Canadian *REAL ESTATE BOOM* Defying Naysayers

Rickson9 wrote: ↑The Canadian housing market has defied the naysayers yet again — sales rose 3.6 from April to May, average prices went up 3.7 per cent and the market appears poised to return to the 10-year sales norm by 2014.

Canadian House Prices Defying Naysayers

HA, you can't believe statistics and facts. Ridiculous

clseea wrote: ↑HA, you can't believe statistics and facts. Ridiculous

Exactly! I reject your reality, and substitute it with my own.

What does average really mean ? Economy is worse and cheaper houses aren't selling ? Houses in more affluent neighbourhoods are still selling ? Places where houses are inherently more expensive such as large cities are still selling and the rest of the country isn't selling as well ? There are new/higher taxes included in the house price ? The cost of acquiring eg interest rates, taxes have decreased giving more buying capacity. More larger dwellings are selling and less smaller dwellings eg. condos arent selling as well ?

If you want a more accurate reading on how well the housing market is doing look at Dom and less at avg price or percent of asking.

Rickson my friend, despite your coat of "equilibrium" you are in fact a shameless RE pumper. JP149 just gave you a tour of horizon since yours has been reduced to a point (your point of view :-D, of course)
You play "the realistic person" but if you believe the latest RE crap you are clearly invested in RE.
There is now way someone who is not invested in RE would really believe the latest CREA news release pumping up the Canadian market.

There was hypocrite around here who felt deranged by "yet another RE crash thread" .
He seems to be bothered just the "crash" threads, his aesthetic "common sense" is not bothered at all by to many RE pumping up threads like this.

Note: I am not against have any of these threads, you guys can post one thread for any ridiculous statement like the one the OP posted.
Just give me a break when it comes to my two threads, OK ?

Not enough supply to fulfill demand as GTA new home prices hit record $644,427.

GTA new home prices hit record $644,427

I have seen some people wasted half of a decade in here proposing a RE crash, and I am quit please to see them continuing bashing the RE.

Because the longer they post in here, the further I will be ahead of them in life. They will probably continue to post for another 5 yrs, then exactly a decade will be wasted in here LOL

I hope the house prices keep going up so it would be more exciting to see people lose their homes.

Always quote crea

Actually, while average selling prices may very well be higher, this is mostly an artifact of a shift in the distribution of units sold. The low end of the market has suffered significantly, while the high end has mostly kept itself intact. Just because the average transactional price is up a few percent doesn't mean that your particular house is up a few percent -- in fact, quite the opposite could very well be the case in many areas.

Of course newspapers and the Realtors will play on the ignorance of the public when it comes to statistics.

Engi-Nir wrote: ↑I hope the house prices keep going up so it would be more exciting to see people lose their homes.

Always quote crea

I think its not so much that people can't afford them, but what are the squeezing out of their budgets to cover the much larger mortgage payments. I predict a retirement crisis in Gen X/Y/Z. All mortgage, no retirement savings....

zod wrote: ↑I think its not so much that people can't afford them, but what are the squeezing out of their budgets to cover the much larger mortgage payments. I predict a retirement crisis in Gen X/Y/Z. All mortgage, no retirement savings....

The mortgage 'payments' are actually quite reasonable at the moment since:

a) Policy rates are at very historically abnormal levels;

b) Lending spreads, ie: the risk premium that lenders demand to loan against certain collateral, are at unusually low levels as applicable to residential real estate. The CMHC alchemizing $900B worth of subprime debt into the functional equivalent of GoC bonds has a lot to do with this.

If both a) and b) continue indefinitely, then, yeah, no reason why housing won't continue to go up and probably will remain stable and favourable. However, the likelihood of both remaining "as is", especially as a glut of houses develops, and other investments become very cheap on a relative basis, is quite low.

Mark77 wrote: ↑
Actually, while average selling prices may very well be higher, this is mostly an artifact of a shift in the distribution of units sold. The low end of the market has suffered significantly, while the high end has mostly kept itself intact. Just because the average transactional price is up a few percent doesn't mean that your particular house is up a few percent -- in fact, quite the opposite could very well be the case in many areas.

Of course newspapers and the Realtors will play on the ignorance of the public when it comes to statistics.

And of course Mark77 - - aka Pitz - - will continue to fabricate misinformation with ZERO factual data to support his laughably incorrect statements.

Any clue how many "high end" (ie $1M+) units were sold last month in the GTA, Pitz? Any clue what percentage of total unit sales they represented? Any clue how this compares on a year over year basis? Of course not - - because as with most of your babbling drivel, you just take a wild guess and make it up as you go.

Total GTA Sales May 2012 - 10,860
Total GTA Sales May 2013 - 10,182

GTA Sales >$1M May 2012 - 668
GTA Sales >$1M May 2012 - 702

Percentage of Total GTA Sales >$1M May 2012 - 6.15%
Percentage of Total GTA Sales >$1M May 2013 - 6.89%

That's a YoY increase of 0.74% in "high end" units sold. Maybe that's what constitutes a "massive shift" in Moose Jaw, but in the rest of the world that's a pretty much considered to be stable.

Stop making up lies to try and sound knowledgeable about an industry which you have ZERO education and ZERO experience in.

Donnie740 wrote: ↑And of course Mark77 - - aka Pitz - - will continue to fabricate misinformation with ZERO factual data to support his laughably incorrect statements.

Any clue how many "high end" (ie $1M+) units were sold last month in the GTA, Pitz? Any clue what percentage of total unit sales they represented? Any clue how this compares on a year over year basis? Of course not - - because as with most of your babbling drivel, you just take a wild guess and make it up as you go.

Total GTA Sales May 2012 - 10,860
Total GTA Sales May 2013 - 10,182

GTA Sales >$1M May 2012 - 668
GTA Sales >$1M May 2012 - 702

Percentage of Total GTA Sales >$1M May 2012 - 6.15%
Percentage of Total GTA Sales >$1M May 2013 - 6.89%

Insufficient data to prove your hypothesis.

Nice try though. Bring back some more data before you start to call me names. Troll.

And just WTF is your obsession with pitz? Moose Jaw? You have some sort of mental issue?

This is a load of crap
Show us how many of these over $1M houses decreased their price
In Toronto they account for 18% of the inventory.
Most of them have been sitting on the market for months
See here, most of them sold UNDER the asking price, so the 0.74% increase in due to the fact that they are discounted

behind-avg-numbers-t-o-home-listings-13 ... st16900177

With decreased sales and YoY sales constant in the over $1M homes that means that the sales decreased in the under $1M segment which is GOOD NEWS !
Most of us here are not interested in the $1M homes ..those can stay on the market for ever as they do in North York.

Donnie740 wrote: ↑And of course Mark77 - - aka Pitz - - will continue to fabricate misinformation with ZERO factual data to support his laughably incorrect statements.

Any clue how many "high end" (ie $1M+) units were sold last month in the GTA, Pitz? Any clue what percentage of total unit sales they represented? Any clue how this compares on a year over year basis? Of course not - - because as with most of your babbling drivel, you just take a wild guess and make it up as you go.

Total GTA Sales May 2012 - 10,860
Total GTA Sales May 2013 - 10,182

GTA Sales >$1M May 2012 - 668
GTA Sales >$1M May 2012 - 702

Percentage of Total GTA Sales >$1M May 2012 - 6.15%
Percentage of Total GTA Sales >$1M May 2013 - 6.89%

That's a YoY increase of 0.74% in "high end" units sold. Maybe that's what constitutes a "massive shift" in Moose Jaw, but in the rest of the world that's a pretty much considered to be stable.

Stop making up lies to try and sound knowledgeable about an industry which you have ZERO education and ZERO experience in.

Mark77 wrote: ↑Insufficient data to prove your hypothesis.

Nice try though. Bring back some more data before you start to call me names. Troll.

And just WTF is your obsession with pitz? Moose Jaw? You have some sort of mental issue?

He is bringing more data than you are Mark. You keep throwing stuff out there without backing this up with anything. Your average price mirage theory has never been backed up with any facts.

TripleHelix wrote: ↑He is bringing more data than you are Mark. You keep throwing stuff out there without backing this up with anything. Your average price mirage theory has never been backed up with any facts.

More does not mean sufficient. Attacking Mark will not validate the data.

I wouldn't say Canadian per se as in some cities housing is for sure down including here. I live in Riviere Des Prairie and housing has definitely come down in this area of Montreal. People have actually just decided to stay in their home rather than sell for a price they can't get anymore. Its hilarious because people still think its 3-4 years ago where you could sell your house for a big number above your evaluation and now not so much. A guy across tried to sell his house for 800k, evaluated at 569k. I bought my house 2 years ago and if i put in the same criteria in MLS, i get hundreds more hits than i got 2 years ago.

The riskier the investment the more pain you might feel in terms of slow growth in the housing sector, the days where condo's where being sold 2-3 times over even before the keys being handed to you are long gone, anyone who bought in the dream that this asset will bring riches because the housing sector always goes up is in for sudden shock when these condo's and other real estate assets will not be worth what you paid for them.

You guys care too much about this. Same thread in RFD. Can we just create a separate RE forum already? The ones arguing are just going around in circles.

honestly the naysayers are the ones that are helping this market.

If everyone was on board...that's when the trouble starts....you don't want no fear...then everyone panics when the crap hits the fan.