Real Estate Roundup
- Global News reported Canada is a celebrity when it come to debts, not only houldhold debts, but also commercial debts that is heavily skewed toward real estate.
- While the real estate is entering a tumultous era, Vancouver shows off her most expensive listing ever – $63 millions Belmont Estate, a 21,977 sf home of billionaire Joseph Segal and his wife Rosalie.
- Meanwhile, HuffPost thinks Kathleen Wynne’s housing bubble cooling measures are way too drastic … Fail?
- The scariest thing is Housing Bubble is coming back to haunt the U.S. … Can you imagine what is it like for real estate of both Canada and the U.S. to tank at the same time?
Indebted Canadians using homes as ATMs
1. Canada Tops Indebtedness
Canadians pile up debt faster than anyone in the world
Canada accumulating private debt faster than any other advanced economy
We all know about Canada’s ballooning household debt. Hardly a day goes by without a headline warning about overstretched Canadians wallets, and policymakers have long been racking their brains about ways to rein-in families’ debt binge.
But another type of private-sector debt has ballooned — and with hardly anyone taking notice.
Since 2011, Canada has racked up an additional $1 trillion to its non-government debt, and most of the increase came from Canadian companies, not households, according to a new report by the Canadian Centre for Policy Alternatives (CCPA). Corporate debt increased $671 billion (in 2016 dollars) since then.
As a result, Canada now leads advanced economies in private-debt accumulation, which is one of the best predictor of economic crises, according to CCPA economist David Macdonald, who authored the report… Global New
What housing crisis?
2. Vancouver’s Costliest Listing – $63 millions Belmont Estate
Behold, Greater Vancouver’s most expensive real estate listing of all time
Check out what $63 million will buy you in Vancouver. The 22,000 square foot Point Grey home of philanthropist Joe and Rosalie Segal recently hit the real estate market and the Global 1 helicopter took a look… Global News
3. Housing Cooling Measures Backfires?
Way To Burst The GTA Housing Bubble, Kathleen Wynne
HuffPost believes Premier Kathleen Wynne plan has yet to do have any positive effect on the real estate market – and if anything has caused more disruption than anything else.
No data. No research. Listing terminations, for example, had almost tripled on a year-over-year basis. According to figures compiled via TREB, we have seen a movement from 681 termination listings on April 20, 2016 to 1,774 termination listings as of April 20, 2017, which is essentially proof that the market was already changing when Wynne decided to interfere with the housing cycle, which has basically stopped everything … That implementing so many big changes at once was not an appropriate or an informed decision … HuffPost
No data. No research?
Sorry, we beg to differ. We believe what Liberals are doing is politically correct = We think Liberals will reign supreme come next election.
Meanwhile, we are more concern about what is happening in the U.S. … We think the U.S. will have a major impact on our housing bubble, real or imagined.
4. Housing Bubble Coming Back To Haunt U.S.
- These Housing Bubbles Are Bigger Than 2006 Seeking Alpha
- Fed Blowing Housing Bubble 2.0? Seeking Alpha
- How tales of property ‘flippers’ led to a housing bubble Las Vegas Sun
- The next recession will probably start much like the last one AOL
- Foreign Investment In US Real Estate Rising… Business Facilities Magazine
- Chinese Dominate Global Investment in US Commercial Property
- Property buyers hit a brick wall as Beijing tries to avert housing bubble Business in Vancouver
Mirror, mirror on the wall, will Uncle Sam’s real estate belly up anytime soon?
Perhaps we don’t have a housing affordability crisis, but instead a looming housing apocalypse.
Interest rates will inevitably rise from record lows, and record household debt levels will force many Australians to sell. A glut of homes will flood the market, not out of choice, but economic necessity, and the property bubble will burst.
In short, inflationary house prices are slowly killing the Australian economy.
President Donald Trump’s avowed commitment to massive infrastructure spending (conservatively estimated at US $200 billion) is another economic force likely to put upward pressure on US interest rates. If Trump manages to also cut income taxes, a further rush of money will enter the US economy, thereby stimulating employment and further increasing the costs of US borrowing.
Australia will not be unaffected by these developments. Interest rates will inevitably rise from record lows, and record household debt levels will force many Australians to sell. A glut of homes will flood the market, not out of choice, but economic necessity, and the property bubble will burst… HuffPost Australia