Hot Tip

/Hot Tip

March 2016

Hamilton as affordable as Singapore? Vancouver third least affordable? Nonsense!

By |2016-03-05T10:33:06+00:00March 5th, 2016|Hot Tip|

Vancouver is not the second least affordable place on the planet to buy a home, not even close, according to researcher and blogger Ng Weng Hoong (weng@energysasia.com) who has lashed out at the “urban myths” surrounding Vancouver’s housing market which he says a spoon-fed media continually parrots.

Hoong says the media relies on the annual Demographia survey. Its 2016 report was released last week, saying Vancouver was the “third least affordable” city in the world. 

Horsefeathers, says Hoong, claiming Demographia is simply wrong and uses shallow data, since, while it purports to be global survey, it only looks at nine countries.

Hoong points out that Demographia ranks Hamilton, Ontario and Singapore as equal in affordability, number 89 on its 2015 list – WHICH […]

February 2016

Hong Kong is Crashing?

By |2016-02-29T10:25:28+00:00February 29th, 2016|Hot Tip|

A sharp reversal in Hong Kong home sales. Condos down 20%. Some panic selling (South China Morning Post).

Further, the local Centaline Property Agency estimates that total Hong Kong property transactions in January were the worst month since 1991, when it started compiling monthly figures. In other words, the biggest drop in recorded history!

A sale of a big condo project site in Hong Kong last week shows what is going on. The site sold for HK$1,848 per square foot (that is around $328 per square foot Canadian).

“I think most surveyors dropped their eye glasses after reading the sales outcome,” Victor Lai Kin-fai, chief executive of consultancy Centaline Professionals of HK […]

Poloz to blame for high housing prices

By |2016-02-01T11:15:26+00:00February 1st, 2016|Hot Tip|

Ozzie reported on CKNW  from the Wold Outlook Conference:

He blamed Mr. Poloz (Bank of Canada Governor) for high housing prices (talking down our dollar relentlessly and at the same time creating lifetime lows in interest rates). He quoted from from the Outlook Issue at Jurock’s Real Estate Insider.

He also talked about the Hottest January on record.

For more info see the Facts By Email.

January 2016

Hot Tip: Real Estate Outlook 2016

By |2016-01-16T20:29:39+00:00January 16th, 2016|Hot Tip|

Outlook 2016 Special Issue

How will the BAD CHINESE NEWS affect real estate?

In our upcoming Outlook issue:

1. Chinese economy slowing, stocks down 20% – we know that Chinese money will flee the currency decline: WE WILL TELL YOU WHAT COMES AND WHERE IT WILL GO

2. Stocks DOWN 20% in China, 9% in Canada everywhere: WE WILL TELL YOU WHY THE  STOCK MARKET REFUGEES WILL FLEE INTO REAL ESTATE – BUT IT WILL SURPRISE YOU WHAT THEY PREFER

3. Poloz is entirely to blame for higher house prices and WHY some of our predictions will soar in value!!

4. […]

Chinese (and other) market crashes

By |2016-01-20T14:59:24+00:00January 9th, 2016|Hot Tip|

1. China had an over-developed real estate market (accounts for around 15% of the Chinese economy). Home prices in China’s major cities crashed in 2013/2014. This put serious pressure on Chinese consumers, since around two-thirds of the typical Chinese family’s wealth is tied to their homes.

2. When housing started going bust, Chinese investors started to pour their money into the stock market, which helps explain why the Shanghai composite index soared into June 2015.

3. When Chinese market started selling off, and investors lost around a third of their investments in equities in less than one month’s time – the money started to […]

Banks to make it harder for investors to get mortgages

By |2016-01-02T10:46:27+00:00January 2nd, 2016|Hot Tip|

1. With our central banker, lowering rates – even planning to go negative – in order to stimulate exports it makes it easier to afford larger and larger mortgages.

As a result CMHC will be ordered to tighten rules more and more for investors.

It is already dramatically more difficult to get approved for an investment mortgage – rental income are less and less counted and if you do not have other employment income you likely will be refused.

Worry? 

  • Banks will focus more and more on home owners – giving them more and more money
  • Banks will get tighter and tighter for investment type mortgages
  • ANYONE THAT HAS A INVESTMENT MORTGAGE […]

December 2015

Top five towns in Canada

By |2015-12-31T13:43:03+00:00December 21st, 2015|Hot Tip|

At the World Outlook Financial Conference Ozzie always gives 40 or so best recommendations for the following year. Including but not limited to the 5 Best towns in Canada, BC and Alta and the best 5 with suburbs US for investment … as well as their suburbs.

Also, what will the Americans be buying? Chinese still coming? Vancouver collapse or not?

On the radio this week we discussed 2 of the top five in BC  – No. 4 and 5 (subject to change)

Nanaimo

Great oceans, islands, vista

Regional hospital, convention center – vacancies really improving

Good prices and cash flow

Sales up 30%

Vernon

Great ski hill

Great golf and boating

Real Estate […]

November 2015

Snowbirds study your tax rules!

By |2015-11-16T18:27:39+00:00November 14th, 2015|Hot Tip|

There is a lot of tight tracking of Canadian citizens visiting the US. The new computer system knows every day that you spend visiting. That has an impact on the rules under which you might have to file a tax return.

There is some confusion about how long one can stay before one has to file a US tax return. Well, there are two rules.

One … you go for 183 this year and you are fine. Over that you are considered a “resident alien” for U.S. tax purposes and must file a regular U.S. tax return.

Two: There is also correct that for the […]

October 2015

Bloomberg calls Vancouver the “costliest city”

By |2015-10-13T20:42:49+00:00October 13th, 2015|Hot Tip|

At my outlook conferences I stated for 4 years that we had two markets – the very rich and everyone else. 4 YEARS!

Now Bloomberg calls Vancouver: North America’s Costliest City and says that “Rich Chinese Take the Blame – more and more point fingers at Chinese money”driving prices.

Actually when Bloomberg puts it on its front page it may be over! Having said that the fact is that Vancouver’s EAST SIDE EVEN IS MORE EXPENSIVE THAN NEW YORK! It is getting crazy. East Vancouver detached house prices have rocketed up 24% in the past year and are now increasing, on average, by $20,000 to $30,000 a month.

To put this in perspective, […]