We have an upcoming workshop on how to generate 6-figure passive income in U.S. Real Estate Investing on June 8th. Sign up here: USAworkshop-ch.eventbrite.ca/?aff=YT
@touqirbutter9810
4 ай бұрын
Gold price is around canadien dollar 103k/kg today, which was around 28k/kg in the year 2000. Price went up almost 4 times in a quarter century OR we can say dollar lost its value to a quarter. Now if I bought a house for 250k in 2000, and sell it for a million today, in terms of gold price is the same but in dollar value it is 4 times expensive. Government will say you gained 750k, and pay gain tax, but actually you gained nothing, rather paying tax on 3 quarter of your own money. Moreover I was paying property tax every year when holding that property. That is a robbery And to remind, there is a property sales tax too on the buyer
@senpai75014
4 ай бұрын
It is a sad reality. Most people only count some of the costs when they start investing. When you purchase a Property, you pay closing costs, bank or broker fees, and taxes (land transfer and sometimes HST if it is a new build). All of your income is taxable as income tax, and you pay condo fees (maybe) and property taxes. Most of the time, you are cash-negative for years, which means that it is most likely a bad investment. Now, when you sell, you pay the real estate agent the fees on the mortgage (if it is a closed one) and capital gain. All of this information needs to be counted to determine if real estate in Canada is worth it. You make money, but it is more than the years you have held onto your property (with the costs). Back in the day, it was worth it; today, I do not believe so. Regarding gold, check GOLD vs FIAT (CAD OR USD) over 100 years. It ALWAYS equalizes. Gold is not that good... it could be in the short term, but over the long term (considering that you earn interest over the years), it reduces the volatility of CAD/GOLD or USD
@touqirbutter9810
4 ай бұрын
@@senpai75014 Agreed. It is a Good explanation. I myself am not particularly a fan of gold. But it was a reference to show how purchasing power of printed money continuously drops. Instead of gold you can take any other commodity and compare the value of CAD it is always dropped. The point was the value of a real property doesn’t go up that much as it looks on the paper, and get taxed unfairly.
@grab-a-javaroasters7592fresh
4 ай бұрын
My house purchase price 1999 was 430 Canada 1 oz. Maple Leaf gold coins. Today, a sale would fetch maybe 316 Gold Maple Leaf 1 oz coins.
@craigs1710
4 ай бұрын
This is such an amazing and succinct expression of what is going on.
@AR-el1km
4 ай бұрын
Pls talk English “potential” or “production” 😂
@alos66
4 ай бұрын
The problem is property are bought with mortgage = printing money. Like I said long time ago to people happy to invest in real estate nothing is for free and a price must be paid one day. The parents now need to give money to the own kids to be possible to buy even a tiny apartment. What a mess !!
@hawkmoon206
4 ай бұрын
You are so right. Everyone thinks that printing money starts with the Government. But printing money also originates from the banks when they lend more money out then they have on deposit is called the fractional reserve system. Everybody has forgotten the Silicon Valley Bank failure on March 10, 2023. Is it possible that the same type of failure can occur in Canada? Nobody in Canada talks about this. I wonder why? BITCOIN is not a hard asset... what bull sh*t!!!
@thebigpotato4175
4 ай бұрын
Can’t afford more houses. Afraid of bad tenants who don’t pay rent these days😂can I buy just lands to fight this inflation? Can you make a video how normal people buy lands and pass them to our children?
@RealEstateTaxTips
4 ай бұрын
The government said in their 2024 budget that they would tax vacant land owner for doing land banking 😢. The proposed measure will be announced in the fall economic update
@winnetou9706
4 ай бұрын
Governments cannot print more goods and services, but they do print money, effectively adding yet another tax on savers: the inflation tax. Nice video explaining how that works. Thank you!
@electricalien
4 ай бұрын
Theft through inflation is one reason. A million people immigrated here in one year is another. All the rules and permits make building houses more expensive. If we wanted to increase the rate of building to bring demand down we don't have a trades work force large enough to accomodate it.
@RealEstateTaxTips
4 ай бұрын
Definitely many different reasons contributing to the property price increase. The disconnect between housing supply and the immigration number is a huge oversight by our Federal government. Sadly, they also operate in this "silo" fashion - blaming the housing crisis on the provincial governments, but yet they are the one controlling the immigration & how much money they are printing.
@GameCrunchDaily
4 ай бұрын
Love your videos Cherry! I bought a house (duplex) last year. Being a millenial its been a slog trying to get into the market and the duplex was our way. Our rental income from our basement unit helps offset the insane cost of a mortgage, plus we have renovated, and improved the property and it will cash flow for us later. The plan is to buy another duplex/triplex in the next 2-3 years. Alot of our decisions came down to alot of info I accumulated from your videos and other youtubers. Thanks! Also Nick, a fellow lifter I can tell. Hell yeah brother.
@GameCrunchDaily
4 ай бұрын
I'll add, Nicks comments at 23 minutes are EXACTLY what we dealt with trying to buy a house. we saved for years and only CHASED the down payment. Living cheap, saving tons of money per month was still not enough to keep up. its insane.
@JS-jh4cy
4 ай бұрын
Shit taxes, bc taxes you for breathing
@datruth4766
4 ай бұрын
What she said about the GDP and money printing is right, and she was so humble about it. He totally didn't get what she was saying. Lots of high level economists don't even get that either. It is necessary to print money for your expanding GDP, it is impossible not to. A dollar is quantified by a country's GDP. The problem comes when you print more money than growth. This is why inflation is 2%, you must stay ahead of growth or people won't get their paychecks in time and contracts won't get settled. The vast, vast majority of people don't understand why you have to "borrow money into existence"; you need to pay for materials and workers in advance to create things and subsequently sell them. She actually understands fiat currency and how it works. It's a rare thing.
@Yelllowchild7
4 ай бұрын
People are holding out since they don’t want realized losses. Market correction is coming up soon
@coolw2k
4 ай бұрын
thanks for sharing, I totally agree with you two
@RealEstateTaxTips
4 ай бұрын
Thanks for watching!
@CristianEnacheRealtor
3 ай бұрын
Home buyers hold all the leverage now. If you decline a reasonable offer, you will likely have to accept a lower price after waiting another two months. This shift signifies the return of a buyer's market, unequivocally. The traditional measure of months of inventory versus sales, typically indicating a buyer's market at over 4%, is outdated for today's real estate market in GTA Ontario and its surroundings. This classification system of seller's, balanced, and buyer's market needs an urgent update. I have clients and doing daily business in over 30 cities in Ontario. I know very well what I am saying.
@yeonsuchoi1721
4 ай бұрын
A positive mindset like him is what people need to be successful. It's that simple.
@dennisshappka5699
3 ай бұрын
Interesting video, I am so sorry to say you are so very wrong. As seen interest rate have done nothing to bring down housing costs in Toronto or Vancouver. The cause is Illegal money laundry. Please see the facts. Drug money from China, Asia, Mexico all has to be washed. And you are missing the Real problem. the Fix ix simple. Stop the outside buyers. I am a retired analyst and also worked with Solicitor General, the illegal funds coming into those two areas are the issue. Those are facts thank you Dennis ps, I am not a "hater " just giving facts
@castlerc
4 ай бұрын
Being a landlord is not easy. 23 years experience now. I live in Florida now after living in Vancouver. The rules in Canada suck.
@RealEstateTaxTips
4 ай бұрын
Oh I hear you!
@mathewmacleod2022
4 ай бұрын
Buy a house as an investment BUT Housing will deflate against bitcoin 100% so ill live in a house but I'll save my time in the King asset.
@rockstarinnercircle
4 ай бұрын
Great video!!
@jm7588
4 ай бұрын
Not for long. 301k listings now. It was 169k early 2022. Price drops coming 😊
@nilesandsam
4 ай бұрын
This puts it in better perspective not of inflation of goods but deflation of monetary value. So much focus has been on the price of goods going up... some of that is due to the tax but also the value of the dollar going down. We need to remind people that the relation between those things is what needs to be measured. 2% inflation is the claim which might be ok but not when banks are paying less than 1% on savings and groceries have gone up more than 10%. A house for sale 2 years ago at $480,000 is now listed at $800,000. We need to look more closely at what their inflationary numbers are including then compare to the reality of the costs that are truly inflating. I won't bother to buy another house here as there is no room for growth now and even a house can be taken from you by the government at any moment against your will.
@RealEstateTaxTips
4 ай бұрын
100%
@bindervegas8006
4 ай бұрын
I live in the maritime province of Nova Scotia. Here's a waste of government money story... three provinces with a combined population of just under two million people. Three premiers, along with the cast of MLAs, raking in millions of Canadian tax dollars in government salaries and future pensions. And there's the city of Toronto, with one mayor, and the cast of councilors, with a population of just under 3 million!! What a joke! I can't even imagine the tax savings if we (maritimes) were to form one region with one premier and his little band of MLAs!! How much money could Canadians save there!?!?
@TheRealToastman
4 ай бұрын
Are we not going to talk about those guns!?!?
@SlavaFurnishedRentals
4 ай бұрын
Those guns are locked and loaded
@semi-chubber2388
4 ай бұрын
Bicep curls before a broadcast is like using a penis pump before sex. It just looks better.
@EricAlHarb
4 ай бұрын
Wait are you batting for the other side?
@SlavaFurnishedRentals
4 ай бұрын
@EricAlHarb we're just appreciating the barrels full of gun powder, takes time and dedication to get those
@spawn11
4 ай бұрын
Buy a land and put up tent there😂😂
@stephenfermoyle4578
3 ай бұрын
oh please.....get a hobby
@toddstevens8506
4 ай бұрын
Since the alternatives to inflation are decreased spending or increased taxation, which are even less palatable to politicians and central bankers, inflation is what we're stuck with. Things will likely get considerably worse before someone brave enough to step forward and confront the establishment arrives.
@Dwayne_the_Fitness_Guy
4 ай бұрын
Bitcoin! It’s only worth what you think it’s worth, it’s hardly a hard asset. Bitcoin is created digitally more bitcoins could be created if they so choose but besides that point it’s backed by nothing but the illusion of value cryptocurrency for the most part has no intrinsic utility, like gold for instance. Gold is a real asset that we can’t create that has many uses in electronics and jewelry. You cannot compare the two as intelligent as I find your guest the shortcoming in his advice for the long term is the belief that cryptocurrency would actually be worth something, in the case of a war happening at the same time where real resources and real hard assets will have value
@havmercy
4 ай бұрын
Stocks are the root of all Evil , Corporations Publish the products and Sell the Shares .
@Flight411
3 ай бұрын
Bitcoin or bust
@carlonesta1640
4 ай бұрын
Why Canadá is having inflation if we are number 5 in the world In Producing oil ? Which means it’s a mountain of money every day!!! In addition to gold and diamonds and industry and farming!!!
@nospm1244
4 ай бұрын
Inflation is the little known reason ?
@RealEstateTaxTips
4 ай бұрын
Printing money is the little known reason.
@nospm1244
4 ай бұрын
@@RealEstateTaxTips maybe to you.
@Glin-z1t
4 ай бұрын
That's why it's a terrible time to buy realestate. THANKS 😂😂😂
@andrew755
4 ай бұрын
Great guest ..enjoyed this show.
@RealEstateTaxTips
4 ай бұрын
Glad you enjoyed it
@peej91
4 ай бұрын
Little late on this. Good luck with investing in homes and trying to get buy in. The real estate market is too exposed now
@lominiski
4 ай бұрын
This is obvious. We know about that. It is just a lot of people are not good at economics and internation finance.
@MobileGreen-nu6pc
4 ай бұрын
This theory is highly simplistic and too focussed on Money Supply
@l3eaver
4 ай бұрын
Wow this guy sure likes to talk about himself … I i I I I i i i I …..
@miriamm2978
4 ай бұрын
Long story short: due to our government's mismanagement and lack of economic knowledge, middle class Canada is screwed for the foreseeable future.
@RealEstateTaxTips
4 ай бұрын
Yep. Sad but true.
@richyrich3285
4 ай бұрын
The effect of M2 growth on currency debasement also depends on demand for that currency. If growth of M2 leads to more demand for the currency, debasement isnt as significant. Not saying debasement isnt occuring, because it obviously is, but talking about currency supply without considering currency demand is a one sided explanation.
@RealEstateTaxTips
4 ай бұрын
Great point
@salqubeq5203
4 ай бұрын
Good arguments
@tedvu1426
4 ай бұрын
Great video. I am a rental properties investor. Would you be able to do a video on the Landlord's and Tenancies Board and tips to combat bad tenants. I hear so many scary stories.
@RealEstateTaxTips
4 ай бұрын
Sadly it's challenging to find someone willing to talk publicly about it. We were reaching out to the paralegal, but no luck. I'll see if I can get Landlord Credit Bureau to come.
@DINESHKUMAR-sd3xi
3 ай бұрын
@@RealEstateTaxTips My client-Landlord had a bad experience even because of no default of landlord and tenant was mis using the prevailing rules of LTB not to evict tenant till final decision of LTB. As such Landlord kept waiting long time for final eviction ecision but it took about one and a half years for eviction order and as a result of LTB decision -eviction process /procedures, Landlord lost about CAD $ 30000 rent and professional tenant disappeared. No solution
@josephkeith6954
4 ай бұрын
the point is if have enough cash to buy properties, you will buy properties to hedge against devaluations of currency. but you are also contributing to price inflation IN ADDITION to money devaluations. the other question is how much is enough? 1 house 2 3 4 ? there should be a cap on that.
@winnetou9706
4 ай бұрын
The only way you may increase prices by buying 2, 3, 4, 100 homes is if you live in all of them or keep them empty. Otherwise, if someone lives there, you're actually putting downwards pressure on housing prices because you're incentivizing building (directly or indirectly). Specifically, buying from a builder increases house supply in the system so it puts downward pressure on aggregate housing prices. If investors weren't there, there would be fewer housing units overall for the same population, so more expensive housing. Things that put upward pressure on housing prices are: money supply, population growth, rent controls and any other regulations which slow down or disincentivize investment. For example if all housing was owned by 2-3 individuals, but there were double the number of units for the same population, housing would be very, very cheap for everyone.
@josephkeith6954
4 ай бұрын
@@winnetou9706 you got some good points there. i think property accumulation beyond certain level is just obsession ego and greed for basic human needs such as shelter. if everyone buy just one home the demand would be less given the SAME population size.
@winnetou9706
4 ай бұрын
@@josephkeith6954 Providing housing services to people who cannot afford to buy, students who live near university temporarily, hotels who accommodate people for vacation = greed? I suppose you can redefine housing services to be equal to ego and greed, a matter of point of view. I would say that given the energy required to build a home, and the fact that you're using other people's work in acquiring a home, many people cannot compensate for getting one because they themselves are not able to generate enough "energy" through the services they provide in their jobs. Their best option is to "use" an investor's home in the mean time and pay rent. It's a choice, a limited one, but the best option in a world of scarcity. And to my point earlier, if investors incentivize more building (directly or indirectly), they actually lower the price of housing because they increase supply. This is not really debatable because it's documented in many, many economics manuals. The fact that many people do not understand this just means they haven't looked at the empirical evidence (e.g. read an Economics book).
@winnetou9706
3 ай бұрын
@@josephkeith6954 Providing housing services for other people who cannot afford or do not want to buy (e.g. students) is ego and greed? I thought looking at people who have more and labelling them with names is envy.
@l3eaver
4 ай бұрын
Truth is they are going DOWN !!! 😅
@RealEstateTaxTips
4 ай бұрын
Is it?
@vishavjeetsingh6883
4 ай бұрын
Very true
@MyJmomo
4 ай бұрын
Thanks for the info Cherry .
@RealEstateTaxTips
4 ай бұрын
Hope you found it useful!
@jordenb9469
4 ай бұрын
One word. Immigrants.
@db4367
4 ай бұрын
Do you mean we should have immigrants or we shouldn’t have immigrants? As a white anglo saxon immigrant to Canada 21 years ago, from experience (and observation), the vast majority of immigrants work their a$$es off to get ahead (contributing to economic growth), and I never saw an obvious minority immigrant begging in the streets of Toronto CBD for the 20 years I worked downtown.
@jordenb9469
4 ай бұрын
@@db4367 when you mass migrate people to a place or country that does not have the housing or infrastructure for that amount of people prices go up due to supply and demand. Very easy to figure out! Plus a minimum wage job which is what most immigrants are working at are a false economy. Those are fast food. Drivers of some sort or the hospitality industry. They will all be laid off when the economy goes down. Mark my words.
@Lifeisapartydresslikeit
4 ай бұрын
Good video!
@RealEstateTaxTips
4 ай бұрын
Thanks!
@edwardjones9580
4 ай бұрын
Many good points, but I don't trust the Canadian real estate markets staying power. Yes prices can go up, but purchasing power drops constantly, that creats the condition for a catastrophic outcome. Canadians are getting poorer rapidly, it is the most mismanaged country compared to it's resources and base. So BTC, i agree with that, onboarding in Ontario difficult, in fact I don't know how? Property... only in a free country, where the government leaves you alone, and that's not Canada.
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