Here's the scenario:

Mortgage rates will skyrocket.
House prices will drop 25- 100 %
People will file for bankruptcy.
People will starve or go on welfare.
There will be food riots.
The world will come to an end.
Those predicting doomsday will say " I said so".

This dude will also say "I started a thread here. I warned all my fellow desis, not to buy a house, not to invest in real estate. No one listened to me. I am the messenger that carries bad news. I am an expert, whose views are challenged by the "anpadh log".


So what?

Why were you afraid to post it under your original ID ??

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Originally posted by UNCLESAM18

Here's the scenario:

Mortgage rates will skyrocket.
House prices will drop 25- 100 %
People will file for bankruptcy.
People will starve or go on welfare.
There will be food riots.
The world will come to an end.
Those predicting doomsday will say " I said so".

This dude will also say "I started a thread here. I warned all my fellow desis, not to buy a house, not to invest in real estate. No one listened to me. I am the messenger that carries bad news. I am an expert, whose views are challenged by the "anpadh log".


So what?

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Growing Old Is Mandatory ..Growing UP is Optional

Free market gives you what you deserve but not what you want and govt. can not control free market for long. USA administration start talking towards fixing Freddie/Fannie. They learned hard lesson that cheap and easy money which is guaranteed by govt can bring whole economy down.

http://www.pbs.org/newshour/rundown/2011/02/administration-rolls-out-proposals-for-fannie-freddie-to-much-debate.html?source=patrick.net

I am not expert and never attacked anyone by name calling. Please attack the logic. It does not matter who is buying/selling/flipping/making money or loosing in RE.

http://www.cbc.ca/canada/british-columbia/story/2011/02/10/bc-olympic-village-plan.html

But you can see frustration inside RE/builder industry to hire news media and creating stories like “Chinese realtors”.

http://www.greaterfool.ca/2011/02/10/the-envelope-please/

Quote:

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Originally posted by UNCLESAM18
This dude will also say "I started a thread here. I warned all my fellow desis, not to buy a house, not to invest in real estate. No one listened to me. I am the messenger that carries bad news. I am an expert, whose views are challenged by the "anpadh log".
So what?

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Good predictions... What is your take on http://www.moneyville.ca/article/936673--housing-prices-keep-edging-up ?

I recently bought a place and these readings makes me re-think.. but then again, I will throw away that 25K mention in apartment rent within two years anyways...

Auqa ...... article (http://www.moneyville.ca/article/936673--housing-prices-keep-edging-up) is written by Bob Finnigan, president of the Ontario Home Builders' Association.

What do you expect from Home builder/RE agency or anyone who makes money by RE transaction? Here is a example ad:

http://financialinsights.wordpress.com/

“People needed to line up for new condo project-

Just as the title says, we need people to hold spots and line up for a new condo project located in Burnaby (Kingsway/Willingdon Ave). Line up may start as early as weds/thurs night. Grand opening is Saturday February 19, 2011. Warm beverages and washrooms will be provided by the developer.
Shifts are determined on how long you would like to stay. (preferably 8hours+). Get paid cash quickly for sitting in a line up!”


ashedfc put it nicely and also add negative equity that going to stay for very long time if bought in last few yrs. Negative equity ( Mortgage is more than market value) is the biggest reason for US RE collapse and most of the US states do not allow to walk out.

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Originally posted by ashedfc

Quote:

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Originally posted by aqua
I will throw away that 25K mention in apartment rent within two years anyways...

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Your Property Tax + Interest on your Mortgage will be more than your Rent (if you do the math, & include time value of money + opportunity lost). Both of them Property tax & Interest on Mortgage: are throwing away money too.

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Yeah.. what ashedfc said makes sense. When I look at tax and interest components, looking at my numbers, I will be only paying 1-2 grand per year on rent - which probably gets evened out, when heating costs and maintenance is considered.

Opportunity costs don't apply to folks like me, as anything in bank will promptly be spent! :-)

What is confusing to me is, if I go to the economy section of the newspapers like http://www.theglobeandmail.com/report-on-business/economy/housing/ its all negative news of US RE, but positive news of Canadian RE. Could be biased reporting... But folks like us, who don't quiet understand the number crunching, goes by what the 'experts' say...

Appreciate the articles you are posted.. that gives the other side of the coin for sure...

Quote:

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Originally posted by aqua

What is confusing to me is, if I go to the economy section of the newspapers like http://www.theglobeandmail.com/report-on-business/economy/housing/ its all negative news of US RE, but positive news of Canadian RE. Could be biased reporting...

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