Canada's 'housing bubble' deemed close to bursting

[st7860]

Originally Posted by casper

The difference with the US is the property was sold to people who had no money and can not pay there mortgages.

A foreign investor looking at Canada is probably buying because it is a good price. You should be more concerned about locals who are over extended.

Yes, its overextended locals,not an occasional 'foreigner'

[Stryker]

Originally Posted by vanman

I wouldn't call the Canadian economy 2nd class at all. Going by GDP we produce slightly more per capita than the US.

Going by gdp were not a major player, maybe i should of said middle economy but whatever.

America's economy is much more massive than us on scale.

[Stryker]

Originally Posted by st7860

Yes, its overextended locals,not an occasional 'foreigner'

It's both.




Anyways I'm not even sure how you would classify someone as over extended.

In the modern economy anyone can loose there job, and if a national slowdown occurs it's a small number of folk that are secure.

With real estate values so high it'd — hard for anyone under the age of 40 to weather a sharp decline in prices.

[whatnext]

Originally Posted by casper

The difference with the US is the property was sold to people who had no money and can not pay there mortgages.

A foreign investor looking at Canada is probably buying because it is a good price. You should be more concerned about locals who are over extended.

You don't get it do you? The locals are overextended because they're being forced to compete in a housing market overheated by offshore buyers. Do you think it's fair they should be consigned to renting the rest of their life, just so some PRC buyer can own 4 houses in Canada?

[st7860]

The locals are overextended because they get high ratio mortgages in a funny market. It isn't related to foreigners

[cornholio]

These 2% 3% etc numbers are rubbish as has been mentioned. I live here and I have eyes brains and friends. Foreign cash is a huge driving force. As mentioned low interest rates have allowed locals to compete and over extend them selves. As someone mentioned the mailing address for anyone moving money out of China will not be China, its actually ridiculous that anyone tries to look at mailing addresses. People need to understand that for China specifically its not legal to move large sums of money out of the country without jumping through special hoops, no one who maintains Chinese citizenship and obtains PR status (which is more common then people realize) will list their address as China because they cant afford to leave a trail. That is the whole point of moving money out of China. I live in Vancouver and know enough about whats going on to not be fooled. The address will always be Canada, be it a numbered company or a lawyer etc. Another thing that is common believe it or not is buying houses with cash and then reverse mortgaging them, to get money out of China through one of their banking schemes.

[st7860]

Vancouvers market is driven by locals with subprime high ratio mortgages . Nothing to do with anything more than a few percent of foreigners

[Tourist9394]

• Video Link

Anyone saying negative things about foreigners such as the Chinese and other Asian, We are all illegal aliens. Vancouver is Coast Salish territories.

[Pinion]

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[Stryker]

Originally Posted by Tourist9394

• Video Link

Anyone saying negative things about foreigners such as the Chinese and other Asian, We are all illegal aliens. Vancouver is Coast Salish territories.

Yeah man property and terrortorial rights are such meaningless things.


People should be just free to move whereever they want on this planet.

[st7860]

Originally Posted by Tourist9394

• Video Link

Anyone saying negative things about foreigners such as the Chinese and other Asian, We are all illegal aliens. Vancouver is Coast Salish territories.

Exactly and I don't see people complaining about indo canadians, filipinos, etc

[st7860]

Originally Posted by Pinion

Ugh enough with this —, we are not all illegal aliens. I was born in Vancouver, my ancestors did nothing to the natives, I have just as much claim as anyone else. Race isn't a factor in this conversation except for those who want to continue to allow abuse.

One extremely large group is taking advantage of what is essentially an honour system to destroy the economy for their own benefit. Most Canadians don't have a problem with honest immigration, they have a problem with people coming here to abuse our property ownership/education/health care etc. systems.

Coarse language. Viewer discretion may be advised. Rudeness and obscenities wont' change anything(American Wedding, 2003).

Education? So foreigners pay 4 times the rate for UBC/SFU and something around $12,000 a year for K12. Last year people where whining that UBC is spending about 100 million to build a new school to attract students who will pay $50,000 a year for a customized first year undergraduate program. SFU already has a college like that. If the Government funded education enough these kinds of things wouldn't need to happen.

Property ownership abuse? Thats funny. A foreigner selling a property pays upon selling a property. Only Canadians get to do it tax free on their own residence.

[someone123]

Originally Posted by st7860

Education? So foreigners pay 4 times the rate for UBC/SFU and something around $12,000 a year for K12. Last year people where whining that UBC is spending about 100 million to build a new school to attract students who will pay $50,000 a year for a customized first year undergraduate program. SFU already has a college like that. If the Government funded education enough these kinds of things wouldn't need to happen.

This is only half true. I'm not sure if it has changed, but it used to be very easy to get PR status and permanent residents are considered "locals" for the purposes of tuition. I don't think this made much sense under the old system. People from abroad could effectively loan the government a small sum of money (a few hundred thousand dollars) and then get massively subsidized education for their children, whereas most Canadian parents pay much more in taxes for many decades.

I agree that the idea that the foreign-student specific schools are draining away funds from locals is strange. The definition of "locals" is extremely generous though. The property statistics likely reflect this too.

Ethnic background meanwhile is not important. Some people with an Asian background have lived in Canada for a century or more. The important thing is that we need to make sure that we don't create loopholes and effectively subsidize people who aren't covering their costs by paying taxes and growing the economy.

[st7860]

Originally Posted by someone123

This is only half true. I'm not sure if it has changed, but it used to be very easy to get PR status and permanent residents are considered "locals" for the purposes of tuition. I don't think this made much sense under the old system. People from abroad could effectively loan the government a small sum of money (a few hundred thousand dollars) and then get massively subsidized education for their children, whereas most Canadian parents pay much more in taxes for many decades.

I agree that the idea that the foreign-student specific schools are draining away funds from locals is not true. The definition of "locals" is extremely generous though. The property statistics likely reflect this too.

Ethnic background meanwhile is not important. Some people with an Asian background have lived in Canada for a century or more. The important thing is that we need to make sure that we don't create loopholes and effectively subsidize people who aren't covering their costs by paying taxes and growing the economy.

Yes there used to be an immigrant investor program that was cancelled a few years ago however it only brought around 4000 people a year.

Also people without k12 age kids still pay school taxes if they own a home anyway.

The Vancouver and Coquitlam school districts have active international education programs. Most of the parents sending students there don't need or want PR status so everything balances out in the end.

[Tourist9394]

Originally Posted by Pinion

Ugh enough with this —, we are not all illegal aliens. I was born in Vancouver, my ancestors did nothing to the natives, I have just as much claim as anyone else. Race isn't a factor in this conversation except for those who want to continue to allow abuse.

One extremely large group is taking advantage of what is essentially an honour system to destroy the economy for their own benefit. Most Canadians don't have a problem with honest immigration, they have a problem with people coming here to abuse our property ownership/education/health care etc. systems.

Stop installing barriers when it is not to your self-interest, Canada has always been an inclusive society from the days of first contact with the Europeans to the days of colonialism by European-Canadians. Globalization is a Westphalian concept, there are remnants of that today: the remnants of that in the senile community of Kerrisdale and West-end. New people will come, the old will die out. It has always been this way with this land here. Newcomers are always more wealthy due to heavy taxation.

PS: Our true intention is to create a new Sinosphere in the capital city of Richmond. We are going to put the Anglo-Canadians in residential schools and enforce head taxes to Irish, Scottish and Welsh background immigrants. Nope, we are not playing the victim card.

[koops65]

http://www.ctvnews.ca/business/home-pric...new-highs-in-toronto-vancouver-1.2326840

Home prices were up in nine of 11 major Canadian cities in March compared with a year ago, with those in Toronto and Vancouver setting records, according to a new report.

The Teranet--National Bank National Composite House Price Index says national home prices were up 4.7 per cent last month compared with March 2014.

Hamilton saw the biggest yearly gain, with prices rising 8.4 per cent, although they were down 0.3 per cent from their peak in December 2012.

[Berklon]

Hamilton saw the biggest yearly gain, with prices rising 8.4 per cent, although they were down 0.3 per cent from their peak in December 2012.

Hamilton is the place to be.

There's a flood of people moving here and it has an exponentially growing economy. It'll be in the top 5 populated cities in Canada in the next 10-20 years as well. Home prices will average 800k-900k soon enough.

Great days ahead!

[Innsertnamehere]

don't put the cart before the horse there, its good, but I wouldnt go that far.

[koops65]

More real estate news: http://www.ctvnews.ca/business/home-pric...pilling-over-to-nearby-regions-1.2331812

Home price gains in Toronto, Vancouver spilling over to nearby regions.

TORONTO -- Realtor group Re/Max says home prices soared in Toronto and Vancouver in the first quarter with some of the effects spilling over into nearby regions.

The average sale price of a home in Vancouver grew seven per cent year over year to $874,869, a figure that includes everything from condos to detached homes.

In the Greater Toronto Area, the average residential sale price grew eight per cent from a year ago to $594,827.

[whatnext]

Originally Posted by st7860

Exactly and I don't see people complaining about indo canadians, filipinos, etc

Sigh. You just don't get it, do you?

People aren't complaining about Indian or Filipino immigrants because we're not racists. And those groups are almost always coming to Canada to start a new and better life by working here. The complaints are against Mainland Chinese astronauts who show up, buy a property or two and have no intention of making a life in Canada.

My parents came to Canada and left their families thousands of because my dad was offered a job here, They came to settle here. How 'bout yours?

Meanwhile The Economist warns Canadian prices are overvalued up to 305:
http://www.theglobeandmail.com/report-on...conomist-magazine-warns/article24025676/