Garth Turner - Real Estate in Canada

[50centdollars]

http://www.bnn.ca/News/2015/1/21/Shadow-lenders-jump-into-mortgage-market-as-banks-clamp-down.aspx

This is scary

[Liberty]

http://www.bnn.ca/News/2015/1/21/Shadow-lenders-jump-into-mortgage-market-as-banks-clamp-down.aspx

This is scary

Yep. Ben Rabidoux has been ringing the alarm bell on those for a while. He's worth following on Twitter, he knows his stuff about Canadian RE.

[LongHaul]

Actually I was interested in single family home cap rates or single unit tenant condos.
 
Apartment building cap rates are generally higher.  5% is super low though even for multifamily.

[augustabound]

Ben Rabidoux has been ringing the alarm bell on those for a while. He's worth following on Twitter, he knows his stuff about Canadian RE.

I want to follow him, I really do. But I can't follow someone who posts dozens of times a day.

Although this quote is pretty arrogant so maybe not following him won't be that hard.

Since 2013 I've consistently said that the BoC's next move was more likely to be a cut than a hike. You're welcome, world

[LongHaul]

Couple of interesting data points on real estate in Canada.

Shiller data
http://www.macleans.ca/economy/realestateeconomy/a-canadian-housing-chart-that-puts-the-bubble-in-perspective/

Canada price to rent -  Economist
http://www.economist.com/blogs/dailychart/2011/11/global-house-prices

[moody202]

http://www.bnn.ca/News/2015/1/21/Shadow-lenders-jump-into-mortgage-market-as-banks-clamp-down.aspx

This is scary

Nothing new. This happens in US also. In fact you can buy these loans online at sites like http://www.loanmls.com/content/buy-private-mortgages.html

I don't understand the point how this is threat to the system as most of the lenders are individuals or small entities. Their collapse has very little impact on the system.

[LesPaul]

http://www.bnn.ca/News/2015/1/21/Shadow-lenders-jump-into-mortgage-market-as-banks-clamp-down.aspx

This is scary

Nothing new. This happens in US also. In fact you can buy these loans online at sites like http://www.loanmls.com/content/buy-private-mortgages.html

I don't understand the point how this is threat to the system as most of the lenders are individuals or small entities. Their collapse has very little impact on the system.

I'm inclined to agree. The term 'Shadow Banking' even sounds like it was written to generate attention/worry. I know a few people personally who offer these private funds and appear to make a killing. On the other hand, I've heard stories about rather unsavoury characters (both lenders and borrowers) and deals that have gone very wrong. It's comforting that none of these mortgages are CMHC or Genworth/CG insured.

I don't know enough to share why these borrowers don't just go to HCG, perhaps someone else here can describe that with greater knowledge.

At the same time, I kind of cringe when I see a Toronto pawn broker offering mortgages on TV.

[Matson125]

Ben Rabidoux has been ringing the alarm bell on those for a while. He's worth following on Twitter, he knows his stuff about Canadian RE.

I want to follow him, I really do. But I can't follow someone who posts dozens of times a day.

Although this quote is pretty arrogant so maybe not following him won't be that hard.

Since 2013 I've consistently said that the BoC's next move was more likely to be a cut than a hike. You're welcome, world

+1 I unfollowed him as well, it was getting to be too much.

[Liberty]

Ben Rabidoux has been ringing the alarm bell on those for a while. He's worth following on Twitter, he knows his stuff about Canadian RE.

I want to follow him, I really do. But I can't follow someone who posts dozens of times a day.

Although this quote is pretty arrogant so maybe not following him won't be that hard.

Since 2013 I've consistently said that the BoC's next move was more likely to be a cut than a hike. You're welcome, world

+1 I unfollowed him as well, it was getting to be too much.

I never read him as arrogant. Those types of messages always sounded tongue in cheek to me.

He posts a lot of RE stats and charts that I'm not finding elsewhere, so I'm quite happy to follow him. To each their own.

[augustabound]

I never read him as arrogant. Those types of messages always sounded tongue in cheek to me.

The message itself wasn't arrogant as much as the "You're Welcome World".

Very Harry Longish.

I read through a bunch of tweets last night and every now and then he's a bit arrogant IMO. His reply to David Baskin yesterday was a bit immature. The "seriously!" tweet.
He's the president of his own advisory company and instead of debating the point of DB's tweet all he does is the high school reply, "seriously!"

Don't get me wrong, his take on Canadian real estate seems solid, just some of his tweets rub me the wrong way.
Hardcore value retweets the good stuff from him so I'm not missing out.