Quote:
Originally Posted by Sylvanfan
Well Claeren....if houses in Calgary are over priced....why don't you move somewhere that they're not and start building up your wealth in the mean time? Certainly there has to be some city on this planet left where houses are not over priced isn't there? In time you may be proven right...but that still doesn't mean you played your cards to their maximum potential. Thats why you (and others) come accross and rub many the wrong way. You're sitting back waiting for the market to adjust to what you want it to be and coming up with all these reasons why it will. But in the meantime....what's stopping you from finding a place where you can stop renting, get into home ownership where prices are inline with what they should be and build up additional wealth so if the Calgary market does see the further corrections that you're convinced will happen than you can return? Talk is one thing...taking action is another thing.
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haha, i am certainly not waiting for prices to fall (any more than they already have). Not sure where you got that idea? I think prices will just sit relatively flat for 10+ years until inflation catches up and affordabilty is restored. We might see a 5% drop at some point but even that is pushing it, the fundamentals are just too strong in the economy for people to accept a loss on their property.
The suburban market, especially suburban-condo market, is the place most likely to see strong moderation though. I think most of the inner-city (extending a good ways out) will hold or grow in value, as will anything around a LRT station and harder to replace/replicate homes in the far West of the city.
I am working on my post-secondary schooling so that i can make enough that it is no longer an issue. And funny you mention it, but i have been considering a number of more affordable cities to re-locate to. Looking at how much pricing has dropped in a number of very attractive American cities is making the urge to move harder to resist despite many family reasons to stay in Calgary. My current hope is that by the time i am done my masters Canadian pricing has moved to better match deflating bubbles around the world - but that the economy is still strong enough to provide job prospects! Screwed one way if not the other it seems! lol....
But regardless, i am just interested in the real estate theory - i have no particular vested interest.
As for myself buying a place. I did buy 3 years ago but then lost it due to the condo (Union Square/Apex Land) criminally screwing over all of their original purchasers after 2 years of waiting. Back then my $55,000/year income allowed me to buy a very nice $180,000 800sq-ft (+600sq-ft patio) downtown condo. That same unit was 'resold' at $440,000 and unfortunately my government job pay increases, although nice, have not doubled my income. So even if i wanted to buy i couldn't qualify for the mortgage! Hence the going back to school thing....
Claeren.