COVID and the housing market | Page 366 | GTAMotorcycle.com

COVID and the housing market

GreyGhost said:
Haha. You mean a third storey patio door to nowhere is a bad idea? No provision left for a deck. You could bolt up juliet balcony railings or more likely permanently pin the doors so they only open less than 4".

This is a huge stinker. I expect major issues were buried. Imo, it's worth much less than the base house they started with as it will cost more to get this caught up than to start from scratch.
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How much is underpinning for a new foundation? Hahahaha

How much to rip off the new floor and resurrect the original design? Ouch. then it's only a three-plex so only 75% of the future income.

R&R drywall and hopefully acceptable work underneath. They have a good record of following the rules so far...NOT.

The "Hey, I got away with it" attitude sometimes gets you when it's the most expensive.

Lot value??
 
Liberals newest stupid idea is allowing 30 year amortizations for first time buyers starting Aug 1. As entry level dwelling are almost entirely priced based on ability to pay, expect ~15% bump in price of entry level dwellings as this increases the ability to pay. They truly are clueless. Governance by soundbite at its worst.
 
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GreyGhost said:
Liberals newest stupid idea is allowing 30 year amortizations for first time buyers starting Aug 1. As entry level dwelling are almost entirely priced based on ability to pay, expect ~15% bump in price of entry level dwellings as this increases the ability to pay. They truly are clueless. Governance by soundbite at its worst.
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I hear this was coming and in my opinion not a viable solution to a growing issue. I guess the "idea" was to lower payments by increasing the time frame of debt.. As it was scrapped once already I see loads of people being on the hook when they scrap it again..
 
Jampy00 said:
I hear this was coming and in my opinion not a viable solution to a growing issue. I guess the "idea" was to lower payments by increasing the time frame of debt.. As it was scrapped once already I see loads of people being on the hook when they scrap it again..
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It only lowers payments if prices are unchanged. Since prices in that market are driven by maximum amount you can pay, this just means you are paying the maximum for five years more.
 
Jampy00 said:
In other news: Photo of sleeping tenant in rental ad

www.insauga.com

Photo of sleeping tenant in rental ad ‘blatant disrespect’ by Brampton landlord, rental watcher says | inBrampton

Renters are sharing their frustrations online after a landlord allegedly posted a photo of their sleeping tenant while advertising a rental online.
www.insauga.com www.insauga.com
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While the landlord hate is really high, without knowing the whole story it could just as easily go the other way. Tenant could have been given appropriate notice that landlord was coming to take pics of room that they were planning to vacate and tenant chose not to leave. I have no idea where the truth lies and it doesn't look like anyone else tried to find out it just became a pile-on.
 
GreyGhost said:
While the landlord hate is really high, without knowing the whole story it could just as easily go the other way. Tenant could have been given appropriate notice that landlord was coming to take pics of room that they were planning to vacate and tenant chose not to leave. I have no idea where the truth lies and it doesn't look like anyone else tried to find out it just became a pile-on.
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I don't disagree, but either way someone is being a @ssho!e...
That is if the whole thing isn't made up..
 
crankcall said:
All these folks that “hate” landlords would be a lot more sour if all those landlords decided to exit a crappy business .


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I’m convinced that a lot of those that hate landlords would be the same, if not worse if given the chance to actually be a landlord.

It’s more a jealousy thing IMO.
 
crankcall said:
All these folks that “hate” landlords would be a lot more sour if all those landlords decided to exit a crappy business .


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Agreed, Think I'd rather serve time than be a landlord with crappy tenants. It's like the chicken and the egg.
Which came first, crappy landlords or crappy tenants...
 
Government ad released this am shows a table based on how much savings will be had monthly using a 30yr vs 25yr mortgage.
They forget to say , all those savings disappear in extra yrs paying and the table is based on a 100k mortgage . 100k , we don’t need to build more affordable housing if the formula is based on single wide trailers outside Cochrane Ont.


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crankcall said:
Government ad released this am shows a table based on how much savings will be had monthly using a 30yr vs 25yr mortgage.
They forget to say , all those savings disappear in extra yrs paying and the table is based on a 100k mortgage . 100k , we don’t need to build more affordable housing if the formula is based on single wide trailers outside Cochrane Ont.


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They also don't mention that prices will increase to absorb savings. Just five more years of payments for the same house. You need to be a real moron to think that is saving.
 
GreyGhost said:
They also don't mention that prices will increase to absorb savings. Just five more years of payments for the same house. You need to be a real moron to think that is saving.
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Many people are dumb with numbers 'oh hey, my monthly price goes down $50/month! Awesome! Win!'

No different than car company financing...we went from monthly payments -> bi-weekly -> weekly -> I've seen 'this car costs less than a coffee / day'.

It's all about how you market it.
 
mimico_polak said:
Many people are dumb with numbers 'oh hey, my monthly price goes down $50/month! Awesome! Win!'

No different than car company financing...we went from monthly payments -> bi-weekly -> weekly -> I've seen 'this car costs less than a coffee / day'.

It's all about how you market it.
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That's just it. Marketing knows that people live day-to-day and rarely focus on the long-term...
So they break things down into "bite-sized" payments, they just forget to mention you'll be paying a looooong time...
 
Jampy00 said:
That's just it. Marketing knows that people live day-to-day and rarely focus on the long-term...
So they break things down into "bite-sized" payments, they just forget to mention you'll be paying a looooong time...
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At least with housing paying over a long time hurts but isn't a disaster. The common practice of rolling over negative auto equity into the next vehicle has a huge percentage of the population circling the drain (many with no clue how close they are to the edge of the cliff). If you had to get back to at least zero on each loan, negative equity wouldn't be so large and you would be buying a different vehicle (or not changing vehicles at all) to make the numbers work.
 
For many mortgages people are just renting from the bank with an equity pay-off in the end (hopefully for them). The 30 year mortgage helps those people. It also plays well to lower the required payment per month (until prices adjust) and then to top up with extra to reduce the years and overall interest over the entire term. Take a 30, increase payments to make it a 20 or 25, if things go sideways money wise drop back to the 30 year payments only.

In the end there is no silver bullet that solves housing affordability with a snap of the fingers without some losing large and others winning. Drive down prices (higher interest rates, increasing supply, whatever) current homeowners lose (price drops)... some really badly. Do things that reduce monthly payments the purchase price goes up in adjustment, helps some, hurts others. What is good or bad comes down to what you have vs what you want.
 
Another take on the recent Liberal announcement...

betterdwelling.com

Canada Tries To Bail Out Real Estate Developers With 30-Year Mortgages - Better Dwelling

Canada is rolling out new policies to help its highly indebted households support soft demand for new housing. Earlier today, the Government of Canada (GoC) announced new measures to increase the amount of capital used to buy new homes. New home sales have been weak at these prices, and rather...
betterdwelling.com betterdwelling.com

Basically states the rule came in to help the sitting inventory start moving again.
 
mimico_polak said:
Another take on the recent Liberal announcement...

betterdwelling.com

Canada Tries To Bail Out Real Estate Developers With 30-Year Mortgages - Better Dwelling

Canada is rolling out new policies to help its highly indebted households support soft demand for new housing. Earlier today, the Government of Canada (GoC) announced new measures to increase the amount of capital used to buy new homes. New home sales have been weak at these prices, and rather...
betterdwelling.com betterdwelling.com

Basically states the rule came in to help the sitting inventory start moving again.
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I've seen it mentioned that it was on new homes only but haven't checked which version of the story is true (and I suspect we only have soundbites now and the locked in definition doesn't appear until the budget). In that case, it's a complete nothing burger as what first time buyer is buying new? Maybe some condos but a 30 year mortgage on a condo is a bleeping terrible idea.
 
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