Great video thank you for your insight. I asked a very prominent car dealer how many of his cars were financed one way or another. 95%. That’s the number. I bought a new truck and I am in the 5%. I am planning on keeping it for over a decade which might be the difference. Cars are a complete waste of money. Needed. Fun. Waste of money nonetheless
Thx for this and kudos to having Doug Hoyes on your podcast. I'm also a big sportscar fan - I know the first tracks from the left (Nürburgring, CTMP) but can't figure out the last one on the right!
The one elephant in the room is wages and the high cost of housing. The spread between the two is way too high. Assuming we get back into a normal market with historically average interest rates people will not be able to get a mortgage based on their wages. I’m sure many of the homes selling in the higher range of the market are between people that have a large equity position with a mortgage amount they can afford with the wages they earn. Until the ratio between wages and home prices gets closer together the real estate market will remain volatile.
“Can I get enough lumber together to build a house” …the times when people were truly free. Building a house is not complicated until the government made it complicated
Sadly, if my credit card got turned off, I wouldn't be able to feed my family. I waited until the last minute to take on credit debt, but I simply can't make enough money to keep up. Great show! Cheers!
In 1986 I bought a house for 80k and I bought a new truck for 20k. My gross income was 40k a year. Now the same house is selling for about 400k and the equal truck is selling for around 100k. So both have increased 5 times yet my gross income is not 5 times. I should be making 200k. But I am not any where near that.
It's called a credit card because the lender always has control. Everything is from their point of view. Why is it called "interest"? It's in the "interest" of the lender.
I don't think bankruptcies will take down real estate, at least not in Vancouver where most homes are mortgage free, but certainly when the Liberals announce a Primary residence gains tax in their budget early 2025, the percieved value of real estate here will decrease especially in urban areas.
The most important thing to remember is that money isn't actually real. Over 90% of all money in the world is digital. As in doesn't exist in reality. As in just figures typed in a computer. And those credit card limits are not actually supported by ANYTHING other than ones and zeros on servers. So don't take it too seriously. It's ok to go bankrupt. In fact, you don't even have to go bankrupt to reduce or get rid of debt. Just do a consumer proposal and pay pennies on the dollar. Educate yourself on the tools available to you to get rid of enormous amounts of debt. That debt, just like that money borrowed, is not actually real. Take it easy!
Bankruptcy is OK if you don't have any assets in your name. Heard enough stories of foreigners coming here, getting cards, racking them up and going back to their country.
not sure if relates, but they negative amoritizations are rolling off the books in next 2 yrs, those people will not be able to make up the new payments. yes pre cons are finished, as are "ma and pa" investors who used HELOCs for Downpayment on condos in Canada. However, a lot of immigrants in debt are simply leaving the country. Had 6 last week alone
The 110,000 migrants that arrive every month will certainly help offset the 9000 (300 * 30) joining the lines at the food bank. Don't forget to pay your taxes, Ukraine needs it !
Is this a generational thing that you say everyone uses credit cards? I’m on the younger end of the millennial generation and I find millennials and gen z are much more likely to use debit cards. I personally prefer cash for the visual cue of “spending money” or credit cards for points and “cash-back” but most people I know prefer debit cards.
Good video showing how most people don’t do the math to see what things actually cost. I’m still driving my 2003 Elantra.
Elantra reliability right there.
Great video thank you for your insight. I asked a very prominent car dealer how many of his cars were financed one way or another.
95%. That’s the number. I bought a new truck and I am in the 5%. I am planning on keeping it for over a decade which might be the difference.
Cars are a complete waste of money. Needed. Fun. Waste of money nonetheless
5% pay cash, I would've thought even less especially if buying from a dealer.
I love your videos and honesty. Keep up the good work.
Thx for this and kudos to having Doug Hoyes on your podcast. I'm also a big sportscar fan - I know the first tracks from the left (Nürburgring, CTMP) but can't figure out the last one on the right!
Laguna seca, the last one on my bucket list.
Good eye, Laguna Seca is the last one :)
The one elephant in the room is wages and the high cost of housing. The spread between the two is way too high. Assuming we get back into a normal market with historically average interest rates people will not be able to get a mortgage based on their wages. I’m sure many of the homes selling in the higher range of the market are between people that have a large equity position with a mortgage amount they can afford with the wages they earn. Until the ratio between wages and home prices gets closer together the real estate market will remain volatile.
Wages aint going up so housing will have to come down.
“Can I get enough lumber together to build a house” …the times when people were truly free. Building a house is not complicated until the government made it complicated
And expensive !
Sadly, if my credit card got turned off, I wouldn't be able to feed my family. I waited until the last minute to take on credit debt, but I simply can't make enough money to keep up.
Great show! Cheers!
In 1986 I bought a house for 80k and I bought a new truck for 20k. My gross income was 40k a year.
Now the same house is selling for about 400k and the equal truck is selling for around 100k.
So both have increased 5 times yet my gross income is not 5 times. I should be making 200k.
But I am not any where near that.
Low wages, high taxes and low productivity. Zero incentive to stay in Canada.
What's the alternative?
@@CityEstatesselling my body on OF for people with a pudgy electrician kink. Or Mexico
@@CityEstates Move to the US. Way better than Canada.
@@rajkumarganeshan5072 Where in the US specifically?
Ridgefield, Connecticut
It's called a credit card because the lender always has control. Everything is from their point of view. Why is it called "interest"? It's in the "interest" of the lender.
Great video! and nice wrap up with that final question, well done.
Glad you enjoyed it
When a certain expensive lifestyle that gets too expensive to maintain. Builders buyers sellers nanks, all have expensive lifestyles.
Hedonic treadmill.
Love this guy
Great final question.
I don't think bankruptcies will take down real estate, at least not in Vancouver where most homes are mortgage free, but certainly when the Liberals announce a Primary residence gains tax in their budget early 2025, the percieved value of real estate here will decrease especially in urban areas.
Don't think so either.
Awesome info
Debt card. Good point.
The most important thing to remember is that money isn't actually real. Over 90% of all money in the world is digital. As in doesn't exist in reality. As in just figures typed in a computer. And those credit card limits are not actually supported by ANYTHING other than ones and zeros on servers. So don't take it too seriously. It's ok to go bankrupt. In fact, you don't even have to go bankrupt to reduce or get rid of debt. Just do a consumer proposal and pay pennies on the dollar. Educate yourself on the tools available to you to get rid of enormous amounts of debt. That debt, just like that money borrowed, is not actually real. Take it easy!
Bankruptcy is OK if you don't have any assets in your name. Heard enough stories of foreigners coming here, getting cards, racking them up and going back to their country.
not sure if relates, but they negative amoritizations are rolling off the books in next 2 yrs, those people will not be able to make up the new payments. yes pre cons are finished, as are "ma and pa" investors who used HELOCs for Downpayment on condos in Canada. However, a lot of immigrants in debt are simply leaving the country. Had 6 last week alone
The 110,000 migrants that arrive every month will certainly help offset the 9000 (300 * 30) joining the lines at the food bank. Don't forget to pay your taxes, Ukraine needs it !
How I’m 40 year amortization! Should I file for bankruptcy?? 😂
Wait for the housing market to turn around.
Is this a generational thing that you say everyone uses credit cards? I’m on the younger end of the millennial generation and I find millennials and gen z are much more likely to use debit cards. I personally prefer cash for the visual cue of “spending money” or credit cards for points and “cash-back” but most people I know prefer debit cards.
Whoa, someone's getting views
youtube luck
It was a good episode.
Why doesn't Freeland talk about 300 bankruptcies per day or Canadians going to food banks.
Yup. All part of a plan to help bring about the "you will own nothing and be happy" BS
I am annoyed that you cannot pay cash that I saved for awhile to buy a car anymore, A scam.
+1 on the allergy to depreciation 😂
Out here looking for allergy meds.
Done.. put a fork in Toronto..
Not ok, homes should be for homeowners not investore
😂😂😂