tag:blogger.com,1999:blog-7588496932754350322.post1847317968054843306..comments2023-09-10T03:39:48.166-07:00Comments on Alberta Bubble: Is this it?Unknownnoreply@blogger.comBlogger11125tag:blogger.com,1999:blog-7588496932754350322.post-82751925131349633802007-06-24T21:27:00.000-07:002007-06-24T21:27:00.000-07:00I just bought a house in Point Grey in Vancouver. ...I just bought a house in Point Grey in Vancouver. It had very poor curb appeal and was a divorce sale. I got it for just over $1.3m and comps that are "staged" with about $30,000 better kitchens are fetching $1.55 million. So I am ok with the cognative dissonace(post purchase regrets). I may have bought at the top but I plan on putting in new floors, kitchen, baths, and paint. That will bring it up to $1.5m in today's market and I will be into it for about $1.4m in total. My problem is I want to live on the west side of Vancouver and rents for comparable homes are about $5k per month and I will rent my basement suite for about $1000 per month. Scary stuff eh? Comments?Jimhttps://www.blogger.com/profile/14161385561475242709noreply@blogger.comtag:blogger.com,1999:blog-7588496932754350322.post-52968184960018469272007-06-22T11:02:00.000-07:002007-06-22T11:02:00.000-07:00edmontonpop. 773,000773,000 divided by 8000 (resal...edmonton<BR/>pop. 773,000<BR/>773,000 divided by 8000 (resale homes) =<BR/>1 house for sale for every 96.62 people man/woman/child<BR/><BR/>calgary<BR/>pop. approx 1,000,000<BR/>1,000,000 divuded by 9000 (resale homes) =<BR/>i house for sale for every 111.1<BR/>people man/woman/child<BR/><BR/>those numbers arnt good<BR/>i suspect there are more houses for sale in both markets accurate information is hard to find<BR/><BR/>anything under 300 house per person is considered a buyers market<BR/><BR/>and i havnt counted in the 18,000 new homes slated for construction and condo conversions (probably another 4,000) have not been calculated<BR/><BR/>if this isnt ripe for a crash what is ?<BR/><BR/>writers of the american blogs were way ahead of the game<BR/>calling the peak there in 2005 <BR/>turns out they were 100% correct<BR/>it takes time for the trickle down to reach the main stream media<BR/><BR/>and then they said what ?<BR/>the crash came outta no where<BR/>we had no idea<BR/><BR/>read some of the sites on the blog role ben jones/housing panic<BR/><BR/>there you will get a taste of whats to come<BR/><BR/>and coming it issquidly77https://www.blogger.com/profile/13337481129318070886noreply@blogger.comtag:blogger.com,1999:blog-7588496932754350322.post-20419730055645849222007-06-22T10:53:00.000-07:002007-06-22T10:53:00.000-07:00I don't totally disagree with that article, but it...I don't totally disagree with that article, but it may be important to remember that the Alberta Government is currently or soon to be negotiating with master agreement. It may make sense to sound a little bearish when talking raises for employees. The reason I question the article is that the provinces revenue from oil and gas has to do with the royalty rates which I believe were reduced recently (anybody have facts on that?). <BR/><BR/>The big threat is still the coming world-wide credit contraction...just look how the US markets are reacting to that Bear Sterns hedge fund scare today.ronniehttps://www.blogger.com/profile/08647402568132078965noreply@blogger.comtag:blogger.com,1999:blog-7588496932754350322.post-87569807958801794722007-06-22T08:34:00.000-07:002007-06-22T08:34:00.000-07:00http://tinyurl.com/3yxhlwhttp://tinyurl.com/3yxhlwGuyInCalgaryhttps://www.blogger.com/profile/04697492056817359886noreply@blogger.comtag:blogger.com,1999:blog-7588496932754350322.post-33950376107955604162007-06-22T07:55:00.000-07:002007-06-22T07:55:00.000-07:00Anyone notice when the sugar-coating comes off a p...Anyone notice when the sugar-coating comes off a pill, it becomes quite acidic?sunshinehttps://www.blogger.com/profile/10860907742700989860noreply@blogger.comtag:blogger.com,1999:blog-7588496932754350322.post-17627497744699078482007-06-22T03:04:00.000-07:002007-06-22T03:04:00.000-07:00For buyers, working with someone who understands t...<I>For buyers, working with someone who understands the market is crucial to not overpaying.</I><BR/><BR/>Someone who understands the market would know that current prices are ridiculous. Remember, RE agents get a commission on the selling price, so it is in their interest that you overpay. <BR/><BR/>So just who would this "someone" be?patriotzhttps://www.blogger.com/profile/11154064267408955762noreply@blogger.comtag:blogger.com,1999:blog-7588496932754350322.post-64690947622622714252007-06-21T19:47:00.000-07:002007-06-21T19:47:00.000-07:00heres an interesting stat frombobtruman.com (a goo...heres an interesting stat from<BR/>bobtruman.com (a good guy)<BR/>34% of all condos on the mls are sitting vacant<BR/>23% of all sfh on the mls are sitting vacant<BR/><BR/>a specuvestor rate like this is unheard of<BR/>californias speculitive market peaked at 15% (prices now down 30%)<BR/>ours is unheard of<BR/>pretty much means that 30% of all homes on the market are held by non calgarians<BR/><BR/>why do you suppose that is ?<BR/>what do they want ?squidly77https://www.blogger.com/profile/13337481129318070886noreply@blogger.comtag:blogger.com,1999:blog-7588496932754350322.post-9996040546356044202007-06-21T19:05:00.000-07:002007-06-21T19:05:00.000-07:00by the way a rent of $1350 a monthwould by this mu...by the way a rent of $1350 a month<BR/>would by this much home from the td bank<BR/>mortgage $721 monthly<BR/>condo fees(include utilities) $400 <BR/>property tax 240<BR/>total $1361 monthly<BR/><BR/>how much money did i borrow<BR/>$100,000 thats how much<BR/>is this market rational<BR/>i think not<BR/>its acting more like a wounded animal<BR/>or a crackhead looking for his next fix<BR/>or that fool you see playing vlts<BR/>so would you buy it or rent it ?<BR/>now you tell me whos smartsquidly77https://www.blogger.com/profile/13337481129318070886noreply@blogger.comtag:blogger.com,1999:blog-7588496932754350322.post-19466260084631779032007-06-21T18:48:00.000-07:002007-06-21T18:48:00.000-07:00That previous post by me was a cut and paste from ...That previous post by me was a cut and paste from the Edmonton Real Estate Blog written by the administrator Sheldon Johnston.<BR/> I remember not to long ago home prices were increasing $440 a day, in Edmonton, now their dropping $660 a dayBrenthttps://www.blogger.com/profile/11692519299223098252noreply@blogger.comtag:blogger.com,1999:blog-7588496932754350322.post-71522424370783270632007-06-21T18:43:00.000-07:002007-06-21T18:43:00.000-07:00yeah some of those comments were from methis is a ...yeah some of those comments were from me<BR/>this is a totally irrational market<BR/>how can a rationale person make any sense of it<BR/>the bigger the bounce <BR/>the bigger the fall<BR/><BR/>homerent.ca has a lot of rentals in calgary<BR/>just punch the code into the spot provided<BR/>check out this listing<BR/>L1229 probably a $450,000 condo<BR/>mortgage costs 3100 month<BR/>condo fees 400 month<BR/>property taxes 240 month<BR/>total $3940 month<BR/><BR/>or i can rent it for $1375 a month<BR/><BR/>so whos stupid now mr truman<BR/><BR/>or check L22854 a house probably worth (choke,cough) $425,000<BR/>rent is $1300<BR/><BR/>or check L20676<BR/>beautifull downtown condo<BR/>kindly subsidized (by a smart buyer)<BR/>rent is only $1350<BR/>all utilities included<BR/><BR/>yes all you kind and very smart home buyers<BR/><BR/>we sure appreciate the kind jesture of you offering to subsidize our rents<BR/><BR/>me dumb/you smartsquidly77https://www.blogger.com/profile/13337481129318070886noreply@blogger.comtag:blogger.com,1999:blog-7588496932754350322.post-60317547502337411512007-06-21T18:42:00.000-07:002007-06-21T18:42:00.000-07:00June 21, 2007Market Pendulum The CBC just reported...June 21, 2007<BR/>Market Pendulum <BR/>The CBC just reported that according to the Association of Edmonton Realtors prices have dropped from $426,000 to $412,000 in the first half of June: <BR/><BR/>http://www.cbc.ca/canada/edmonton/story/2007/06/21/ed-realestate.html<BR/><BR/>Well, in my experience, the Market Pendulum swings between 3 and 9 o'clock, and it doesn't stop at 6. The reality is, market value is defined by what a reasonable and willing buyer will pay a reasonable and willing seller. We all know the reasonable side of things has been out of whack, but the market dictated by supply and demand played a factor in that reality. <BR/><BR/>So with the advent of higher inventory we will see a new reality (having sat down and talked with a number of sellers recently, many of them believe they are immune from this new reality. "I have a better location," "The upgrades we've done are superior to other similar properties" and so on). Having just returned from some industry meetings in Canmore there are others, Real Estate professionals who disagree with my prognosis and feel the market will just keep roaring along. <BR/><BR/>The reality is there is more supply, and buyers will not be forced into making overly aggressive. decisions, and if the buyer is smart they will utilize this new power to their advantage. For sellers, marketing and how they choose to sell their home is going to become even more important. For buyers, working with someone who understands the market is crucial to not overpaying. Simply put buyers no longer have "fear" of losing out. So buyers will rejoice and sellers will have to be prepared to adjust their expectations. <BR/><BR/>These are interesting times and even with strong sales in my opinion the Pendulum is swinging the other direction at least for now. <BR/><BR/>p.s. Up coming Interest rate hikes will make affodability even more of an issue. So even if prices go down slightly there maybe no immediate affordability relief.<BR/><BR/>Posted by Sheldon Johnston on June 21, 2007 at 05:31 PM | Permalink | Comments (0) | TrackBack (0)Brenthttps://www.blogger.com/profile/11692519299223098252noreply@blogger.com