[flagged]
[flagged]
Investors account for 30 per cent of home buying in Canada, data show
11–20 of 207 posts
Re: Investors account for 30 per cent of home buying in Canada, data show
#12> The central bank defines an investor as a buyer who took out a mortgage to buy the property while maintaining a mortgage on another home. In the US, a lot has been made about large investment companies buying up houses, but this is something different entirely: > This category represents homebuyers with multiple mortgaged properties. This means investors are homebuyers who either: > * purchase an investment propert…
If there’s an affordability housing crisis at the level of Canada, where home prices are so wildly out of whack relative to median incomes, it’s IMO entirely reasonable to ban the purchase of investment properties in the single family homes market for anyone. This will never happen because of the political backlash, but housing as a speculative asset is fundamentally insane and corrosive to societies. Housing affordability is directly tied to all kinds of broader social outcomes, from crime to public health to educational achievement and it makes zero sense to sacrifice these on the altar of “fuck you, I got my house(s).”
Re: Investors account for 30 per cent of home buying in Canada, data show
#13Still not clear whether they are mostly institutional or solo "mom and pop" second/multi-home buyers. Either way this was the inevitability of borrowing at virtually 0 interest for so long, with a high immigration rate guaranteeing perpetually increasing demand. It's like free money. They've recently increased the interest rates but it's woefully insufficient. The rate of housing starts needs to increase (this is fairly inelastic) and/or the rate of immigration (or even loopholes for students and temps) needs to slow down, but instead it's going in the other direction.
Re: Investors account for 30 per cent of home buying in Canada, data show
#14Canada has very little private land ownership.The Federal Gov hoards land and creates a severe shortage of land for individuals to purchase. They need to open up the billions of acres of accessible land to 1st time buyers and then to existing property owners. Especially in the Province of Ontario. They also intentionally keep interest rates low so existing house/property owners can leverage their properties to buy mo…
>I'm not sure of the unintended consequences of my proposals, but they couldn't be worse than what is happening now.
I wonder how large the percentage of buyers would be who would buy on-behalf of someone -- e.g. person A is an existing homebuyer, their cousin person B is not, and to avoid the prohibitive tax rate, person A gets B to buy it on their behalf so that it is legally not an investment.
This practice is sadly already common in certain circles, and it will surely get a boost should your proposal (which I do like btw) come into effect -- the question is how big of an effect would that be.
Re: Investors account for 30 per cent of home buying in Canada, data show
#15I do wonder what country will be the first one to ‘break’ and implement restrictions on buying homes. The current situation is not sustainable, and soon something will need to give.
[flagged]
Re: Investors account for 30 per cent of home buying in Canada, data show
#16Not sure about Canada, but I make way above the median in tech in California and I have zero interest in buying a home. Having a home would be a huge hassle when I look for new work every 3 or 4 years. The math shows a home in almost any area in the USA is only a financial benefit after 8 or more years of staying in that home (compared to an apartment), when taking closing costs, maintenance, large upfront interest, and other moving costs.
Re: Investors account for 30 per cent of home buying in Canada, data show
#17[flagged]
[flagged]
It should, but the mouth pieces have stuck with their spiel that their own policies can't be helped, are necessary, because of "labor shortages". In other words, horseshit. I think people at the top are positioning themselves because they made large investments and want their return, so the lobbying efforts are to stall the slowing rate of immigration, or anything else that would increase housing starts / availability.
Re: Investors account for 30 per cent of home buying in Canada, data show
#18> The central bank defines an investor as a buyer who took out a mortgage to buy the property while maintaining a mortgage on another home. In the US, a lot has been made about large investment companies buying up houses, but this is something different entirely: > This category represents homebuyers with multiple mortgaged properties. This means investors are homebuyers who either: > * purchase an investment propert…
If there’s an affordability housing crisis at the level of Canada, where home prices are so wildly out of whack relative to median incomes, it’s IMO entirely reasonable to ban the purchase of investment properties in the single family homes market for anyone . This will never happen because of the political backlash, but housing as a speculative asset is fundamentally insane and corrosive to societies. Housing afford…
Too many people get hung up on the “house” being the thing rapidly appreciating when in areas like major Canadian metros it’s the _land_ sitting under the house that is becoming more and more valuable as the Canadian government is importing more and more full grown adults who need housing _today_ in those major metros.
Re: Investors account for 30 per cent of home buying in Canada, data show
#19[flagged]
[flagged]
Immigration remained mostly consistent and “definitely not ‘millions’” till last year when it hit 500,000 for some reason:
https://www.statista.com/statistics/443063/number-of-immigra...
The whole “millions of immigrants” is just a property of the recent alt-right attempt at a take over of HN.
Looking around, it appears that immigration rates were raised due to aging population issues. While other places around the world are looking at moving retirement to 75.
Crony capitalism is causing higher immigration, so it’s somewhat hilarious for these people to think that an even more crony party is going to help offset this.
Re: Investors account for 30 per cent of home buying in Canada, data show
#20> The central bank defines an investor as a buyer who took out a mortgage to buy the property while maintaining a mortgage on another home. In the US, a lot has been made about large investment companies buying up houses, but this is something different entirely: > This category represents homebuyers with multiple mortgaged properties. This means investors are homebuyers who either: > * purchase an investment propert…
Almost as if the large companies would like those unable to buy homes to misdirect their ire.
The large companies just don’t account for very many homes. Once you control out for homes under construction, that just isn’t the issue. The issue is that we dramatically restrict how much housing anyone can build, specifically, upward.