5yr CAD bond is~0.6%, early Feb was ~1.3%. Signs of further cuts coming. For those looking to renew their mortgages there's some good deals right now, rates are changing so much that by the time the broker emails you they're out of date. Negative interest territory very close
Negative interest rates ?
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Bogger
Bogger of the GBCA
My mortgage is up for renewal in December so I'm watching closely. RBC and a few others followed the BOC rate reduction by reducing posted rates. My last renewal in 2015 was negotiated at 2.69% it would be nice to be able to get that down to 2.19% or even better settle for 2.49 -ish on a 10 year term, not sure that's doable but a guy can dream)
Couldn't be better timing, I have one mortgage up in July, another next April. Both are 2.69% and was worried before about going up, but should be able to get a decent bit better. Going to try and sell one property, and the lower rates sure can't hurt.
LennyR
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Rates are cheap, can lock in long term low , prices are way down , with your experience and knowledge I’d think you’d be buying not selling ! This is when smart investors buy , not sell.
I think the real estate market is going to crash more than it has. so much stuff for sale isn't moving right now. buildings that I have been looking at, haven't moved after 400days on the market. do you think we are at the bottom of the (real estate) market Lenny? (In Alberta)
definitely a buyers market right now though.
ps: sorry for using the word market 50 times lol
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skegpro
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Just bought a double lot for half the price a single lot was going for 5 years ago.
papajake
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go figure i just payed off my mortgage and interest on savings are not worth the paper their printed on
Right now is not an ideal time as prices are not low, at least not by my standards. And besides that, just because it is a good time to buy based on the market does not mean it's a good time for a specific individual to buy. The house i'm putting on the market is where i'm living that I built on spec 5 years ago and want my money out of to put to better use elsewhere. I was hoping the market would go back to pre 2014 prices but doesn't look like it and i'm not going to wait forever, i'll still make a decent profit anyway. And unless prices really tanked i'll never buy a house again, I will be buying land and building myself and saving a ton more.
It's a decent time for a buyer to get a good deal, but unless someone is really desperate there is no great deals. I'm happy with what I should get for mine, the one thing I like is it's not a cookie cutter you have 500 homes to choose from. It's a custom built acreage that if someone is looking to buy, they aren't going to get any screaming deals on because the supply is nothing crazy, and well I built it so i'll still make a few bucks even with prices not being super high. They are taking awhile to sell, Realtor i'm going to use took about a year to sell one a few doors down last year, but got a very good price. But people are still buying, a $350k lot a few doors down sold within a couple weeks. Days on market gets skewed by idiots, one guy around me has had his place for sale for 3 years, started at 3 million and recently dropped to 2.5. It's a nice house and a nice area, but there's not many places that will fetch that kind of money, it's still around a million high. Builders I do work for and talk to say it's slower but stuff is still moving. One large one I know of is getting busier and planning to do about 15-20% more houses this year then last.
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I've found some deals around Alberta and BC, think they are going to be getting better though. Im talking about a 33unit building though,(and others that have been on the market a long while) there just is not as many buyers around for those kind of places.
Lots of houses aren't moving around where Im at(sylvan lake) So I imagine the beach houses will be coming down in price too?
What do ya think? beach MC mansion or a 33 unit building with cash flow..... whats the better move?
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I don't follow the market outside of Edmonton and area at all, as I have no interest in any purchase far away. 33 unit building by a mile, it's easy to find renters any sort of rental that is on the cheaper side. Though rental rates have taken a decent hit here at least. Trying to find a buyer for a beach house right now i'm guessing is a tough sell. I think except for rare exceptions there isn't much for steals, there's so many guys around with a lot of money who will snatch them up in a second. The lender I used for my build is looking to lend out money right now fairly bad, but I have no interest in taking on more debt with the way things are right now, it's a gamble whether things are going to go up or down this year.
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I agree, the 33unit building with cash flow sounds better than a money pit to me also.
If Stuff sits for sale long enough, stuff tends to come down in price. But heres the thing; Im expecting a global slow down this year, deflation of certain assets, followed by hyper inflation and a crash of the dollar over then next 5 years.
Crashes can make you very rich, but maybe Im crazzzzy and nothings coming but boom times for Alberta and 200$ oil.
What do y'aLL figure?
kanedog
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Weed stocks are nose diving. Haha. Big corporations thought they could grow en masse in greenhouses. All BC Growers knew they would fail. 17 months, billions of dollars invested, hundreds of thousands of elbows(pounds) of low quality weed sitting. Lots of investors lost tons o cash. Invest in your mental health. Don’t focus on money. The more you think about money, the more it chases it away. Go about your life, doing what you are passionate about, all else will fall into place. Kd words to go by.
kanedog
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Weird how we both tried both ways and got different results. Maybe I overthink it when thinking about money. It puts me in a down or negative mindset thinking about money and I can’t think creatively. Definitely puts a damper on moving forward. Everybody is different I guess.
LennyR
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But to be fair , how long have you actually been self sufficient , on your own in the work force ? Of course your opinion is valid , but reality, it’s not really the norm for guys your age. The majority of guys on here , I would think, don’t have the options available to them to make the same choices you have.
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19 years. old man really doesn't help me out to much, but biggest atvantage I had in life (imo) was the mentality of an entrepreneur.
I was totally broke 2 years ago after 6 years of vacation and now sitting on a decent amount of $ that I made from working and investing the last 2 years. now I'm looking at making some bigger investments.
in my 20''s I was licensed to sell mutual funds and insurance, and was a "financial" advisor by trade. it was a joke because I was 22 and didn't have much real "financial adivce" but never the less I sold some high $ irp''s to daddy''s friends. that's right. and made some $$$$
went on to invest in some patents and houses
**** went south and i went to work for my dad.
got married, devorced went sledding for 6 years and now her e I am trying to make my own legacy.
my grams just died, she died a wealth lady.left big $$ and property to my dad and his brothers and sister.
one of my dad's brothers, he really needed the money.
my dad, didnt change his life one bit.
that's my goAL. when parents go, I don't want to care about any of their property. I want to build my own up enough that it not a pay day.
is that a decent goal to have Lennyr or should I just move back to the mountains sled every day and wait for the old man to kick the bucket?
follow my dreams ya know?
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freeflorider
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Great thoughts, money is truly the root of all evil. Work hard and don’t take life to seriously, Enjoy your passion. I’m trying to take a different road to because for most people I’ve known it all ends to soon.
Im trying to learn from my travels to third would country’s. Some of the happiest poor people I’ve ever seen. Like Kenny chesney sings, we wont be happy till we’re rich and miserable.
sometimes just being happy with what we have isn’t such a bad thing.
Being poor isnt that much fun in Canada because it gets down to 30 below here.....
It's so hard to say, no one knows which is why there is so much money to be made in a crash because so many don't see it coming. Just IMO if I was looking for good deals i'd be holding off for now and piling up cash waiting to see what happens. The advantage with housing at least is everyone needs a place to live so even if prices tank rent generally holds fairly steady. Meanwhile commercial could sit empty for years. I'm shocked at the market for commercial though, was hoping to buy for a last few years here gave up as can't afford to buy a acre of land with a shop, or even build shop it's too dahm expensive being a little guy. If one pops up it's sold fast and for stupid prices.
Money's only important if you don't got any....
It's nice for people to say don't worry about money, but what about when you go to retire at 65 and can't afford it? Bet you'll be worried then. And it's not like anyone is saying work like a dog 100 hours a week chasing money your whole life. But be smart with it. It's incredible if you look at how much it adds up if you save even $500/month starting at 18 invested wisely, if you did that until 65 you'd have a very nice amount for retirement right there and $500/month is nothing. Me i'd rather make it when i'm young, the thought of working full-time until 65 cause I need the money? Fawk that. I want to be semi-retired doing whatever I want to by 40, 45 at the latest and still making 6 figures.
It's nice for people to say don't worry about money, but what about when you go to retire at 65 and can't afford it? Bet you'll be worried then. And it's not like anyone is saying work like a dog 100 hours a week chasing money your whole life. But be smart with it. It's incredible if you look at how much it adds up if you save even $500/month starting at 18 invested wisely, if you did that until 65 you'd have a very nice amount for retirement right there and $500/month is nothing. Me i'd rather make it when i'm young, the thought of working full-time until 65 cause I need the money? Fawk that. I want to be semi-retired doing whatever I want to by 40, 45 at the latest and still making 6 figures.
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