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Mr. Wynand posted:So... is it not just me and Vancouver is actually becoming an idiocy hot-spot of sorts for Bitcoins? Because a lot of my, well I would hesitate to call them friends, but let's say acquaintances, either work for a Bitcoin related company or own/mine Bitcoins themselves or have at least been approached by Bitcoin startups. I assumed this is just because I tend to run in a lot of turbonerd circles, but seeing this sort of stuff worries me. People like this, I can't wait to see them fail. The schadenfreude would be orgasmic.
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# ? Oct 26, 2013 02:10 |
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# ? Jun 1, 2024 06:37 |
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Cultural Imperial posted:I used to hold this line of thinking but seriously, everyone who's posted in this thread is orders of magnitude more financially responsible than all the speculative greedy assholes out there. We're all going to do fine. Just don't invest in Canada until all those 30 thousandaires have finally received their comeuppance. Well my line of work isn't really tied to the local economy at all, so I'll be fine pretty much regardless. But most people do work some sort of service job that depends on the local economy directly or indirectly and they are going to be at risk for cut-backs through no actual fault of their own.
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# ? Oct 26, 2013 02:42 |
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Maybe that will give the run of the mill idiot food service worker pause before taking jumping on the 'property ladder'.
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# ? Oct 26, 2013 09:55 |
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Cultural Imperial posted:Maybe that will give the run of the mill idiot food service worker pause before taking jumping on the 'property ladder'. You do realize there is a great deal more in the way of services than the ones who feeds you? Middlemen are everywhere, they don't like to starve.
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# ? Oct 26, 2013 11:30 |
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Scald posted:You do realize there is a great deal more in the way of services than the ones who feeds you? Middlemen are everywhere, they don't like to starve. Sorry. Don't give a gently caress. All of these people need a strict lesson in the consequences of being greedy and financially irresponsible. You know what can really take a flying gently caress off the Lions gate into burrard inlet? The retarded film industry. 30 or more years of subsidies and it is still so poorly established the entire industry can gently caress off to Ontario overnight. Why didn't the government just pay everyone in bc to sit at home and smoke weed instead?
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# ? Oct 26, 2013 12:31 |
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Cultural Imperial posted:Sorry. Don't give a gently caress. All of these people need a strict lesson in the consequences of being greedy and financially irresponsible.
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# ? Oct 26, 2013 16:05 |
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cowofwar posted:The problem is the system encouraging the behaviour, not the people. In many ways it's interesting read up on the CMHC how originally it was created as a way to directly build affordable housing for soldiers returning back from WWII but eventually got warped into a US style system where the government would basically underwrite private housing loans. In the 1980s the CMHC had another big policy shift in deciding to cut off all financial help for public housing projects. etalian fucked around with this message at 21:30 on Oct 26, 2013 |
# ? Oct 26, 2013 21:28 |
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Curiously, Goldman Sachs has joined the echo chamber of individuals/institutions pointing out the obvious about our housing market.Goldman Sachs posted:Goldman Sachs warns on 'large correction' in Canada housing One wonders what their angle is - even if they do believe it to be true - why make a public declaration? Anyway, the mere fact that an American investment bank has even bothered to notice anything about Canada's housing market should probably give even the most fervent housing/BPOE pumper some pause.
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# ? Oct 29, 2013 15:01 |
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quote:Shan believes the country has inadvertently imported this policy. "Lower interest rates reduce the funding costs for purchasing homes and shift the buy versus rent decision in favor of buying," she said. Low interest rates is the best way to distort the market since it pretty much encourages new starts for things such as condos instead of encouraging developers to improve the rental supply. Then there's also this graph for people who think a soft landing is possible:
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# ? Oct 29, 2013 15:08 |
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Etalian, while low interest rates may be enabling a condo boom, I would say there are far more factors involved in causing this property bubble. I don't think it's the BoC's obligation to lower interest rates to stem problems arising from an overheated FIRE sector. edit: i should have said, "obligation to increase interest rates" namaste friends fucked around with this message at 21:45 on Oct 29, 2013 |
# ? Oct 29, 2013 20:38 |
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I don't think that was necessarily suggested as a solution (raising the central bank's interest rates). Lower interest rates do reduce the funding costs for new homes and their point was that this is being compounded by globally low interest rates due to QE policies coming out of everyone's central banks. That's certainly a fair and interesting point: QE is probably a good thing during the current global downturn but it's causing some worrying side-effects in mortgage markets around the world as well. This probably wouldn't be so bad on its own were it not for all the government home-owning-subsidies being propped up by various interests. The reasonable conclusion to draw from this is that QE is potentially dangerous when combined with such subsidies (and of course many would argue that they are dangerous regardless), but I am not terribly optimistic about it happening...
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# ? Oct 29, 2013 20:53 |
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Mr. Wynand posted:I don't think that was necessarily suggested as a solution (raising the central bank's interest rates). Lower interest rates do reduce the funding costs for new homes and their point was that this is being compounded by globally low interest rates due to QE policies coming out of everyone's central banks. Yeah QE pumps the bubble even more due to a cheap credit feeding frenzy as shown by increasing housing debt load ratio. It's interesting to see how by all the major metrics Canada surpassed even the excesses of the US bubble in things such as the median home price/income ratio and also household debt load.
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# ? Oct 29, 2013 21:00 |
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etalian posted:Yeah QE pumps the bubble even more due to a cheap credit feeding frenzy as shown by increasing housing debt load ratio. Not according to this thread!. Imagine me making this face while I read it.
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# ? Oct 29, 2013 21:04 |
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Fine-able Offense posted:Not according to this thread!. Oh boy it's quite a interesting thread claiming the US style meltdown could not be applied to Canada, even though Canada already has exceeded the US bubble in many ways. I guess whenever there's a bubble people cling to the soft landing idea. etalian fucked around with this message at 21:26 on Oct 29, 2013 |
# ? Oct 29, 2013 21:09 |
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I don't know how you can claim that Canada doesn't have no-equity loans when we had minimum down payments of 5% and banks offering cash-back mortgages at 7% rebate, but I guess I'm just stupid!
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# ? Oct 29, 2013 21:39 |
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Canadian economic exceptionalism!
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# ? Oct 29, 2013 21:41 |
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Dreylad posted:Canadian economic exceptionalism! Somehow having slightly better capitalized banks will cancel out the real estate bubble house of cards suddenly collapsing and people get love mail from the bank wanting the HELOC balance to get repaid.
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# ? Oct 29, 2013 21:44 |
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I can tell you right now that every person who's bought a house in the past year in Vancouver has done so because they're convinced that the housing market will stay flat or go up in perpetuity. Problems such as, you know, actually paying off any debt is inconsequential if you're 'building equity' or some poo poo
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# ? Oct 29, 2013 21:47 |
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Cultural Imperial posted:I can tell you right now that every person who's bought a house in the past year in Vancouver has done so because they're convinced that the housing market will stay flat or go up in perpetuity. Why not buy into a investment when interest rates at all time low and it's part of becoming of a responsible adult? https://www.youtube.com/watch?v=D5UQyTVqZhw etalian fucked around with this message at 23:37 on Oct 29, 2013 |
# ? Oct 29, 2013 23:35 |
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etalian posted:Why not buy into a investment when interest rates at all time low and it's part of becoming of a responsible adult? -Jim Flaherty, 2008
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# ? Oct 29, 2013 23:36 |
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It would be really interesting to find out how the tories came up with the idea to shift the housing industry into overdrive after the 2008 lehman collapse.
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# ? Oct 30, 2013 00:07 |
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Cultural Imperial posted:It would be really interesting to find out how the tories came up with the idea to shift the housing industry into overdrive after the 2008 lehman collapse.
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# ? Oct 30, 2013 00:11 |
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cowofwar posted:Everything the CPC does is populist bullshit. Like cutting the GST. It's all about pandering for votes and not about running a country. Yeah plus the bubble is sweet while it lasts due to things such as more permit revenue, construction job growth in boom areas and higher property tax revenue. Of course the administration stuck with the bubble aftermath and piles of angry voters is obviously not as happy.
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# ? Oct 30, 2013 00:13 |
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Cmon. I refuse to believe the tories are as loving stupid as to actually plan for an outcome with a high probability of failure while on their watch. Which leaves the most plausible explanation: they had no loving idea what they were doing. What's key here is, who had the greatest insight into what was most likely to happen and whether or not they supported this policy regardless.
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# ? Oct 30, 2013 01:55 |
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Cultural Imperial posted:Cmon. There are thousands of people across the country that fully expect housing to increase at 20% forever. I have no trouble believing that there are several cabinet ministers that are just as silly.
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# ? Oct 30, 2013 05:30 |
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cowofwar posted:Everything the CPC does is populist bullshit. Like cutting the GST. It's all about pandering for votes and not about running a country. Yeah, they cut a regressive tax. Those bastards! Should income or capital gains taxes have been increased to make it a revenue-neutral proposition? Yes, probably. That doesn't make the GST cut a bad thing, and I firmly oppose a provincial sales tax (and the constant increases in sin taxes) here in Alberta for the same reason. Sales taxes and sin taxes (which are really just an ultra-regressive sales tax, considering that the poor are more likely to use cigarettes and possibly alcohol) are both regressive, and anyone claiming to be the least bit progressive should oppose them. EDIT: This is the housing bubble thread, probably not the best place for this decision. Still, the GST cut is hardly the best example of lovely CPC populist policy. PT6A fucked around with this message at 06:16 on Oct 30, 2013 |
# ? Oct 30, 2013 06:11 |
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PT6A posted:Yeah, they cut a regressive tax. Those bastards! As you said a responsible government that was concerned about it being regressive would adjust other revenue streams to make it revenue neutral. They just cut it because they knew it would buy votes. cowofwar fucked around with this message at 12:14 on Oct 30, 2013 |
# ? Oct 30, 2013 12:11 |
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Corrupt Cypher posted:Yeah, I've discussed this at length with my investor neighbour and that was the exact quote he used. drat Keynes. I was curious to see how your advice fared. Over the period since I suggested a short, it has gained another $10/share (current price $80 or so). What about a post Christmas credit card crunch fueled meltdown? C'mooooooon
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# ? Oct 30, 2013 17:28 |
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The vampire squid speaks. http://www.cnbc.com/id/101150382#_gus quote:Goldman Sachs warns on 'large correction' in Canada housing
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# ? Oct 30, 2013 20:33 |
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Cultural Imperial posted:The vampire squid speaks. Yeah, but this is countered by the BMO. Globe and Mail link B.C. housing in 'soft landing' posted:Bank of Montreal economists have taken British Columbia’s housing market off the critical care list. Whew, I am sure glad that housing
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# ? Oct 30, 2013 20:41 |
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hahahah
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# ? Oct 30, 2013 20:59 |
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ocrumsprug posted:Yeah, but this is countered by the BMO.
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# ? Oct 30, 2013 21:07 |
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cowofwar posted:What the hell? Buyer's market in BC for last two years? Buyer's market in the sense that if you were willing to drastically overpay for a poorly-constructed particle-board abode, you might not run into too many bidding wars.
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# ? Oct 30, 2013 21:46 |
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cowofwar posted:What the hell? Buyer's market in BC for last two years? Check your lower mainland privilege. There are great deals to be had in the Whistler hotel room market and "Oh God, someone please buy my house!" Kelowna. Fun fact: The foreclosure rate in Kelowna is about 1/day.
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# ? Oct 30, 2013 21:57 |
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Do people in big serious financial institutions like BMO actually believe what they're saying? I don't know if they've been drinking their own koolaid or if they're just desperately trying to stave off the inevitable with rosy reports and outright propaganda?
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# ? Oct 30, 2013 22:38 |
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ocrumsprug posted:Check your lower mainland privilege. There are great deals to be had in the Whistler hotel room market and "Oh God, someone please buy my house!" Kelowna. Wow...it even has its own Facebook page! https://www.facebook.com/KelownaForeclosures
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# ? Oct 30, 2013 22:48 |
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jesus h loving christ 500k to live in Kelowna? get the gently caress out
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# ? Oct 30, 2013 23:06 |
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Cultural Imperial posted:jesus h loving christ I love the duplex with 2 suites (so isn't that a 4-plex?). It has 2 1-car garages with a literal rock wall constructed in front of them for no reason meaning the garages have no car access and are for storage only.
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# ? Oct 30, 2013 23:07 |
Who the hell needs a house with 5 bedrooms and 7 bathrooms? Like seriously, that makes ZERO sense.
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# ? Oct 30, 2013 23:16 |
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# ? Jun 1, 2024 06:37 |
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Well maybe if you have a full house and two people staying over sleeping in the living room or something and you all eat your meals at the same time for like a week and your poo poo cycles all synch up. Or maybe just five people, and two of them take a nasty poo poo and ruin two bathrooms and then everyone wants to shower at the same time. There are plenty of reasons to have 7 bathrooms.
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# ? Oct 30, 2013 23:18 |