Happy Monday Morning! At the beginning of the year I was part of a real estate pannel with REW on the state of the Vancouver housing market. On stage, in front of a live audience, the moderator asked me for my forecast for 2023. I promplty noted at the time that “we’re going to have a year of volatility.”
Excellent commentary. A great example of how Cdn govt can and in this case will destroy you as it pursues each politicians quest for re-election ...how? You got sick of being confined to your condo during covid. So....you bought in 2021-22 as the govt told you rates would stay low. So you got a variable rate mtg for a couple years as things settled out. First you got screwed by the home price and rates whipsaw over 2020-2022 ...and then when you had to sell in 2023 as your variable mtg resets and you find you cant afford your home AND your home just dropped 15% wiping out your equity....you find rent is 40% higher and no apt supply at all. Govt can be very very dangerous to you and your family.
All while telling you to your face everything is great....and btw you're a racist if you don't think bringing 1 million people to Canada is a good idea when we only build 215k apts per year.
The expectation that Canada will not experience a recession is really just an indication that we have created an economy whose GDP positively accounts for 'services' in the FIRE sector (i.e. economic rent extraction) and is therefore largely disconnected from the real economy. Macklem can truthfully believe that Canada won't experience a recession without having to highlight the fact that his policies are enriching landlords and impoverishing workers.
Excellent commentary. A great example of how Cdn govt can and in this case will destroy you as it pursues each politicians quest for re-election ...how? You got sick of being confined to your condo during covid. So....you bought in 2021-22 as the govt told you rates would stay low. So you got a variable rate mtg for a couple years as things settled out. First you got screwed by the home price and rates whipsaw over 2020-2022 ...and then when you had to sell in 2023 as your variable mtg resets and you find you cant afford your home AND your home just dropped 15% wiping out your equity....you find rent is 40% higher and no apt supply at all. Govt can be very very dangerous to you and your family.
All while telling you to your face everything is great....and btw you're a racist if you don't think bringing 1 million people to Canada is a good idea when we only build 215k apts per year.
The expectation that Canada will not experience a recession is really just an indication that we have created an economy whose GDP positively accounts for 'services' in the FIRE sector (i.e. economic rent extraction) and is therefore largely disconnected from the real economy. Macklem can truthfully believe that Canada won't experience a recession without having to highlight the fact that his policies are enriching landlords and impoverishing workers.