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Coronavirus

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bigpoppa said:
This is a real ad ya'll...apparently a functioning brain is optional:
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I'm going to have to call a fake news on this. Only source I can find is Twitter
 
jc100 said:
the Iranians have flying gunboats? Cool.
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And the next time he goes to take a dump the tweet will be about sinking Iran's drones.
 
ENuEywsW4AAnhMx.jpg
 
nobbie48 said:
Are those flippers any different than the stock market traders that add no value to a company but expect a juicy ROI?
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Much of the advancement in our world has come from equity provided to companies through the market.
Flippers and speculators are parasites and a bane on society. Thanks in large part to them it has become unaffordable for many people to live here.
There will be long term effects of many having to rent their whole lives. They are going to hit retirement lacking the traditional large $$ of equity from their homes. Many wont retire and will be forced to work until they die. High cost of living will lower our birth rate too.
 
ScorpionT16 said:
Things will be better than ever going forward, if people maintain a positive attitude, the body follows the mind.

As a millennial, I can tell you none of us care for the American dream and it was dead years ago. We don't want a house in the suburbs with a nice car, 9-5 job, happy wife and kids waiting for retirement paying a mortgage (Mortgage translates to bound till death). We're okay renting for life, not owning cars and using ubers, working multiple jobs over the years (I've had 3 new employers in a 6 year span, never had a steady job for more than 3 years before moving on, same with all my friends) etc... Learning new skills is easier than any other generation, and adapting to new fields easier, same with information, so what we're seeing is rapid change in a small period triggering uncertainty and sparking fear. Everyone on this forum is blessed to be in Canada and the opportunities we have now, and going forward.
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Learning a new skill at age 50-60 is useless if nobody is going to hire you.
Renting over a long period of time is throwing money away.
Owning a car = freedom to go where you want.

Im a millenial too (nearer the cusp).
I have a feeling many young people are in for a rude awakening later in life. No house, no career, unmarried, no kids. This all sounds fine when your in your 20s but when you get older your view on life and purpose is likely going to change.

If you dont want any of that, what do you want then?
 
K20EF8 said:
Learning a new skill at age 50-60 is useless if nobody is going to hire you.
Renting over a long period of time is throwing money away.
Owning a car = freedom to go where you want.

Im a millenial too (nearer the cusp).
I have a feeling many young people are in for a rude awakening later in life. No house, no career, unmarried, no kids. This all sounds fine when your in your 20s but when you get older your view on life and purpose is likely going to change.

If you dont want any of that, what do you want then?
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If you're good and don't mind working, you can always get hired. The problem restarting is you are just nominally above the 20 year old that just completed the same training. Making <40K when you are 60 and trying to get enough in the pot to stop working isn't great.
 
K20EF8 said:
Renting over a long period of time is throwing money away.
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Not necessarily.

It comes down to Return on Capital.

Toronto real estate certainly has appreciated in the last while and you do get a nice break on capital gains taxes, but there are other vehicles to put your money into: stocks, investing in your own business, etc. which could grow your equity far greater than owning your own house.

However, that requires diligence and discipline to keep funneling your income into investments and not spend it on a TV, truck or motorcycle.

For a lot of people, the only reason they manage to grow equity in real estate is because the mortgage payments are a form of forced savings.

Disclaimer: Obviously the higher the return, the more risk.
 
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He said stocks ? If you owned stocks coming into this you would not be saying that,
you would be saying omg I stopped looking at those depressing numbers weeks ago.
450
 
Flipping can also launder money. Buy a fixer upper and pay trades cash to tart it up. Cash comes from questionable enterprises. HST and income taxes aren't paid. Since it's a principle residence there is little scrutiny to the sale.
 
K20EF8 said:
Learning a new skill at age 50-60 is useless if nobody is going to hire you.
Renting over a long period of time is throwing money away.
Owning a car = freedom to go where you want.

Im a millenial too (nearer the cusp).
I have a feeling many young people are in for a rude awakening later in life. No house, no career, unmarried, no kids. This all sounds fine when your in your 20s but when you get older your view on life and purpose is likely going to change.

If you dont want any of that, what do you want then?
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Here, also an elder millennial agreeing.

Though, on the note of renting, I wouldn't necessarily call it throwing money away. You can be disciplined and investing/saving the difference you would be paying in mortgage. Other side is what I see a lot of people do, which is buying more things and experiences, living in false luxury.

I've had my share of that attitude early to mid 20s but thankfully was able to change it early enough. Yes, I've delved into multiple pairs of 200-300 dollar jeans and bottle service at clubs etc.

I started saving and investing aggressively and bought a small townhouse in 2015.
According my quick math, I can comfortably accelerate my mortgage payment to pay off in maybe 5 to 8 years.

Previous generations had dotcom bubble collapse, 2008 housing crisis, etc. to start investing (smartly) with lower barrier. Covid19 might be the one for millennials.
 
moarmoto said:
Previous generations had dotcom bubble collapse, 2008 housing crisis, etc. to start investing (smartly) with lower barrier. Covid19 might be the one for millennials.
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This is exactly it.

The current 20% decline from all-time highs in the TSX only takes us back a couple of years. If I'm reading this correctly, we're going to see a 50%+ decline after disastrous second quarter results get reported in July-August.

It will be the buying opportunity of the decade.
 
Altho the longest I ever rented was 7 months, I'm very much in favor of home ownership and the tax favor. But if I was diligent and clever (I'm not) , I can see the upside to renting, see a great view, move when you feel the urge, put your money where it will work for you.
But as everyone already said, you have to be able to do that. Diligently.

Coming out of this mess, I know what my portfolio is going to look like. UGLY. But i'll still have the really nice house.
 
Lightcycle said:
Not necessarily.

It comes down to Return on Capital.

Toronto real estate certainly has appreciated in the last while and you do get a nice break on capital gains taxes, but there are other vehicles to put your money into: stocks, investing in your own business, etc. which could grow your equity far greater than owning your own house.

However, that requires diligence and discipline to keep funneling your income into investments and not spend it on a TV, truck or motorcycle.

For a lot of people, the only reason they manage to grow equity in real estate is because it's a form of forced savings.

Disclaimer: Obviously the higher the return, the more risk.
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I see my problem
 
Lightcycle said:
Not necessarily.

It comes down to Return on Capital.

Toronto real estate certainly has appreciated in the last while and you do get a nice break on capital gains taxes, but there are other vehicles to put your money into: stocks, investing in your own business, etc. which could grow your equity far greater than owning your own house.

However, that requires diligence and discipline to keep funneling your income into investments and not spend it on a TV, truck or motorcycle.

For a lot of people, the only reason they manage to grow equity in real estate is because it's a form of forced savings.

Disclaimer: Obviously the higher the return, the more risk.
Click to expand...
I am well aware of the renting vs owning debate but for the average person buying in the GTA I believe that long term owning will provide the higher return because of the reasons you mentioned above.
 
When it is the roof over your head and not income generating property owning a home is stability, lifestyle and forced savings. Outside of these it is not usually the best money. There are many costs such as property tax, NPV of down payment, land transfer tax, CMHC if needed, closing costs, many many repairs, upgrades so on and so forth not paid (directly) by renters....

If you look seriously at the cost of renting the same level of property and look seriously at all real ownership costs.... rent and invest conservatively the down payment and invest the difference every month, the renter will almost always have the most assets in the end, in all but the craziest very hot housing markets, even then if you take it long enough the renter wins.

The key point here, forced savings. Owning requires you to pay all the bills. Investing the difference for the renter takes a lot of discipline and most times it does not happen. Ignoring human behaviour on this, the numbers favour renters...

I have done very well on the roofs over my head, at best if I took the renting/investing approach I am just breaking even... In that is in the hot GTA market and making very good "moves"...
 
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