Deadpool X
Senior Member
Is there any thread on the current mortgage interest rates?
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- Thread starter simuls
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Admiral Beez
Superstar
30 years is insane. No one can predict where they will be or what their financial or relationship status will be after three decades. For example, 40% of Canadian marriages end in divorce.
The same can be said for traditional 25 year amortizations. Renewals will still happen, likely at 5 year intervals.
afransen
Senior Member
The biggest risk is the first renewal as very little principal is repaid in the first 5 years. So a 5% down payment gives precious little cushion for home prices to turn downwards before the borrower is underwater at renewal time. I don't think 25 or 30 years makes a material difference for predicting life circumstances at the end of the amortization period.
Admiral Beez
Superstar
Strange Advance
Active Member
Toronto area housing market ignites with sales jumping 44% in October — but prices hold steady, for now
Link to Article
slickpete83
Active Member
evandyk
Senior Member
To be fair, the government *should* be making it super expensive to build single detached houses in Toronto unless they are laneway/garden suites.
afransen
Senior Member
Shifting the tax burden from new development to general property tax base (ideally biased as more of a land value tax) would have the benefit of lowering resale home values and new home prices. It's obviously the right thing to do socially, but it is not politically palatable. Maybe it is a matter of having the province ban DCs altogether, or at least capping them at a certain value (much lower than present), indexed to inflation.
slickpete83
Active Member
here is an interesting take having Land Value Tax (LVT) instead of our traditional property tax system
In this episode, we’re diving into a timeless economic solution that’s gaining new attention in today’s housing debates: the Land Value Tax (LVT).
Unlike traditional property taxes, which tax both land and the structures on it, a Land Value Tax focuses solely on the land. This means property owners aren’t penalized for making improvements, like building more housing—a crucial distinction in the context of today’s housing crisis.
We’ll explore the origins of this idea, tracing back to economists like Adam Smith and David Ricardo in the 1700s, and its popularization by Henry George in his influential 1879 book Progress and Poverty. Advocates of LVT, often called Georgists, have emerged from across the political spectrum, including notable figures like Milton Friedman and Joseph Stiglitz.
Joining us is Floyd Marinesco from Common Wealth Canada, a think tank advocating for a Land Value Tax to address housing challenges in Canada. Floyd shares insights into how this idea could reshape housing markets and what lessons might apply to other regions facing similar issues.
In this episode, we’re diving into a timeless economic solution that’s gaining new attention in today’s housing debates: the Land Value Tax (LVT).
Unlike traditional property taxes, which tax both land and the structures on it, a Land Value Tax focuses solely on the land. This means property owners aren’t penalized for making improvements, like building more housing—a crucial distinction in the context of today’s housing crisis.
We’ll explore the origins of this idea, tracing back to economists like Adam Smith and David Ricardo in the 1700s, and its popularization by Henry George in his influential 1879 book Progress and Poverty. Advocates of LVT, often called Georgists, have emerged from across the political spectrum, including notable figures like Milton Friedman and Joseph Stiglitz.
Joining us is Floyd Marinesco from Common Wealth Canada, a think tank advocating for a Land Value Tax to address housing challenges in Canada. Floyd shares insights into how this idea could reshape housing markets and what lessons might apply to other regions facing similar issues.
Admiral Beez
Superstar
To be fair to whom? Besides, outside of teardowns/rebuilds of existing detached properties, who's building single detached houses in Toronto? Every new single family home I've seen built in the last ten years is either a row house, semi-detached or part the base level of a larger condo tower. Is there any vacant land to buy in the 416 where one can build a single detached house?
evandyk
Senior Member
A few golf courses, Downsview, around the zoo. There are a bunch of spots left with large open areas where you *could* build single family houses, but you decidedly should not do that.
Admiral Beez
Superstar
Whenever I see Brad Bradford speak, I switch it off. Useless fellow.
evandyk
Senior Member
Brad is Bad, but not as Bad as Gord Perks.
Strange Advance
Active Member
Toronto-area home sales surge 40% in November as prices start to edge up
The average selling price for all home types increased by 2.6% annually to $1.1 million, according to the latest Toronto market report.
www.thestar.com
Toronto-area home sales surge 40% in November as prices start to edge up
The average selling price for all home types increased by 2.6% annually to $1.1 million, according to the latest Toronto market report.
www.thestar.com