"I flipped in May 2008 - not 2007 - just 4 months ago!!!!". That’s good timing works for you in GTA market. It may not be Calgary market. Anyway congratulation and smart move.

Again same Q: How do you predict the market in future and your advice about Canadian RE (Calgary/GTA)?


I think I made prediction little early ( Calgary market). I apologies for my prediction as I am not an expert, economist, realtor or a broker. I am an ordinary future buyer who don’t want to put life on mortgage.

But I never see any public apology from ceo, banks, experts, realtors, CIR, Remax, CREB, TREB, NAR with their constant wrong prediction.

I can say about Calgary that last peak price was June 2007 and now price are touching early 2006. Desi in Alberta mentioned in last thread -The drop is 10% to 15% from peak values of last year.

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http://www.canada.com/calgaryherald/news/calgarybusiness/story.html?id=825f956c-2742-4de3-8972-da0b07708ecc

Home-price slide in double digits
Median sale prices for single-family homes in Calgary have plunged in the range of $45,000 to $66,000 in September from their peaks just over a year ago.
Data from Calgary realtors Gary and Mike MacLean, of Re/Max Real Estate Central, also show the median sale price for a Calgary condominium has plummeted by $44,000 from its peak.
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http://www.greaterfool.ca/
Shiller warns: ‘You are at risk’

Canada risks becoming even more entangled in the American housing crisis and could see a similar bust in some of its more bubbly markets, a renowned U.S. economist said Wednesday......

Quote:

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Originally posted by chandresh

Quote:

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Originally posted by rahul_singh23

It's all about Timing.

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It alway is - whether it be real estate, or stock, or jobs, or whatever. So what's new that you are telling us.

However, what I am saying is that you thought in these last two years that it is not the right time to buy, but I felt it is........I read the timing differently than you did.

Quote:

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Originally posted by rahul_singh23
Someone who flipped before middle of 2007 made money or someone who bought long time back made money.

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I flipped in May 2008 - not 2007 - just 4 months ago!!!!

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NYC Property Values in For Big Hit:


Real estate markets in Los Angeles, Miami and Las Vegas have hit bottom, but Wall Street's home may be in for a big tumble, says the head of a real estate research firm.

Over the next 12 to 18 months, New York City property values are likely to decline by 20-25 percent, Bill Staniford, CEO of PropertyShark.com, told CNBC. "Transactions in New York City right now are pretty much non-existent; what that means to me is that prices need to come down," he said.

While foreign investment has helped sustain New York City real estate—particularly in Manhattan—growing economic stresses abroad and Wall Street layoffs will soften the market, Staniford said.

"We're starting to see foreign investment dry up, and there are big problems with the financial industry—not just the high-net people but the secretaries [and others] that support that industry," he said.

In fact, New York City had the highest increase (16 percent) in foreclosures from the last quarter, among four key metro areas (Los Angeles, Miami and Seattle), according to PropertyShark’s third-quarter foreclosure report. However, Manhattan foreclosure auctions remain virtually nonexistent.

http://www.cnbc.com/id/26993769

Credit Crisis Hitting Home: 'Everybody Cries Together'

http://www.cnbc.com/id/26990801

http://www.greaterfool.ca/2008/10/04/the-risk-of-democracy/#comments

Before you tell me a scenario like this is far-fetched, that Canada is not America, that we have no crisis here and sweaterman will never be faced with such choices, consider this:

• The Bank of Canada has quietly injected $20 billion into the credit markets to ensure the system does not collapse. If it did, there would be no more car loans, for example. And precious few people building cars.

• The Toronto Stock market lost 11% of its value this week, equivalent to $150 billion. And there’s more to come. The magnitude of this drop is reminiscent of pre-Depression days.

• Oil has collapsed in value from $150 a barrel to $93 in just a few months. Commodity prices are plunging because of a global drop in demand as the USA implodes. In case you forgot, Canada is a commodity-rich country which has just allowed 400,000 manufacturing jobs to be erased and factories full of machines to leave for China. That was smart.

• Real estate values are tumbling everywhere, with Toronto being the latest to see absolute price declines. I sat in a government relations meeting in my riding this week and heard confidential numbers that housing starts across the region – Canada’s most populous – have crashed by half.

• In the past few days two of the leading experts on housing markets – one Canadian, one American – have warned bluntly that there will be a mortgage meltdown in Canada. It will be the direct result of tens of thousands of people buying houses without money – the inevitable residue of the Harper disaster called zero down and 40-year mortgages. This is Canada’s own subprime.

Sadly, we are much further out on the edge of trouble than Canadians appreciate, and certainly more at risk than we’re being told. There’s no protective bubble over this country. Nor do we have a superior system. It’s delusional to believe we will not be living out the drama we’ve all been watching on CNN.
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Comments#

I can’t see any problem about RE Market in Brampton East, Mississauga North,Malton,Burlington,Oakville…
Prices are still going up, and untill you talking about RE Crash ,in Oakville and Burlington avg.prices for detach houses are up about 140K, from last year.
Most of you are idiots. So where is the Crash in Halton and Peel Region?
However in September 2008, in TO-West for
detached houses we’ve seen price increases were excellent:

Oakville- avg.price $509,212/2007—$641,699/2008
Burlington- avg.price $386,513/2007-$504,963/2008
Brampton East- avg.price $386,913/2007—– $428,484/2008
Mississauga North-avg.price $466,095/2007—– $478,476/2008

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Q: Just wondering, how CDs ( Rajiv, Chandresh, Amit and others) are looking next few months/a year RE market in Canada (GTA, Calgary)?

House prices tumble amid freefall in sales

GTA values decline for the first time in a decade

Prices in the Greater Toronto Area market fell for the first time in more than a decade, down by 3 per cent from year-ago levels, according to figures released yesterday.

Average existing home prices dropped to $368,549 in September, from the $380,132 recorded in the same month last year, according to the Toronto Real Estate Board.

The city of Toronto was hit even harder, with average prices falling 6 per cent to $393,647 from 2007's $420,182 according to the board.

"It looks like we've finally hit that iceberg and are taking on water," realtor Mike Donia said. "The slower sales started in January and now it looks like we're in freefall."

Donia said he is still getting calls for listed homes, but many potential buyers are holding off. "They're saying in another year they're going to get a hundred-grand discount. They've seen that movie before and it's called 1989, the last time we had a bubble," Donia said.

Fremlin said he listed a prime Riverdale semi that was "absolutely gorgeous and totally renovated" for $483,000. A year ago he would have listed it for $499,000. The home sold for $472,500 last month, although it would likely have fetched over $500,000 last year, he says.

The city of Toronto had a bigger slowdown in transactions, with sales down 11 per cent compared with a decrease of only 3 per cent in the suburbs.

Realtors are blaming a controversial city of Toronto land transfer tax that took effect this year for part of the downtown


http://www.yourhome.ca/homes/article/511684

Cheers!

I bought at exactly the wrong time:

On a Monday morning where the TSX started off the day with a fresh 1200 point plummet we’ve got more negativity about the local real estate market on the front page of the Vancouver Sun: I bought a house at exactly the wrong time.

And the chances of Vancouver prices actually dropping? Maybe two out of 10, I surmised. (Most of my friends, who at dinner parties often talked about how their soaring real estate was ensuring their retirement, thought I was slightly crazy to even think such a thing.)

As you might have guessed, my resolve had finally weakened. So, in the spring of 2007, I bought a piece of paradise. The odds seemed on my side, I decided. At first the prices seemed to keep soaring.

Soon I was telling people at dinner parties how much my house had gone up, too.

Now I’m back to where I started.

The real-estate-disaster bloggers actually were prescient. Wall Street is melting down because of the junk mortgages. Bay Street is in a tailspin. Now my almost daily question is what’s going to happen here?

Yep, the bloom has come off the rose when stories like this are on the front page. Although we still have a huge problem with affordability, Vancouver house prices have dropped below where they were one year ago. sales have dropped right off and listings continue to grow as the global economic forecast gets dimmer and dimmer. For many there’s still time to make out with a profit, but the competition is growing fiercer as we race for the bottom.

“I wouldn’t feel bad about buying,” said Jock, listening to me fret. “Nobody saw this coming. We’re in a hurricane, but in a hurricane you don’t know how bad it is until it’s over. And it’s not over.”

Nobody saw this coming and nobody could have predicted that the experts would say ‘nobody saw this coming’ right? I bet you also couldn’t guess what Bob Rennie has to say about the whole Vancouver housing market crash:

Rennie also believes the fundamental reality is there’s no oversupply of housing and condos in the city of Vancouver, as there is in many U.S. cities now seeing the market tank. He also sees a strong demand for Vancouver’s high-end real estate by rich people from afar.

“I wouldn’t sell right now,” Rennie said. “In fact, I just bought a few more units myself.”

I’ll be back in a short while, I’m just going to go ask a car dealer if its a good time to buy an SUV.



http://vancouvercondo.info/

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Credit crisis comes to Olympic Village:

As the credit crisis south of the border begins to creep north, concerns are mounting over the impact it may already be having on construction of the athletes’ village for the 2010 Winter Games.

Last week, members of Vancouver’s city council held an emergency, in-camera meeting to get an update on the project. Much of the discussion revolved around the city’s obligation in the event the developer, Millennium Development Corp., can’t meet demands from the bank because of massive cost overruns, according to sources briefed on the meeting.

The best part? Even if you haven’t been speculating on Vancouver condos, now you get a chance to take part in the collapse since it looks like the City is on the hook for cost over-runs on this particular project. But don’t fret, the absolutely ‘worst case scenario’ at this point looks like a $100 million dollar bill for Vancouver tax payers.

http://vancouvercondo.info/


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q: How's GTA RE market? Any prediction?

Rahul Singh,

I just gotta hand it to you. You really make sense out of the line

"It's better to be loved or to be hated
Rather than just being tolerated."

Good passion you have pal.

What is subprime?

let say you have a 751 FICO score ......but if you don't have 25% down you are subprime. End of story. You are self-employed probably also get the same classification regardless.

The 3 C's of credit are character, capacity and collateral. If you don't have all 3 of them covered off, you are subprime. Period. It is as a simple as that.

Character = High credit score, minimal debt, no BS...etc....

Capacity = You debt service within 30/40 GDSR/TDSR.....

Collateral = You have 25% or more down for a house....if not, the bank does not want to lend to you under "normal terms" as you are too risky, thus they make you insure your mortgage obligation thru CMHC or GE, et al.

CMHC is no different than Freddie Mac or Fannie Mae......it is a political institution who's mandate is to create home ownership at pretty much any political and taxpayer cost, for those who do not qualify under normal lending terms.. As in allowing 40 year amortization, zero down and weak credit scores for those who are in said group.



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Calgary-Housing starts dive 56%

http://www.canada.com/calgaryherald/news/calgarybusiness/story.html?id=fdccdcbe-d8f9-4844-9609-cd5c46079a1e

.....Starts for single-detached homes in the Calgary area plunged in September to their lowest level in more than two decades -- and they were a whopping 56 per cent off the pace set a year ago for the same month.
Data released Wednesday by Canada Mortgage and Housing Corp. show single-detached starts in the Calgary census metropolitan area are down by 44.4 per cent so far this year until the end of September to 3,401 units. Multi-family construction is up by 37.7 per cent, to 6,460, compared with the same nine months of 2007......



Q: How do our expert see the market in short and long term and their advice for new buyers?