Is she Peg Bundy? Timmy's is always hiring. Contribute or get out.
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Housing costs
- Thread starter nobbie48
- Start date
Is she Peg Bundy? Timmy's is always hiring. Contribute or get out.
Ouch. That's harsh. My parents and in-laws have contributed way more than enough. If they need a place to stay and it is logistically possible (eg. they are able to function reasonably independently and won't wander off into the woods), they have free room and board.
Obviously never taken care of elderly parents.
Can barely walk, see and hear. MTO took her license away years ago. Can't remember the grandkids names most days. And you want her to get a job at Timmies?
Really?
Harsh. lol. sure we'll get right on that.
She contributes enough in helping my wife raise our children while I work away 3/4 weeks. Not only that the heart attack she had earlier this year didn't help matters either. So she can stay rent and food free as long as she wants or as long as she's alive. It makes it tougher for us but where I come from we take care of our elderly as much as possible. Instead of sending them off at the first hint of inconvenience to our lives.
Iceman
Well-known member
That was one hell of a blaze! Two blocks from my house and my bedroom was lit up like it was noon hour.
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Just wait until one of these newfangled wood high-rises gets torched during construction. Prior to drywall, wood framing is pretty much the perfect way to have a huge fire that is impossible to control. After a few big fires, I suspect they will start forcing board to go in as the tower climbs. I don't know whether they will use green board and hope for the best or densglass and then have to skim the whole thing.
black_CG2
Well-known member
The only logical way to buy in GTA is having dual income combined upto $120K and a huge downpayment saved up either by yourself or parents' help. Even still it is a very risky scenario. For example, employers can choose to hire someone else to replace you because so many new people come here with a lot of skill set. Competition is stiff. I have three jobs at the moment and I am finally able to save since I got laid off last year. But do I feel good about it? Not really, I had this Saturday off after many weeks. Otherwise, I am working Mon to Fri at one job, Sat & Sun, two jobs (morning & afternoon). I do have some savings and realistically I want to move to a smaller town. Yes, my career did take a hit but I am okay with transition. I am hoping to make a move as soon I become permanent at my job because they have branches all over the country.
I am debt free and I did enjoy some travels. Riding is something I truly enjoy and happy that I got into.
Since I work at Real Estate part time, I get to see how much debt people are accumulating. It is crazy, nerve wrecking and spine chilling. Wish I could grow my balls to accumulate debt one day like this lol.
I am debt free and I did enjoy some travels. Riding is something I truly enjoy and happy that I got into.
Since I work at Real Estate part time, I get to see how much debt people are accumulating. It is crazy, nerve wrecking and spine chilling. Wish I could grow my balls to accumulate debt one day like this lol.
Mad Mike
Well-known member
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Fast forward to 2019. That suburban house now costs $800K, median salary is $58K, you need $40K down -- while it's a lower percentage of the purchase price, it's about the same saving's effort -- 1 year after tax income. Now you have to service a $775K mortgage at $44K/year, or 115% of the average Toronto net income. Someone explain to me how this is lot harder now than it was 30 years ago?
I think this has pretty much been the norm for the last few decades. Small suburban homes inside Toronto crept above $100K in the early 80s, when minimum wage earned you 8K a year and a median Toronto salary was $16K/year, leaving you with about $10700 after tax. Interest rates were 14%, so that $90K mortgage cost $1113/month, or $13350/year, about 125% of a single net income . You needed to save the equivalent of one year's salary after tax as a down payment. That was out of range for most, back then many people were DINKs when they bought their first house, combined income of 32K per year put you at a TDS of 50% -- unheard of today.
Fast forward to 2019. That suburban house now costs $800K, median salary is $58K, you need $40K down -- while it's a lower percentage of the purchase price, it's about the same saving's effort -- 1 year after tax income. Now you have to service a $775K mortgage at $44K/year, or 115% of the average Toronto net income. Someone explain to me how this is lot harder now than it was 30 years ago?
I like how the numbers are presented. I didn't research to see if they were accurate.
5% down on an 800k mortgage? What in the hell, why?
Because you can. Would scare the crap out of me though. ~$2300 a month in interest alone. It's really hard to get principal down with those kind of numbers. Not interested.
Mad Mike
Well-known member
Because that's the lowest entry. Perhaps you can aim higher, you're betting against appreciation. This year hasn't been bad, but if you waited any time between 1998 and now, you would have missed out on not less than a 20% annualized return on your down payment. Find those rates of return anywhere else?
Exactamundo.
Just because you can doesn't mean you should. Setting yourself up for decades of being house poor. Hell to the NO.
black_CG2
Well-known member
Cannabis. lol....if you can digest the volatility...
Beyond meat? Who knows if the run can continue. To be fair to Mad mike, if he qualified it as an investment that cannot go to zero with a 20% rate of return (unless you are an idiot and buy in a flood plain).
Yup this is why we didn't move to the 550-600k that the bank was offering....we bought about 200k less than what they offered us because we felt once we have kids a single salary can service it easy, and if I lost my job and take a 10-15% salary hit it's still doable.
Looking back, of course hindsight is 20/20, we should've bit the bullet and now we'd be living it easy...oops.
This is exactly why the rent vs own equation is skewed. With high 6-figure mortgages, rising inflation and 30+ year amortizations, you're basically renting money from the bank instead of renting property from a landlord.
And if you believe that we are at the peak of the housing market and prices will either stagnate or fall in the future, the rate of return is poorer than if you had put that (basically) interest-only mortgage payment towards the safest of dividend-paying blue-chip investments.
this is excately my thought, many of these McMansions are in reality 'rentals' , yes for all that have 2mil houses on the lake (and no mortgages) there are hundreds of houses financed with little chance of realizing equity, you'd be years just clearing the interest before principal moved. Hoping the house goes up in value is optimistic investing.
But you get to live in a house you like, in an area you like so....
These anecdotal stories are great, but that boat has sailed. Mom in the kitchen and Dad working at the cannery, two kids and a swing set, newwer chevy. Its a black and white TV show from the 60's.
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