5833 replies to this topic

[Torrontes]

Toronto market appears to be strengthening. That fact alone may provide some additional confidence to Victoria buyers.

 

https://www.cbc.ca/n...state-1.5124139

[VIResident]

6 Things Canada Could (But Won’t) Do To Solve The Housing Crisis

What cost are we willing to pay for lower house prices?

https://www.huffingt...ons_a_23721633/

 

'De-zone' the suburbs

Allow more suburban sprawl

Reduce immigration levels

Build large-scale community housing

Bring back incentives to build rental housing

Bank of Canada urges lenders to offer longer-term mortgages

 

Bank of Canada Governor Stephen Poloz is hitting back at critics who say stricter mortgage rules are stifling the housing market, urging lenders to instead fix the problem themselves by offering longer-term mortgages.

A lack of innovation means lenders often steer borrowers into five-year, fixed-rate mortgages, when longer-term loans might help them get the home they really want, Mr. Poloz told a business audience in Winnipeg Monday.    https://www.theglobe...term-mortgages/

[Mike K.]

We had 35 and 40 year amortizations but the feds clamped down on them. The mortgage regulations in this country have become a bit of a circus, and despite the fact that ever increasing taxation is placing a massive burden on Canadians the fed keeps beating the debt debt debt drum. Well, yeah. Canadians are being strangled by their governments through more and more taxation and instead of paying down THEIR debts they’re paying down the government’s.

[Sparky]

^ Are you confident with your statement that the Government’s debt is going down?

[Sparky]

Look at this bugger go!

http://www.debtclock.ca/

[Mike K.]

Lol. Good point. Paying down the ‘interest’ on the government’s debt.

[Sparky]

Lol. Good point. Paying down the ‘interest’ on the government’s debt.

No we’re not.

We’re not coming close to breaking even.

[Mike K.]

Ok, chipping away at the interest.

We’re stuck with the short end of the stick here.

[Sparky]

Mike ....the interest is killing us. The deficit spending is killing us.

There is no “ chipping”

There is only financial DISASTER!

The hole is being dug at $25 Million ....A DAY!!!

[Sparky]

^ oops typo above....$54 Million ....a DAY

[Mike K.]

Jesus.

So what’s the solution here other than chaos and/revolution?

[Sparky]

^ Balanced budget legislation.....at all levels.

[tjv]

Look at this bugger go!

http://www.debtclock.ca/

Thank you Liberals!

 

Jesus.

So what’s the solution here other than chaos and/revolution?

Don't vote for the Liberals!

 

Edited by tjv, 06 May 2019 - 07:27 PM.

[spanky123]

^ oops typo above....$54 Million ....a DAY

 

It is ludicrous if you think about it. The Government's argument is that the debt can continue to increase as long as the GDP increases as well (ie debt can grow as long as the % of the overall economy that it represents stays fairly stable). In order to grow the overall economy at the rate needed to match debt growth we need pipelines, increased exports, and increased consumption - the things that the Government is actively campaigning against.

[jonny]

Jesus.

So what’s the solution here other than chaos and/revolution?

 

People in Ontario call it "austerity" when really it comes down to common sense decision making and governments choosing to not allow expenses to exceed revenue. 

[jonny]

It is ludicrous if you think about it. The Government's argument is that the debt can continue to increase as long as the GDP increases as well (ie debt can grow as long as the % of the overall economy that it represents stays fairly stable). In order to grow the overall economy at the rate needed to match debt growth we need pipelines, increased exports, and increased consumption - the things that the Government is actively campaigning against.

 

It's actually a sound financial argument. Companies do it all the time when they issue bonds. Rarely are bonds ever repaid in a balloon payment. They just roll those bonds over into new bonds when they come due. Everything is all good as long as the company's revenue keeps increasing and that debt to equity ratio stays healthy. 

 

That being said, the amount of debt we are accruing in what should be economic boom times makes me sick to my stomach. As you say, we are not growing the economy quickly at all. 

[satellite]

Forbes - "Everything You've Been Told About Government Debt Is Wrong"

Https://www.forbes.com/sites/francescoppola/2018/04/17/everything-youve-been-told-about-government-debt-is-wrong/amp/

Edited by satellite, 07 May 2019 - 08:10 AM.

[RFS]

In Canada we have managed to both rack up enormous debt, and simultaneously have nothing to show for it

[lanforod]

^ this. Using deficits is fine if it grows the economy. If the money is being used very inefficiently, eventually that catches up and our debt servicing will outpace our economy growth.

[tjv]

^You are hilarious expecting government to be efficient.  I've personally seen so much government waste in my business it makes me want to cry