Prices are crazy but sales volume is so low if there are high scale homes (even at discounted rate) they will push the averages way up. Ex: home is sold at 2.5M but it was 3M last year.
A couple of friends of mine, they got quite a bigger house that their salaries would allow, but his mother gave him the inheritance from his grandmother (he was the only grand-kid) and she got more money from her parents, because the house they were looking was not far from theirs.
Nothing says housing bubble like you must own and sell a home to be able to afford to buy a home. Eventually this loop breaks down and housing prices will mirror incomes. We are not vampires and will not live forever. First time home buyers will one day rule the market again.
Not if the government tells immigrants they can buy their way into the country and the first thing they do is buy an overpriced house with dirty money.
their friends were given 400k as a gift from family, combined with their 20k savings they put 420k down. payments then are affordable on what they earn.
It's hard for me to think that there won't be point where people will get spooked and start fire selling. I'm not sure where the point is, but it's clear that these prices don't make logical sense.
I live in the interior of BC and I am visiting family in southern Ontario, both places prices are re started and both places in hearing "I don't have to sell, I know what I have". 1M$ everywhere for a basic house, why is a house in Meaford 1M$? Lol
How did they afford it? They put down a helluva lot more than 20%. The average mortgage in Toronto is $550k. They probably put down at least a million.
If only 2 % of Canadians make over .$$$200,000 how many people are actually buying houses somethings suspicious here. How is it possible the BANKS are approving these million dollar mortgages if the income DOSNT support the payment. Houses doubled in value in a short period of time, I think once all the profiting home sellers start to loose there shirts when the interest rates renew, the has to be a price correction.
If they are really close friends why then buyers of the 1.5 million house didn't share some important and sensitive details on how and where they are going to get money?
The lenders target is down payments, after if u can't afforded u can sell and other with another 20% down payment, in 25 years lenders make more money on houses doing this fliping sistem.
Imagine putting $750 K or 50 percent down on a 1.5 million dollar property and having a mortgage of 3600 per month not including property taxes at 4 percent amortized over 30 years OUCH people and we wonder why people are having debt problems ….,, i guess they better hope they don’t have car payments or any other debts
Bank of Mom and Dad. I saw a lot of young families buying expensive houses, far from what they can pay from their salaries.
Prices are crazy but sales volume is so low if there are high scale homes (even at discounted rate) they will push the averages way up. Ex: home is sold at 2.5M but it was 3M last year.
It is called parents or grandparents. Or cosigner.
Perhaps
A couple of friends of mine, they got quite a bigger house that their salaries would allow, but his mother gave him the inheritance from his grandmother (he was the only grand-kid) and she got more money from her parents, because the house they were looking was not far from theirs.
Nothing says housing bubble like you must own and sell a home to be able to afford to buy a home. Eventually this loop breaks down and housing prices will mirror incomes. We are not vampires and will not live forever. First time home buyers will one day rule the market again.
Not if the government tells immigrants they can buy their way into the country and the first thing they do is buy an overpriced house with dirty money.
With out I'll intentioned government's you may be right
their friends were given 400k as a gift from family, combined with their 20k savings they put 420k down. payments then are affordable on what they earn.
So as long as everyone's parents give them 400k$, everything should work out. Genius!
Poor people logic 😅
It is only a matter of time, and they will lose that 420k as prices continue to decline.
not on a 1 million dollar mortgage (debt slaves)
Great and very honest advice which is even better than mortgage agent.
It's hard for me to think that there won't be point where people will get spooked and start fire selling. I'm not sure where the point is, but it's clear that these prices don't make logical sense.
I live in the interior of BC and I am visiting family in southern Ontario, both places prices are re started and both places in hearing "I don't have to sell, I know what I have".
1M$ everywhere for a basic house, why is a house in Meaford 1M$? Lol
How did they afford: BoMaD
How did they afford it? They put down a helluva lot more than 20%. The average mortgage in Toronto is $550k. They probably put down at least a million.
it is non of their business...unless they tell you
If only 2 % of Canadians make over .$$$200,000
how many people are actually buying houses somethings suspicious here. How is it possible the BANKS are approving these million dollar mortgages if the income DOSNT support the payment. Houses doubled in value in a short period of time, I think once all the profiting home sellers start to loose there shirts when the interest rates renew, the has to be a price correction.
It doesn’t look like the renewal cliff is going to be a big deal.
If they are really close friends why then buyers of the 1.5 million house didn't share some important and sensitive details on how and where they are going to get money?
For many people, sharing financial information is taboo.
Man never count your friends money just be happy for them and move on
I agree.
I can afford 450k on my savings and salary. I guess I'll continue to live in my car.
I'd refer to their help as interest free loans.
The lenders target is down payments, after if u can't afforded u can sell and other with another 20% down payment, in 25 years lenders make more money on houses doing this fliping sistem.
They probably have more down, got a little help from a relative.
That’s usually the case.
Now a home worth 950 will be worth 1m come spring. More buyers qualified to buy a 1m.
not really because the cost of liviing a typical life won't allow it in the long term
I probably live in a van if I’ll go back to Canada.
Cant afford the unaccountable system, is a better description.
$5755/mth for 25 years 1,000,000 mortgage plus everything theres no way , 2876/mth for 500,000
Imagine putting $750 K or 50 percent down on a 1.5 million dollar property and having a mortgage of 3600 per month not including property taxes at 4 percent amortized over 30 years
OUCH people
and we wonder why people are having debt problems ….,, i guess they better hope they don’t have car payments or any other debts
and its not even a Estate home with Pool, Ravine in the GTA
Crazy and sad 😢
1.8 million 2 years ago today 1.1 million and dropping 700 grand plus loss great depression
No1 😛
90% over valued mud huts
Good luck paying hundreds of thousands of taxes to qualify for the 10% down mortgages for 1.35M mortgages