I said in december 2021 that housing was going to crash due to interest rate hike in March.


i was mocked.


but as soon as they raised rates in March. the prices started coming down.



I was correct. I sold in Feb.

It'll be sustainable as long as oligarchs need a safe place to store value and Canada allows it. It would crash tomorrow if they stopped allowing foreigners to buy non primary homes

If listed in USD, that sounds at least slightly lower than I would have expected.

If listed in CAD, that sounds quite a good bit lower than I would have expected.

Prices are dropping everywhere. Here in Ottawa new build 3 bedrooms are down about 100k and builders are throwing 150k in incentives at people because nobody wants them and people are defaulting on deposits who got roped into insane prices a year ago. I'm actually happy to see all the greed coming back to roost.

Rental market is exploding with 3 bedroom townhouses and new builds that people bought thinking they could rent them and now they are sitting for months.

When people have to renew mortgages up here in 2025 if interest rates are still above 6% a lot of people are screwed. A ton of them overpaid for their houses because of FOMO. A 700k mortgage at 2.5% is $3100 a month. At 6.5% it's $4700. That's an extra $1600 a month, and that's a whole lot of extra expense.

Everyone in Canada who has secured or renewed a mortgage in the last five years has been stress tested at likely 4.5%+, so there should theoretically be a good amount of buffer in there

To qualify for a mortgage right now, you’re being stress-tested at almost 7% to secure a mortgage with an actual rate at <5% since the stress test is the currently the higher of 5.25% or your offered rate + 2%

they were stress tested at an economy on 1% interest.

a lot of companies were kept afloat with cheap loans. now the layoffs have begun. a lot of businesses are going under. people are losing their jobs.

Not sure rates matter much if you lose all income for any significant amount of time though

Prices need to drop a lot more to even come remotely close to approaching the value you get outside of the bubbly areas

12-05-2022

Good question

Gees biggest self-cucking I’ve seen in a while

Can confirm, had an assessment done this summer, house is literally nothing special at 1850 square feet and I am 15 -20 mins from downtown Toronto….came in a $1.55 mil.

I am mortgage free, and not looking to get locked into another one, but I would have to look in the $2 mil range to get anything of a significant upgrade. Not looking to step sideways either, as anything in my price range is nothing special, just like mine.

Considering moving to rural Mississippi and living like a king lol.

yeah i bought a trailer and sozeable land outside the city for bout 350k during peak covid now its only worth 290

oof

What's funny is right across the border in USA house prices are far more reasonable than 1.3m. Not like it's prime location.

Canadian left - "we stand for the middle class."

Also Canadian left - "we don't think the average Canadian should be able to own a house, so we will shut down all new construction and tax the chit out of your property."

awesome bump, got you on recharge

Time in the market beats timing the market