#94 Ronaldo on 08.28.24 at 8:41 pm
This is how you make housing affordable. Government releases crown land for leasing thereby removing the most expensive part of owning a home today.
https://www.parkercovenewhomes.com/
Your home, equity and title go poof! in 19 years, right? – Garth
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Ehem…Good afternoon, this is your friendly Landlord No Ocho typing.
Ronaldo, Crown Land is getting mighty precious and expensive. Have you not been listening? First Nations hold title to land of Canada – legally, proclaimed and all. Court rulings are in. Federal Budget was months ago. $135 Billion in it to settle Treaty violations cases in the courts right now, which the federal government fully expects to lose. Likely a matching amount will be required of the provinces…for starters. We haven’t been very good tenants.
Courts have ordered New Treaties to be negotiated (read: land leases) with terms and conditions going forward deemed acceptable (read: expensive) by First Nations land title holders.
Garth – “home, equity and title go poof”…well, isn’t that reality starting to sink in for Canadians?
They don’t own the land anyway as we well know. Title to the land is collectively First Nation’s legally or the government’s. FN are organizing and coordinating. Soon, perhaps they will establish their own leasehold systems perhaps. Equity is eroded by the ever increasing property taxes that will be needed to pay for these court validated and enforceable treaty violations rulings by governments past and present as well as new treaty terms going forward. No free lunch.
And title…to what? It’s a matter of law that First Nations own the title to the land. Since that’s the case, what do Canadian 2nd class citizens like myself hold a title to? Oh yes…a “title” to a lease?
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#107 RAH on 08.28.24 at 10:50 pm
There is a big difference between wanting “housing” VERSUS having a ” home”
Leasing is a hybrid that does not really lend to creating stable society and pride of ownership.
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Ehem…yeah, what part of the fact that Canada is basically on leased land and First Nations is the sole legal holder of title to said land is hard to understand for everyone here?
It’s like you all can’t get out of the first stage of grief. Get on with it…it’s a long road to acceptance and the sooner you get there, the better for our collective well being.
As for your B.C. example…no landlord is obligated to lease indefinitely – see Hong Kong for example perhaps? Also, any improvements you make to a leased property while you lease it you usually don’t take with you anyway as per Hong Kong. A reality that is actually manifesting itself in Canada in case you’ve been paying any attention to the events of last 12-18 months, with much much more to come.
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#103 crowdedelevatorfartz on 08.28.24 at 10:01 pm
I wouldnt touch “leased land” with a 50 foot barge pole.
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You’re touching it right now!
You’re on leased land this very second. And the FN landlord has full land title legal rights, and is exercising them more regularly. Didn’t you see that Haida Nation B.C. thing? Crown land is being claimed back too.
What…owner use rights don’t apply to First Nation land title holders? As if! We may not like it, but that is the law in application.
O Canada! Our home and native land!
Welcome to the 2nd Class Train Car CEF and everyone else. The Lessor Class.
.
When the Left eats its own. Who can signal harder?
https://thelocal.to/weaponized-environmentalism-encampments-st-stephen-in-the-fields/
From a proposed pollinator garden at St. Stephen-in-the-Fields to tree trimmings and ‘grass remediation’—how the city uses green rhetoric to displace the homeless.
Through cordoning off large swaths of parkland for “grass remediation,” moving homeless people from the shade of public trees, or building gardens where encampments lie, the city has become adept at using environmental rhetoric to regulate public spac
— —
The Pope weighs in on one of the Forever Issues (Climate/Corvid/Migrants/War-making).
https://www.barrons.com/news/pope-says-repelling-abandoning-migrants-is-grave-sin-ed479ca3
Pope Says Repelling, Abandoning Migrants Is ‘Grave Sin’
By AFP – Agence France Presse August 28, 2024
— —
Snark: On.
https://www.therecord.com/news/waterloo-region/massive-lineup-of-employment-seekers-at-longos-job-fair/article_82907ef5-bec7-5e88-8eee-4a39f8cb5ec3.html
Massive lineup of employment seekers at Longo’s job fair
Two Conestoga students arrive seven hours early for 10 a.m. start
“In the US a couple can reap $500,000 in capital gains on real estate, then tax clicks in (half that amount for individuals). But if you sell a home within a year, all gains are taxed as income”
Regardless of the question of 30 year amoritizations (which I also like), I think this is a good policy. But like you said, nobody has the stones to do it.
However, I also think capital gains shouldn’t be taxed more favorably than income.
It doesn’t matter if it does or doesn’t. No way would Banks here give 30 year 2% or lower loans.
5 year sub 2% in 2020 to 2022 caused these extreme prices in GTA and GVRD. Locals can’t get a high enough loans at these rates, even if BOC drops rates a couple % they still can’t afford it. Probably the reason new sales have tanked. Price is the problem and if they don’t go down significantly sales will continue to languish.
Even if rates drop another 2%, buyers are much poorer now with the 20% inflation we had over last few years. BOC would have to crash rates again and I don’t think they will do that after the nonsense that transpired.
30 year loans should of been available years ago and we probably wouldn’t have this housing bubble in two of the 3 major Canadian markets.
Average new mortgage in GVRD is 522K, even after a few rate drops that loan will still be $400 to $500 more a month than the average 5 year fixed mortgage at 2.89%. How many were getting 1.5% loans that were available during covid and will have to renew at 3.5 or higher? 50% Canadians are $200 dollars a month from insolvency so you do the math.
Thanks Garth!
As immigrants to this country from the land of the free, I can unequivocally state that we find the residents’ real estate obsession downright silly. Sort of like a bunch of preschool kids wanting the hot toy of the day.
We’ve long since mastered the eye roll disengagement at gatherings when people launch into mortgage/housing/real estate irrelevancies. 90% or more of them don’t have RESPs for their kids. Crazy ridiculous priorities.
Heck, we just came and bought a house and buckled down building profitable businesses. Seemed fairly straightforward. We didn’t even realize it was a national obsession.
Now boat buying… now that’s worth discussing in great detail…
Today’s blog explains some structural changes that Canada requires to fix housing things going forward. I have summarized how we got here.
Canadians and their governments are drowning in debt that has impeded their creditworthiness going forward.
In an ideal world you borrow money at an interest rate that is neutral* and you make your investment decisions based upon the cash flow and the utility that you will receive NOT because money is cheap. You make the decision to proceed based upon sound criteria. In the ideal world your debt pile is paid off over time from the payback on your investment and you remain solvent and hopefully prosper.
For the last 22 years Canadians have invested because money was cheap and your payback would come to you in capital gains through leverage. Only a fool would bother about ROI (return on investment) and positive cash flow. “Get on the property ladder as fast as you can.” Canadian fools were ignorant of what can happen in a crowded trade especially when you are using leverage. During 2022-2023 the crowded trade reversed and the smart money ran for the exits and the rest were left holding a stinking pile of debt because there was no longer a Greater Fool and they were it!
There is no hope because the debt cannot be paid off on the merits of the investment(ROI and utility). This means that the debt becomes a PERMANENT monkey on your back. THERE IS NO FRESH START like you get when you pay off your car loan. When Canadians and their governments accumulate debt year after year from “investments” that go sour (negative ROI), long term PRODUCTIVITY declines.
Productivity will not improve without painful structural changes. We are facing a lost decade.
*A neutral interest rate is one that neither encourages or discourages speculative investment.
Make it 50 years – heck make it 100 and a pony too
Get off the Land guys. We do not need food. The Long Game unfolding.
https://www.therecord.com/news/waterloo-region/tractor-convoy-winds-through-waterloo-region-as-farmers-protest-land-assembly/article_d898b4b3-53fb-5ea8-a27c-cc0f6b3c5ccb.html?__vfz=medium%3Dconversations_top_pages
A long line of tractors wound through Waterloo Region on Wednesday afternoon, as farmers and supporters launched a highly-visible protest against the Wilmot land assembly.
Dozens of tractors, large and small, gathered near the location along Bleams Road in Wilmot Township where the Region of Waterloo is trying to assemble 770 acres of land for an industrial site.
— —
Oh to be a New Canadian®. Favoured.
“”TORONTO, Aug. 28, 2024 (GLOBE NEWSWIRE) — Rogers Communications announced a new partnership with Nova Credit, a cross-border credit bureau, to help newcomers to Canada build credit and finance a new smartphone, making their transition easier.
“At Rogers, we are committed to making Canada home for newcomers from the moment they arrive,” said Phil Hartling, President of Wireless, Rogers. “Our partnership with Nova Credit not only removes a roadblock to help newcomers establish a financial foundation in Canada, but it also helps them stay connected with loved ones as they start their new life here.”
At launch, Rogers will support newcomers by recognizing their credit history from nine countries, including Australia, India, Kenya, Nigeria, the Philippines, Spain, Switzerland, Ukraine and the United Kingdom. Rogers has plans to expand the program to additional countries in the future.””
FAA grounds SpaceX after rocket falls over.
https://www.cnbc.com/2024/08/28/faa-grounds-spacex-after-rocket-falls-over-in-flames-at-landing.html
In flames! Flames!
30 year mortgages aren’t going to be a popular product in Canada due to rates. Unless the rates are less than say, 3.5% why would anyone want these mortgages. You would need to make the banks stop issuing the 5 year ones by raising the cost of capital.
#121 Travelling on 08.29.24 at 10:01 am
#113 Wrk.dover on 08.29.24 at 6:28 am
Normally, if I read one of your comments, I get it because it’s clear. This one isn’t. I’m assuming you’re trying to make some kind of point in my regards but you’ve lost me. Can you just give a simple explanation as to what I have anything to do with this?
Thanks in advance.
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Thanks for the compliment on my clarity in most cases.
My point putting you in context with that piece, is other than having beau coup paper at your disposal, can you hit the ground running at producing tangible wealth when paper has a glitch, which it does do from time to time?
I personally could employ several industrious activities, if need be with tools, equipment, buildings, transport vehicles and natural resources all standing idle as I type. And I have paper assets in a balanced measure, so I too can be idle today.
Who is the wealthy guy you see in your travels around the world? The contractor with a backhoe, or the guy using a shovel on a work crew? The guy with the vineyard, or the laborer in it? The man with the sawmill, or the man on the street looking for enough employment for supper tonight?
Your name popped up in my mind reading that piece, because you don’t have anything to fall back on except processing paper to have paper, which went well for you, so far.
‘Stuff’ grows in value and having it can pay dividends too. You be you, I’m just saying…
But Americans also treat residential real estate a little differently. They don’t worship it. Just as most American retirement plans (401k, for example) are full of stocks and we like GICs, real estate is seen more as a housing than an entire financial plan.
+++++++
After paying the rent/mortgage there is not much left over for many working people to invest in anything else at all.
While nice in theory, this means government getting directly involved in lending. And that creates political pressures which could lead to 2008 style crisis/fannie mae scandal.
In general having people being sensitive to monetary policy is a good thing. Its one of the key reasons inflation is lower in Canada yhan in the US.
Climate isn’t why housing is cheaper if you drive 10 miles south across the border. Thats nonsensical. Hasn’t always been like this; relatively recent phenomenon.
The reasons include high taxes, poor incentives, large handouts, unconsolidated construction industry, poor productivity and high rate of immigration/population growth particularly focused on Van and GTA. And, of course, NIMBY. Its basically bad policy. US states with bad policy, like California, have the exact same problem.
Your government and the IRCC is a terrorist entity
Anybody looking for a good chortle and who isn’t afraid of scary Reddit could go there to r/cyberstuck. Excellent time waster.
https://www.cnn.com/2024/08/29/business/cybertruck-tesla-nightcap/index.html
Why not just emulate the American system across the board? Canada has truly lost it’s way and all the government tinkering to fix things, makes it worse.
#117 Sometime is now on 08.29.24 at 9:13 am
Wow…are we idiots? How can anyone believe this malarkey? How did inflation suddenly flop internationally ? Are the polls showing leftists getting the boot coordinating this convenient print?
It’s an inflation miracle.
Dear Justin if you’d stop tax bashing every step of the food chain groceries would fall immediately. But, your zany green mind virus won’t let you will it?
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Yes, German inflation is dropping like a stone.
Seems like the Germans are tired of the GDP rat race.
They are not spending.
There’s talk about de-industrialization.
But tank exports to Ukraine are doing great.
As my luck would have it; we actually had a 25 year locked rate open mortgage through a govt. program for poor people. (It was @ 11%, which is neither here nor there in todays topic.)
Didn’t stay so poor, and paid it down in seven years.
I think everybody deserves the stability of the opportunity we had; a set payment amount for 25 years.
I begged for this solution to lock in low rates. I commented here about it dozens of times going back many years. And I said it required mortgage securitization. Pension funds would be eager investors.
I had said whoever would bring that in when rates were low would be a national hero.
Oh well, people are slow to learn, better late than never.
“Nonetheless, the odds are shifting. Thirty-year mortgages appear closer on our horizon. After all, a desperate government, underwater in the polls, will do anything.”
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I’d say 50/50.
A govt wallowing in it’s own fiscal incompetence, grasping at anything.
Are the voters even listening any more?
Doubtful.
This govt is well past its due date.
We have now eaten fresh fish multiple times a week for the last couple of months. Pecan-encrusted halibut was last night’s dinner and today’s lunch. Then a simple grilled tuna feast tonight for all the neighbours.
A hot tip for halibut: find a flat offshore area anywhere from 150-350′ deep. Deeper is better, and flat, to avoid rockfish. Rig the largest herring you can find to spin at very slow speed and send it down the downrigger 20′ back from the cannonball. Bounce off the bottom, then raise up 20′. Then drift while eating lunch or napping. That’s it.
The biggest issue with this method is releasing the truly huge halis. Rope the tail, rope the jaw (with a wire stiffend- no hands near those choppers!), hogtie, cleat off, unhook, release ropes. Sheesh.
Sometimes you’ll catch a beast of a salmon at depth as well.
Presumably these would be pegged to the Canada 30-year bond, like the fivers are to the 5-year bond, yeah?
#9 Ustabe on 08.29.24 at 12:14 pm
FAA grounds SpaceX after rocket falls over.
https://www.cnbc.com/2024/08/28/faa-grounds-spacex-after-rocket-falls-over-in-flames-at-landing.html
In flames! Flames!
———
Calm down, old fella
This specific booster has been reused 23 times and SpaceX has had 267 consecutive successful booster landings.
That equates to, let’s see… 23 and 267 times more than the nearest competitor.
:-)
First Nations own the land?
Canada as a sovereign country can legally pass a law that eliminates all First Nations claims even with no compensation if it really wanted to.
And international courts can be ignored by sovereign nations.
If First Nations pushed claims to absurd levels with court awards the government would be forced to change the law and make the absurd claims go away.
@#1 Landlord #$800 Billion
“You’re on leased land this very second. And the FN landlord has full land title legal rights, and is exercising them more regularly. Didn’t you see that Haida Nation B.C. thing? Crown land is being claimed back too.”
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Give your head a shake.
If the govt wants something….they take it.
Site C Dam is filling up with water…
All 83 kilometers of it.
https://globalnews.ca/news/10714809/site-c-dam-reservoir/
Prime agricultural land…flooded.
Traditional Aboriginal hunting grounds…flooded.
Sacred aboriginal gravesites….flooded.
Archeological sites….flooded.
Yep.
Treaty or not.
If the govt wants something….they take it.
We follow U.S. monetary policy to keep our dollar somewhat stable relative to our biggest trade partner. So, adopting financial products like 30-year fixed mortgage rates might make sense. However, this is a significant change, so we need to be careful and thoroughly assess all the implications before adopting it.
It sounds like 30 year mortgages would be much less profitable for Canadian banks compared to what they earn with our current bank regulations. It’s probably be a good idea to sell Cdn bank shares ahead of any launch of 30 year mortgage loans.
I’m not sure the climate is that different in Niagara Falls Canada than in its namesake across the border. Of course the tax environment is and as also pointed out we don’t have 30 year mortgages.
While we still have a principal residence exemption, Canada has been moving a bit towards the US approach in taxing real estate, which I think is sensible. Property flippers should be taxed accordingly. I don’t know if the Federal government will ever go so far to cap the exemption (say at $1 million or $1.5 million), but wouldn’t be surprised if that happens some day. After all governments always need revenue and it does not seem fair not to tax windfall gains of millionaires.
I doubt Canadian banks are keen on 30 year mortgages as it would make their balance sheets, which they can now easily match 5 year GIC’s and 5 year mortgages, much more complicated. Although as a borrower, it sure sounds good, especially if the rate is low. I’m not sure how much influence a Federal government that seems to be on the way out will have to pressure banks to do this.
However, maybe the tax component is the most important difference between Canada and the US. People tend to focus on things that have less tax and the principal residence deduction here is generous compared to the US. This is probably a big part of the reason Canadians are more focused on buying and selling real estate.
Seems like rearranging the deck chairs.
“And if we had them? What would change?”
I think you missed one very important one: Individuals would pay down mortgages slower and instead likely invest more in liquid portfolios, helping boost the capital available to Canadian companies for expansion and productivity improvements. For the much of the last 20 years, one of my biggest financial mistakes was paying down mortgages too fast when I could have put it into the B&D. Now, I funded both- the B&D and the mortgage pre-payment fund – but for many years I was too aggressive in paying down low-interest, low risk debt at the expense of putting more into high-return investments like equity index ETFs. Why? Because I was terrified of 1981. I grew up under the spectre of “interest rates can go to 18%”; and my elders were right – they can. So every time I locked in another 6% (in the early 00’s), or 2.5% (in the 10s), I’d roll into the bank every December before calendar year cutoff and plunk down a big pre-payment, because while I might be paying 2.5% now, when it renewed in 5 years it might be 10, 12, even 15% and so I was terrified not to.
If I had a 2.5% loan, or even a 4% loan, locked in for 30 years? I’d probably never pre-pay a dime, and my B&D would be 2-3X what it is today. Less equity in my house, but way more where it counts.
The fear of facing a scary and unknown renewal rate is a massive incentive to put more capital into your house, which is adding to the problems you list.
Awesome post Gartho- I hope they go through with it. I see no downside, and I’ve always wondered why it needed to be so different than the US model.
“You’d stop obsessing about the next central bank rate change.” -GT
Oh. My observation has been that those who obsess about central bank rate changes are stock holders. The mortgage holders stress versus obsess when they have the proactive brain to weigh impacts coming their way. (hardly ever)
Ten year mortgage rate terms are available now from some lenders, but are they popular? Are they all portable if your tuckas needs to get moved to another province? How does bank of mom feel about being on the hook (title&mortgage) for a real, real long time? ( no, you don’t always get to be a guarantor). Choices have consequences. Divorce anyone? Refinance? Can the devotees of House Hunters on HGTV really sit still in their humble abode for 10+ years or longer? Loans for life has a prison taint to it.
As Hannibal Lecter once quoted “Of each particular thing ask: what is it in itself? What is its nature?”. And while weighing that be sure to ask also exactly how this makes gazillion dollar home prices more reasonable or affordable to Joe Average. Road to Perdition folks….” All Aboard”….
Tobi’s expression says ” Lay one on me dad..”
#24 Shawn on 08.29.24 at 12:53 pm
If First Nations pushed claims to absurd levels with court awards the government would be forced to change the law and make the absurd claims go away.
Hey Shawn, I think you may be relying on the concept of Terra Nullius, however, that would not apply because Canada and First Nations have treaties in place sanctioned by court of laws.
Tobi’s already tasting that hot dog, in his mind.
Great photo, Bob.
Another shot across the Bow of the Federal NDP….to remind voters who is propping up the Federal Liberals????
https://www.cbc.ca/news/politics/poilievre-confidence-deal-ndp-singh-1.7307944
Let’s face it.
If the NDP leader really wanted change….he’d yank the carpet out from under the Libs….
An acquaintance years ago had a summer cabin on leased Reserve land. The cabin was substantially remodelled and I simply had to ask “isn’t it risky spending the reno money on land you don’t own?”
The reply: “We have a good Indian.”
I wonder if the reply would be different now, 30 years later.
#24 Shawn on 08.29.24 at 12:53 pm
First Nations own the land?
Canada as a sovereign country can legally pass a law that eliminates all First Nations claims even with no compensation if it really wanted to.
And international courts can be ignored by sovereign nations.
If First Nations pushed claims to absurd levels with court awards the government would be forced to change the law and make the absurd claims go away.
+++
There is a law on the books already. It clearly proclaims that First Nations hold the land title as per laws of this land.
People really have a hard time understanding law. Perhaps read up on it? I mean, it’s all available for you on http://www.rcaanc-cirnac.gc.ca
+++
#25 crowdedelevatorfartz
crowdedelevatorfartz…give your head a shake my in-denial commenting bud.
Have you not seen enough Supreme Court rulings yet to show you where the law sits? Where the precedent is set by highest courts and law?
Have you not seen the FN legal land title holders go to court and win again and again because the violations of the treaty agreements have been so flagrant and obvious?
Don’t you see how this one will go? Treaty 8 First Nations already won rulings in B.C. Supreme Court recently, so the president is already set on this one within the province to be honest.
All that appears to have happened in this case is that the Treaty 8 First Nations’ concerns that this Site C would violate the Treaty were ignored by the province and the construction went ahead. “Just build it without FN “permits’!”…was the instruction. And so the proverbial can will be kicked down the road, but the liability and costs will only grow. It’s how all democracies operate now I guess, so why worry about it. But you know what they say, the time to pay the piper will come.
I wouldn’t be surprised if this case got stalled by the government in the courts to go ahead and build instead of addressing it on the front end and sorting it out properly. Eventually it will probably get to be heard in a court, pushed through on appeals, eventually get to the Supreme Court of Canada and guess what will happen?
B.C. will be deemed to have violated the rights of Treaty 8 First Nations and the Treaty 8 agreement itself just like the previous B.C. Supreme Court already proclaims in much lesser issues. The costs to B.C. and Canada will be significant. Considering the complete disregard for the rightful land title owner’s concerns, I wouldn’t be surprised if the FN show the learned disregard behaviour for their land rights and decide to claim owner-use for the Treaty 8 parcel form the tenant, thus ejecting B.C. Hydro and others on that parcel gaining themselves a nice little power generating improvement already established. B.C. has been quite active on this front of FN owner use enablement lately, so I can actually see this one happening.
Not sure if you’ve seen the size of Treaty 8 parcel, but it’s a doozy! It ain’t going to be a $10 Billion back-dues court deal here for past treaty violations once this gets through the Supreme Court of Canada.
Again, you’re in denial. I was there too, so I know what you’re going through. It’s hard to learn you don’t at all own the thing you though you owned. That it was all an illusion sold to us by our government. But that’s the reality of this land, legacy, confirmed by highest courts.
You were singing it all along and so was I all through grade school. We just didn’t understand what it meant. Now we’re more clear on it.
DELETED
https://www.burnabynow.com/2024-bc-votes/adrian-raeside-cartoon-bc-united-is-no-more-9449005
Landlord # 666
RE FN’s
Lets keep it simple…
Say You and I go prospecting…and we find the mother lode of say Copper.
PLAN #1:
Next step is to go through all the hoops, studies, and protocols etc.etc. before the first ounce of copper is mined. Let’s also say the average time from filing a claim to production is 10 years.
OR…
PLAN #2 :
Lets talk to the local FN on whose FN land claim we are “trespassing” on. Let’s propose a Joint Venture.
My “guess” is that would be a far FAR quicker path to mining the first shovel of Copper than PLAN #1
The point is..Gov’ts don’t really give a dam re FN.
Our quasi- commie governance models are to bypass and pole vault over the given red- tap legalities that 99% of the rest of us are beholden to.
Remember, Communism is the 1% at the top who want to destroy the Middle Class and they will play a multi dimensional CHESS game using up and spitting out any/all useful idiots on the path to “CheckMate”.
While our mortgage terms and tax exemption plays a role, it’s not the main factor. People that live, and come to Canada primarily only want to live in two provinces, and mostly in the major cities in those two provinces. So there’s a lack of supply of cities in Canada that people want to live in. And if you strip out BC and ON from the media home price in Canada, you get a very comparable price to the US.
The US of course, has many large, economically diverse, climate optimal cities to choose from. More supply, lower prices.
‘Tobi’ is saying ‘look at how handsome I am, I totally deserve that treat, dude:)’
One thing I note about today’s column is that if RE was taxed the way they do in the USA there is no claim housing prices would reflect that new reality with lower asking/selling prices. Yes, right now there is a capital gains provision to prevent ‘flippers’ but of course, that doesn’t exempt any hapless homeowner who ends up having to sell within the prohibited time frame from having to shell out tax on the amounts realized. So if all homeowners were now facing a capital gains tax on their RE come the day they sold, yes, I could see that really impacting the RE for sale. Which presumably means less RE for sale = prices staying at nosebleed levels. And then I’m wondering just how many of those putative sellers are Boomers looking to realize income for retirement because they’ve nothing else set aside to fund it. So now the government gets a cut of that retirement cash which means what? Increased numbers of indigent seniors looking for government pogey to keep them in Depends? Also, if there is a capital gains tax imposed what impact if any does that have on the current plethora of taxes imposed in many locales. As mentioned in this blog, the GTA has double land transfer taxes. Yet more reason to ‘stay put’ & not sell up, except that hasn’t stopped folks from doing just that despite the penalty imposed for doing so.
I only have 34 years of banking experience in Canada.
We have several mortgages that have gone on for decades & several will never be repaid.
Example & very common in Canada.
Today. Buy house. Get 25 year amortization mortgage.
5 years from now. Refinance back to 25 years (now at 30 years).
10 years from now. Refinance back to 25 years (now at 35 years).
15 years from now. Refinance back to 25 years (now at 40 years).
Refinance includes adding in all the credit card debt, lines of credit used to go to Mexico, car loans, house repairs etc.
This is 1 of the biggest drivers in the prices of homes in Canada – we refinance a “lot” of people every 5 years.
I was under the understanding that Canada doesn’t have a truly liquid 30-year bond market (unlike the US), making it very difficult for banks to finance 30-year locked in mortgages in a way that manages risks. Where would the 30-year source of financing for banks come from? If they offer it to home owners, they must be able to access stable 30 year rates themselves.
You might be surprised at how many investors would sign up for a guaranteed return of, say 5%, for the next three decades inside an RRSP or otherwise. – Garth
Ponzius….you took the cruiseship visitors walk. Those streets are cleared by the authorities. You have to walk up to Douglas Street or Blanshard…or go to the back side of Beacon Hill Park. You missed the spots. All you had to do is walk up a couple of blocks away from the waterfront.
@Travelling. People are buying less. People used to buy small baskets full. Not anymore. 4 people in line chimed in about cutting back. All genx and boomers.
@ #39 RAH
“Let’s also say the average time from filing a claim to production is 10 years.”
It isn’t. In Canada, count on eighteen years.
#15 Ustabe on 08.29.24 at 12:27 pm
Anybody looking for a good chortle and who isn’t afraid of scary Reddit could go there to r/cyberstuck. Excellent time waster.
_______________________________________
Yesterday U-Tube offered me; blogger ‘Whistling Diesel’ Tesla Cyber truck, fail (I think it was). They broke a Tesla ‘truck’ frame pulling a trailer, then tried to do the same to an F150, repeatedly dropping 1/2 a Jersey Barrier ten feet using an excavator. Sort of like hanging out with IHCTD9 for an afternoon of hilarity!
@#36 Landlord #$800 Billion….
Mercy… Is the BC govt running roughshod over First Nations again?
https://www.cbc.ca/news/canada/british-columbia/gitanyow-first-nation-pipeline-blockade-1.7308105
It doesn’t matter who has “title”…
The govt will do what ever it wants, where ever it wants, whenever it wants…..
Canada should follow the US lead, make mortgage interest tax deductible instead of the PR exemption.
Make it easier for people to buy their first home instead of sell it. Of course there should be a grace period where sellers can avoid the PR capital gains tax for say 6 months if they are upsizing, between homes.
Financially impossibe. – Garth
#42 Hello! on 08.29.24 at 2:26 pm
I only have 34 years of banking experience in Canada.
We have several mortgages that have gone on for decades & several will never be repaid.
Example & very common in Canada.
Today. Buy house. Get 25 year amortization mortgage.
5 years from now. Refinance back to 25 years (now at 30 years).
10 years from now. Refinance back to 25 years (now at 35 years).
15 years from now. Refinance back to 25 years (now at 40 years).
Refinance includes adding in all the credit card debt, lines of credit used to go to Mexico, car loans, house repairs etc.
This is 1 of the biggest drivers in the prices of homes in Canada – we refinance a “lot” of people every 5 years.
****************
Great insight. How do these instances make it into the official stats as some people rely solely on the official stats to gain a picture of our current state?
#39 RAH on 08.29.24 at 2:11 pm
I think in your example Government of Canada would probably still insist on some say.
However, your example brings up an important point – jurisdiction. The question of why FN have to work through our systems and laws and not their own is one that I bet they want to have the Supreme Court of Canada answer. The question of why Government of Canada should stick their nose into their land business is a valid question in their view, and they probably want it answered. I bet Government of Canada really doesn’t want that SCC ruling answering this question, because to be honest, considering the FN have the lawful land title, I can see how they could voluntarily choose to work through our systems, but I feel they don’t feel to happy about his imposition and want to govern themselves. Haida nation in B.C. just got land back and self governance, did they not?
And the reason for this jurisdiction question is highlighted in the latest Supreme Court of Canada ruling – the system has been weaponized against FN by our governments – of that there is little doubt.
“Governments ignored their responsibility for years and fought aggressively to limit the First Nations’ claims. They lost — and they lost badly. The settlements will now expand dramatically; the First Nations, exhausted by decades of struggle for basic justice, are in no mood to settle for anything less than the full amount.”
So, I get your point. And I’m glad someone understands that indeed, FN will eventually will probably get the right to sign those developments on their land to which they hold legal land title. Just consider that whoever they sign those with…could be….well, anyone. What if they don’t want to sign a treaty with Canada – what will the SCC say to that question? Scary stuff.
And imagine what this means for cohesion of Canada. This is really what I wonder about and what keeps me up at night. I see a clear and obvious path now to Canada being diced up/sliced up/divided along the lines of treaties for example or even smaller. And that path has never been cleared because question of title and treaty are being answered by SCC, and the answers aren’t pretty.
Why is that? Because our governments past and present were terrible tenants and now the dues are coming up and the landlords are in no mood to be generous. And I can hardly think of a reason why they should be.
Consider you own something – legally and lawfully apparently and your tenant who recognizes your ownership did these things to you. And maybe you came here and read – “pass a law that eliminates all First Nations claims even with no compensation!” on a comment section. What are you thinking of your tenants? Are you full of good will? I don’t think so.
What is without doubt is that the past 12-18 months have been very eventful on this subject, and it’s just the beginning. Now more questions will be answered. More cases will be ruled on. More validation of FN land title rights. More treaty violations confirmed (read:contact violations) More damages to landlords. More land returned. More federal and provincial billions needed. More debt. More property taxes. And this all ends where exactly? That’s the real question that needs to be answered – and it’s a fiscal one that impacts us all directly.
Canada has 30 year bonds?
Ok so yes we do.
https://ca.investing.com/rates-bonds/canada-30-year-bond-yield
And so did Chrystia finance our 700B debt with .86% 30 year bonds in 2022?
#47 crowdedelevatorfartz
crowdedelevatorfartz, isn’t this pipeline project owned by FN Nisga’a Nation and Western LNG, a Huston Texas company that is brining in tech and knowhow perhaps?
Seems we’re getting into the example RAH was noting – where Canadian entities are forced to yield/surrender to FN due to land title ownership/rights/liabilities. Seems FN are now getting into their own game perhaps. Is that good? I’m thinking good for FN, and First Nations should probably look after First Nations interest first.
Why did TC Energy, and Alberta Company get out of the Prince Rupert Gas Transmission Project? Could they be within the jurisdiction of Supreme Court of Canada and didn’t want to risk the liabilities that were to be associated with any land title/treaty violations that may be ruled upon after investment and construction were completed? Who knows?
But thanks for the interesting example of how B.C. government is “running roughshod” over FN. To me it reads like B.C. government surrendered if FN now owns this project. What do you think?
#42 – thank you for your input and experience.
It surely explains why we have seniors who retire with mortgages. They kicked the can down the road to buy vacations, motor homes, Amazon junk and whatever.
Then out comes the MSM with the sob stories.
Imagine getting a 30 year mortgage on a new construction build in 2021 for like 3.5 percent. I wish they had mortgages like that in Canada!
DELETED
@#53 Landlord #$800 Billion
“To me it reads like B.C. government surrendered if FN now owns this project. What do you think?”
+++
I’m enjoying the scenario of First Nations in bed with Big Business and Big Govt vs other First Nations that aren’t.
The “Protectors of Mother Earth” vs …” Money, Money, Money”.
Because when it comes right down to it.
All that environmental stuff goes right out the window when billions in cash are waved around…..
Landlords? Protectors of Mother Earth?
Nah…lickspittles to Mammon….
#57 crowdedelevatorfartz
No doubt First Nations is enjoying the control and benefits of such scenarios as you are enjoying them. For decades or even centuries they’ve seen the wealth extracted and profits disappeared while the treaty contractual obligations were neglected.
I’m telling you CEF, they have the high ground and legal ground in every scanario now. I’ve played it through and am quite surprise by it at every turn. Highest courts have spoken. Contracts have been flagrantly violated.
I’ve said this before – they’ve been the most patient of landlords. They’ve actually worked through a system rigged against them by the liable tenants to prove their case…and after all these years the tenant’s own court system has been quite vocal in the rulings.
Protectors of Mother Earth or infected with greed by outsiders – whatever it is, it appears increasingly it’s non of our business because we don’t hold the land title, we don’t have the rights, and we won’t get the profits. We’re 2nd class citizens – for real.
Again, I’m glad you’re enjoying yourself.
I’m still concerned with the fiscal consequences for one. Structural ones as well. The implications are simply enormous.
In Canada, as we all know, you can make an obscene pile of profit on residential real estate and pay zip in taxes.
—————
In many cases this excess profit comes from tax evasion. I’d like to see every RE transaction trigger an audit off the seller to see if things were properly reported. The crooks are winning from what I see and hear. It has to stop.
#126 Flaming Anarchist on 08.29.24 at 2:56 pm
I can confirm building costs are high. We just finished building a 3 bedroom house. We did build energy efficient with triple paned windows, extra insulation etc. Did some work ourselves. Came out to $433 per square foot. That does not include land.
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Wow,
And you did not install Solar Panels.
A few years from now.
You’ll wish you did.
#32 Quintilian on 08.29.24 at 1:38 pm
#24 Shawn on 08.29.24 at 12:53 pm
If First Nations pushed claims to absurd levels with court awards the government would be forced to change the law and make the absurd claims go away.
————
Hey Shawn, I think you may be relying on the concept of Terra Nullius, however, that would not apply because Canada and First Nations have treaties in place sanctioned by court of laws.
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Those treaties are 100+ years old, and yet here we are in 2024.
The courts can’t make the government do anything that the government doesn’t want to do. It’s the truth, best make peace with it. Government in the great white north operates consequence-free. Nothing less than that can be asserted as fact, especially in post-Trudeau Canada.
US has 30 year fixed rates because local and global investors will buy them at competitive rates low enough for borrowers to opt for them. Don’t see that working here, without government acquiring a huge chunk. Think of the duration risk otherwise stuffed in our financial firms, ie SVB in US. We don’t have the clever HTM accounting tricks to paper that over. Don’t see in working here in practice, although government will probably try anything they can
I would go in the opposite direction if I could call the shots and limit the total term of a mortgage to 6 years or the debt is cancelled in the 7th year and that is if I were to permit mortgage lending at all. People have better things to do with their lives and money than be in debt and worry about making payments forever or nearly so. then again you might have the mother of all home price collapses. Some one has to put a limit to the excesses of the real estate market. Besides the funds lent are created out of thin air any way now that banks don’t need investors savings to make loans.
Auto loans should be dropped to a term of 2 or 3 years as a maximum.
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#44 DON on 08.29.24 at 2:51 pm
Ponzius….you took the cruiseship visitors walk. Those streets are cleared by the authorities. You have to walk up to Douglas Street or Blanshard…or go to the back side of Beacon Hill Park. You missed the spots. All you had to do is walk up a couple of blocks away from the waterfront.
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Sure, the authorities cleared the streets.
I drove around for 20 minutes just to find a parking spot.
No cruise ship in sight.
Some US and Alberta license plates.
Mostly staycationers from the Lower Mainland.
Stayed the night in Sidney.
Beautiful spot.
Again, no homeless.
Try harder.
Berta
“After all, a desperate government, underwater in the polls, will do anything.” – Garth
It’s a good thing they’re just playing with Canadian people-kind’s money and destiny just so they can get re-elected…NOT! Especially a government who needs to be propped up by other “parties” who’ve shot themself in the foot by double crossing their prime constituency (unions). The yellow hoard also can expect 30 more years of never getting a sniff at governing. Will the liberals suffer the same fate as the once mighty Mulroney-less Kim Campbell P.C. party?
#53 Landlord No.8 on 08.29.24 at 4:05 pm
But thanks for the interesting example of how B.C. government is “running roughshod” over FN. To me it reads like B.C. government surrendered if FN now owns this project. What do you think?
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I think this obviously a case of “a house divided” among aboriginal nations. Eva Clayton, president of the Nisga’a Government says construction is going forward. Meanwhile, hereditary chiefs of Gitanyow nation are worried about fish, and are blocking a road. The Nisga’a Nation and Western LNG both paid cold hard cash for this project.
From the link:
“We do respect our peaceful and lawful protest, but those who block roads do not represent the majority of all of us who are excited about this Indigenous-owned gas pipeline,” says Eva Clayton who is president of the Nisga’a Government.
Sounds to me like an aboriginal cage match is in the works. I’m not sure what side to cheer for, the Nisga’a Government? Or the Gitanyow road blockers?
What do you think?
“Bury my heart at Wounded Knee”.
Is one of my all-time favourite book.
I like it. I like the fact that potential buyers could set a goal on what level real estate they want to achieve based on many things; like income, family or not, tesla or dog….and not be stressed by always refinancing.
Appease the masses as we know what we have become.
og
#46 Wrk.dover on 08.29.24 at 3:03 pm
#15 Ustabe on 08.29.24 at 12:27 pm
Anybody looking for a good chortle and who isn’t afraid of scary Reddit could go there to r/cyberstuck. Excellent time waster.
—
Always good for a few guffaws a chortle or two and the odd WTF or OMG.
#67 IHCTD9 on 08.29.24 at 5:52 pm
Sounds to me like an aboriginal cage match is in the works. I’m not sure what side to cheer for, the Nisga’a Government? Or the Gitanyow road blockers?
What do you think?
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I’m going to say what I’ve said above – we’re 2nd class citizens as we don’t and can’t ever have title to the land. As such, the reality of this “disagreement” is between 2 nations that are NOT Canada, hence above us and none of our concern as we’ll neither win anything or lose anything.
As for your other point about courts being unable to make the government do anything that the government doesn’t want to do, well, the Federal government has $135 billion in latest 2024 budget earmarked for this file, and provinces will be matching. So it appears as the government will follow the letter of the law of the land.
-Land title belongs to First Nations
-Treaty agreements were signed.
-Tenants violated above contracts.
-Damages for past to be paid.
-New contracts are to be negotiated within set time limit, which meet the requirements of First Nations.
#67 IHCTD9 on 08.29.24 at 5:52 pm
…remember one final extreme thing IHCTD9.
Treaties can be terminated.
Tenants can be evicted.
I hope we all don’t want that to be the final destination on this road. Hence, governments better steer us clear of it by complying with court rulings.
Regarding those of us concerned about First Nations as landlords, etc.
Treaty No 8 territory encompasses areas of Northern Alberta, Northwestern Saskatchewan, Northeastern British Columbia, and the Southwest portion of the Northwest Territories. Its western boundary basically runs up the spine of the Rockies, angles up into what is now Northwest Territories and is the largest land mass treaty in Canada.
Couple of points as you discuss this and form positions, etc. The entirety of BC that is not under Treaty 8 has no treaties whatsoever with any First Nations. They have never given up sovereignty over their lands except for any modern agreements having been made. Ditto Yukon and vast portions of Northwest Territories.
Secondly to gain a bit more knowledge about why this is slowly coming to the fore Google up Cows and Plows, Treaty 8. Good example of why our Government is getting its feet held to the fire.
Lastly, my personal opinion, having spent countless hours in northern BC, Yukon, Northwest Territories traveling the hidden roads, the two track trails, the abandoned winter roads; year over year and been the beneficiary of the peoples kindness, hospitality and laughter I don’t think we have much to worry about.
But that is just normal me…I’m not weird, eh.
#11 Wrk.dover on 08.29.24 at 12:17 pm
#121 Travelling on 08.29.24 at 10:01 am
#113 Wrk.dover on 08.29.24 at 6:28 am
Normally, if I read one of your comments, I get it because it’s clear. This one isn’t. I’m assuming you’re trying to make some kind of point in my regards but you’ve lost me. Can you just give a simple explanation as to what I have anything to do with this?
Thanks in advance.
___________________________________
Thanks for the compliment on my clarity in most cases.
My point putting you in context with that piece, is other than having beau coup paper at your disposal, can you hit the ground running at producing tangible wealth when paper has a glitch, which it does do from time to time?
I personally could employ several industrious activities, if need be with tools, equipment, buildings, transport vehicles and natural resources all standing idle as I type. And I have paper assets in a balanced measure, so I too can be idle today.
Who is the wealthy guy you see in your travels around the world? The contractor with a backhoe, or the guy using a shovel on a work crew? The guy with the vineyard, or the laborer in it? The man with the sawmill, or the man on the street looking for enough employment for supper tonight?
Your name popped up in my mind reading that piece, because you don’t have anything to fall back on except processing paper to have paper, which went well for you, so far.
‘Stuff’ grows in value and having it can pay dividends too. You be you, I’m just saying…
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I now understand where you’re coming from. The Zero Hedge thing though doesn’t seem to have relevance in my eyes but that’s me.
What I understand is this. You value labour, especially the manual type. I get it. Most people see things this way. It’s easy to measure and quantify. That’s why most people dislike intellectuals and managers at multiple levels. They don’t see value in intellectual labour. They see the intellectual labour sponging on those doing the manual labour (I include office workers as manual labour too as it’s just a cleaner version of a factory, warehouse, or worksite) without realizing that intellectuals and managers focus manual labour and amplify their results.
I guess another way of looking at it is considering the human body. Manual labour is the body and what it does. Intellectual labour is the brain which provides the direction. Without direction, people likely fall back to rubbing two sticks together to try to make fire.
Everyone has a certain degree of both however most people have less of the intellectual part and/or are less inclined towards it. No insult there again, it’s just you can only have so many people making the decisions and so many more people taking direction. We’re a herd animal after all and most people prefer to be followers. Get told what to do. Do it. Get compensated.
Either way, I used my intellectual horsepower, along with a thorough knowledge on the impact of delayed gratification, to get my early retirement and financial independence. I can guarantee that if something were to occur negatively impacting my so called “paper” wealth, I’m extremely confident in relying on the same intellectual horsepower that got me where I am now to do so again without issue.
As for “stuff”, I’ve had very little interest in stuff for quite some time. I prioritize experiences over possessing junk. A shared economy model can work well without owning. I can pick up and move anywhere, anytime with minimal hassle as a result. For the rest where I need to buy something, my “paper” wealth provides all the cashflow I need.
You may think the contractor who has a backhoe, the guy with the vineyard, or the man with the sawmill is wealthy. All those people are ultimately beholden to a customer who ultimately owns their time. Is that really wealthy?
My idea of wealthy is the individual who fully owns their time, is beholden to none, and can do something new on a whim with really no risk or consequence.
So, everyone who must exchange their time for financial gain, in my eyes, is poor.
How does that make me, in any way, poor?
#45 Vancouver Keith on 08.29.24 at 2:52 pm
@ #39 RAH
“Let’s also say the average time from filing a claim to production is 10 years.”
It isn’t. In Canada, count on eighteen years.
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COMMENT:
Thanks.
========================
COMMENT:
Future shock will be on 2 fronts:
(i) Business will have to cut deals with FN.
OR
(ii) Business will boycott BC if they see their investment isn’t wanted and/or have no foreseeable future nor profit (aka Gov’t continually and increasingly capitulates to FN’s consultation and demands.)
Once the aforementioned is achieved, and business leaves…the FN would/could be in control via default and an attrition process.
Like Wal – Mart:
…. is the goal to monopolize the retail market ? OR to simply kill off business PERIOD like bloodless guerilla economic warfare coup.
@#65 Pugnacious Ponzies Perpetual Protesting
“Again, no homeless.
Try harder.”
++++
Right.
Apparently everyone in Victoria is imagining the Homeless.
The Police Chief.
The Mayor.
https://www.cbc.ca/news/canada/british-columbia/victoria-firefighter-suspension-1.7296891
The Premier.
Thats right Ponzie.
We’re allllll imagining the Homeless problem in Victoria.
Your “weekend warrior” visit to drop off your daughter to UVic made you an expert on Victoria’s Homeless situation.
How incredibly stupid of us to question your brilliance.
@ Landlord #$800 Billion.
Taxpayers will reach a limit and allllll the Supreme Court rulings won’t matter.
The Laws will be changed retroactively and the money train will end. Jump on while you still can…..
#65 Ponzius Pilatus on 08.29.24 at 5:46 pm
#44 DON on 08.29.24 at 2:51 pm
Ponzius….you took the cruiseship visitors walk. Those streets are cleared by the authorities. You have to walk up to Douglas Street or Blanshard…or go to the back side of Beacon Hill Park. You missed the spots. All you had to do is walk up a couple of blocks away from the waterfront.
———————–
Sure, the authorities cleared the streets.
I drove around for 20 minutes just to find a parking spot.
No cruise ship in sight.
Some US and Alberta license plates.
Mostly staycationers from the Lower Mainland.
Stayed the night in Sidney.
Beautiful spot.
Again, no homeless.
Try harder.
Berta
***********
I said you took the cruiseship walk….down government street from the Harbour to Chinatown. I didn’t say a cruiseship was in. And you most likely took the drive around Warf or gov street. Homeless used to hang around the new bridge on Warf, but have been pushed up blocks.
And Sidney is not a homeless destination.
Did you walk up to Pandora and Blanshard. You cannot miss the tents along the boulevard.
My friend was the paramedic who got attacked while trying to help someone.
And yes the police clear the tourist streets starting in the morning. That started about ten years ago when they were sleeping in the doorways of coffee shops etc.
I must be imaging things when I walk down Pandora and Blanshard streets. Downtown Victoria is one of the warmest places in Canada and hardly gets any snow when there is a snow storm in the area. It has become a destination for homeless from all parts of Canada. How do I know…I have friends that work for the Income Assistance Ministry.
#1 Landlord
O Canada! Our home and native land!
Welcome to the 2nd Class Train Car CEF and everyone else. The Lessor Class.
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2nd class?
I assume you’re of European decent.
How can you be second class when “your people” control the vast majority of the federal and provincial legislatures and the judicial system?
How many Indians live in Point Grey and Vancouver West?
Or, God forbid, in the “British Properties” ?
#71 Landlord No.8 on 08.29.24 at 6:30 pm
#67 IHCTD9 on 08.29.24 at 5:52 pm
Sounds to me like an aboriginal cage match is in the works. I’m not sure what side to cheer for, the Nisga’a Government? Or the Gitanyow road blockers?
What do you think?
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I’m going to say what I’ve said above – we’re 2nd class citizens as we don’t and can’t ever have title to the land. As such, the reality of this “disagreement” is between 2 nations that are NOT Canada, hence above us and none of our concern as we’ll neither win anything or lose anything.
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That’s good to hear, as most of us Canucks must be fighting back a smirk watching these two indigenous groups bonking each other over the head with clubs and tomahawks over oil money.
If the road blockers win (likely in Trudeau’s Canada), the Nisga’a will burn for whatever amount they anted up to buy this project.
Probably won’t be long before the Nisga’a are asking for government intervention. Hopefully not, because if that ain’t rolling belly-up to the real PTB, I don’t know what is…
DELETED (GIC bot)
#72 Landlord No.8 on 08.29.24 at 6:32 pm
Treaties can be terminated…
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Yep, 100%.
Your words, not mine.
But done so in the government’s favour. Look at history, these treaties are over 100 years old. 100+ years of breach of contract. You think it can’t keep happening? It can. One change in sentiment (ie change of government) on this front, and it’s back to the drawing board.
And like I said before, any payout agreed to by Ottawa will be paid for by our newcomers which comprise nearly 98% of our population growth. These being largely from countries who were also colonized by Western powers at some point. Ottawa will print it, hand it over, and our immigrants will pay for it. Think they might resent that?
I think so, every one of these folks will eventually understand what’s going on – and will also eventually be able to vote…
Check out property taxes in NY and CA before you think of emulating the good old USofA.
State and local taxes on property are very high.
California:
Mill Valley | $3.995 Million
A four-bedroom, three-and-a-half bath house from 2005 with a detached office and gym
Size: 2,785 square feet
Price per square foot: $1,434
Taxes: $49,932 (estimated)
https://taxfoundation.org/data/all/state/state-local-tax-collections-per-capita-fy-2021/
#75 Furz
Thats right Ponzie.
We’re allllll imagining the Homeless problem in Victoria.
Your “weekend warrior” visit to drop off your daughter to UVic made you an expert on Victoria’s Homeless situation.
How incredibly stupid of us to question your brilliance.
——————
My oldest son lived in Victoria for 10 years.
Plenty of visits to see him and his family.
I stand by my post.
#72 Landlord No.8 on 08.29.24 at 6:32 pm
#67 IHCTD9 on 08.29.24 at 5:52 pm
…remember one final extreme thing IHCTD9.
Treaties can be terminated.
Tenants can be evicted.
I hope we all don’t want that to be the final destination on this road. Hence, governments better steer us clear of it by complying with court rulings.
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This may make sense to you, but… the rulers of a land are those who can defend it and enforce compliance with laws. A minority 4% population cannot do that regardless of how many judges might agree. Especially, maybe ironically, where leaders are democratically elected.
That said, FN have been given significantly more influence recently and have a fairly powerful hand to play. This is an opportunity they should leverage as far as possible. But that’s really as far as it can go. In the end, might (power or majority, as the case may be) makes right.
Last post on homeless camps in Victoria.
————————-
If you want to see a real out of control homeless and drug culture.
I urge you to visit the area around the Frankfurt Main Train Station.
@#83 Petulant Ponzie’s Public Proclamations.
“I stand by my post.”
+++
In the immortal words of Jack.
https://www.youtube.com/watch?v=FCAOZD4dkkc
Stubbornly obstinate even when proven wrong.
A Prussian trait not changed after 2 world wars….
Amazing.
#82 Islander
Not so fast. Our house, in Georgian Bluffs Ontario, (Owen Sound). Assessed @ $880,000. Built in 1971, 2 bathroom three bedroom, 2,400 square feet, unfinished basem*nt. Property taxes $9840. Owen Sound itself is 50% higher. We pay for every bag of garbage on top of that. Property taxes increased 100% in 16 years. Multiply that by four to match the value of California home, and we are closing in on California property taxes. No development levy charges in Georgian Bluffs. GTA houses are way under taxed on property values.
So we get one material spike in rates in 40 years and we need to completely overhaul the mortgage system. Rubbish. The average mortgage duration in the US is only 8 years since Americans like Canadians tend to move houses every 8 years on average. So Americans on average have to qualify for a new loan every 8 years, which resets their rate. And Americans tend not to move when rates rise. Stupid idea and unnecessary but for rate spikes every 40 years. Źzzzzzzz
“How did you go bankrupt?”
Two ways.
Gradually, then suddenly.”
(― Ernest Hemingway, The Sun Also Rises)
=========================
Regarding Socialism:
“….IF YOU HAD A DOLLAR FOR EVERY TIME SOCIALISM WORKED …YOU’D HAVE ZERO DOLLARS.
IRONICALLY, IF SOCIALISM DID WORK YOU’D STILL HAVE ZERO DOLLARS …”
=====================
Also:
Where’s Jagmeet?
Didn’t he say that he would have a “No Confidence” vote (and force a Federal election) if the Liberals ordered the railways back to work ?
Tick tock tick tock
You understate the difference between ON & NY. Let’s look at Zillow and Niagara Falls.
https://www.zillow.com/homedetails/2017-Forest-Ave-Niagara-Falls-NY-14301/31443281_zpid/
https://www.zillow.com/homedetails/4027-Main-St-Niagara-Falls-ON-L2G-6B9/402677095_zpid/
Kind of similar houses, in NY $100K USD in ON $499K CAD, as of todays exchange that is 3.7X. Also, the american house is larger, 1914 vs 1411 sqft. I know there can be a lot of details I missed, but this is a massive difference in the Quality/cost ratio in favour of NY. I would say a much higher standard of living for the middle class of Niagara Falls, NY. Canadian RE policy is nutso.
In Victoria, not only homeless. Scary homeless on Pandora street.
Garth, I built a lot of houses so did my father. Climate was never a factor. We worked wind, rain, snow, day night…didn’t matter. The biggest expense has always been DCC’s.
In Georgia, we build with pine and insulate. In BC we build with cedar and insulate to the same standard. Sometimes glass is imported sometimes not and everything else is market dependant. Climate never comes into it.
Florida = no basem*nts. Of course climate is a factor. – Garth
DELETED
Garth, didn’t Harper toss you for fighting against the 30yr mortgage?
That referred to amortizations, not terms (and it was 40 years). The killer was 0% downpayments. – Garth
#74 Travelling on 08.29.24 at 6:53 pm
You may think the contractor who has a backhoe, the guy with the vineyard, or the man with the sawmill is wealthy. All those people are ultimately beholden to a customer who ultimately owns their time. Is that really wealthy?
My idea of wealthy is the individual who fully owns their time, is beholden to none, and can do something new on a whim with really no risk or consequence.
So, everyone who must exchange their time for financial gain, in my eyes, is poor.
How does that make me, in any way, poor?
______________________________________
I am fully dependent on CPP, OAS, an +/-80% funded Teachers Pension of my spouse, GICs and equities, for my long term support. I haven’t worked for hire for 36 years, nor my wife for 18 years.
Any or all of them can stop coming, as too with your paper trail, maybe sooner than later. Decades are a long time, I’ve watched USA’s debt grow from 250 billion in
total, to presently borrowing a trillion every 100 days, just during my ‘working age’ years.
When change happens, people wanting employment can harvest our trees, rent/share our service industry type tooling and machinery and guest house to generate wealth for us and them, at a third world level if need be. Food can be and is grown on this land and in the greenhouse, fuel wood too. Solar hot water and electricity in place as well.
FULLY balanced and FULLY diversified!
There is a difference with the FN situation on the East Coast. After more than a dozen generations of co-mingling, with inter-marriages, it’s hard to say which is which, on this French settled in 1604 side of the continent.
When the Acadians and the FN clash over the lobster fishery on CBC, see if you can spot the similarities between the cousins!
The Acadians know the absurdity of that, which is why they fight so hard to keep the playing field equal, wanting no special rights for the FN.
With that in mind, the BC FN issue with the much more recent arrivals is not going to unwind itself, by itself.
#82 Islander on 08.29.24 at 8:24 pm
California:
Mill Valley | $3.995 Million
Price per square foot: $1,434
Taxes: $49,932 (estimated)
_________________________________
Same rate here in SW NS, no houses worth that though.
Bunch of them worth a million though!
Another family run business….shuts down in NDP land
#73 Ustabe
Yes, Treaty 8 is a doozy as I said, and already court rulings won by FN. B.C. may not have acknowledged FN land title, but The Crown does, as does the royal proclamation and Supreme Court of Canada case law. Additionally, it is worth pointing out that B.C. has been on the forefront of land return agreements, owner use demands and really often relegating non-FN Canadians to 2nd class citizen status on their own land.
Cows and Plows thing…look, I know a bit about it and it seems like another attempt to scam. Now, I get the attempt of course, but the clause that this clears all legacy related treaty violations is sneaky.
Agreed that my interactions with FN is that they are good people. Which is why the abuse of that good will by governments/corporations and where it has put us is quite angering. Also, I challenge my attitude that they should just accept it and not protect themselves. They gave a hand and we took the whole arm, did we not?
Clearly we have not been good tenants and if I was them, I would not trust us again. We haven’t earned the trust, have we?
#78 Ponzius Pilatus
Where is my benefit to this ancestry? It does me nothing here.
Here, holding a Canadian non FN citizen ID I’m not allowed in areas that are owner use like Joffre Lakes, and my “people” government has been so negligent that now I and future generations end up paying for this neglects.
I said it before and I’ll say it again, never before has Canada been at this much fiscal and structural risk.
#79 IHCTD9
Smirks or not, it’s not our fight.
I get your point that the costs are from the future, but current federal budgets already have $135B in them, as I said likely needing a match from provinces. And the money is starting to be paid out now. But no doubt, this is going to be piled on in form of further debt on future generations.
They can resent. They can vote. What they can’t change is who owns the land title and who the landlord is. And if they were from a colonized country, they will already be familiar with the game rules here and who’s giving them the shaft. And regardless who is at the head of the government at the time, the organization answers to the same entity who created this problem. I’m quite certain they didn’t do it by accident. In fact, I’m quite certain they knew exactly what they were doing.
I wonder if Quintillian has been making bank off of NNE, said he was looking for a good little stock play, any play that could be profitable. I suggested NNE which keeps performing as expected, buy when it gets around $7 and then ride it up and take profit.
Not as good as TSLA which has been a money machine this last quarter though, shout out to Faron for his recommendations to buy in at $142 in April.
#68 Ponz
“Bury my heart at Wounded Knee”.
Is one of my all-time favourite book.
———————————————————————————————————-
Me to. I just recently read it. Fascinating historical account.
It must have been tough getting screwed by the American government decade after decade.
False promises. Hypocrisy.
Broken treaty after broken treaty.
Lies stacked upon lies.
Relocation. Uprooting.
Rampant mass murder.
Mean spirited, lecherous, greedy, dishonest politicians.
But enough about the current U.S. situation.
Houses cost more here in the GTA than in Buffalo because of ‘climate”???? .wow!..no words…
The word ‘overall’ refers to, you know, overall in Canada. No California. No Florida. No Arizone. And we have Saskatchewan. Sheesh. – Garth
Opportunity to reduce government employee bloat? From this morning’s NP:
“A group of 52 Liberal ministerial staffers are threatening to quit their jobs unless Trudeau’s party meets their numerous demands about the ongoing Israel-Hamas conflict. The group sent their unpublished letter directly to the Prime Minister’s Office (obtained by the CBC ).
Among the staffer demands: that the Liberal party condemn Israel for “numerous war crimes” and “genocidal rhetoric”; that the party both recognize the state of “Palestine” and “acknowledge anti-Palestinian racism as a unique form of hate and work to address it in Canada”; and finally, that the party end all arms export permits to Israel, ensure Canadian arms are not shipped to Israel via other countries, and end all military research collaboration with Israel. The staffers, who are, according to CBC, all Muslim or Arab, are backed by a Liberal party donor group called Network 100GTA, which represents Muslims and Arab Canadians.”
52 Liberal staffers. For the love of Pete please don’t blow this opportunity! Immediately accept those resignations and RUN DON’T WALK to the nearest exit.
#74 Travelling. Far beyond the value of manual labor is the value of skill. The fact that you have used your body and brain together, using whatever tools and equipment are required, in demanding situations for at least a decade. Often longer.
Until you develop an understanding of just what it takes to be skilled this discussion will be lost on you.
I have been immersed in the mechanical world all my youth and adult life. I am now in my later 60’s and still practicing my skills and still developing and learning. Tradesman, to School shop teacher, to heavy plant Engineer. as far as employment went.
Parallel to that vintage car restorer and vintage race car owner , draftsman, fabricator , machinist and one or two other things thrown in to round things out.
But the important thing is I am still honing my craft / skill.
The ” stuff ” tools, shop building, machine tools , jigs , fixtures , welding gear etc. are just objects. It’s when you put them in the hands of a skilled human that they come to life.
Thirty year mortgages seem like a recipe for personal financial failure. How does one prepare for retirement or pay for the education of their children if they spend 3/4 of their earning years burdened with mortgage payments?
If you can’t pay for a house with a fifteen year mortgage, you can’t afford it.
If you’re over the age of twenty-five and can’t purchase an automobile without borrowing money, you can’t afford it.
Most long-term mortgages are open. They can be paid off anytime. You understand that, right? – Garth
#104 Dragonfly58 on 08.30.24 at 10:24 am
#74 Travelling. Far beyond the value of manual labor is the value of skill. The fact that you have used your body and brain together, using whatever tools and equipment are required, in demanding situations for at least a decade. Often longer.
Until you develop an understanding of just what it takes to be skilled this discussion will be lost on you.
I have been immersed in the mechanical world all my youth and adult life. I am now in my later 60’s and still practicing my skills and still developing and learning. Tradesman, to School shop teacher, to heavy plant Engineer. as far as employment went.
Parallel to that vintage car restorer and vintage race car owner , draftsman, fabricator , machinist and one or two other things thrown in to round things out.
But the important thing is I am still honing my craft / skill.
The ” stuff ” tools, shop building, machine tools , jigs , fixtures , welding gear etc. are just objects. It’s when you put them in the hands of a skilled human that they come to life.
———
Sounds like you’re repeating the same skill sets and experiences without taking on new ones.
I’d recommend you do that to expand your synapses. If you don’t challenge yourself doing things that make feel uncomfortable and a fish out of water, your later years may not be as great.
Long poopooed by our gracious host for saying it….are we yet coming to the realization that banks are becoming landlords???
Of course not. Bank do not want residential real estate. Period. – Garth
@#91 Vancouver Keith
In Victoria, not only homeless. Scary homeless on Pandora street.
+++
Shhh.
Ignore the innumerable citizens of Victoria and their complaints.
Ponzie says there are no homeless in Victoria….because he visited last weekend…it must be true.
@#103 The Jaguar
““A group of 52 Liberal ministerial staffers are threatening to quit their jobs unless Trudeau’s party meets their numerous demands about the ongoing Israel-Hamas conflict. The group sent their unpublished letter directly to the Prime Minister’s Office (obtained by the CBC ).”
+++
I love it.
The endless pc lecturing comes home to roost.
Liberals eating themselves.
The federal election is long overdue.
The longer the minority Govt waits…the worse it will be.
:)
#103 the Jaguar on 08.30.24 at 9:49 am
52 Liberal staffers. For the love of Pete please don’t blow this opportunity! Immediately accept those resignations and RUN DON’T WALK to the nearest exit.
———-
Haha, yep. When opportunity knocks…
#95 Wrk.dover on 08.30.24 at 6:58 am
#74 Travelling on 08.29.24 at 6:53 pm
You may think the contractor who has a backhoe, the guy with the vineyard, or the man with the sawmill is wealthy. All those people are ultimately beholden to a customer who ultimately owns their time. Is that really wealthy?
My idea of wealthy is the individual who fully owns their time, is beholden to none, and can do something new on a whim with really no risk or consequence.
So, everyone who must exchange their time for financial gain, in my eyes, is poor.
How does that make me, in any way, poor?
______________________________________
I am fully dependent on CPP, OAS, an +/-80% funded Teachers Pension of my spouse, GICs and equities, for my long term support. I haven’t worked for hire for 36 years, nor my wife for 18 years.
Any or all of them can stop coming, as too with your paper trail, maybe sooner than later. Decades are a long time, I’ve watched USA’s debt grow from 250 billion in
total, to presently borrowing a trillion every 100 days, just during my ‘working age’ years.
When change happens, people wanting employment can harvest our trees, rent/share our service industry type tooling and machinery and guest house to generate wealth for us and them, at a third world level if need be. Food can be and is grown on this land and in the greenhouse, fuel wood too. Solar hot water and electricity in place as well.
FULLY balanced and FULLY diversified!
———
Are you worried that your government pogey will run out? You’ve been collecting for 36 years. I very much doubt that it will stop in your lifetime or the next. Where’s the paranoia coming from about a “change”? Canada is still in a good place. I’ve seen where it isn’t. Trust me, things are very good in Canada. Yes, some places are better but Canada is still a contender.
As for possible bad times, I did prepare for that by growing my investments sufficiently that I don’t require any government handouts. As well, I have more than one citizenship. Lastly, survival training, firearms training, growing my own food, hunting, etc., are all part of my skillset. I actually can make fire running two sticks together which is why I referenced that. I wasn’t just a pretty faced office jockey as some here believe.
Anyways, if the apocalypse comes as you think may occur, I’m not too worried. Either I’ll be dead and it won’t matter or I’ll be alive and will manage fine. Coming back reality, the world is becoming a better and more integrated place as time goes by.
The thing to worry about more is adapting to all the new ways of doing things going forward. I think that’s where most people have a lot of difficulty and fall to the wayside.
#100 Millmech on 08.30.24 at 9:19 am
I wonder if Quintillian has been making bank off of NNE, said he was looking for a good little stock play, any play that could be profitable. I suggested NNE which keeps performing as expected, buy when it gets around $7 and then ride it up and take profit.
Thanks for your kind thought, but no I didn’t “make bank” as I said before, when it comes to investing I’m just a “vanilla” type.
Cost me 250k to get into private equity about 4 years ago, and still no regrets.
Mind you I don’t qualify for bragging rights like the Fiberaci Team, but I can live with the modest results.
Re # 92
There’s a big difference in definition between weather and climate. They like no basem*nts ranchers ( ramblers) in Texas without fear of oceanic storm surge. Construction styles and practices aren’t dictated by either. Climate is not a settled science no matter what the brainwashed eco-goons say. You might not want a Bantu in FLA due to sub-soil conditions, but not weather considerations. Give me enough money and I build anywhere you please.
Windsor/Essex homicide rate – 5 in 2020 and 10 in 2021 ( oh my a doubling). Homicide rate per 100 000 people of 2.84. Detroit homicide rate 327 in 2020 and 309 in 2021 (oh my what a decrease). Homicide rate of approximately 41 per 100 000. Maybe that’s why people will pay more to live just a few km’s on the Canadian side of the border.
They don’t have that choice. Residency & citizenship requirements. – Garth
#104 Dragonfly58 on 08.30.24 at 10:24 am
the important thing is I am still honing my craft / skill.
The ” stuff ” tools, shop building, machine tools , jigs , fixtures , welding gear etc. are just objects. It’s when you put them in the hands of a skilled human that they come to life.
______________________________________
A retirement with such purpose makes the day go away and a good nights sleep is guaranteed.
When I walk away from a job well done like I did an hour ago, I often turn around to go back and stare it down with satisfaction, more than just one time.
All I did was this morning was prep and scrub the frame of my self built tandem float for a repaint, but it was fun, rewarding and I worked up a good sweat doing it.
What’s with golfers, anyhow?
#101 Dharma Bum on 08.30.24 at 9:28 am
It must have been tough getting screwed by the American government decade after decade.
___________________________________
Check out the works of Angie Debo, when she was a little kid long ago her father was a govt. ‘Indian agent’ in the States. She had a pretty good handle on the cheating and lying of govt. In Oklahoma, they taught the ‘Indians’ to farm like white man, then white man took the developed farms from them!
#111 Travelling on 08.30.24 at 11:28 am
Are you worried that your government pogey will run out? You’ve been collecting for 36 years.
__________________________________
Math is not your forte I see!
#115 Wrk.dover on 08.30.24 at 12:15 pm
#104 Dragonfly58 on 08.30.24 at 10:24 am
the important thing is I am still honing my craft / skill.
The ” stuff ” tools, shop building, machine tools , jigs , fixtures , welding gear etc. are just objects. It’s when you put them in the hands of a skilled human that they come to life.
————
A retirement with such purpose makes the day go away and a good nights sleep is guaranteed.
When I walk away from a job well done like I did an hour ago, I often turn around to go back and stare it down with satisfaction, more than just one time.
All I did was this morning was prep and scrub the frame of my self built tandem float for a repaint, but it was fun, rewarding and I worked up a good sweat doing it.
What’s with golfers, anyhow?
————
Yes! I get great satisfaction from all our upgrades- hardwood and tiled floors, cabinetry, stairs, railings, decks, workshops… heck, even landscape flowers! No expense spared on materials, all savings in personally doing the work. Anything goes wrong- boom, fix immediately.
Currently noodling through water entering the boat bilge in big water when the motorwell is buried. An enjoyable process of elimination that will result in success.
Golfing is silly. Can’t believe anyone would do it more than 2-3 times a summer. 18 holes is about 12 too many and wastes way too many hours.
# 106, Travelling. When I was younger I did many challenging things . Sailing, B.C. Coastal Mountain range trecks, up to 10 days at a time in the alpine areas , rock climbing, and more. Not a hunter, but a pretty decent target shot as well.
But as I age, time, physical endurance and $ become the ultimate limits.
Yes , I spent way too much on my current place , but that was also a very important , very long term goal as well as things like my TVR and Lola sports racer. And the skills and physical set up to tackle any task connected with them.
Years ago I found a vocation that sang to me. And I have been involved to the best of my ability / ability to pay, ever since.
Absolutely looking back with 20-20 hindsight, I should have devoted more energy toward the subject of investing and money management.
Like I have said before I had a great , middle class, reasonably upwardly mobile, 1960’s into the mid 1970’s upbringing. The message was always “invest in yourself ” education, and skills, combined with dilligent , focused hard work.
It actually stood me quite well except for truly abundant financial freedom.
Up into the 1970s one could get a long term mortgage in Canada. It was common that when you purchased a home back then you often had to assume the previous owners mortgage. I remember my Grandfather buying a house and having to take on the this mortgage that the owner took out in the 1950s. The mortgage had a very low interest rate and the interest rate in the 1970s was much higher. I remember my Grandfather who did not want the mortgage going to the Bank and asking to pay it off. This would have been great for the bank since they could then lend out the money for more than double. But to my Grandfather’s chagrin the bank wanted him to pay very high penalties to break the mortgage. So he kept the cheap mortgage until it was finally paid off.
#115 , Wrk.dover. My father was very similar to myself, and I suspect yourself as well. But he was an avid golfer. The one part of him I never understood.
This government can be as desperate as its non-existent heart desires.
Millions will never vote Liberal again in their lifetimes.
30 year amorts or not.
JOE MAMA, I got ripped off with my GICs at 2.1% to 2.25% over the pandemic years. I have no sympathy for debt and real estate junkies. At least I had 3.75% GICs before the pandemic and now have 5.10% GICs. They turned saving into a punishment. I will not be fooled and just make sure my money is the made the most of it TFSAs, RRSPs, RRIFs, LIRAs, LRIFs.
