To all those who are gung-ho about buying and owning a house, be aware that you will have to remove snow, cut grass, pay way too many bills, and fill the city coffers each year! I almost bought a house but then realized the headaches you get along with the ownership... So I am now a staunch advocate of renters' advantage. You get to pay one damn bill and get the whole thing out of your way... I pay rent in lump some three times a year and never bother about anything else except going out on town and have some fun. Of course, if you have family it maybe different. If you are single, you are better off renting than buying a house. Don't forget that the guy who started this whole talk is a realtor himself.... He is just providing positive feed to pump up business. The way I see it, most of the damn houses here are just piles 2x4s at best! 
Quote:
Originally posted by GlobalIndian
Don't forget that the guy who started this whole talk is a realtor himself.... He is just providing positive feed to pump up business. The way I see it, most of the damn houses here are just piles 2x4s at best!
Ok, there's a limit to everything. If you or somebody else has someone against realtors, please keep it to yourself. Don't make accusations like these, at least not on this discussion forum.
Likewise, if someone thinks the market is going to crash and posts information to support that, contradictory opinions better not get personal.
Let's have some civility prevail and keep discussion objective.
This point onward, I will delete posts containing remarks of this nature and take further action if things still don't change.
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Are you there?
Everyone is doing his/her job. If I am realtor I will do the same. It's up to people how smart or fool they are to read RE market/stock market/US market/mortgage rates/banking conditions/affordability/investors interest/a long list......
CNN money news:
http://money.cnn.com/2007/08/10/real_estate/mortgage_meltdown_crushing_other_markets/index.htm?postversion=2007081011
The outlook for the housing market looks even bleaker than it did a week ago. Last Friday we reported that foreclosures were skyrocketing, home prices falling and recovery forecasts were being scaled back.
DOW and US Stock is trembling. There are 2 billion lost in US sub prime market and who will pay that money. US govt is trying to push money to the market to keep crash away and attract foreign lenders to play role more. But that will can keep 6-7 months business more. Canada TSX is just reflection of US market. There are more interesting times in housing business not only in Canada but all over world.
This wave will affect India also esp.., Bangalore / Chennai.
Quote:
Originally posted by rahul_singh23
Everyone is doing his/her job. If I am realtor I will do the same. It's up to people how smart or fool they are to read RE market/stock market/US market/mortgage rates/banking conditions/affordability/investors interest/a long list......
CNN money news:
http://money.cnn.com/2007/08/10/real_estate/mortgage_meltdown_crushing_other_markets/index.htm?postversion=2007081011
The outlook for the housing market looks even bleaker than it did a week ago. Last Friday we reported that foreclosures were skyrocketing, home prices falling and recovery forecasts were being scaled back.
DOW and US Stock is trembling. There are 2 billion lost in US sub prime market and who will pay that money. US govt is trying to push money to the market to keep crash away and attract foreign lenders to play role more. But that will can keep 6-7 months business more. Canada TSX is just reflection of US market. There are more interesting times in housing business not only in Canada but all over world.
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The cowards never started,
The weak died on the way,
Only the strong arrived.
http://www.youtube.com/watch?v=_yK1i9cLAMM
Yet, the general response to Alberta real estate boom is that of denial. No, it can't happen here. We are different. There's no sub prime exposure here. Our economy is rock solid. Oil prices will not fall. Massive investment is being put into our province. We are cheaper than Fort McMurray or Vancouver. Calgary is the Energy super power.
Still, all these and a multitude of other responses reflect an important shift-from ridicule to denial. People can now at least 'imagine' the possibility of serious price declines. And the possibility of such declines that is contemplated in private is denied in public.
Anyone who has been around Alberta for a long time knows the true worth of this place. And how some of the properties that sell for $400k would not fetch even $125k a few years ago.
As I've mentioned (like so many others here and elsewhere), energy boom is just one little story that made the real estate mania more palatable to the masses. The real reason for the boom was the period of easy credit that lasted way longer than it should have. That season of credit expansion has come to an end as hedge funds and big banks scramble to meet their immediate cash needs. Almost anything is possible in this world, but I don't really expect a repeat of stories like those of my flipper friend who bought 11 properties with a $70k income. In fact, he has at least 3 properties in the market (others are still under construction) with $10 to $15k chopped off the prices. Still no takers. I doubt that he's going to be able to sell those properties unless he does something drastic like chopping of the prices by $50k to $75k.
Inventory is continuing to pile up in both Edmonton and Calgary. Edmonton now has 8400 properties in MLS and 2800 in Comfree. That's close to 11,200 properties for sale in a city of less than 1 million.
Calgary has 8000 properties in MLS and around 2000 in Welist. This is happening while the Sales are falling and we are past the peak selling season.
And let's not forget the 'true deniers', who know for sure that things will suddenly brighten up as the plains of Alberta welcome the first coat of snow.
There are 12k home under construction in Calgary. More than 10 k is on sale already. Mortgage standards are tightening every day. Stock market is trembling.
Wait for next 6-7 months and see how this market looks like? Any thoughts?
Location: Canada-Glorious and Free
Posted on: 15-08-07 08:53:24
For those interested in the world of high-finance there was an interesting article int he globe and mail's business section. It was how central banks maintain the availability of money to borrower's in the marketplace.
And today we have this:-
http://ca.news.yahoo.com/s/reuters/070814/business/business_moneymarkets_canada_flaherty_col
What does this mean to you and me? Simple - mortgages are still available. Funding your purchase for the purpose of living (owner-occupied), as opposed to speculation, is still available.
One of the ways to make sense of this sub-prime fiasco is that money lenders went on a price-war. And eventually someone stops to look at their bottom-line to find that the price-war is only hurting them. So if you thought that was going to last forever, you were mistaken. Does that mean mortgages are not going to be available anymore? NOT AT ALL! As a consumer in the mortgage market (I have and get mortgages for myself), I had an interesting conversation with my lender yesterday. I'll gladly share this "view from the inside" with anyone who asks via messaging.
BV
