/biz/ - Business & Finance

>>22544391
Cause you're gay.

>>22544391
>How does real estate stand to benefit the overall populace

They don't give a shit about anyone but home-owning Boomers.

>>22544391
Real estate employees a lot of people, plumbers, carpenters, masons, and so on.
Inflating the real estate market create jobs, not a lot of other investments does that.

>>22544391
Imagine paying $6600 leafbuxs a year in property tax for that shitbox.

finance? wtf is that

>>22544391
Enjoy the circus

>>22544511
That sounds nonsensical. If I own a pizzeria and need repairs on the bathroom or an extension built, I am not paying for that based on the equity I have locked away in my mortgage for the pizzeria itself (that's even to suggest I am not renting it in the first place). Those repairs/renovations are paid for by the business being done inside the building itself.

>>22544391
>Why does the US government tax incentivize investment in real estate so heavily?
They know that most Americans are broke as fuck, so they need foreign money coming in to buy up the homes and keep the bubble going.

>>22544677
The better the real estate market performs, the more houses are being constructed, and following that the more people are employed.
likewise, the better the real estate market perform, the more people are gonna "flip a house" and repair a house in order to raise its market value.

Oh great a real thread gets no replies but pajeet shilling a shitcoin gets 100 in 10 mins.

Fuck this board.

>>22544391
Hope all fellow Leafs are going to shill O'Toole HARD. He is an actual conservative and has a very real shot at winning a majority if and when an election is called. Here is his China policy.

https://erinotoole.ca/china/

Of course foreign ownership of real estate is only one aspect of skyrocketing house prices, but one that can more easily be dealt with than a rapidly depreciating dollar.

Sold my dumpy condo, buyers were Chinese. Pretty sure RE is just a way for mainland money to flee the mainland before the collapse.

>>22544391
This is called money laundering if you haven't figured it out yet.

>>22544391
>How does real estate stand to benefit the overall populace and economy outside of the narrow populace of real estate investors?
it doesn't really. One normie argument can be that "oh well people always need a place to live, so the government wants to make sure there's always incentive to get people homes" but that doesn't seem right to me.

The reality is that in central bankism where we're raped by inflation and deflation, and that god damn money printer, they don't care about the overall populace. You can see that with the 2008 financial crises when the central banks purposely sold people subprime mortgages and CDO's they knew were shit and would crash, because it made them money. They knew there would be a bailout and millions would lose jobs and homes, but that didn't matter.

A more recent example? Look no further than the stimulus checks and financial relief packages, where people only got maybe 800B out of a 2.2T dollar package, most of the small business money went to large corporations, etc etc...

They don't give a shit about you, me, or anything else besides making money. Use that to your advantage

Idk but all my high school acquaintances do real estate now and make it look like they make a lot of money on social media.

>>22544391
What is happening in Toronto to be that expensive?

>>22544823
I think I understand what you're saying, but it still feels self-fulfilling anyway. If the economy is doing well, that should drive growth, both in people needing real estate for personal and business reasons, and thus more construction to meet that demand. As it stands, banks are keeping millions of homes empty to artificially restrict supply and keep prices artificially growing. This has to pop eventually. Even if it somehow never did, is a speculative bubble that provides jobs to an increasingly small amount of blue collar US workers worth locking all other Americans out of home ownership and reasonable rent rates?

>real estate
>US consumer dollars being involved even remotely
lmao

>>22544391
inflation is only 1.5% a year ;) -jpoow

>>22546410
Unless you are homeless or inherited a home and reside in the United States, you are either locking money into a mortgage or pissing it away on rent. I understand a lot of real estate money is foreign investment, and that's certainly a large part of the problem, but it has huge ramifications and ripple effects on the local economies surrounding these housing bubbles.

>>22544391
>>22544468
if houseprices went down then the government gets voted out. people feel more confident to spend on other things when their wealth goes up. It's called the wealth effect.

>>22545233
(((Erin))) (((0’toole))) has a Jewish mother from (((London))) and there’s no mention what ethnicity she is. He’s a clear Jew and is pro Israel, Zionist lackey and Rothschild operative. Why are the cons electing another Jew as their leader? Canada is failed state, i want off this cucked ride.

>>22545703
Nice diatribe fucko.

>>22547010
Thanks for sharing

>>22544524
You could rent it for $72000 leafbux per year. Or say that you could rent it for $90000 leafbux per year, use that as income to borrow money and borrow enough to pay that property tax in perpetuity. We have turned this scam into an art. Literally too big to fail at this point.

>>22545233
He is going to push for unlimited RRSP tapping without paying taxes, so long as it's spent on your primary residence. This is going to pump the fuck out of the low end of the market. I'll personally be funneling my avoided income and capital gains taxes straight into real estate.

He has my vote.

>>22545784
Anon it was the same thing in 2008. EVERYONE was doing real estate back then.

Then the market hit a downturn and they all went bankrupt. My cousin's ex-husband lost his real estate office, his $500k home and 2 cars. He went from wannabe real estate mogul to working in a hotel kitchen when the recession hit.

>>22544391
>pallet cucksheds in basedronto go for more than a million dollars
>you can buy a fucking stone castle in beautiful rural france for 800k euros

https://www.french-property.com/sale-property/1116-2151

>>22544391
>pallet cucksheds in söyronto go for more than a million dollars
>you can buy a fucking stone castle in beautiful rural france for 800k euros

https://www.french-property.com/sale-property/1116-2151

>>22544391
>pallete cucksheds in söyronto go for more than a million dollars
>you can buy a fucking stone castle in beautiful rural france for 800k euros

https://www.french-property.com/sale-property/1116-2151

>>22548248
He was levered up like all the mooks in real estate now. God I wish housing would just crash so hard so those faggots beg for gibs.

>>22548377
good investment there. renovate it top to bottom and turn it to a nice hotel

>>22548126
There won't be enough people eventually

>>22544391
In case you haven’t figured it out it’s money laundering for every third world upper class Canada is just a globalist fuckdoll

>>22548329
>https://www.french-property.com/sale-property/1116-2151

it's real

how is this real

>>22548377
there has to be some sort of catch, like it's filled to the brim with AIDS-carrying rats or something

>>22544391
Its fucking strange isn't it. Housing prices go up, but your no wealthier because comparable housing has gone up as well, not to mention your property taxes. You can take a home equity loan but than you still have to pay it back + interest. I guess if your planning a reverse mortgage when you retire, than you can finally access your built up equity.

>>22548648
Probably 10 million of back taxes or needs 10 millions of repair

The Canadian housing collapse can't come soon enough.

>>22544391
More money to mortgage payments which means more profits to the banks...

>>22548698
just talked to the realtor, apparently, its even worse than aids filled rats. all the neighbors are niggers

>>22548733

there are tons of these on that website that are similar

>>22548648
>>22548698
>>22548733
There is a shit ton of old castles in France that are currently fully or partially in posession by the state and it's costing a lot of taxpayer money to keep up these castles so they are going for cheap. Also all are in rural areas far away from any big cities and I think France has some retard property/wealth taxes.
But still it's cool to know you can buy a chateaux for a milli or so euros.

>>22548377
>only 1 picture of the inside
doesn't take a rocket scientist to know the inside is completely fucked probably. Expect to spend 1M+ on repairs to make it hospitable

>>22544435
Got his ass

>>22548648
Almost certainly a typo. Add another zero. Still a lot of property for 8.8M euros

>>22548835
There are other properties like that. Most of them go from 500k to 2-3 million

>>22548835
>>22548864
I meant other properties with more available pictures.

>>22548862
No, it's really that cheap.

>>22544391

Chinese credit bubble money has to go somewhere. "Canadians" seem to be buying homes at record prices.

>>22544391
>US consumer dollars being locked away
>tying up
jesus fuck you're stupid. the money isn't yours. move to russia faggot.
>benefit the overall populace
>the narrow populace

>>22548825

found my make it house bros

https://www.french-property.com/sale-property/1-IFPC30241

>>22545233

"Canadians" are model citizens.

>>22545791
All cash Chinese buyers.

>>22544391
bought my first property thanks to LINK coin no joke

never thought it was possible but it happened to me dudes

i didn’t even know shit about crypto lol

the property increased 30k in value too

thank you LINK coin

>>22548894
Why is no one buying these properties if they are so cheap not even the Chinese? There has to be high taxes or some kind of catch.

>>22548981

Globalists are demanding that international banks hold Renminbi as "reserves" for when automation makes Chinese labor worthless.

1.2 m for that piece of shit, US is nuts man

>>22545137
nah i feel you bro

see my post above

i didn’t have shit in December 2017

now i do

all thanks to LINK i bought property which gets rolling in value too

fucking real shit buy the LINK my dude

>>22549063

https://www.youtube.com/watch?v=_RcV8snfX-g

>>22548996
>high taxes
45% over 152k euros

>>22549144
Ya and researching more they have a wealth tax for your assets over €1.3 million.

>>22549046
isn't chinese labor already being made irrelevant by SEAmonkeys being cheaper for sweatshops?

>>22548126
You cant do that due to the new stress test rules. Your tdo would stack

>>22544391

Simple, the banks don't have your money. They have mortgages. The moment housing prices drop, the pyramid scheme collapses and people find out the Jews stole your money through banking. Again.

>>22548926
Hur dur, what's equity, dipshit? That 20% down payment? Guess that's not my money. The fixed mortgage payment I am dumping into the house every month instead of spending on fuckall else? Gee wilikers, I must be imagining that one too.

>Why does the US government tax incentivize investment in real estate so heavily?

Because it's the backbone of the economy. Construction, manufacturing and finance are built around it and employs a lot of people.

This exact moment right now in real estate is the same as the 2017 BTC top at $19k. Down we go!

>>22544391
Everything happens in buildings, while this sounds really simple and retarded it really is important. From the construction itself til the company that moves in and starts doing business, all of these will require banking services. Banks can incentivize the mass production of buildings, basically stimulating the whole economy at once. The prices rising is only a side effect of lazy do nothing type people, juggling with property prices, which is supported also by banks. If governments actually wanted to do something against this, they could specifically target RE-selling houses or real estate in a given time frame with extra high taxes, but I guess they are afraid that it would hurt growth (or maybe they themselves make money doing this).

>>22544391
Imagine renting when the boog hits

>>22544391
It's not an economically efficient or beneficial tactic, but it gives the government more of an excuse to continue printing money and marketing giant real estate portfolios to foreign investors for political bargaining power. Or so I'm guessing.

I fucking wish housing prices would become reasonable again.

Also, good thread. This is the best I've seen on /biz/ all year.

Realistically much would the real estate market decline by if we required a social security number to buy RE and eliminated all foreign loopholes (shell corps, anchor babies, students etc)
20%?

>>22544391
(((B A N K S)))

>>22545137
You do realize majority of the people that post here are either underage retards, pajeets, or redditors? None of which have any experience in economics and can not directly answer a question unless its something they're heard somewhere else and can regurgitate that same response.

>>22550851
>>22551890
>>22545137

If /v/ is allowed to get 20 different niche spin-off boards, then we can certainly split off a distinct crypto board and allow /biz/ to be utilized for legitimate business and finance discussion and ventures.

>>22551088
most foreign buyers purchase through their kids, whom are going to school in western uni's

>>22551966
>pin off /biz/
not even close to the traffic /v/ gets. Maybe start with making a general and see where it goes.

>>22548961
how are they this cheap? it makes no sense whats the catch besides a big heating bill? how are the taxes on that thing?

we should chip in and buy a /biz/ mansion

>>22552013
Who cares? The /v/ spinoffs are already basically dead and high traffic boards are dogshit

>>22544391
>Toronto
>leaf
Thread discarded.

>>22553111
I'm not a leaf. That was just a particularly salient example I found when I looked up ridiculous real estate sales. You'll find many shacks in San Fransisco going for seven figures.

Not sure if this was mentioned but OP do you know how much MBS back our financial system? A massive chunk of our economy runs based on preforming notes. Insurance companies use it to back their policies, capital firms use it to get safe returns. There's entire private equity groups that just buy commerical notes. Most of these are grouped together and sold to other banks. It's not about joe shmoe having a home. It's about the local bank flipping that note on the secondary market and then derivatives contracts being sold against it. That's why they incentivize it.

>>22544511
>not a lot of other investments does that.
What are you talking about?

What do you think funding rounds for companies are for?

Money devalues because it's fiat anon, hard assets like famous art, antique cars, and houses in prime location goes up and pushes out the poor people to other places.

You flood the market with liquidity at no cost, what do you expect? Prices of housing to go down?

Housing prices in Chicago and Detroit are low because it's probably tax scam. Their cities are broke, you buy and expect to get cheated via taxes overtime.

How do low interest rates affect me getting a house? Also is the housing bubble collapsing a realistic scenario in the near term?

>>22548248
>My cousin's ex-husband
your cousin is a whore

>>22553316
Lower interests rates will inflate housing prices. It'll allow people to have lower interest payments so prices go up since the market realizes people can pay that. Also lower rates allow real estate investment companies to refinance their loans and purchase more real estate with the newer lower rate.

>>22544511
What do you think stocks and bonds are for?

>>22546740
So what is the problem with deflation again?

>>22553209
This is the response I was looking for, thank you. I'm still relatively new to finance. If you have any helpful resources you could share to learn more about this sort of thing, please do.

>>22548767
kek

>>22544391
that house is worth 300k MAX fucking kek.

can't wait until the housing market crashes, it always lags behind the stock market by 12-18 months

going to pick up whole cities for pennies on the dollar.

>>22544511
so real estate creates jobs, but because prices are so high, we all have to work more just to pay for those inflated prices? see the problem here?

once again another example of the retarded economics in this country
real estate prices should be CHEAPER so we can work less. there needs to be a new form of economics that focuses on LEISURE and how technology exists to make life EASIER not to make us work more. ill call it NEETonomics

>>22548839
Hell yeah brother

i want to point out also that Cucknada imports like 300k immigrants a year and has a population growth rate of 1.4% . that means in 2040 shithole canada will have 50 million people roughly. a place with similar dynamics is california, where the population increased by 66% in 40 years from 24 million to 37 million, and thats why grandma's shitty houes in south central LA is worth 750k.

Local governments love rising housing prices too because then they can charge more property taxes on the higher assessment.

>>22544391
How do I buy several acres of rural land really cheap? I feel like building myself a cabin and living off the grid for a while.

>>22544435
fbpb

>>22553471
People "horde" money since the future value is higher, so the economy stagnates

Jesus christ biz has gone full fuckin retard. It's simple, constantly pushing real estate prices up decreases bank risk on all the shit mortgages they carry.

>>22544511
Wait. Since when (((they))) give a shit about blue collars ? Aren't we all supposed to become rainbow flag waving butt naked cowboys ?

hh

>>22544575
underrated

>>22557396
so what is the problem
you send only if you want to
deflationary currency eliminates waste
the only entity that benefits from fiat is goberment

>>22550575
> afraid that it would hurt growth
There are entire generations now that can only dream of having a semi-normal life before falling and dying from a heart attack on some night shift in their 60s.

How the fuck is this not hurting growth ?