tag:blogger.com,1999:blog-5936637281134795592.post193506022898453423..comments2024-03-08T08:55:52.985-08:00Comments on Whispers from the Edge of the Rainforest: Are we heading for a Cataclysmic Correction? "That's bunk", says SommervilleUnknownnoreply@blogger.comBlogger4125tag:blogger.com,1999:blog-5936637281134795592.post-38958648907468884272012-09-24T08:39:11.612-07:002012-09-24T08:39:11.612-07:00I'm not sure I claimed anything about the hous...I'm not sure I claimed anything about the house prices correlating with the economics of the energy sector in Alberta (except maybe Fort Mac.)Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-5936637281134795592.post-57909722610227390242012-09-23T14:01:31.252-07:002012-09-23T14:01:31.252-07:00The health of the energy sector has a lot less to ...The health of the energy sector has a lot less to do with Calgary house prices than one would think.<br /><br />In 2008 house prices dropped about 20% in Calgary while the price of oil was above $100 the whole time. The crash would have continued but the government stepped in with their emergency housing stimulus in 2009. The same stimulus that turned around the Vancouver housing crash of 09. We are now seeing the continuation of that crash. This time there will be no emergency stimulus to turn it around. We are in for years of price declines in all Canadian cities. Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-5936637281134795592.post-67715487745084413032012-09-23T10:13:50.920-07:002012-09-23T10:13:50.920-07:00If you take a close look at the "Average"...If you take a close look at the "Average" people interviewed they are Babyboomers shopping mid-day at Whole Foods in Kits. <br /><br />This represents possibly the most insulated and delusional group of people in the city. If I bought a place in Kits in the 70s or even 80s I wouldn't fear a %40 market drop either. I still would be doubling my real estate investment inflation corrected for. <br /><br />Hell, if I did what a lot have done and subdivided my basement in to two grotty student suites, renting them out at $800/month each I would be laughing. <br /><br />A price drop is beyond the conceptual apparatus of most Vancouverites especially the older ones and those who have grown up here. <br /><br />Let them drink the "Best Place on Earth" Kool-Aid. If they want to financially ruin themselves because they buy in to a local cultural narrative, let them. It's no different that the cognitive dissonance in Calgary over the unsustainablity of the energy sector there. Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-5936637281134795592.post-33900098687736836252012-09-23T08:33:23.139-07:002012-09-23T08:33:23.139-07:00It's amazing how the media don't pick up o...It's amazing how the media don't pick up on the fact that the vested interests always sing the same tune.Anonymousnoreply@blogger.com