Connect With Us To Talk Real Estate: 📆 calendly.com/thevancouverlife _________________________________ You’d think the housing world would quiet down by mid-December, but this week has been packed with significant developments. Inflation data showed a continued cooling trend, with November’s rate at 1.9%, marking four consecutive months below 2%. The shelter component also eased, but rents defied expectations, rising 7.7% year-over-year nationally despite sharp declines in major cities like Vancouver, where rents are down 10%. Rate cuts are back on the table, with the Bank of Canada expected to lower rates incrementally in early 2025, while variable-rate mortgages are regaining popularity. South of the border, the Federal Reserve cut rates by 0.25%, signaling caution amid strong GDP and persistent inflation. The move widened the gap between Canadian and U.S. rates to levels not seen since 1997, weakening the Canadian dollar to under $0.70 USD and highlighting diverging economic paths between the two nations. Canada’s labor market continues to struggle, with unemployment hitting a seven-year high and job vacancies plunging to a four-year low. Companies are hiring fewer workers, creating a troubling imbalance with less than one job available for every two job seekers. This dynamic reflects a worsening economic downturn, with nearly 20% of unemployed Canadians classified as long-term unemployed. The construction sector, a key pillar of the workforce, faces additional challenges as housing starts have declined significantly over the year, despite a recent monthly uptick. Large-scale building permits, which indicate future supply, are also falling sharply, particularly in Ontario. These trends raise concerns about the future of housing affordability and employment in an already strained economy. Compounding these issues is political upheaval, with both Finance Minister Chrystia Freeland and Housing Minister Sean Fraser stepping down. Freeland’s tenure ended amidst criticism of Canada’s record deficits, with the Fall Economic Statement revealing a $62 billion shortfall-50% over budget. Meanwhile, B.C.’s 2024-2025 budget projects a staggering $9.4 billion deficit, the largest in provincial history. Fraser, who oversaw record immigration levels that strained housing and healthcare systems, has faced sharp criticism for his policies’ long-term impacts. With mounting government debt, declining investor confidence, and slowing immigration, the outlook for 2025 appears unpredictable. This perfect storm of economic uncertainty, housing struggles, and political shakeups underscores the challenges and potential opportunities that Canada faces heading into the new year.
Lets hope the shuffle is an improvement, but i doubt it. Notice its balanced tho. 4 are male and 4 are females. Your recap on Ms. Freeland was spot on. How was there not a louder uproar over the assignment of such an important portfolio, given to a totally inexperienced person. Only by an equally incompetent minister supposedly to manage the economy of a G7 country and can't manage his way out of a wet paper bag!
I'd love to see the percentage of multiplexes that are being built for extended family living situations V building for a profit. I've talked to 4 different companies about building for a profit and they all said basically the same thing, that when you take into account the land cost, building costs, the city fees, the finance costs and the cost to rent a place while your new place is being built, that there's not much money in it. How about a couple of case studies, one for the east and west sides.
Thanks for the forecast! I have a quick question: I have a SafePal wallet with USDT, and I have the seed phrase. (alarm fetch churn bridge exercise tape speak race clerk couch crater letter). How can I transfer them to Binance?
Oh you are silly. You do not invest in Canada to earn returns for yourself any more than you would choose to spend years in school and work your way into a high paying job so that your family could have a better life. In Canada you risk your time and money to benefit government and everybody else so that you can can live in the type of country you are proud of.🤣🤣🤣🤣🤣
Guys the reason the ministers don't necessarily need to have education in their areas of focus is because they are just public speakers and communicators. It's not like Freeland makes the finance/economic policies. Her job is to communicate and sell them to voters. So it does help to have a background whatever area you are minister of but isn't essential
Doubtful, just like the guys taking the CMHC MLI Select program and then accepting low rents for a low interest rate and an ultra high mortgage.... the numbers just don't pencil unless they are doing interest only payments.
CAD💲is worth USD $1.43 now. As Canadians, we now have to worry about currency debasement and protecting our purchasing power. 😾 So in my portfolio, I have more US stocks than Canadian. I'm increasing my holding of USD cash and proxies (e.g. UUP, BIL) because CAD is so weak. I also have an allocation of precious-metal stocks and ETFs to protect against CAD currency debasement, which inflates the cost of imported goods.
Connect With Us To Talk Real Estate:
📆 calendly.com/thevancouverlife
_________________________________
You’d think the housing world would quiet down by mid-December, but this week has been packed with significant developments. Inflation data showed a continued cooling trend, with November’s rate at 1.9%, marking four consecutive months below 2%. The shelter component also eased, but rents defied expectations, rising 7.7% year-over-year nationally despite sharp declines in major cities like Vancouver, where rents are down 10%.
Rate cuts are back on the table, with the Bank of Canada expected to lower rates incrementally in early 2025, while variable-rate mortgages are regaining popularity. South of the border, the Federal Reserve cut rates by 0.25%, signaling caution amid strong GDP and persistent inflation.
The move widened the gap between Canadian and U.S. rates to levels not seen since 1997, weakening the Canadian dollar to under $0.70 USD and highlighting diverging economic paths between the two nations.
Canada’s labor market continues to struggle, with unemployment hitting a seven-year high and job vacancies plunging to a four-year low. Companies are hiring fewer workers, creating a troubling imbalance with less than one job available for every two job seekers.
This dynamic reflects a worsening economic downturn, with nearly 20% of unemployed Canadians classified as long-term unemployed. The construction sector, a key pillar of the workforce, faces additional challenges as housing starts have declined significantly over the year, despite a recent monthly uptick.
Large-scale building permits, which indicate future supply, are also falling sharply, particularly in Ontario. These trends raise concerns about the future of housing affordability and employment in an already strained economy.
Compounding these issues is political upheaval, with both Finance Minister Chrystia Freeland and Housing Minister Sean Fraser stepping down. Freeland’s tenure ended amidst criticism of Canada’s record deficits, with the Fall Economic Statement revealing a $62 billion shortfall-50% over budget.
Meanwhile, B.C.’s 2024-2025 budget projects a staggering $9.4 billion deficit, the largest in provincial history. Fraser, who oversaw record immigration levels that strained housing and healthcare systems, has faced sharp criticism for his policies’ long-term impacts. With mounting government debt, declining investor confidence, and slowing immigration, the outlook for 2025 appears unpredictable.
This perfect storm of economic uncertainty, housing struggles, and political shakeups underscores the challenges and potential opportunities that Canada faces heading into the new year.
Guys you should be a nation wide podcast rather than just Vancouver real estate. Very good read on overall issues nationally
JT had no experience either surprise
Lets hope the shuffle is an improvement, but i doubt it. Notice its balanced tho. 4 are male and 4 are females. Your recap on Ms. Freeland was spot on. How was there not a louder uproar over the assignment of such an important portfolio, given to a totally inexperienced person. Only by an equally incompetent minister supposedly to manage the economy of a G7 country and can't manage his way out of a wet paper bag!
Crazy how I worked 270 12 hour days last year and I'd never have enough for a house. Read that again 270 12 hour days, do the math.
😮
A history major running the economy of country… what could go wrong.
I'd love to see the percentage of multiplexes that are being built for extended family living situations V building for a profit. I've talked to 4 different companies about building for a profit and they all said basically the same thing, that when you take into account the land cost, building costs, the city fees, the finance costs and the cost to rent a place while your new place is being built, that there's not much money in it. How about a couple of case studies, one for the east and west sides.
I love your podcasts. Thank you!
Thanks for the forecast! I have a quick question: I have a SafePal wallet with USDT, and I have the seed phrase. (alarm fetch churn bridge exercise tape speak race clerk couch crater letter). How can I transfer them to Binance?
Oh you are silly. You do not invest in Canada to earn returns for yourself any more than you would choose to spend years in school and work your way into a high paying job so that your family could have a better life. In Canada you risk your time and money to benefit government and everybody else so that you can can live in the type of country you are proud of.🤣🤣🤣🤣🤣
Thank You for your great podcasts throughout 2024! Great work guys! 2025 will be an 'interesting year' Best wishes Eddie G
Thanks Eddie, looking forward to 2025!
Guys the reason the ministers don't necessarily need to have education in their areas of focus is because they are just public speakers and communicators. It's not like Freeland makes the finance/economic policies. Her job is to communicate and sell them to voters. So it does help to have a background whatever area you are minister of but isn't essential
I wouldn't trust Freeland to organize a single car parade.
Great analysis thanks
Are these multiplexes really going to be profitable for the investors building them? Love to see the numbers run on these.
Me too. I talked to 4 different companies including these guys and there wasn't much money in it.
Doubtful, just like the guys taking the CMHC MLI Select program and then accepting low rents for a low interest rate and an ultra high mortgage.... the numbers just don't pencil unless they are doing interest only payments.
@@GreenBeanGreenBean seems like government intervention just makes it more complicated and less lucrative. Doesn't this just limit supply more?
Depressing! Not much to hope for on the horizon either.
Yes inflation is down !! The avocado I was buying for 7 dollars now is 14 dollars only last two days went up another 2 dollars!!!!
Grapes $14
WEF puppet
Omg the BC socialist got in and 5 years later 😱😱! Balanced budget from santa🎅 hohohoho.
CAD💲is worth USD $1.43 now. As Canadians, we now have to worry about currency debasement and protecting our purchasing power. 😾
So in my portfolio, I have more US stocks than Canadian. I'm increasing my holding of USD cash and proxies (e.g. UUP, BIL) because CAD is so weak.
I also have an allocation of precious-metal stocks and ETFs to protect against CAD currency debasement, which inflates the cost of imported goods.