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Billions in 'unknown' funds flowing into Canada's housing market [video]

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Re: Billions in 'unknown' funds flowing into Canada's housing market [video]

#91

Post by cheesecake_luvr »

teruakohatu wrote: post #77
cheesecake_luvr wrote: post #54

Earlier quoted context omitted.

Overseas buyers just get permanent residency and citizenship and buy houses. A few years ago you just needed ~$NZ5m invested in the country and you get permanent residency. There is no way the prices are driven by domestic money. My factory supervisor brother has a house in Mangere Bridge, a blue-collar suburb, built for ~$100k 20 years ago is now well over $1m. It is batshit crazy. I hear of eye-watering prices in M…

> A few years ago you just needed ~$NZ5m invested in the country and you get permanent residency. There is no way the prices are driven by domestic money. In 2019-2020 just 38 of this class of visa was approved, which seems to be about the average per year over the last decade. It was just 16 in 2020-2021. I don't think these people are buying decrepit Auckland villas, two bedroom semi-detached or tiny one bedroom ap…

You may be right for that class of visa, but there are many others: https://www.immigration.govt.nz/new-zealand-visas/options/li....

And yes, the prices can be driven up by cheap loans, but from memory they were already rising steadily before the covid stimulus measures.

I am still unconvinced that there exists in NZ a mechanism that can generate so much money and drive up the prices to these levels. Haven't been back for a while but family and friends back there are just as bewildered as I am with these price rises.

Re: Billions in 'unknown' funds flowing into Canada's housing market [video]

#92

Post by toxik »

obiwanpallav1 wrote: post #38

This[1] video by ColdFusion talks about a similar problem in the US in which Housing market is now being seen as the next big bet by the Wall Street Firms. In this scheme, a common man will not be able to buy/own any house but they can only rent it. It will be very similar to SaaS model in which Houses will be provided as a service. 1 - https://www.youtube.com/watch?v=gu4tC3px6mc

Fortunately, this is pretty easy to ban.

Re: Billions in 'unknown' funds flowing into Canada's housing market [video]

#93

Post by petre »

eurasiantiger wrote: post #74
crummy wrote: post #60

Earlier quoted context omitted.

You think the price of 500k houses has been driven to 1m thanks to people who can throw around 25m?

Yes. Those people buy multiple properties in an effort to launder their drug money. Just look at the situation in Marbella.

You probably mean this?

https://www.theguardian.com/news/2021/may/20/a-united-nation...

Re: Billions in 'unknown' funds flowing into Canada's housing market [video]

#94

Post by kennywinker »

sunstone wrote: post #11
tolbish wrote: post #3

Should housing be a primary vehicle for investment and the de facto way of making money? Or should it serve as a necessity and basic aspect of life?

In Australia if I recall correctly, foreign buyers are only able to buy newly built homes. Canada would benefit from a similar rule, it would stimulate more housing and not impact the demand for existing homes.

That sounds like a recipe for teardowns, which are already a huge problem in vancouver. Incentivizing turning an old lower value house into a new high value house isn’t going to help people.

Re: Billions in 'unknown' funds flowing into Canada's housing market [video]

#95

Post by [deleted] »

cheesecake_luvr wrote: post #54
teruakohatu wrote: post #17

New Zealand has a similar housing problem. House prices are skyrocketing and pricing out young people. A 25-30% rise in the past year has meant few people are saving fast enough to get a deposit. But two or three years ago the govt. banned overseas buyers. There is no reason to suggest the ban is not effective. It even bans non-permanent residents, so plenty of legitimate residents (work visas) can't purchase propert…

Overseas buyers just get permanent residency and citizenship and buy houses. A few years ago you just needed ~$NZ5m invested in the country and you get permanent residency. There is no way the prices are driven by domestic money. My factory supervisor brother has a house in Mangere Bridge, a blue-collar suburb, built for ~$100k 20 years ago is now well over $1m. It is batshit crazy. I hear of eye-watering prices in M…

[deleted]

Re: Billions in 'unknown' funds flowing into Canada's housing market [video]

#96

Post by cheesecake_luvr »

Mandatum wrote: post #66
cheesecake_luvr wrote: post #54

Earlier quoted context omitted.

Overseas buyers just get permanent residency and citizenship and buy houses. A few years ago you just needed ~$NZ5m invested in the country and you get permanent residency. There is no way the prices are driven by domestic money. My factory supervisor brother has a house in Mangere Bridge, a blue-collar suburb, built for ~$100k 20 years ago is now well over $1m. It is batshit crazy. I hear of eye-watering prices in M…

Family just missed out on a $1.6M art-deco 3 BR in Mangere Bridge. They were sad about it. It's fucked.

Personal questions and you don't have to answer at all: Did your family really have the money to pay it? Where did your family get it from?

Don't have to answer if you don't want to.

Re: Billions in 'unknown' funds flowing into Canada's housing market [video]

#98

Post by Mandatum »

cheesecake_luvr wrote: post #96
Mandatum wrote: post #66

Earlier quoted context omitted.

Family just missed out on a $1.6M art-deco 3 BR in Mangere Bridge. They were sad about it. It's fucked.

Personal questions and you don't have to answer at all: Did your family really have the money to pay it? Where did your family get it from? Don't have to answer if you don't want to.

Yes. They sold their last house for $1.4M. They bought it for $400K 12 years ago. They've never had a job that earned them more than $100K. They have just bought something else for $1.5M which needs $200K spent to get it to how they want it (renovating bathrooms, kitchen, etc).

Re: Billions in 'unknown' funds flowing into Canada's housing market [video]

#99

Post by catmanjan »

exporectomy wrote: post #32
hellbannedguy wrote: post #15

Earlier quoted context omitted.

Canada, and the USA, need to make buying our land harder, especially for foreigners. In the USA, all it takes to buy a house is money. A wealthy person sitting anywhere can buy a home with a email, and a few clicks, or a phone call. All it takes is money. If a person can't legally live in the home he bought, why are we selling it to them? I know the answer, but don't like it. I don't know of any other country that ma…

New Zealand did that a couple of years ago. House prices continued to skyrocket as if nothing had happened. It's local people who keep buying them and paying through the nose.

Imagine if a rich king comes to a small village and insists on buying a loaf of bread from the baker for $100 rather than a penny

Now the butcher knows the baker is hungry and has $100, so he ups his prices to get the most value

But the butcher needs knives and the blacksmith knows he can afford more now too

The kings left town but the damage has been done, will probably take some time for things to go sane again

Re: Billions in 'unknown' funds flowing into Canada's housing market [video]

#100

Post by asdff »

throwaway5752 wrote: post #76

It's global warming. Same as New Zealand. Money is easy and smart money is flocking to places that will be survivable in a decade or two. This is very easy.

Not really. Sharks are smelling blood in the water everywhere, since nowhere is building enough supply. Guaranteed profit with that sort of regressive housing policy. Prices are rising in Miami almost as fast as the water table.
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