Ask me anything about Real Estate

Forum Sponsor
Addy said:
I've never had dealings with "punch" but I wonder how many times he got punched...:)

Regarding the market, I'm going to be interviewing Don Campbell this weekend about his predictions for the market and will be posting it on my blog. In the meantime, here are my opinions:

The interest rates are projected to remain the same if not lower over the next two years
Due to us market firing up and oil troubles in Alberta, we will see a ramp up in manufacturing and inter provincial migration revering the effect Alberta had on Ontario.
We will see a drop in unemployment and a steady increase in affordability due to above factors

I'm projecting a steady increase in prices and a stable if not booming market for the next two years at least.

Hope this helps...
Click to expand...
So youre saying, i just bought at the right time and at the right rate.

YAYYYY
 
LePhillou said:
So youre saying, i just bought at the right time and at the right rate.

YAYYYY
Click to expand...

ask a realtor when's a good time to buy a house and it's always a great time to buy a house! LoL

no offence Addy.

I think that it's great what you're doing here by answering people's questions. I was looking for a house the last few months but considering the area I want to live in (New Toronto) and the fact my price range won't allow me to buy 500k+ shacks which need another 100k to be livable I made the decision to stay where I am. Plus the banks want 20% down and unfortunately buying is out of the question. I don't have 100k in my bank account sadly, and mommy and daddy bank I'd rather not tap into....borrow money to borrow more money is not my ideal.

where are young couples getting 100k plus for deposits on these huge prices? That's what I want to know because I sure as hell don't have it and I'm fairly good with my money.
 
They dont. They are putting 5% down and rolling the 5% cmhc tax into the mortgage.

What a lot of people dont realize is just what kind of a dramatic jump in mortgage payments even a few interest points is. We're DEEP into subprime mortgage lending for over 5 years now and a lot of folks think the gravy train aint stopping.

Banks are also not telling alot of folks that if they do foreclose, they will sell home at a loss and the homeowner will be on the hook for the difference.

With all that being said we did just purchase our second home and just today put our starter home on the market.
 
Saving.

10k a year is about $400 a paycheck. Both people doing that for 5 years will get you a very nice down payment.

When I first started doing it I took on another job - an afternoon shift at the bar on Saturday and Sunday night for the beer leaguers at a hockey rink. This was on top of my regular job as I wasn't making as much back then.

No one is going to give it to you and don't be jealous of those who do have parents that will give it to them. A lot of times maybe the kids didn't put in the work but the parents sure the hell did.
 
interesting to see this thread bumped after nearly 3 years

OK....so an update on my neighbourhood since 2012

the lunacy continues

teardowns have hit $800k.....asking prices on the new builds have gone over $2 million (highest on my street so far is $2,188,000)

and there is a market for reno-d existing homes too.....a nice bungalow down the street from me listed for $1,079,000 last year....sold in 2 weeks for a million bucks.....others that need work are going for the $900k range.....street is like 1 km long and the prices can vary by over 1 million bucks

feel sorry for folks trying to buy....it's just crazy
 
As for someone asking how someone can have 100k in downpayment, saving and investing.

Just bought a townhouse in Burlington. Seen sooo many houses before that.

On a motorcycle related note, future neighbour had a car with bluestreak and woodcraft stickers on the car. Likely another motorcycle enthusiast?

Sent from my SM-G900W8 using Tapatalk
 
moarmoto said:
As for someone asking how someone can have 100k in downpayment, saving and investing.

Just bought a townhouse in Burlington. Seen sooo many houses before that.

On a motorcycle related note, future neighbour had a car with bluestreak and woodcraft stickers on the car. Likely another motorcycle enthusiast?

Sent from my SM-G900W8 using Tapatalk
Click to expand...

Bluestreak sends you stickers with every order. I have one on my coffee maker.
 
moarmoto said:
Haha I know but I'm guessing one wouldn't order something from them without a bike
Click to expand...

You'd be amazed how many places stompGrip's can be placed....for added traction.
 
meme said:
Saving.

10k a year is about $400 a paycheck. Both people doing that for 5 years will get you a very nice down payment.

When I first started doing it I took on another job - an afternoon shift at the bar on Saturday and Sunday night for the beer leaguers at a hockey rink. This was on top of my regular job as I wasn't making as much back then.

No one is going to give it to you and don't be jealous of those who do have parents that will give it to them. A lot of times maybe the kids didn't put in the work but the parents sure the hell did.
Click to expand...

This. Regular contributions, no matter the value, are the way to go. Better still if you dump it into a TFSA and get some funds working for you getting you a better return than a savings account. But that's a different thread.
 
mimico_polak said:
ask a realtor when's a good time to buy a house and it's always a great time to buy a house! LoL

no offence Addy.

I think that it's great what you're doing here by answering people's questions. I was looking for a house the last few months but considering the area I want to live in (New Toronto) and the fact my price range won't allow me to buy 500k+ shacks which need another 100k to be livable I made the decision to stay where I am. Plus the banks want 20% down and unfortunately buying is out of the question. I don't have 100k in my bank account sadly, and mommy and daddy bank I'd rather not tap into....borrow money to borrow more money is not my ideal.

where are young couples getting 100k plus for deposits on these huge prices? That's what I want to know because I sure as hell don't have it and I'm fairly good with my money.
Click to expand...

None taken... and frankly, they haven't been wrong in the past 14 years but are bound to be wrong at some point...

Regarding your comment about purchasing at 20% down, that only applies if you're purchasing a second/investment property while still owning one. If you're a first time buyer or it's primary residence that you're purchasing, there are programs available where you can purchase for as low as 5% depending on your income and credit history (OAC). That's how most buyers are purchasing real estate.

Hope this helps... and thanks to all for breathing some life into this thread... I hadn't posted here in a while and thought it was time to revive it since spring is around the corner...

I do need to start posting here a bit more... :)
 
Addy said:
None taken... and frankly, they haven't been wrong in the past 14 years but are bound to be wrong at some point...

Regarding your comment about purchasing at 20% down, that only applies if you're purchasing a second/investment property while still owning one. If you're a first time buyer or it's primary residence that you're purchasing, there are programs available where you can purchase for as low as 5% depending on your income and credit history (OAC). That's how most buyers are purchasing real estate.

Hope this helps... and thanks to all for breathing some life into this thread... I hadn't posted here in a while and thought it was time to revive it since spring is around the corner...

I do need to start posting here a bit more... :)
Click to expand...

Yes the 20% is because I already have a small investment property, which I want to keep so the banks want 20% down. Unfortunately my down payment went down when I bought it to very little and now I'm working back up. But at least I can say I have zero consumer debt of any kind. Now I'm going to a fast track savings plan but it'll still take a long time to bounce back up. I decided on ridding myself of any bad debt, and now focusing on better saving habits.

Still need to learn about this investing business, but that's a different thread. And I doubt I'll become 100k wealthier within a year or so! LoL

I don't personally see the market correcting itself too quickly or too drastically anytime soon...but that's just my opinion. So long as there's cheap money to be had, pricing for homes will continue to rise. Once mortgage rates start creeping up, it'll be a very bad experience for people. But the gov't and banks will pull them back again as the economy is still fragile and people are now too used to the low interest rate world.
 
mimico_polak said:
Yes the 20% is because I already have a small investment property, which I want to keep so the banks want 20% down. Unfortunately my down payment went down when I bought it to very little and now I'm working back up. But at least I can say I have zero consumer debt of any kind. Now I'm going to a fast track savings plan but it'll still take a long time to bounce back up. I decided on ridding myself of any bad debt, and now focusing on better saving habits.

Still need to learn about this investing business, but that's a different thread. And I doubt I'll become 100k wealthier within a year or so! LoL

I don't personally see the market correcting itself too quickly or too drastically anytime soon...but that's just my opinion. So long as there's cheap money to be had, pricing for homes will continue to rise. Once mortgage rates start creeping up, it'll be a very bad experience for people. But the gov't and banks will pull them back again as the economy is still fragile and people are now too used to the low interest rate world.
Click to expand...

Just so you know, if you have 20% equity in your current property and are looking to purchase your primary residence, you DON'T need to have 20% down as your current property would be classified as your investment and new purchase as your primary!

Food for thought... :)
 
everybodys got to eat, so I won't fault anybody in the real estate biz, but I tell ya, really overpaid group of people for what they do.


Had 3 commercial units available for lease. signed up with 2 different agents over the course of a year. Zero offers. ZERO.

Frustrated, I posted it on Kijiji while at the same time re-listing with an agent to see what would happen.

I was able to get 2 of the units leased, vs the 1 unit the agent was able to get leased.

Why do we need these people for again??
 
Yep, I know a lot of people who failed in life are using their social skills to network and make a career as a real estate agent.

SunnY S said:
everybodys got to eat, so I won't fault anybody in the real estate biz, but I tell ya, really overpaid group of people for what they do.


Had 3 commercial units available for lease. signed up with 2 different agents over the course of a year. Zero offers. ZERO.

Frustrated, I posted it on Kijiji while at the same time re-listing with an agent to see what would happen.

I was able to get 2 of the units leased, vs the 1 unit the agent was able to get leased.

Why do we need these people for again??
Click to expand...
 
SunnY S said:
everybodys got to eat, so I won't fault anybody in the real estate biz, but I tell ya, really overpaid group of people for what they do.


Had 3 commercial units available for lease. signed up with 2 different agents over the course of a year. Zero offers. ZERO.

Frustrated, I posted it on Kijiji while at the same time re-listing with an agent to see what would happen.

I was able to get 2 of the units leased, vs the 1 unit the agent was able to get leased.

Why do we need these people for again??
Click to expand...
Honestly, the majority of people out there are completely clueless about things such as real estate markets, home ownership, mortgages, large financial transactions, contracts, etc. The stuff that is common sense to some of us is completely foreign to most folks, especially first time house buyers. People like that greatly benefit from what professional brokers/salespersons have to offer, especially as buyers who don't have to directly pay for the commission.

Its also been my experience in FSBO situations that both the seller and buyer expect to benefit from not paying out commissions... at least in the residential deals I've attempted myself. I had no luck, personally. The few legit interested parties my house attracted all lowballed the hell out of me... They figured the 5% was owed to them for some retarded reason.
 
Addy - genuinely curious on your input on a recent am640 exchange. Why, when the average detached home in Toronto is going for a million, why is yours still a commission based pay system?

Is a $1m home today that much harder to sell than a $500k home, given the market of the last xx years? The process is largely the same to my understanding.
 
My real state agent made me some serious coin and worked her *** off for me, so I was happy to pay the commission. I have already written why in another thread with the same anti real state agent mentality people posting so I won't repeat myself.
 
ZX600 said:
My real state agent made me some serious coin and worked her *** off for me, so I was happy to pay the commission. I have already written why in another thread with the same anti real state agent mentality people posting so I won't repeat myself.
Click to expand...

If that's directed at me - not anti-real estate in the least. Have been very happy with the three I've used in past purchases / sales. Inflation certainly hasn't increased at the rate of housing, so why the massive 'raises'?
Forum Sponsor
 
You must log in or register to reply here.
Back
Top Bottom