PhillipBlunt Posted November 5, 2015 Share Posted November 5, 2015 Robertson leaped out of his seat to protect the taxi cartels and squash Uber, but he can't do anything about the housing crisis? I have no idea why people re-elected him.It doesn't line up with his agenda. Link to comment Share on other sites More sharing options...
Tortorella's Rant Posted November 5, 2015 Share Posted November 5, 2015 It's not racist.Wanna see something racist? Look at some of those Facebook profiles Anonymous released today - people associated with the KKK in some form. Now that's some disturbing bull$&!#. Link to comment Share on other sites More sharing options...
CanadianLoonie Posted November 6, 2015 Share Posted November 6, 2015 People, it is the use of leverage in the way of mortgages that is what's driving up housing costs on the margin and not foreign cash buyers...Since interest rates went nowhere in 4 years the chart is still current...Axis on the left denotes million of millions of dollars...aka the top represents 2 trillion dollars. There is a secondary factor that on the surface looks like it can be blamed on foreigners, but on closer investigation, it is Canadians themselves as a whole who are "giving" foreigners the capital to buy real estate in this country...and I am willing to bet a bitcoin that no one on this thread has ever thought about... Link to comment Share on other sites More sharing options...
taxi Posted November 6, 2015 Share Posted November 6, 2015 People, it is the use of leverage in the way of mortgages that is what's driving up housing costs on the margin and not foreign cash buyers...Since interest rates went nowhere in 4 years the chart is still current...Axis on the left denotes million of millions of dollars...aka the top represents 2 trillion dollars. There is a secondary factor that on the surface looks like it can be blamed on foreigners, but on closer investigation, it is Canadians themselves as a whole who are "giving" foreigners the capital to buy real estate in this country...and I am willing to bet a bitcoin that no one on this thread has ever thought about...I'd argue that the interest rates are more of a reaction to the market and not the other way around. The government is trying to keep Canadians competitive in their own market and prevent a crash. So they've lowered interest rates.You've also purposely skewed your data by picking the 1970s as a start date. The 1970s had artificially high rates to combat the oil crisis. Here's a more accurate and less dramatic graph: Link to comment Share on other sites More sharing options...
taxi Posted November 6, 2015 Share Posted November 6, 2015 http://www.bloomberg.com/news/features/2015-11-02/china-s-money-exodusA little more info on what is actually going on in China that is causing/allowing the money to flow out. Link to comment Share on other sites More sharing options...
CanadianLoonie Posted November 6, 2015 Share Posted November 6, 2015 You've also purposely skewed your data by picking the 1970s as a start date. The 1970s had artificially high rates to combat the oil crisis. Here's a more accurate and less dramatic graph:Are you forgetting that prior to 1971, currencies where linked to the Bretton Woods system?Like...relatively fixed foreign-exchange rates, relatively fixed money supply kinda-sorta linked to gold or US dollar reserves, and yes. even fixed interest rates.Except like all government controls of the economy, you can see that it is starting to be unsustainable by the late '50... Link to comment Share on other sites More sharing options...
Hugor Hill Posted November 6, 2015 Share Posted November 6, 2015 I'd argue that the interest rates are more of a reaction to the market and not the other way around. The government is trying to keep Canadians competitive in their own market and prevent a crash. So they've lowered interest rates.You've also purposely skewed your data by picking the 1970s as a start date. The 1970s had artificially high rates to combat the oil crisis. Here's a more accurate and less dramatic graph:Loonie confuses correlations with causations. Don't mind him. Link to comment Share on other sites More sharing options...
CanadianLoonie Posted November 6, 2015 Share Posted November 6, 2015 Loonie confuses correlations with causations. Don't mind him.Foreign buyers driving up prices isn't? Link to comment Share on other sites More sharing options...
Hugor Hill Posted November 6, 2015 Share Posted November 6, 2015 Foreign buyers driving up prices isn't?Basic supply and demand says no. Link to comment Share on other sites More sharing options...
CanadianLoonie Posted November 6, 2015 Share Posted November 6, 2015 Supply is going up because of all the cheap credit available to build new housing units, either single-detached homes or multi-unit complexs/condos. Link to comment Share on other sites More sharing options...
AV's Coin Posted November 9, 2015 Share Posted November 9, 2015 "There are 20-40 million empty apartments in China; enough floor space to cover Madrid."- Wade Shepard, author of 'Ghost Cities'http://www.cbc.ca/radio/thecurrent/the-current-for-november-9-2015-1.3310323/china-s-deserted-ghost-cities-appeal-to-new-residents-1.3310388 Link to comment Share on other sites More sharing options...
cabinessence Posted November 12, 2015 Share Posted November 12, 2015 Perhaps the driving up of real estate is the red herring the investors want. It seems to take attention from the alleged money laundering. How about make that the issue? Check out the award wining video that was made looking at all the vacant stores in downtown Vancouver: https://youtu.be/PaU4EDhuDLw Link to comment Share on other sites More sharing options...
Electro Rock Posted November 12, 2015 Share Posted November 12, 2015 Perhaps the driving up of real estate is the red herring the investors want. It seems to take attention from the alleged money laundering. How about make that the issue? Check out the award wining video that was made looking at all the vacant stores in downtown Vancouver: https://youtu.be/PaU4EDhuDLwWe *are* in the middle of a depression after all, you can go to any number of cities and see vacant businesses even in prosperous areas. The thing that makes Vancouver different is how you have so many operating businesses that are obviously fronts, establishments that remain open despite little or no foot traffic or merchandise turnover or plausible market.For example a big used car lot that hardly moved a vehicle over a three month period when I made a point of watching.Or like the vacuum store I went into a few months ago that mostly sells busted up 20+ year old used beater vacuums for over $500, when you can get a new Miele for that price.Lots of used furniture and warehouse type operations like office furniture supply stores seem to be fishy too. Link to comment Share on other sites More sharing options...
Lancaster Posted November 13, 2015 Share Posted November 13, 2015 We *are* in the middle of a depression after all, you can go to any number of cities and see vacant businesses even in prosperous areas. The thing that makes Vancouver different is how you have so many operating businesses that are obviously fronts, establishments that remain open despite little or no foot traffic or merchandise turnover or plausible market.For example a big used car lot that hardly moved a vehicle over a three month period when I made a point of watching.Or like the vacuum store I went into a few months ago that mostly sells busted up 20+ year old used beater vacuums for over $500, when you can get a new Miele for that price.Lots of used furniture and warehouse type operations like office furniture supply stores seem to be fishy too. Maybe his business only revolves around the "Hoover MaxExtract Pressure Pro Model 60", lol. Link to comment Share on other sites More sharing options...
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