The truth is that homes deliver enormous non‑financial value — stability, community, belonging. Those are reasons to buy. But as financial assets, they come with structural constraints: They are expensive to maintain, difficult to trade, impossible to diversify, and usually purchased with significant leverage. The investment component is real but volatile, and its return path can be long and uneven. For home buyers now facing losses, this is not an individualized failure. It is the predictable outcome of society promoting an undiversified, illiquid, highly leveraged asset as if it were the ultimate life goal.
OMG three pieces from the Globe about Canada’s fucked up housing policy and how it’s screwing us.
If they are done boosting it, you know the housing crash/long winter is incoming.
Right… And rent prices are stable? Jesus fuck. At least try to draw a comparison.
Like, then don’t buy it as an asset, buy it as home? Its not like people can just wait for some 20 years without home for crash to happen, and crash would likely be tied to some event where everyone loses their jobs or banks fall of whatever.
Which is why I like the Japanese home loses value over time approach.
Japan had the same problem as Canada before they rezoned housing federally for density, wiping out hundreds of miles of single family homes to build highrises.
If you see a aerial view of Toronto there really is no city, relative to most metropolis in the world. The problem is entirely government created.
https://www.stockaerialphotos.com/media/08759b93-8ae3-4841-bbd1-cd2886594e0a-toronto-skyline-2016
Reminds of the people worrying about their car “losing its value”. It’s a car. It’s a utility. I will use it until it falls apart. That’s It’s value.
The Federal government is currently buying half of all mortgage bonds to inflate prices with cheap debt and printed money, as new housing minister who ruined Vancouvers housing market Gregor Robinson says housing is an investment.
Don’t elect liberals if you don’t want the poor to be destroyed by a regressive home prices.
Pass a law that corporations or businesses cannot own family dwellings and BOOM!..rent decreases and purchase opportunities throughout the land.
I haven’t seen stats showing businesses own a large amount of single family dwellings or apartments in Canada. Individuals seem to own a lot of condos for investment (with businesses owning a bit less).
Do you have stats showing corporations owning a significant portion of Canadian real estate?
This article is 4 years old chances are it’s in full swing by now.
I just deal in gut feelings and hunches. Sorry, no numbers for you.
I will never understand why Canadians think their shit doesn’t stink.
Is it the cold? It’s the cold, isn’t it?
You need shelter. You can pay money and have nothing at the end, or you can put it into equity. Owning a home is the best investment you’ll make in your life. The maintenance costs are trivial. Beg, borrow or steal whatever you need to afford the shittiest little thing you can afford and upgrade later.
House prices going down in Toronto are not a reason to ignore the value of home ownership. They’re an opportunity to get yourself out of rentals. This author is on drugs.
You need shelter. You can pay money and have nothing at the end, or you can put it into equity.
I generally agree, a home should not be primarily thought of as an investment.
It’s a roof over your head that you have more control over than if you were living in a rental.
And after a period of time, you actually own it and no longer have to keep paying someone else for the privilege of having a place to live.
Minor nitpick, most places (US-specific) have property taxes you have to pay every year, so even if you own your own home, you’re paying something to someone every year for the right to have a roof over your head.
You’re also (indirectly) paying those same taxes if you are renting, so it’s not really a deciding factor in favour of either housing option.
Owning a home is the best investment you’ll make in your life.
Sure grandpa, let’s take you to bed
Sounds like your grandpa didn’t pass on his brains to you.
It’s almost as if homes shouldn’t be a commodity.
Value is not living with in-laws. Priceless.
