New Stats about Canadian Households/Families came out - Pretty Interesting Stuff

[Roasted]

Forum Sponsor

I have never understood why people stayed at home till late 20's, or even 30's.....And how those people don't feel ashamed of themselves for doing it. Many of today's young people can't stand on their own two feet soon enough, and need mommy to wash their clothes and daddy to buy their groceries so they can spend what money they do earn on driving a fancy Infinity and wearing fancy clothes to go to the club every weekend.

We have a society of wimps coming up, I am afraid......but it's probably best if these adults still sucking on mama's tit stay single, and don't have kids anyways. They won't have anything of value to teach their offspring if they did have some, except how to be expectant and entitled, and allow your folks to take care of you when you are truly old and capable enough to do so on your own.

To be fair I think a single person living on their own and dating is actually a relatively new phenomenon. The "old school" approach seems to be to meet someone straight out of school and move out with a partner at like 20 and getting married. I remember I went on a date with this one girl a couple years back that was older than me and she was like 30-31, very attractive, school teacher and she still lived with her parents and seemed to basically be waiting for that "right guy" to come along so she could get hitched and move in with him. I've told one guy that I was moving out and he started asking me if it was with a girl, and when I said I was going to live on my own he seemed confused why I'd want to do that. Personally, when I was still living with parents at like 28 I KNEW I was being a looser. Honestly, I can't blame single women for complaining about the lack of "men" out there right now but the reality is that it's so accepted now that that "push" to move out just doesn't exist unless you push yourself.

The GTA prices is seem mental compared to where I live, but compared to other places I guess it's nothing.
A home that sells in London for $300,000, is $600,000 in the GTA, and 1.5 million in Vancouver.

That gap actually seems low. A buddy of mine is in grad school in London and rents from a buddy that owns a townhouse there. Price of the townhouse? 120-130K. Same townhouse in Toronto would be $400K+.

 

[vrus]

re: staying at home

it is a cultural thing, most of the time.

 

[vrus]

Glad to know there are more people out there not wanting to have children, was getting tired of being called selfish. So many (and I'm not saying all) children these days are spoiled little brats, I see it all the time at my work. But it's not the kids fault, it's the parents for allowing it, apparently this generation has absolutely no idea on how to raise a child so it's good to know that they aren't having as many kids anymore.

amen!

 

[vrus]

Call me oldschool but "dating" in your late 30s, 40s, 50s is just pathetic.

Also, I don't think I will ever understand the people that don't have kids to be wealthier. Try harder, earn more money instead if you are that greedy?

old school!

 

[vrus]

The more I look at the "traditional" model of north american life, the more convinced I am at how unsustainable it is. Going to school, spending thousands on university, spending thousands to get married, spending thousands to buy a house and a car, spending thousands to raise kids and put them through school, at which point they'd have to spend thouands, etc, etc.

Where the hell is all of this money coming from?

loans and credit!

and look where we are now....

 

[Flashmonkey]

re: staying at home

it is a cultural thing, most of the time.

This. It's really strange, too. I'm on my own now, but I only moved out recently, and I'm 30. I get the impression that my mom still thinks I'll be coming back home at some point, and all of this "moving out business" is some kind of temporary experiment. It's not like my parents are out of touch, either. My mom and my dad met, dated, and got married here...in the 70's. They've been immersed in Canadian culture longer than I've been alive, yet they still have that expectation that I won't be officially on my own until I start a family.

It's fascinating!

 

[Baggsy]

 

[omnivore]

And for those that "don't understand why/how..."

I had to move back home with my parents and I'm 33 years old. I did college (aviation) but that came to a halt. (lack of money) I had to change careers. After a bunch of entry level jobs i finally got an apprentiship. I'm currently in my 3rd year and I don't make enough to rent anything. I have no choice but to live with my parents. I'll be able to move out soon, but supply and demand has put housing out of my reach. I don't have kids because i'm responsible and I can't afford one.

Nobody has walked in everyones shoes, so before you judge, try to understand. Nobody's life has evolved the same way yours has.

Holy chit dude...what are you 3rd yr apprentice of? Basket weaving? My buddy, single, in Toronto, rents a large 1 bedroom apt with laundry + driveway for $1100/mth all incl. That's not a huge rent bill is it?

After your 3rd yr, you should be up to 60% of journeymen salary, no?
I wouldn't even apprentice for any trade that wouldn't pay over $75K/yr.

 

[dasiffy]

how is a basement apartment or "room for rent" any better than living with parents?


Cheapest appartments around here are 1000-1500/mo.
hamilton is like 500-1000/mo which is good but lots of thefts there.
1000/mo = 12000/yr = approxtametly 15000/yr before taxes
1500/mo = 18000/yr = approxtametly 22500/yr before taxes


I'm a 3rd year construction and maitenence electrician
3rd year pays 60%
i've just started my third year and i'm not working right now once I start working i'll be able to rent but you have to build up a "float" first because you tend not to work the whole year. (which can be really nice if you don't have a nagging wife/morgage to pay.)

It's contract work so when it's done your done. Unless your boss has another contract waiting to start, but that's not always typical because clients don't like waiting and they'll tend to go with the cheapest contractor that's availible. And if he does have another contract he tends to hire people for that contract. Send two or three steadys and hires ten new guys.

so you hop around from company to company untill you find one thats looking for a "steady". Even then the company could fold or run out of contracts.


so blah blah blah - maybe i made another mistake and maybe not the best trade to have gotten into, but i'm in it now and have to finish.

What i'm looking for is to spend at most 25% of take home on housing. 25% on "rainy day saving" and the rest to pay for the rest. ie: food/bike/girls/car/clothes/bills/fun/etc.

1000/mo being 25% of income = 4000/mo = 48000/yr = approxtametly 68500/yr before taxes

 

[OpenGambit]

hmm the expectation to spend 25% of your income on housing is sort of unrealistic... in the GTA

 

[CruiserGoneSport]

Not usre where this is going but in my age bracket (I'm 50) I've seen far too many couples "stick it out for the children". I'm not convinced this is always the best for the kids.

I have a few friends that divorced recently and everyone seems better off, especially the kids. The only one that seems the least upset are the ex wives and that seems to be more of a control issue.

ymmv.

 

[knowledge]

The way things are looking...it seems like my generation will really only be able to afford condos by the time we're at that age where we can go shopping for a home. If condos are going for the price of houses now, I can only imagine what housing prices are gonna be like. I'm not sure if that's a bad thing, though - one part of me wants to live in a condo for the practicality (I don't need the extra space, don't want to mow the lawn or shovel the drive, don't want to do more cleaning, etc.) but the other part of me is thinking about getting the most bang for my buck.

Personally, I'm out of here as soon as I finish paying off my parent's mortgage. I just got the basement done, so hopefully it's enough to keep my wanting to move out at bay for a couple more years.

 

[omnivore]

hmm the expectation to spend 25% of your income on housing is sort of unrealistic... in the GTA

As far as I know, banks typically approve mortgages for people, only if the monthly payment doesn't exceed 26% of the borrowers income. If you are single and buying a house, that limits prospects drastically I suppose.

 

[OpenGambit]

As far as I know, banks typically approve mortgages for people, only if the monthly payment doesn't exceed 26% of the borrowers income. If you are single and buying a house, that limits prospects drastically I suppose.

This is simply untrue.

 

[omnivore]

Okay...How about I re-phrase........... with my personal experience, that RBC uses the 26% of monthy income rule for it's mortgages for first time homebuyers.



"In determining mortgage limits, lenders follow a general rule of thumb that your monthly mortgage payment (including principal, interest, property taxes and insurance) should not be more than 25% to 28% of your monthly pre-tax income. FHA loans set the mortgage limit at 29%. A good rule of thumb is that PITI should not exceed 28% of your gross income. However, many lenders let borrowers exceed 30%, and some even let borrowers exceed 40%"

 

[imnothng]

The way things are looking...it seems like my generation will really only be able to afford condos by the time we're at that age where we can go shopping for a home. If condos are going for the price of houses now, I can only imagine what housing prices are gonna be like. I'm not sure if that's a bad thing, though - one part of me wants to live in a condo for the practicality (I don't need the extra space, don't want to mow the lawn or shovel the drive, don't want to do more cleaning, etc.) but the other part of me is thinking about getting the most bang for my buck.

Personally, I'm out of here as soon as I finish paying off my parent's mortgage. I just got the basement done, so hopefully it's enough to keep my wanting to move out at bay for a couple more years.

Don't forget that the price you see for condos doesn't include the maintenance fees and other fees. They could add up to be almost the same as a mortgage payment.

 

[OpenGambit]

Okay...How about I re-phrase........... with my personal experience, that RBC uses the 26% of monthy income rule for it's mortgages for first time homebuyers.



"In determining mortgage limits, lenders follow a general rule of thumb that your monthly mortgage payment (including principal, interest, property taxes and insurance) should not be more than 25% to 28% of your monthly pre-tax income. FHA loans set the mortgage limit at 29%. A good rule of thumb is that PITI should not exceed 28% of your gross income. However, many lenders let borrowers exceed 30%, and some even let borrowers exceed 40%"

They let me pick up to what turned out to be 58% on my first house.

 

[mmmnaked]

25% is only realistic on two incomes... even then it might be a stretch if you wanna live in a nice house (half mil++)

 

[Red695]

its a fact, its not a mentality.

There really hasn't been a better time to borrow money in decades. That should not be contentious. If someone chooses to spend that money on consumption, thats their problem.

Debt is just a tool, its not good or bad, its just math. If you can't do the math, then sux2bu.

Completely agree. There's nothing wrong with borrowing to invest. I will never own my house. Instead I will own 20% of five homes. Money has never been cheaper. Saving money will never grow your money.

 

[Roasted]

The way things are looking...it seems like my generation will really only be able to afford condos by the time we're at that age where we can go shopping for a home. If condos are going for the price of houses now, I can only imagine what housing prices are gonna be like. I'm not sure if that's a bad thing, though - one part of me wants to live in a condo for the practicality (I don't need the extra space, don't want to mow the lawn or shovel the drive, don't want to do more cleaning, etc.) but the other part of me is thinking about getting the most bang for my buck.

Personally, I'm out of here as soon as I finish paying off my parent's mortgage. I just got the basement done, so hopefully it's enough to keep my wanting to move out at bay for a couple more years.

This is simply not true. Prices are ALREADY dropping slightly. While I'm not really expecting a market crash (at least I hope, since I've bought into the market) the price increases of the last 10 years are not going to be the trend over the next 5 years. Things will at most stabilize, at least on the entry level condos. If you could afford condos with today's prices, you should be able to afford it in 5 years IMHO (only possible exceptions is if interest rates really blow up).

Forum Sponsor