Bubble Trouble

[eyesthebye]

I'll be able to weather the storm a lot better than most.

It's all relative.

Crisis = Opportunity.

There are a lot of investors and developers waiting for the same crisis/opportunity

Some people took advantage of a crisis to buy an old home on a trucking route for "below market value" in 1999 or so.

Plenty of supply to meet those investors and developers demands.

speaking of trucking route... have you seen what teardowns are selling for on Knight street? Basic teardown with standard lot sell for 700K - this is developer price. Sheesh, I'd hate to be in the market looking for a home these days.

[timber2012]

speaking of trucking route... have you seen what teardowns are selling for on Knight street? Basic teardown with standard lot sell for 700K - this is developer price. Sheesh, I'd hate to be in the market looking for a home these days.

Why - market always goes up.

[eyesthebye]

speaking of trucking route... have you seen what teardowns are selling for on Knight street? Basic teardown with standard lot sell for 700K - this is developer price. Sheesh, I'd hate to be in the market looking for a home these days.

Why - market always goes up.

if that's true I guess there is no hope for most of us

[rofina]

speaking of trucking route... have you seen what teardowns are selling for on Knight street? Basic teardown with standard lot sell for 700K - this is developer price. Sheesh, I'd hate to be in the market looking for a home these days.

Why - market always goes up.

if that's true I guess there is no hope for most of us

What do you mean "if thats true."

We got 1% growth and declining incomes!

Insatiable demand defined baby!

[jesse1]

I'd hate to be in the market looking for a home these days.

Definitely, for a family earning $200K/year it's a bit daunting when teardown lots are going for $700K, and anything half liveable is at 5:1 price-income. ACB FTW

[timber2012]

I'd hate to be in the market looking for a home these days.

Definitely, for a family earning $200K/year it's a bit daunting when teardown lots are going for $700K, and anything half liveable is at 5:1 price-income. ACB FTW

Time to move from Vancouver then... good riddance.

who needs families.

[eyesthebye]

I'd hate to be in the market looking for a home these days.

Definitely, for a family earning $200K/year it's a bit daunting when teardown lots are going for $700K, and anything half liveable is at 5:1 price-income. ACB FTW

Time to move from Vancouver then... good riddance.

who needs families.

not so fast timber. We have families here - they're living in co-ops and BC Housing units.

honestly, quite a few young familes in on my block and each block over. House next door sold to young Chinese couple
with toddler. I guess they must all have grow-ops in their basement to be able to afford to live here.

[Taipan]

Banks May Force Homeowners to Re-Qualify for Mortgages at End of Every Term

For 4 years I’ve been saying the same things. It ain’t rocket science. You don’t need to be a Nobel Laureate in literature, and yes you may even spell stuff funny in English. But it doesn’t change the simple message.

You have a bubble caused by a massive worldwide credit bubble. Composed of 3 fundamental variables.

Loan terms that have been excessive to the repayment ability of the borrower.

Finance that has been too easily available for borrowers.

Record low interest rates.

That has caused the perfect conditions for ridiculous speculation, which has spun, in particular Vancouver property prices into ridiculous prices.

For some time we have heard that they won’t raise interest rates and therefore the bubble wont pop. That ignores the other two issues.

So what have we seen so far.

Loan Terms: We have seen the 0/40 mortgages disappear, then the 5/35 disappear. Now we are back to 5/30. Anybody for 10% down /25 year mortgages?

Easy credit disappearing: As we can see from above, the free money that has flowed in the past is now drying up! Now you have to prove that you can repay the loan.

None of this - if things go bad ill just sell it. No! They have lent you the money and they want you to pay it all back.

And if you can’t requalify, well you’ll be forced to sell! And that’s even if you haven’t missed a payment.

And that’s before they get to interest rates.

If you’re smart you’ll get out now. You will probably never ever have the chance to get the single biggest pay day of your life then right now, even as the market is starting to slide.

Because as this baby slides - she's going a long way down and a long way past where ETB bought in at.

[thirdlittlepig]

Definitely, for a family earning $200K/year it's a bit daunting when teardown lots are going for $700K, and anything half liveable is at 5:1 price-income. ACB FTW

Time to move from Vancouver then... good riddance.

who needs families.

not so fast timber. We have families here - they're living in co-ops and BC Housing units.

honestly, quite a few young familes in on my block and each block over. House next door sold to young Chinese couple
with toddler. I guess they must all have grow-ops in their basement to be able to afford to live here.[/quote]

B.C.'s families have struggled for decades in this province on wages below the cost of living. Our child poverty rate is the worst in Canada for decades, currently around 16%, a disgrace in a province which is supposed to be doing so wonderfully. The wealh doesn't seem to be trickling down like it does in Alberta (higher average income, lower cost of living in most places) and other provinces. Another smoke and mirrors job by our fearless leaders. Homes selling for many millions, and 16% of children in poverty, more and more lining up at food banks, disgusting. And why should food banks go begging for funds? Shouldn't the government at least support feeding the very poor, including the children? Lets cutback education so even the poor can't work their way out of their poverty, there's a clever solution.

http://www.vernonmorningstar.com/news/149144295.html

[eyesthebye]

B.C.'s families have struggled for decades in this province on wages below the cost of living. Our child poverty rate is the worst in Canada for decades, currently around 16%, a disgrace in a province which is supposed to be doing so wonderfully. The wealh doesn't seem to be trickling down like it does in Alberta (higher average income, lower cost of living in most places) and other provinces. Another smoke and mirrors job by our fearless leaders. Homes selling for many millions, and 16% of children in poverty, more and more lining up at food banks, disgusting. And why should food banks go begging for funds? Shouldn't the government at least support feeding the very poor, including the children? Lets cutback education so even the poor can't work their way out of their poverty, there's a clever solution.

http://www.vernonmorningstar.com/news/149144295.html

completely agree with you TLP.
I need to run for office to have my ideas accepted.

You've provided a lot of questions here. What are some of the answers?

[timber2012]

B.C.'s families have struggled for decades in this province on wages below the cost of living. Our child poverty rate is the worst in Canada for decades, currently around 16%, a disgrace in a province which is supposed to be doing so wonderfully. The wealh doesn't seem to be trickling down like it does in Alberta (higher average income, lower cost of living in most places) and other provinces. Another smoke and mirrors job by our fearless leaders. Homes selling for many millions, and 16% of children in poverty, more and more lining up at food banks, disgusting. And why should food banks go begging for funds? Shouldn't the government at least support feeding the very poor, including the children? Lets cutback education so even the poor can't work their way out of their poverty, there's a clever solution.

http://www.vernonmorningstar.com/news/149144295.html

completely agree with you TLP.
I need to run for office to have my ideas accepted.

You've provided a lot of questions here. What are some of the answers?

Sometimes the answer is right underneath our noses:

"the cure for higher prices is moving to a destination with lower prices"

[jesse1]

The cure for lower prices is not accepting a lower price.

[eyesthebye]

"timber2012"
Sometimes the answer is right underneath our noses:

lips? Or more lip service?

[rediculous]

I need to run for office to have my ideas accepted.

Now there's a scary thought!

[Taipan]

ETB the cure for higher prices is moving to a destination with lower prices

Ive never had a dig at your avatar comment to this time.

However at a time when property is sky high, do you not think that it smacks of selfish property snobbery.

If you cant afford Vancouver - move away - go away - your not wanted.

Last week when I transited through YVR, i ducked into town for a meal before the international leg.

What was very obvious was the number of people begging on the streets, many of whom, one could suggest were addicts.

The avatar of "Best place on Meth", crossed my mind as I walked along.

A long time ago, a wise person said to me. "Be nice to people on the way up, because youll meet them on the way back down."