Quote:
Originally Posted by chemgear
I wonder how long before the mainstream media picks up on the story (I assume when the respective real estate boards put out their month numbers.) It's not going to go over well when people realize first time home buyers are essentially wiping out their entire downpayment and underwater in just a month's time.
Keeping in mind of course that the usual first time home buying downpayment of 5% down means what, 2.75% in CMHC fees? After realtor fees, these buyers couldn't even pay off their mortgage if they tried to sell their house after a month. This isn't going to be pretty.  |
Do you believe everything that you write?
How are buyers underwater in 1 month? Did they all buy last month, and are selling only 1 month later? Aren't they allowed to live in the home and hold off selling for months, years, decades?
What if by October, they're back up to where values were last month? What if they don't sell their home until 2035?
All of your arguments are based on the pretense that everyone bought at the highest price, and sells at the lowest. No investment in the world can make sense looking at it like that.