, sage advice, and thought provoking content. Probably the last one left on the Internet in this age of misinformation, alternative facts and sometimes downright stupidity. Here is a photo of our first family pooch, Dutch. He was with us from 1997 to 2005 when premature liver failure took him to the great dog park above. He was a Plott Hound mix with a nose bigger than his brain (or so it seemed to me), but a disposition that was highly endearing to the family. We did not know this when we adopted him, but he also had a genetic defect that effectively made him allergic to most grains, meat, or meat byproducts. We had to keep him on a diet of soy-based kibble, which he gladly ate, and make sure he didn’t scarf other foods when we were not looking. One of the memorable days was when we caught him with his head in the kibble bag munching it as fast as he could. That stuff is dry so he swelled up like a stuffed pig. Thought that might be the end of him, but he survived! When our sons played baseball, he came to the games with the family and loved to sit in his own chair. Hated the rain, and one one of those damp games he was in his glory under the umbrella, nice and dry. We can’t help but look at this photo as a metaphor for the pain about to rain down on the Greater Fools who have been paying insane prices for real estate here in Guelph over the past year. I just hope they don’t take the rest of us retired, mortgage-free, balanced and diversified wrinklies with them.”

116 comments ↓

#1 T Rex and the dinosaur clique on 04.28.22 at 3:26 pm

RE: “Only got two offers on offer day, the best one being 70 grand less than what we ideally need. Now I feel doomed, hopeless. Never in my wildest dreams did I think things could change and drop this quickly as drastically. I’m stressed, not gonna be able to get what I need to close on the other house. I feel defeated.”

You should feel like a complete idiot.

Rule of thumb for your future: 500K is your magic number. Never do anything, unless you have a 500K cushion.

70K to crash someone’s finances is just a total joke. 70K is pocket change. I can’t believe someone who is buying houses for just short of a mil cannot come up with 70K

What happens if your roof leaks (35K minimum) or your foundation has a crack (25K) or you need new windows (15-20K).

Anyone who seriously cannot come up with 70K in a pinch, should not be owning a house.

#2 TurnerNation on 04.28.22 at 3:32 pm

For the Schlock Pickers, for these hard economic times it may be the good time for this greasy high interest lender, GSY.TO

— The government taking over senior care? The same entity pushing “Assisted dying” onto us? What do you think will happen when you become sick or a burden and under State care? Cradle to grave government control in Kommunist Kanada. Lifetime Wards of the State.

“The Globe and Mail reports in its Wednesday, April 27, edition that Ontario Liberal leader Steven Del Duca announced Tuesday that if elected his government would adopt a “home-care first” approach to seniors’ care and aim to eliminate for-profit long-term care by 2028…The Liberals are pledging a home-care guarantee that would ensure 400,000 more seniors have access to home care in the next four years, and would boost total base funding….. They are also promising to build 15,000 more assisted living homes over the next decade. The Liberals say they would stop renewing licences for for-profit long-term care homes next year, and would start negotiating and financing the transfer of existing homes to not-for-profit entities and municipalities.” (stockwatch.com)


— The Consp. Theorists always said that cash will be outlawed, everything tracked electronincally to the Fed, which could shut down your online wallet when your social credit score drops. Yep March 2020 kicked off all of this too

“The Financial Post reports in its Wednesday, April 27, edition that deputy governor Timothy Lane says a digital currency sanctioned by the Bank of Canada would likely come in a basic format and rely on private sector innovation to add capabilities. .. (stockwatch.com)

#3 THE DANDADA on 04.28.22 at 3:36 pm

Dutch was one-spoiled pooch.

#4 Nick on 04.28.22 at 3:37 pm

.
Lower Brainland has so much money that even IF prices go down 5%, plenty of rich speculators and money launderers are ready to jump in and bail it out.

#5 B on 04.28.22 at 3:42 pm

Well that didn’t take long. Just wait for the next 0.5 increase and the one after that.

#6 A.C on 04.28.22 at 3:43 pm

Oy. My sister just put in an offer. Will probably get accepted. Can she cancel if there’s deposit yet placed?

Just wondering. Thing is she knew interest rates were rising. Knew the whole foriegn buyer restrictions were coming. She should have waited, even a month.

#7 Froggy on 04.28.22 at 3:45 pm

My only advice is sell your home even if you break even chance of a lifetime

#8 AM in MN on 04.28.22 at 3:49 pm

Welcome to the world of contract law.

Canada, for all of its faults still upholds contracts. This is why people from around the world invest in the first place.

Not holding my breath that it stays this way.

First up is that the natives have a claim on your land, everyone’s land, even if they can’t show proof of prior ownership by their direct ancestors. The fact that so many L/NDP voters feel such guilt about the country’s history is enough to one day cede it all away.

They might settle for a backdoor deal, like “selling” you the water that you use, for a hefty fee, see New Zealand.

The other is the DEI aspect of it. It is now well taught in law schools that British Common Law is racist, and only serves the interests of white heterosexual men, and Judges need to start taking into account historical disadvantages faced by others when deciding cases.

Then it all becomes a banana republic.

#9 CJohnC on 04.28.22 at 3:51 pm

Next door neighbour is in the same pickle. Bought at the top in late February, now trying to sell his old place which he didn’t list until April. Listed old place for 33% above 2021 assessment. Needs the money to close. Just not happening. I wish him luck.

#10 Søren Angst on 04.28.22 at 3:54 pm

“Counte not thy Chickens that vnhatched be, Waye wordes as winde, till thou finde certaintee.”

– New Sonnets, published by Thomas Howell in 1570

[possibly deriving from similar medieval and early modern Latin fables and maxims]

🐣 🥚 🐣 🥚 🐣 🥚

Nothing else to see. Just wanted to use the above poultry appropriate emoji.

#11 Linda on 04.28.22 at 3:54 pm

‘Dutch’ looked like one pampered pooch:)

Today’s blog points out the potential consequences of trying to back out of a deal post signage. Don’t think that will stop folks from trying though. I expect most will hope that the seller won’t pursue the matter through the courts because they simply don’t want the hassle. Given how much money may be involved I’d say that hope is more like a delusion on the part of the backing out buyer.

#12 Tiny Tony on 04.28.22 at 3:58 pm

The pigs get slaughturd.

#13 Captain Uppa on 04.28.22 at 3:58 pm

Is it wrong of me to hope this is happening to all the specu-flippers?

Ideally specu-flippers as the buyer AND seller.

#14 Rook on 04.28.22 at 3:58 pm

This is the thread in question:

https://www.reddit.com/r/PersonalFinanceCanada/comments/ude51t/need_advice_and_insight_bought_a_new_home_a_month/

And this, ladies and gentlemen and others/undecideds, is why you don’t take financial advice from strangers on the internet. As if the good blog dogs here needed to be reminded.

#15 Squire on 04.28.22 at 4:03 pm

#6 A.C on 04.28.22 at 3:43 pm
Oy. My sister just put in an offer. Will probably get accepted. Can she cancel if there’s deposit yet placed?

Just wondering. Thing is she knew interest rates were rising. Knew the whole foriegn buyer restrictions were coming. She should have waited, even a month.

“…But lust never comes cheap.” True dat
—————-
Depends. Was there a condition on her offer ? If so, there’s the ticket.
Never try to catch a falling knife.

#16 Caffeine Monkey on 04.28.22 at 4:08 pm

Who behaves this way?? How does sentiment change so suddenly on the biggest financial transaction that most people will make in their lives? I make snap decisions about a pair of pants. I would never dream of doing that for a car, let alone a house.

All you people *waves hands wildly* are out of your minds!

#17 Nile EST on 04.28.22 at 4:22 pm

What is the use studying to become a doctor ‍⚕️ ‍⚕️ when house flippers get to keep 50% gainz for reselling a Toronto home?
What is the use of life when low interest rates make the property class richer?

#18 NOSTRADAMUS on 04.28.22 at 4:22 pm

HE AIN’T HEAVY HE’S MY BANKER!
Yes Covid-19 was bad— but there is another bad ass coming to town, called Mortgage Fraud. Before too long the long festering Canadian Mortgage Fraud will surface from the bowels of hell. Aided and abetted by the devil and his minions on earth, together they have created the perfect Ponzi scheme to destroy the life savings and dreams of the wee little people. As the well known epicenter for mortgage fraud in Canada begins to implode, the catalyst will turn out to be the fast approaching hike in interest rates. The issue of rising borrowing costs will spread through the financial ecosystem like a malignant virus. Much like COVID-19. Since interest rates affect “PAYMENTS,” increase in rates quickly negatively impacts consumption and most importantly, housing for the wee little people. As a result of the real estate correction (crash), the rampant mortgage fraud will rear it’s ugly head. Much like an iceberg, the bulk of the fraud has hidden out of site of the regulators (three blind mice), out of site, out of mind. The escalating real estate values have understandably made the fraud go parabolic. I have taken the liberty to rename this destructive bemouth, The FRAUD-BERG. After the correction,(crash) the wee little people will be wiped out financially along with their little dreams. Those responsible, the Central Banks with interest rate suppression and their fraudulent cousins, the bent realtors, bent appraisers, bent lawyers, bent mortgage brokers and a whole lot of other bent characters will quietly slip away into the darkness in government supported life boats. Now the dark side, the losses as the result of this made in Canada mind boggling mortgage fraud will total well over 100 BILLION DOLLARS. Fingers will point, wanted posters will go up. But those responsible, being nimble, will close down their predatory shops and move down the hall to a new office with a new company name. Much like plastic surgery, same person, different face. I now stand accused of practicing “BITCH CRAFT” the art of pis*ng people off by telling the truth. On second thought I might be light on my prediction of the 100 BILLION MORTGAGE FRAUD-BERG. And if you think the wee little people will soon be forgotten, think again, They’ll all be singing that old time Gospel song, “He ain’t heavy, he’s my banker.” Hold on, someone at the door.

#19 Søren Angst on 04.28.22 at 4:22 pm

oops…

US economy shrinks, threats loom, but growth likely to last

[1.4% in the 1st Qtr]

https://abcnews.go.com/US/wireStory/us-economy-shrank-14-q1-consumers-spending-84367864

See what the US Fed does next week.

#20 willworkforpickles on 04.28.22 at 4:23 pm

As fear grips the nation. Sounds like a Godzilla flik. RE turned on a dime in the early 90’s too.

#21 Stone on 04.28.22 at 4:23 pm

Yup, another day, another fool. The Reddit story thing is just pathetic. People too cheap to engage professionals to guide them in extremely expensive financial transactions. But hey, spend an hour looking at which cereal to buy…because that’s waaaay more important.

On to better (and more important) things, my B&D is just doing its thing and closed at -4.36% ytd.

Did anyone notice ZPR jumped up 2.57% today. Gotta wonder if all those worry warts on here over the last few days sold it at the bottom. I wouldn’t be surprised. Sigh…Best to sit back and let it ride.

Too many short term horizon gamblers in the comments section versus long term investors.

#22 Paul on 04.28.22 at 4:27 pm

#113 DON on 04.28.22 at 10:05 am
#105 Paul on 04.28.22 at 9:19 am
#65 DON on 04.27.22 at 8:53 pm
Are we in the denial stage right now?

Judging by the comments today.

Better hope our neighbours can handle their payments.
————————————————————————————————
Yes, so many people hopping the real estate market “crashes” sink their neighbours, friends, co-workers, agents,flippers, mortgage brokers, builders, on and on.
Just remember if/when it happens no one will be unscathed!

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

NOPE…Paul, some people are prudent and NOT overleveraged…they will weather the storm.

Those who tapped their paper equity will face the consequences.

Hope is not a factor but Reality is.

You seem worried! I am not.
———————————————————————————————-
The point being you may be fine but when I say unscathed I’m referring to your family, friends, or relatives it called compassion.
For the record I am not worried personally I learned to always live within my means and prosper!

#23 The Regulator on 04.28.22 at 4:29 pm

Pretty soon you’ll be able to pick up repo’ed Audi’s for a song. Lol. Hopefully, the real estate shysters will have plenty of cat food to bulk up their kraft dinners and as a spread on their Ritz crackers. Ha!

#24 Bucky on 04.28.22 at 4:31 pm

Time for a return to common sense practices when selling. Make any offer conditional on the sale of your current property. For dogs sake do not sign a BRA that guarantees the house salesperson a commission even if a deal falls through. Evaluating a deal, including the buyer’s existing home asking price and market, is exactly the kind of service that house salespersons should be doing to justify their commissions. Time for the cowboy salespersons to saddle up and ride out of town.

#25 I’m stupid on 04.28.22 at 4:32 pm

No in the mood today. 41 year old friend died yesterday from a heart attack. He leaves behind a 1 and 3 year old. His kids will never remember him. 30 year friendship, I cannot contain my tears.

#26 Bob on 04.28.22 at 4:36 pm

I well remember the “Derek” saga from a few years back. Then, as now, I’m appalled at people suing for hypothetical damages when a deal falls apart. Regardless, it’s quite easy to protect yourself. If you can’t afford the new place without selling your old one, then for God’s sake make that a condition of your offer. If the seller won’t accept, move on.

#27 Stoph on 04.28.22 at 4:41 pm

Isn’t this why you sell your house before you buy?

This seems pretty obvious to me. Of course you lose out when you sell before you buy when the market is rising fast so perhaps there was a bit of greed (among other considerations) in their decision to buy first and sell afterwards. This situation reminds me of Garth’s wise saying that losing money isn’t the biggest problem, it’s running out of money.

#28 Steven on 04.28.22 at 4:41 pm

#1 T Rex and the dinosaur clique :

Anyone who seriously cannot come up with 70K in a pinch, should not be owning a house.

If the gov’t ACTUALLY applied that common sense idea the past 4 years, few could have bought unless they had a Heloc, bank of mom and dad or were investment groups.

I’d love to know what % of Canadians could come up with 70k in a pinch…..20%?

P.S. Have a look at the fun and games Japan is having with their currency after choosing to defend their .025% rate…..will they be the first start the Domino’s falling this time??? Euro is next.

#29 The Regulator on 04.28.22 at 4:43 pm

The Russian ruble is sitting at 72.75/u.s dollah. I assumed the sanction frenzy would have killed it by now. It’s trading better than before the special operation launched by Russia 2 months ago. What gives? U.S. diesel inventories are way down, same in Europe, not good.

#30 Nostradamus on 04.28.22 at 4:43 pm

Why would I take on a mortgage that is ten times my salary, to get it seized by the Family Court and get evicted from it from the police, because of a bad marriage?

It doesn’t matter if the Toronto home is worth 5 million, if I am forbidden to enter the property due to threats of violence from the cops.

This is the plan in a few years. Many co-owners of these Toronto mortgages are gonna get evicted by the cops and the courts. Just you wait and see.

#31 TurnerNation on 04.28.22 at 4:43 pm

On the Permanent Rolling Economic and Social Lockdowns unleashed onto the Former First World Countries. Get used to the A.I.’s control.
It’s all been planned out. The Long Game.

.Beijing braces for possible return to COVID lockdown as cases mount (sandhillsexpress.com)

“Smart lockdowns to control COVID-19”
https://www.nature.com/articles/s43588-022-00239-8

https://www.economist.com/1843/2022/04/26/locked-down-in-shanghai-ive-caught-a-glimpse-of-our-techno-dystopian-future
“Locked down in Shanghai, I’ve caught a glimpse of our techno-dystopian future”

–For all those people that said Australia/NZ are the “test bed” well follow the money.

.More than 2500 teachers may be sacked or stood down TODAY as Dan Andrews’ Covid booster mandate kicks in across Victorian schools (dailymail.co.uk)


— Almost back to normal here in Kanada. Any day now. In Two More Weeks maybe?

.Justice minister invokes cabinet secrecy around use of Emergencies Act(ottawa.citynews.ca)
.Moderna vaccine manufacturing plant coming to Montreal region (cbc.ca)
.Quebec’s top doctor could recommend end of mask mandate as of May 14 (cbc.ca)


— The young must never again know normalcy.

.At least a dozen U.S. universities reinstate mask mandates as Covid cases rise (cnbc.com)

.”Draganfly Inc.’s Vital Intelligence smart vital kiosks have been implemented in Perry county, Alabama, by the Perry county school district.
Draganfly has installed the Company’s Smart Vital Kiosks, which can provide health screening for students and staff.
Powered by Draganfly’s Vital Intelligence platform, the Smart Vital Kiosks can screen, with voluntary consent, temperature, blood pressure, heart rate, respiratory rate and oxygen saturation (SpO2) in seconds. The system enhances privacy and always registers anonymous data of the individual being screened.

#32 twisted_sisters on 04.28.22 at 4:47 pm

@ T-Rex ‘Anyone who seriously cannot come up with 70K in a pinch, should not be owning a house.’
______________________________________________
Why doesn’t someone at banks tell that to the majority of mortgage owners who can’t afford to miss 1 month’s pay check.

#33 45north on 04.28.22 at 4:50 pm

T Rex: Rule of thumb for your future: 500K is your magic number. Never do anything, unless you have a 500K cushion.
70K to crash someone’s finances is just a total joke. 70K is pocket change. I can’t believe someone who is buying houses for just short of a mil cannot come up with 70K

you’re right $70,000 shouldn’t be a big deal. It points to the precarious position of real estate. If most buyers are stressed out by $70,000 then the whole thing will come crashing down. Like it is.

#34 wuhan we got y'all in check on 04.28.22 at 5:04 pm

Garth – might you have a trailer for your Harley that you can lend? Gotta get the bouncy castle and porta hot tub to rolling thunder Ottawa this weekend.

#35 Inflation on 04.28.22 at 5:07 pm

This is what 485K gets you in big city North Carolina

https://www.zillow.com/homedetails/8640-Paddle-Wheel-Dr-Raleigh-NC-27615/50107593_zpid/

I have seen shacks in Mississauga asking 2 million, eventually people will say what is the point of working if I cannot afford a decent lifestyle, you will not get anyone for the regular service jobs, it will be all students because most working class will not be able to support themselves based on the house prices/rents, in the long run a lot cheaper housing is better for society.

Eventually people will leave Canada if prices don’t come off 25-50%

#36 tkid on 04.28.22 at 5:08 pm

#21 Stone. Stock market is betting on a rate decrease from the Fed given poor GDP numbers, hence ZPR suddenly has value again.

Not a chance. Where do people come up with this drivel?- Garth

#37 An old Wrinkled Gumshoe on 04.28.22 at 5:16 pm

Getting a Judgement in Court is only the first step.
Has the person that owes the money have the funds and assets to pay the court decision. What if they do not, and decide to declare Bankruptcy or offer a Consumer Proposal, offering 10 Cents on the Dollar.
Or as in some cases leave the Province. Getting your money from someone after a Court decision is not as easy it sounds.

It doesn’t sound easy. But worth doing. – Garth

#38 Yukon Elvis on 04.28.22 at 5:22 pm

#29 The Regulator on 04.28.22 at 4:43 pm
The Russian ruble is sitting at 72.75/u.s dollah. I assumed the sanction frenzy would have killed it by now. It’s trading better than before the special operation launched by Russia 2 months ago. What gives? U.S. diesel inventories are way down, same in Europe, not good.
++++++++++
The Russian ruble sits at .014 USD. 72.75 rubles will buy u one USD.

#39 tkid on 04.28.22 at 5:23 pm

*Not a chance. Where do people come up with this drivel?- Garth*

But Garth, Youtube wouldn’t lie to me!

#40 Quintilian on 04.28.22 at 5:24 pm

Thank goodness for the smart left in BC, buyer can back out without clogging the taxpayers’ funded courts.
As usual the left gets it right again

#41 Penny Henny on 04.28.22 at 5:31 pm

I was a seller in Etobicoke in the spring of 2017.
Some time in January met with a couple of agents and selected one in February.
He was telling us just to list it right away, never mind the small little touch ups and such just get it on the market. A less desirable house around the corner had about 100 showings just about a week prior and got some good money. But we didn’t listen and were ready to list in the third week of April.
By that time the market turned. We had only a dozen showings or so, didn’t get anywhere close to what we were hoping for on offer night so we relisted. Chased the market down a bit and finally sold mid May or so.
Misses the peak by about 2 months. Missed out on $100,000 and maybe even more.
Moved to Welland and couldn’t be happier.

#42 Reality is stark on 04.28.22 at 5:32 pm

Therein lies the rub.
“British common law is racist and only serves the interests of white heterosexual men.”
If you are a white heterosexual man over 50 and you sold your house to a 30 something woman and she doesn’t want to close because you were greedy and she pleads poverty the deal will be ripped up by the Judge.
Social justice warriors are victims when it is expeditious.
Contract law is not what you think it is, times have changed.

#43 Reality Check on 04.28.22 at 5:34 pm

21 Stone on 04.28.22 at 4:23 pm
Yup, another day, another fool. The Reddit story thing is just pathetic. People too cheap to engage professionals to guide them in extremely expensive financial transactions.
———————-

Yep. He probably figured he was getting expert advice. After all he wascengaging a “highly trained professional” real estate agent to sell his house and buy another and in the process be paying the guy $35-45,000 in commissions.

He just didn’t understand the agent likely had zero ability to provide sound financial advice. And even if the agent did have a clue financially his only incentive is to make deals and get commissions.

Millions of Canadians are going to find out that, although they purport otherwise, real estate agents are not financial planners.

#44 NOSTRADAMUS on 04.28.22 at 5:38 pm

Garth, as you realize there is only one true Nostradamus, being todays poster # 18, for 5 long years I have tried my best to bring logical content to your blog. Now for reasons unknown you allow a Wanna Be Nostradamus # 30 to impersonate and ride on my coattails. Have I done something to offend you? Please look at the structure and comprehension of each submission. Shoo # 30 away, He is casting a bad light on me . Hold on, someone at the door.

#45 jimmy zhao on 04.28.22 at 5:45 pm

Sometimes it is an overseas buyer that bails out of a sale and you never hear from them again. Good luck suing a ghost.

#46 Leftover on 04.28.22 at 5:47 pm

Note that in most provinces under the standard MLS agreement the agents get paid once the sale is under contract, not upon completion.

So, that deposit? It goes to the real estate agents first, then the seller if there’s any left over.

Sorry Bub.

#47 Reality Check on 04.28.22 at 5:50 pm

24 Bucky on 04.28.22 at 4:31 pm
Time for a return to common sense practices when selling. Make any offer conditional on the sale of your current property. For dogs sake do not sign a BRA that guarantees the house salesperson a commission even if a deal falls through.
—————
But in some jurisdictions BRAs are a tacit requirement to get any agent to work with you. It may not be a written requirement but the real estate association (which is essentially a monopoly) strongly “encourages” agents to make it a condition of representing house buyer/sellers.

So if you want to buy a house through a real estate agent in those jurisdictions you almost always have to sign a BRA.

Just another example of why the non-competitive real estate brokerage industry needs government regulation with teeth.

You have the right to refuse a BRA. – Garth

#48 TheDood on 04.28.22 at 6:02 pm

#1 T Rex and the dinosaur clique on 04.28.22 at 3:26 pm

……Anyone who seriously cannot come up with 70K in a pinch, should not be owning a house.
__________________

Uh, I second this.

70K is not really pocket change though, LOL! But I would go even further – why would you EVER, EVER, EVER (no matter what state the market is in) buy a new house without selling your existing one first? That basic fail (plus it only took ‘pocket change’ to sink them) tells you all you need to know about this person’s financial acumen. Not much more needs to be said.

#49 Penny Henny on 04.28.22 at 6:08 pm

#36 tkid on 04.28.22 at 5:08 pm
#21 Stone. Stock market is betting on a rate decrease from the Fed given poor GDP numbers, hence ZPR suddenly has value again.
////////////////

My guess is that the markets think that the rate hikes will be more dovish.

#50 Penny Henny on 04.28.22 at 6:14 pm

#47 Reality Check on 04.28.22 at 5:50 pm
So if you want to buy a house through a real estate agent in those jurisdictions you almost always have to sign a BRA.

You have the right to refuse a BRA. – Garth

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

Hey what happened to tube top Sandra?

#51 Mattl on 04.28.22 at 6:22 pm

You have to be some kind of stupid to not be able to close on your RE purchase because of a 5%-10 decrease in assessed value. He should have 400K+ in equity in his existing home, if 70K collapses the sale, you may want to consider a permanent helmet.

#52 Victor V on 04.28.22 at 6:27 pm

“Report From Mortgage World: The Message: Yikes

Speaking to an Underwriting Director today

Good sized lender but not a Big Bank

Comparing application unit volume from 3rd week of April 2021 to 3rd week of 2022 in Ontario

Volume was down by 61%

Not as bad in other provinces”

– Ron Butler, Mortgage Guy

https://twitter.com/ronmortgageguy/status/1519798902844796933

#53 Ponzius Pilatus on 04.28.22 at 6:32 pm

#29 The Regulator on 04.28.22 at 4:43 pm
The Russian ruble is sitting at 72.75/u.s dollah. I assumed the sanction frenzy would have killed it by now. It’s trading better than before the special operation launched by Russia 2 months ago. What gives? U.S. diesel inventories are way down, same in Europe, not good.
——————-
May be because Putin insists that oil and gas deliveries are to be paid in rubles.
He may be the Devil, but the Devil is crafty.

#54 Tom from Mississauga on 04.28.22 at 6:34 pm

Looks like diesel is the next supply chain issue

#55 Ken R on 04.28.22 at 6:40 pm

T Rex and the dinosaur clique on 04.28.22 at 3:26 pm

What happens if your roof leaks (35K minimum) or your foundation has a crack (25K) or you need new windows (15-20K).

Anyone who seriously cannot come up with 70K in a pinch, should not be owning a house.

Go down to your local Home Depot and check the empty packages in the plumbing aisle. 70K? They can’t come up with $7 for a fitting they are so broke.

#56 OK, Doomer on 04.28.22 at 6:53 pm

#4 Nick on 04.28.22 at 3:37 pm
.
Lower Brainland has so much money that even IF prices go down 5%, plenty of rich speculators and money launderers are ready to jump in and bail it out.
++++++++++++++++++++++++++++++

I’ll take a wild guess and say that you’re one of the Brainiacs who also said that interest rates will never go up. Right??

Investors with real money can do the math. If they see the price start to drop, they back off and don’t try to catch a falling knife.

Idiot speculators who can’t do math try to rush in early and will probably get reined in by the banks because they don’t have the cash their foolishness.

Having the cash to write a cheque for a million dollars makes you a millionaire.

Being able to borrow a million dollars does not make you are a millionaire.

Math is simple to swallow but hard to digest.

#57 Senator Bluto on 04.28.22 at 6:58 pm

#42 Reality is stark on 04.28.22 at 5:32 pm
Therein lies the rub.
“British common law is racist and only serves the interests of white heterosexual men.”
If you are a white heterosexual man over 50 and you sold your house to a 30 something woman and she doesn’t want to close because you were greedy and she pleads poverty the deal will be ripped up by the Judge.
Social justice warriors are victims when it is expeditious.
Contract law is not what you think it is, times have changed.
+++++++++++++++++

I call BS. How about give us some real world examples instead of spewing racist SJW wish-list garbage??

#58 The Regulator on 04.28.22 at 7:04 pm

# 54 – Tom from Mississauga : Europe is running out of diesel soon. Due to sanctions. This is escalating fast. Something’s gonna give.

#59 DON on 04.28.22 at 7:15 pm

#22 Paul on 04.28.22 at 4:27 pm
#113 DON on 04.28.22 at 10:05 am
#105 Paul on 04.28.22 at 9:19 am
#65 DON on 04.27.22 at 8:53 pm
Are we in the denial stage right now?

Judging by the comments today.

Better hope our neighbours can handle their payments.
————————————————————————————————
Yes, so many people hopping the real estate market “crashes” sink their neighbours, friends, co-workers, agents,flippers, mortgage brokers, builders, on and on.
Just remember if/when it happens no one will be unscathed!

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

NOPE…Paul, some people are prudent and NOT overleveraged…they will weather the storm.

Those who tapped their paper equity will face the consequences.

Hope is not a factor but Reality is.

You seem worried! I am not.
———————————————————————————————-
The point being you may be fine but when I say unscathed I’m referring to your family, friends, or relatives it called compassion.
For the record I am not worried personally I learned to always live within my means and prosper!

***********
My compassion won’t help my family, friends, relatives etc. from facing the consequences associated with being over leveraged at the wrong time. Reality Bites!

People don’t think of long term impacts.

Hence this line of thinking.
“Never in my wildest dreams did I think things could change and drop this quickly as drastically. I’m stressed, not gonna be able to get what I need to close on the other house. I feel defeated.”

People were warned along the way…but they didn’t want to hear it as ‘everyone is doing it’.

Stupidity deserves a lesson learned cause ‘you’re a big kid now’. (them not you).

Why shun the truth?

#60 Dr V on 04.28.22 at 7:44 pm

Apologies if posted already

https://www.cbc.ca/news/canada/british-columbia/bc-commission-real-estate-lawsuit-decision-1.6433370

#61 Observer on 04.28.22 at 7:48 pm

#25 I’m stupid on 04.28.22 at 4:32 pm
No in the mood today. 41 year old friend died yesterday from a heart attack. He leaves behind a 1 and 3 year old. His kids will never remember him. 30 year friendship, I cannot contain my tears.

^^^^^^^^^
Very sorry to read this. 41 is so young. :(

#62 T Rex and the dinosaur clique on 04.28.22 at 7:56 pm

RE: #51 Mattl on 04.28.22 at 6:22 pm

You have to be some kind of stupid to not be able to close on your RE purchase because of a 5%-10 decrease in assessed value. He should have 400K+ in equity in his existing home, if 70K collapses the sale, you may want to consider a permanent helmet.

Exactly what I am saying.

This guy doesn’t have 70K in liquidity, ANYWHERE. No equity, nothing. He can’t come up with 70K

And he is buying a million dollar house.

Just scary.

#63 DON on 04.28.22 at 7:58 pm

#25 I’m stupid on 04.28.22 at 4:32 pm
No in the mood today. 41 year old friend died yesterday from a heart attack. He leaves behind a 1 and 3 year old. His kids will never remember him. 30 year friendship, I cannot contain my tears.

***********
All you can really do, is to make sure your friend’s children hear all about their Dad from his good friend. I’m sorry for your loss. One day at a time.

#64 an investor on 04.28.22 at 7:59 pm

Re; Inflation #35 … “this is what $485K gets you in big city north carolina … eventually people will leave Canada”

I agree with Inflation … And this is what $485K gets you in Scottsdale AZ … which is also infinitely better than anything in Mississauga.

https://www.zillow.com/homedetails/295XX-N-166th-St-Scottsdale-AZ-85262/2071513344_zpid/

As we know, people are already leaving Canada and Ontario had it’s largest exodus ever last year.

#65 Dr.Bob on 04.28.22 at 8:04 pm

Don’t back out of the deal, do like in 2016, buy the house and wait 5 years and you will make money. Houses always go up in price!!! :)

#66 miketheengineer on 04.28.22 at 8:07 pm

Garth et al:

I would like to own this home. I love King City. Just off the 401…feels like the country yet still very close to everything. Now where can I get 4 million? Still very nice.

https://www.realtor.ca/real-estate/24313543/41-prince-adam-crt-king-king-city

#67 Soren Klauss on 04.28.22 at 8:09 pm

I guess the young newcomers have to take on Trudeau student loans, graduate, work at McDonalds after graduation, and have to repay the student loans with interest. Bad deal:

https://www.inclusion.ca/article/immigrants-to-canada-facing-crisis-of-confidence/

#68 Chucker on 04.28.22 at 8:22 pm

Real estate that you will live in as a home should be for the long term. Prices will likely be higher long term than they are today. Just as they are higher today vs 2017.

#69 Habitt on 04.28.22 at 8:25 pm

Lots of nice places for sale for 400k or less between the centre of the universe TO and Vanpucker. Good jobs for now as well. Even east of Montreal. But hey it’s about the important places in this country lol

#70 Ballingsford on 04.28.22 at 8:28 pm

And all of this is happening not because of measurements Gov’t put in place to address the cost of housing. It was the Banks and the slow to react BOC.

Getting messy out there!

#71 Sam on 04.28.22 at 8:30 pm

Hey Garth – perhaps change it up tomorrow and talk about something other than real estate? Your blog has become super negative against people who are simply trying to own their own home while government is making it harder and harder. Markets have been crashing maybe focus on investors tomorrow.

There is no equity market crash and the government is not to blame for house prices. – Garth

#72 Ponzius Pilatus on 04.28.22 at 8:33 pm

#64 an investor on 04.28.22 at 7:59 pm
Re; Inflation #35 … “this is what $485K gets you in big city north carolina … eventually people will leave Canada”

I agree with Inflation … And this is what $485K gets you in Scottsdale AZ … which is also infinitely better than anything in Mississauga.
———————
I’ve been to Phoenix a few times for base ball spring training in March.
Usually already around 35 Celsius at that time.
45 during summer.
Can’t get out fast enough.
And don’t forget the wild fires have already started.

#73 crowdedelevatorfartz on 04.28.22 at 8:48 pm

@#25 I’m Stupid

Crappy.
41 is ridiculously young and two young kids?
Even crappier…
As someone previously mentioned.
The kids will love the “dad” stories when they get older.

#74 Chipmunk on 04.28.22 at 8:55 pm

#35 Inflation: Eventually people will leave Canada if prices don’t come off 25-50%
——————————-
I’ll be one of them – getting out in September. With the news a third of immigrants under 35 are planning on leaving within two years, many more who won’t come and 20% of the construction workforce retiring in the next decade it doesn’t look great for their plans for all this housing they claim they will build – which will probably be all the wrong kind to solve problems. God speed, Canada.

#75 toronto1 on 04.28.22 at 9:15 pm

yea word is out on the street, its over and we really have only had one .5 rate increase with at least two more .5 to go before end of the year in the absolute best case scenerio.

interesting thing about mortgage volume—- means forward sales in 30-60-90 days are going to be very slow—more and more inventory building by then we will have had at least one more .5 hike- some desperation will be out there and the leverage players will sell at cost or a loss they can absorb. it will all go down from there.

other interesting dynamic that has been spoken about on this blog is the percentage of investors in any local market– if its over 15% that local market is screwed as you will soon see they will all want out at the same time. It was mentioned here that it may be 30% in bunnypatch or more– those places are done- it takes a long time for that volume of housing to be absorbed locally- A LONG TIME.

#76 Lee on 04.28.22 at 9:15 pm

#35 Inflation

Nobody is leaving Canada. Except for vacation.

#77 crowdedelevatorfartz on 04.28.22 at 9:39 pm

Hmmm
Why are the Vancouver Police, the RCMP and CSIS investigating the bizarre public murder( assassination?) of two Chinese women in Vancouver’s exclusive Pt Grey district last February?

https://bc.ctvnews.ca/2-women-identified-as-double-homicide-victims-in-vancouver-s-west-point-grey-neighbourhood-1.5789705

Police sources indicate they may have been involved in high end Massage parlors that were in direct competition with other Asian gangs in the City.

Both of the women were from Mainland China and may also have been in direct contact with Chinese Communist Consular officials and well as pro China organizations operating in Canada.

https://globalnews.ca/news/8787644/vancouver-double-homicide-point-grey/

#78 Doug t on 04.28.22 at 9:48 pm

#65 dr. Bob

Some truths there

#79 Doug t on 04.28.22 at 9:51 pm

#63 Don

Sorry man – I feel for his children

#80 Phylis on 04.28.22 at 9:51 pm

#49 Penny Henny on 04.28.22 at 6:08 pm
#36 tkid on 04.28.22 at 5:08 pm
#21 Stone. Stock market is betting on a rate decrease from the Fed given poor GDP numbers, hence ZPR suddenly has value again.
////////////////

My guess is that the markets think that the rate hikes will be more dovish.
Xxxxxxxx
Since we are guessing, I think that since prefs are thinly traded, any selling of pref etfs due to the market direction force the sale of the underlying prefs. Once watchers see the div rates rise, they snap up the individuals, get a bargain, and mop up the low hanging fruit. It’s amplified and uppa again once any johnny come lately come back the the etf. So, let’s call it volatility.

#81 Doug t on 04.28.22 at 9:57 pm

#31 TurnerNation

Keep it coming TN – the world is starting to resemble Blade Runner

#82 Doug in London on 04.28.22 at 10:02 pm

So you just grossly overpaid for a place that’s dropping in value and can’t get out of the purchase? Remember it’s ALL the government’s fault and none of yours. If Pierre Poilievre becomes the next prime minister he’s going to fix everything.

#83 CJohnC on 04.28.22 at 10:09 pm

Just came across this: off topic, but interesting

https://www.cbc.ca/news/canada/british-columbia/vancouver-island-mansion-harry-meghan-yuri-milner-pandora-1.6419328

#84 Grim reaper on 04.28.22 at 10:10 pm

#25 I’m stupid on 04.28.22 at 4:32 pm

No in the mood today. 41 year old friend died yesterday from a heart attack. He leaves behind a 1 and 3 year old. His kids will never remember him. 30 year friendship, I cannot contain my tears.

……….

Condolences for your loss. Too young to die.

Remember what they say. Only two things in life are certain. Death … and the Toronto Maple Leafs losing in round one!

#85 salonist on 04.28.22 at 10:21 pm

soren, you are correct
sometimes they go back to school for a masters, that doesn’t work
sometimes they go to community college,looking for employment, nope
but what may work is the large work force that will retire

is trudeau putting student loan interest into general revenue?

saw a quick post, don’t remember from where
it said americans are flocking to portugal

note
it is said portugal means port of the holy grail

a toronto company buys soiled plastic diapers and makes patio furniture
my wife’s dad bought an unreclaimable spent garage for nothing, in the laurentians
knew some contacts and bought returned patio furniture,from factories for pennies on the dollar and in 3 months he made his front pockets very fat
in quebec a self made man shows his wealth by the bulge in his front pockets

#86 neptunian on 04.28.22 at 10:35 pm

#17 Nile EST on 04.28.22 at 4:22 pm

agreed. this has been making me feel SAD

#87 Sail Away on 04.28.22 at 11:32 pm

Well, it’s off to the Berkshire AGM tomorrow. Fly in to Minneapolis where my bro will pick me up, then stay the night with my bro in S. Dakota before we all hit Omaha.

Oh boy. Sees peanut brittle, Cracker Barrel, imbibing the wisdom of Warren and Charlie, long runs along the Missouri in full sun, visiting the plethora of little Sail Aways… can’t wait. We always sit in the same place near our other convention pals.

#88 Sail Away on 04.28.22 at 11:37 pm

Here’s what $285k gets you in Omaha:

https://www.zillow.com/homedetails/19351-X-St-Omaha-NE-68135/180952725_zpid/

Who would anyone live somewhere that would cost over a mil? It’s just a house. Geez. It provides normal house stuff like they all do.

#89 Cici on 04.28.22 at 11:39 pm

#25 I’m stupid on 04.28.22 at 4:32 pm

Sorry for your loss, that’s really terrible. I agree with the other poster. Do what you can to be available and to provide emotional or any other support to his kids and his wife.

Bring them food, offer to give his wife a hand with the kids or house cleaning so she can take care of funeral arrangements and work through her grief.

He wouldn’t want you to do nothing or to be paralyzed with grief. And remember to be thankful that you were blessed with such an amazing 30-year friendship. Some things are worth so much more than money in this life. Take care and hang in there. Like Don says, one day at a time.

#90 OlderbutWiser on 04.29.22 at 12:55 am

#60 Dr V….thanks for posting that article. This is why it is imperative that people read all of the words in any legal agreement and in particular, the listing agreement. All of these terms are negotiable. It is quite unfair that a seller should have to pay the listing agents commission if the deal fails to close due to no fault of the seller.

I just helped my sister sell her place in February and I saw this condition in the listing agreement that her agent presented to her for her signature. I immediately had it changed such that the commission was only payable on the actual closing and completion of the deal (providing that my sister was not negligent in not closing). I had zero push back from the Agent…other than the fact that he was astonished that I had read the contract LOL!

Please people…take my advice and NEVER sign anything without reading and understanding it first. Do not be embarrassed if you have to ask questions or do not understand some point. Never be rushed to sign any legal document, and never assume that boiler plate agreements have your best interests at heart…

#91 Ustabe on 04.29.22 at 1:50 am

#87 Sail Away on 04.28.22 at 11:32 pm

Well, it’s off to the Berkshire AGM tomorrow. Fly in to Minneapolis where my bro will pick me up, then stay the night with my bro in S. Dakota before we all hit Omaha.

Oh boy. Sees peanut brittle, Cracker Barrel, imbibing the wisdom of Warren and Charlie, long runs along the Missouri in full sun, visiting the plethora of little Sail Aways… can’t wait. We always sit in the same place near our other convention pals

Are you able to still post? We all need your updates on Tesla/Twitter, neither of which are going so well.

Secondly, are you going to rent a Tesla when down there to sleep in? If so you should take a few Lunchables™ to save on food.

Lastly, spring morels are fast approaching peak, are we going to miss your instructions regarding them? I have a couple of good recipes to add value to your pontificating.

#92 millmech on 04.29.22 at 2:13 am

Wow 1450 listings for Kelowna, a new page of listings added daily, will have to watch closely and see if this market stays strong.

#93 Baron on 04.29.22 at 6:34 am

Russian TV today announced “attack on NATO” and “World War 3″. That’s what Putin wants his country to get them ready for what’s to come. What is Canada talking about? How to gut the bikers from driving through Ottawa. Are we sleepwalking into a problem Trudeau can’t fix with cute phraseology and hair flips.

I mean seriously, can anyone in their right mind imagine Justin Trudeau as a war leader? The Canadian military is being torn apart by a WOKE strategy , not the force getting ready for a generational fight. Don’t forget, our military has only 10,000 fully trained soldiers and they’re being vetted for toxic masculinity. It’s not looking good people.

Do you remember that Churchill line ” You might not like war, but war likes you”.

#94 crowdedelevatorfartz on 04.29.22 at 8:44 am

@#93 Baron
“The Canadian military is being torn apart by a WOKE strategy , not the force getting ready for a generational fight. Don’t forget, our military has only 10,000 fully trained soldiers and they’re being vetted for toxic masculinity. It’s not looking good people.”

+++
Yep.
Stalin purges of his military leadership in the 1930’s has nothing on the Woke witch hunt trials going on now.
ALL the ranking leadership is being investigated or replaced with civilians.
I can’t wait to see what happens when we actually have to send them in anywhere to fight and kill other soldiers…
The witch hunts will never end.
The lawyers will earn billions in billable hours.

#95 bob on 04.29.22 at 8:49 am

So similar house sold for 930K slightly below peak.
Then, a few weeks later, definitely past the peak, getting offer of 830K.

Unfortunately you bought absolutely at the peak, a place for 985K.

Assuming you upgraded, take this 830K offer and be grateful! You won, you’re not defeated. Wait longer and you’ll just lose more.

#96 Shawn on 04.29.22 at 9:07 am

The Berkshire Hathaway Meeting

#87 Sail Away on 04.28.22 at 11:32 pm
Well, it’s off to the Berkshire AGM tomorrow. Fly in to Minneapolis where my bro will pick me up, then stay the night with my bro in S. Dakota before we all hit Omaha.

Oh boy. Sees peanut brittle, Cracker Barrel, imbibing the wisdom of Warren and Charlie, long runs along the Missouri in full sun, visiting the plethora of little Sail Aways… can’t wait. We always sit in the same place near our other convention pals.

*******************************
I attended once only. This was back in 2003. Have a great time.

I always listen to the live stream on Yahoo since they started doing that.

Have a great time. Tell Warren I said hello.

#97 Victor V on 04.29.22 at 9:23 am

“I’m hearing stories of appraisals falling short $50-200K. Some on firm deals.

No one is really seeing the full picture of what’s really going on. B/w this & buyers wanting to back out of purchases & sellers price dropping.

Far cry frm January & last 2 yrs.”

https://twitter.com/nasmadotali/status/1520028763328819203

#98 Dharma Bum on 04.29.22 at 9:40 am

#93 Baron

Don’t forget, our military has only 10,000 fully trained soldiers and they’re being vetted for toxic masculinity.
———————————————————————————————————

The Canadian Military (post WWII) is good for one thing.

Day drinking.

I once went to CFB Borden to quote on a millwork job. The commissary was PACKED with uniformed personnel sitting at the tables, guzzling down brewskies as if there was no tomorrow.

It was at that moment I wished I had become a Canadian soldier.

It was also when it dawned on me that we are actually 100% dependent on the U.S. military to protect us should there be an actual threat to our country.

Nevertheless, I’m sure the big breweries are grateful for our esteemed men and women in uniform.

Drink up fellas (and gals, and whatever and however you identify as).

#99 IHCTD9 on 04.29.22 at 9:46 am

#67 Soren Klauss on 04.28.22 at 8:09 pm
I guess the young newcomers have to take on Trudeau student loans, graduate, work at McDonalds after graduation, and have to repay the student loans with interest. Bad deal
________

From the survey results:

“Among those who would not recommend Canada as a place to live, current leadership and the high cost of living were the top two reasons.”

Who would have guessed? People don’t like sky high costs of living and numpty politicians? No way!

Leaving Canada is getting more and more popular with every year Trudeau is at the helm. Really, we’ve only just seen the tip of the iceberg, there are a ton of issues that have yet to be dealt with yet – and we’ll need to elect a new PM before anyone is even going to look at them.

I look at Post-Trudeau Canada today, and think about the Canada I lived in under Chretien, Martin, and Harper. It’s an utter scrap heap today in comparison.

Pick though it, take what’s useful, leave the rest for the Trudeau crusher.

#100 Quintilian on 04.29.22 at 10:05 am

https://torontosun.com/news/national/university-researcher-job-limited-to-women-transgender-non-binary-or-two-spirit-candidates

Hey Crowdie, did your input influence the adoption of this policy?
It has your fingerprints all over it.

University researcher job limited to ‘women, transgender, non-binary, or two-spirit’ candidates

#101 IHCTD9 on 04.29.22 at 10:20 am

I was in Kingston yesterday, diesel was 2.24/litre. That’s a $288.00 fill up from empty in my ’91 C2500. They’re calling for shortages in Europe, we all just ate more Liberal Carbon Taxes this moth with more to come, more inflation sure to come, and a sinking CAD where Oil spikes don’t seem to help the currency as much as it used to (Trudeau policy scares the traders), is also set to cost drivers more.

So, 3.00 Diesel in 2022? It’s looking possible. Maybe a few more Carbon Tax hikes will get us there. Diesel at 3.00 will mean the BOC’s job gets even tougher as **EVERYTHING** goes up when Diesel spikes. 3.00/litre would be a $385.00 fill-up in the ’91, and 165.00 in Ms. IH’s Mazda. It would cost $3402.00 to fill up the two 150 gallon tanks in your typical semi tractor-trailer.

Messy stuff coming down the pipe in our Post-Trudeau banana republic.

#102 IHCTD9 on 04.29.22 at 10:39 am

#94 crowdedelevatorfartz on 04.29.22 at 8:44 am
@#93 Baron
“The Canadian military is being torn apart by a WOKE strategy , not the force getting ready for a generational fight. Don’t forget, our military has only 10,000 fully trained soldiers and they’re being vetted for toxic masculinity. It’s not looking good people.”

+++
Yep.
Stalin purges of his military leadership in the 1930’s has nothing on the Woke witch hunt trials going on now.
ALL the ranking leadership is being investigated or replaced with civilians.
I can’t wait to see what happens when we actually have to send them in anywhere to fight and kill other soldiers…
The witch hunts will never end.
The lawyers will earn billions in billable hours.
____

Indeed. My eldest was wanting to join the CAF as an officer for a time. Even went through the whole formal application process, reliability screening, aptitude test, medical exam, personal interview, and ultimately received acceptance into RMC. In the end, he decided to take CS and declined.

I’m glad he did looking at what’s going on over there now. He is a White Hetero Male after all. Best to leave those CAF positions for the “woke approved”. Hopefully they are good at killing.

#103 Summertime on 04.29.22 at 10:39 am

#76 Lee on 04.28.22 at 9:15 pm
#35 Inflation

Nobody is leaving Canada. Except for vacation.

Nobody sane is coming.

Most of the working age are living.

Canada is insanely expensive with nothing to do in the large cities except work.

There is no more expensive working class cities in the world. Considering the cheap labour/low pay and high taxes, ultra high cost of living does not make any sense at all.

It also speaks very badly of the intellectual capabilities of the populace.

#104 Slim on 04.29.22 at 11:00 am

Looks like Twitter found a Greater Fool in Elon Musk.

#105 IHCTD9 on 04.29.22 at 11:23 am

#75 toronto1 on 04.28.22 at 9:15 pm

It was mentioned here that it may be 30% in bunnypatch or more– those places are done- it takes a long time for that volume of housing to be absorbed locally- A LONG TIME.
_____

It’ll be more. There are used subdivision houses up for sale here locally (more like Hicksville than Bunnypatch) for 1 Million. That compares to 500K 4 years ago.

When Trudeau came to power, the average sale price for a local SFD was about 230K. Today it’s almost 750K. That’s what happens when politicians sit on their policy hands watching the country go to hell while doing nothing about it.

There are few FTHB households here that can afford these prices. Locals who HELOC’d in were just trying to make money, and are smart enough to understand the ship has now sailed. They’re all trying to bail out now, but it’s clear all these 700K+ homes (worth 350K) aren’t moving. We’ll be back to decent places for 400K before too long unless the exodus out of the GTA continues for whatever reason (don’t get me wrong, I know there are still reasons aplenty).

Prince Edward County has already logged a Y/Y drop of 12% for March, and sales are down ~50%. No one local buys there obviously. I think the GTA clique is tapping out. This event would signal the final bell for bubbly prices out in the sticks.

#106 IHCTD9 on 04.29.22 at 11:54 am

#100 Quintilian on 04.29.22 at 10:05 am
https://torontosun.com/news/national/university-researcher-job-limited-to-women-transgender-non-binary-or-two-spirit-candidates

Hey Crowdie, did your input influence the adoption of this policy?
It has your fingerprints all over it.

University researcher job limited to ‘women, transgender, non-binary, or two-spirit’ candidates.
_____

CEF added the two-spirit part. He drinks Rum and Whiskey.

#107 Mattl on 04.29.22 at 12:18 pm

#92 millmech on 04.29.22 at 2:13 am
Wow 1450 listings for Kelowna, a new page of listings added daily, will have to watch closely and see if this market stays strong.

—————————————————–

It won’t, it never does. Kelowna RE typically is flat for 5-10 years then big jump, decline, then flat. That pattern will play out again. While I love Kelowna, and think it is an amazing place to live, the prices make no sense.

And FWIW a 10YO spec in The Lakes just sold for 1.5MM, 5 days. So there still are some stragglers that don’t understand the market is turning over. I suspect homes like that will decline to around a million over the next few years. And poor value at that.

#108 DON on 04.29.22 at 12:45 pm

#101 IHCTD9 on 04.29.22 at 10:20 am
I was in Kingston yesterday, diesel was 2.24/litre. That’s a $288.00 fill up from empty in my ’91 C2500. They’re calling for shortages in Europe, we all just ate more Liberal Carbon Taxes this moth with more to come, more inflation sure to come, and a sinking CAD where Oil spikes don’t seem to help the currency as much as it used to (Trudeau policy scares the traders), is also set to cost drivers more.

So, 3.00 Diesel in 2022? It’s looking possible. Maybe a few more Carbon Tax hikes will get us there. Diesel at 3.00 will mean the BOC’s job gets even tougher as **EVERYTHING** goes up when Diesel spikes. 3.00/litre would be a $385.00 fill-up in the ’91, and 165.00 in Ms. IH’s Mazda. It would cost $3402.00 to fill up the two 150 gallon tanks in your typical semi tractor-trailer.

Messy stuff coming down the pipe in our Post-Trudeau banana republic.

*********
Yah…I read about the chatter about Diesel going up even more. Dog help us. The big players in the World are seemingly engaged in a financial war and for sure another proxy military war.

Reports that Russia is placing landmines as they retreat to annex South East Ukraine. New buffer zone? Then last night I came across chatter in the media about Poland moving into Western UKraine to peacekeep? According to the chatter Poland believes West Ukraine, historically belongs to them. Hopefully this is all propaganda.

#109 Editrix on 04.29.22 at 12:56 pm

Only an idiot buys a house before selling the one he is living in.

#110 jess on 04.29.22 at 1:01 pm

Will Mr.musk erase his insincerity while he searches for truth?

…”musk claims to have supported Obama but that today’s democratic party has been hijacked by extremists? meanwhile Obama’s party is led by Obama’s V.P. and the other party is led by the guy who tried to orchestrate a coup,so he claims its the democrats are extremists?

“I don’t care about the economics at all.”
“eventually, they run out of other people’s money, and then they come for you.”More recently, he spoke out against government subsidies and tax incentives for US businesses. In a recent interview with TIME, he said the government was not a good “steward of capital.”
And at a Wall Street Journal summit this month, “just delete” all subsidies from the $1 trillion infrastructure bill

Musk’s companies, including Tesla, received an estimated $4.9 billion in government subsidies.

Here’s a look at some of the federal and state-level government subsidies that have contributed to building Musk’s empire.

https://www.businessinsider.com/elon-musk-list-government-subsidies-tesla-billions-spacex-solarcity-2021-12#spacex-signs-a-653-million-contract-with-the-us-air-force-in-2020-2

#111 Quintilian on 04.29.22 at 1:06 pm

#106 IHCTD9 on 04.29.22 at 11:54 am

“CEF added the two-spirit part. He drinks Rum and Whiskey.”

Too too funny.

But I picture Crowdie as a groovy kinda guy, with a hash pipe, a bag of mashrooms.

#112 jess on 04.29.22 at 1:12 pm

https://tradingeconomics.com/canada/gdp

====================================From the CBC;

…”The changing legal landscape around short-term rentals includes more rigorous standards and could result in extra damages for plaintiffs, especially if a court finds owners and operators weren’t following local laws.

“You may expose yourself as an operator or a host to additional liability, for example, if you try to get around municipal licensing and operate on a short-term basis without meeting municipal requirements,” said Laura Gurr, a partner with Cohen Highley LLP who specializes in condominium and affordable housing law.
Ontario lawsuits illustrate hosting liability risks

Condo corps may be at risk with licensing

Gurr said cases like these illustrate the need for owners and hosts to understand liability risks. She said that’s especially important in multi-residential buildings, where condo corporations could find themselves on the hook for damages, even when a condo is being used as a clandestine hotel without the corporation’s knowledge. …

She said much of her work involves shutting down surreptitious short-term rentals because they are creating problems for other owners in the building.

“I see it in my practice probably once a month,” she said. “Particularly when you have common amenities like a pool, having a short-term rental can place a particular strain on those types of amenities and it creates a lot of conflict with occupants who are owners.”

For that reason, London, Ont., is proposing a bylaw that would require short-term rental owners to get written permission from their condo board in order to qualify for a licence.

The city is also going further than most municipalities when it comes to insurance requirements, proposing that anyone hosting guests through an online short-term rental service must have at least $5 million in liability insurance to operate. …

https://www.cbc.ca/news/canada/london/airbnb-ontario-hosting-lawyer-1.6431779

#113 IHCTD9 on 04.29.22 at 1:15 pm

#93 Baron on 04.29.22 at 6:34

Don’t forget, our military has only 10,000 fully trained soldiers and they’re being vetted for toxic masculinity. It’s not looking good people.
———-

I think Orwell had it figured out:

“People sleep peaceably in their beds at night only because rough men stand ready to do violence on their behalf.”

Like it or not, these rough folks are your typical “toxic Males”. They aren’t scared, they love a fight, they’re in their glory when most run in fear. Do I want a troop of third wave feminists and woke ideologues charging into the heat battle to defend the country?

Hell no. I want the baddest MF’s in the country on the front line. I want guys who’d be in jail if it weren’t for the war. I want bro’s who shoot first and ask questions later. I want the best, and when it comes to killing folks; the best aren’t a bunch of SJW protesters with dyed red hair and stupid looking eyewear.

Human evolution has dictated “toxic” dudes like these must exist in number. That’s because historically, someone has to kick ass and take names. Most folks aren’t cut out for it.

If some dude who is an apparent killing machine gets booted from the CAF because he dropped his pants in front of a girl 30 years ago at a drunken frat party as a teenager… Well, we definitely got the wrong people running the show.

#114 IHCTD9 on 04.29.22 at 2:12 pm

#111 Quintilian on 04.29.22 at 1:06 pm
#106 IHCTD9 on 04.29.22 at 11:54 am

“CEF added the two-spirit part. He drinks Rum and Whiskey.”

Too too funny.

But I picture Crowdie as a groovy kinda guy, with a hash pipe, a bag of mashrooms.
—— –

CEF is a cool Cat. I know he’s not a Cat guy, but still, he’s a blog dog rockstar :)

https://www.youtube.com/watch?v=_1hgVcNzvzY

#115 Tony on 04.29.22 at 2:57 pm

Re: #44 NOSTRADAMUS on 04.28.22 at 5:38 pm

I was one race away from being crowned Nostradamus 2021 at Woodbine and Mohawk racetrack. I picked Bulldog Hanover out of a group for over 2,000 yearlings in 2019 to win the 2021 North America Cup. The horse only sold for $28,000 as a yearling. He went off as the 3 to 5 favourite and had what’s known as less than a stellar driver. I begged Jack to let Randy Waples drive the horse in the final but to no avail. Randy drove Bulldog Hanover when he was a two year old. Bulldog Hanover finished fourth.

#116 Jay (not that one) on 04.30.22 at 8:56 am

The us is travelling for stagflation (one more report), and arguably you just told us we’re at 0% real GDP growth while prices continue to rise.

Our central bank at least has made better decisions than our cousins down south, but I fear it’s too late, and Trudeau is on track to drive our economy off a cliff by trying to give everything to everyone.

Lots of millennials hate the boomers for their “cheap houses”. I hope they enjoy experiencing the exact same forces that allowed them to have such “cheap houses”, because gen alpha will hate the millennials too by the time we’re done with this ride.