[lordmandeep]

I think Harper was smart to call an election now.

However he did not expect the economy to tank during the election.

 

[urbandreamer]

I think Harper was dumb, and stubborn; not surprising since he's a stubborn Taurus.

Anyhow, I don't care who wins, since I never pay my taxes....

 

[Dichotomy]

According to the statistics about 10% of all condo purchases in Toronto come from abroad. Not only to invest in I'm afraid, but also to live in when they are here. Why are all of the other markets crashing and our's is still in tact? The U.S. economy has been in bad shape for a long time, why don't we have tent cities anywhere around here? I'm not saying it couldn't happen here, but it hasn't...not yet anyways. The main thing is to stay positive, and not panic - don't overspend but don't underspend either. Keep the economy going, we'll get through it I'm sure.

Even the U.S. economy is only NOW in danger of tipping into recession. Jobless numbers, economic growth, consumers spending - these all remained stubbornly solid until the last few months. Canada's will do the same.
We often get blinded by glowing national statistics. Alberta and Saskatchewans economic miracle were floating eastern Canada's sagging fortunes - until recently. Sub-$100 oil could sink that, too. Southern Ontario has suffered so many factory lay offs in the past few months - do you think those people lose their homes over night? It takes time to trickle down.

Since so much of the GTA's job growth over the past several years has been in the service and financial sector, the TSX implosion has to have an affect - it just will take time. Poor Christmas season shopping figures (virtually inevitable now) will sink the service sector in the GTA, then jobless numbers will shoot up too.

I hope I am wrong, but lockeroom banter at the gym has not been uplifting lately.

 

[avatarreb]

Major banks have now moved their variable rates to Prime + 1%. I remember not too recently people getting Prime - 1%. For anyone looking for a new mortgage now, variable doesn't seem to have the appeal it once did.

 

[condoboy]

Typically, Canada lags US (and other parts of world) as our total GDP is dwarfed by other nations and we export more than we import (ie. we typically respond to world markets, not lead it). Wasn't that long ago that we were bragging our equity markets were the only market not in a bear market. Took us awhile to get here, but we're in a bear market now. Now will the RE market follow ?? Most likely, and the real question is not if, but how much ??

I agree...and to add - after a "bear market" there is a "bear market rally". This usually happens after a crash in the markets, on-going selling, and pessimism. We'll just have to wait and see how long this bear market lasts!

 

[cdr108]

I agree...and to add - after a "bear market" there is a "bear market rally". This usually happens after a crash in the markets, on-going selling, and pessimism. We'll just have to wait and see how long this bear market lasts!

Do you know what a 'bear market rally' means ?!?!?!

In a downward bear market trend, there will always be 'bear market rallies'.
That does NOT mean the market has become bullish; but occasional pop ups occur, which tends to lure people into thinking that things have changed, and can go back down very violently.

 

[condoboy]

Do you know what a 'bear market rally' means ?!?!?!

In a downward bear market trend, there will always be 'bear market rallies'.
That does NOT mean the market has become bullish; but occasional pop ups occur, which tends to lure people into thinking that things have changed, and can go back down very violently.

I never mentioned that the markets will become "bullish". I simply stated that there will be opportunities in the markets for investors to reap the benefits of an ongoing bear market - hence the "bear market rally". The bear market rally after the great depression lasted 3 years btw...

 

[lowesthangingfruit]

I never mentioned that the markets will become "bullish". I simply stated that there will be opportunities in the markets for investors to reap the benefits of an ongoing bear market - hence the "bear market rally". The bear market rally after the great depression lasted 3 years btw...

If your talking about investing and market timing, then the old addage "buy when there is blood on the streets" would seem to be prudent. Right now, there is blood in the equity and corporate debt markets....but hasn't hit the TO RE market (yet). It's interesting that according to this informal survey, most ppl are still bullish that RE prices are going to go up. Personally, if one is buying for investment purposes, I probably wouldn't look at TO RE until the sentiment reverses to a definitive negative tone and then it would probably look more interesting.

I hope someone will repeat this survey every few months so we can gauge sentiment as a whole. It would be interesting to monitor.

 

[cdr108]

It's interesting that according to this informal survey, most ppl are still bullish that RE prices are going to go up.

I hope someone will repeat this survey every few months so we can gauge sentiment as a whole. It would be interesting to monitor.

The concensus seems slip 50/50 between gains/losses.
When I answered the survey, I misread it and thought it said end of 2008.
By end of 2009, I definitely think TO RE will be 10%+ lower and that's not a bad thing.
Why would anyone want values to rise so much as to price a good portion of the local population out of the market ???