Yeah lets raise the interest rates of local residents to counter the discretionary spending of tourists, that'll fix it.

Fuuuuuuuck fuck fuck.

What if....they brought back interest rates from the 80s? :troll:

Bitches about inflation, raises minimum wage, hands out more money, charge more carbon tax, buy more immigrants to hand out money to, raises property tax due to inflation, send more free weapons to Ukraine, continues to stir shit up with Russia, Taiwan China.

Sure raising interest rates will fix inflation. :accepted: :fulloffuck::lawl:

Bring back housing prices from the 80s and I'd blow tiff macklem for those.

Do you, uhhh, know that the bank of canada and the Canadian government are two different things?

it's a crown corp
minimum wage decisions are made more locally though

For better of for worse, and what seems clearly worse, their decision making is independent from one another.

^^ that's the issue, too much bureaucracy, not in my department mentality, affects the whole country but there's no communication and they look at it at a micro city/ provincial level but not county wide. They are way too narrow sighted.

One is trying to buy votes, and the one isn't.

This isn't the Trump thread

Given from what I’ve seen in the market, the statement is not completely wrong.

For the last decades or so, we’ve maintain the rent relatively low thanks to the continual increase in housing value. Thus, LLs are ok taking in a lower rent since they would make their return in increase of property value.

Now that housing is no longer growing and interest rate is so high, LLs would charge the maximum rent the market is ready to pay. And the fact that out government only allowed minimal increase in rent didn’t help.

I’ve heard cases where LLs rent were so cheap vs the market going rate, that it made sense for them to kick out tenants, stay rent free for 6mth just so they don’t get in trouble with RBT and raise all at once to market maximum.

So in a sense, yes. Price of rent, a major component in inflation is going up thanks to the increase in interest rate.

Also property tax, insurance cost, maintenance fees. Everything is going up. Except stonks

When I first rented my 700sq ft basement suite out for $1600 a month in 2016 people were emailing me telling me to die, shit greedy landlord etc.

Since 2016 I’ve never once raised the rent on my suite and now comparables are probably $1800-$2200. Hope those people are happy hehe

Easily that much, you're on the west side of Van aren't you? 1 bedrooms in my building in Richmond are renting for $2200

If 80's interest comes and 2010's housing prices comes back. It's not a bad trade off even if you lose your cheaper home.

East van, hasting sunrise

S&P 500 is up 12% and Nasdaq is up 26% YTD - can't complain really.

-Mark

S&P 500 is up 12% YTD
Nasdaq is up 32% YTD
TSLA is up 108% YTD
AAPL is up 42% YTD
MSFT is up 35% YTD

Just stay in the index... Most investors shouldn't be picking individual stocks. Buy the index and just move with the market. Picking individual stocks in the long run is a losing game.

Why don't you raise rent?

Every maintenance cost you incur has gone up since 2016.

We bought Nvidia in February for our clients... feeling like heroes over here at nearly +125%!

-Mark

Up until this point it’s never really been worth it but next time around it will be going up the max.

I wasn't really thinking about the discretionary spending of (foreign) tourists when I made the statement. It was really more about referring to how lots of locals are travelling -- be it locally, regionally, within Canada, or internationally. In my social media feed (which is of course super, super accurate and indicative of the whole world hahah~), at any given point, there are probably at least 3+ people I know who is travelling somewhere, and it has been like this for quite a while. Add to the fact that plane tickets are scarce, expensive, and people are still travelling, that tells me a good bunch of people are still actively contributing to this discretionary spending spree.

(I wish I were in the same boat...)

What percentage of homeowners are actually feeling these rate increases so far? With a lot of people locked in at lower rates for a couple more years it could be quite awhile before these rate hikes actually show their teeth for a lot of people no?

Well I think historically it’s been like 50/50 variable and fixed. So even say it’s 35% variable that’s still a huge increase in overall payments.

This is the first time we went variable and it was probably the most costly financial mistake we’ve made. However it’s still completely manageable and our lifestyle hasn’t changed

Two of my best friends were both on variable and both of them have gone from $2600 or so a month to over $5200

https://www.canadianmortgagetrends.c...inues-to-fall/

The last few months were a somewhat good time to lock in as some folks were getting rates around 5% for 3 year mortgages and if you're on variable still you're likely around 5.7-6% right now. I locked in 2 increases ago at 5.37% and would have been at 5.7% if I hadn't locked in. Taking my medicine.