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Member
Jun 19, 2017
399 posts
604 upvotes
ilim wrote:
Feb 20th, 2018 3:35 pm
Bank of Canada rate hikes may 'be done for the year' - BNN
https://www.bnn.ca/video/rosenberg-bank ... ar~1305652
Ok but it is anticipated that the Fed will hike it's rates in 2018 and 2019 at the same rate it hiked in 2017. It may not matter what the BoC decides to do, they may not have control over bond correlated mortgage rates.
Sr. Member
Jul 3, 2007
858 posts
1014 upvotes
Qrewpt wrote:
Feb 20th, 2018 4:05 pm
Ok but it is anticipated that the Fed will hike it's rates in 2018 and 2019 at the same rate it hiked in 2017. It may not matter what the BoC decides to do, they may not have control over bond correlated mortgage rates.
exactly. which 99% of canadians and people in this forum dont understand....
Deal Fanatic
May 31, 2007
5000 posts
2108 upvotes
I don't give much credibility to Rosenberg, he seems unusually bearish on the economy and was the only one calling for no hikes this year when everyone else said at least 2-3 in the cards.
He's already wrong.

Unless he's just there to attract views for bnn.
Deal Addict
Jan 17, 2006
1030 posts
767 upvotes
Toronto
ud8077 wrote:
Feb 20th, 2018 4:02 pm
"Giovanni Gallipoli, an associate professor at the University of British Columbia’s school of economics, agreed with Pastrick’s assessment, noting the Bank of Canada and the U.S. Federal Reserve should raise both their benchmark interest rates in lockstep over the coming year as both economies continue to grow.

“To some extent, we will mirror the Federal Reserve,” he said. “So I would expect that the Federal Reserve will hike it at least four times in the next twelve to eighteen months, which would also be a conservative estimate for Canada. Unless something really goes wrong with either economy that seems to be the consensus right now. It is guesswork, things can change in twelve to 20 months of course.”

“Two point five per cent is definitely, by historical standards, fairly accommodating. In any other interest rate cycle, people would have said that 2.5 percent is at the low-end, but we live in very strange times where 2.5 percent is on the high-end of things."

" But if people can’t carry interest rates at 2.5 percent, perhaps some of them should not have bought in the first place.”


source: https://biv.com/article/2018/02/canadia ... conomist-0
Ha ha, how desperate you are, Found some old resource (earlier than the latest economics data release ) .
Try to find something fresher next time .
No way it is going to be 5 hikes, 2 is the most you can expect if at all.

Anyways, my condos are rented with market rate (very good these days), I will make sure increase rate annually as well transferring some hike related expenses to tenants to ride out any hikes )
The market is saying: Well, you gotta hike rates. But the Bank of Canada is more likely to take its time, if it needs to hike rates at all.
https://www.bloomberg.com/news/articles ... treasuries
Member
May 2, 2017
270 posts
408 upvotes
ilim wrote:
Feb 20th, 2018 4:21 pm
Ha ha, how desperate you are, Found some old resource (earlier than the latest economics data release ) .
Try to find something fresher next time .
No way it is going to be 5 hikes, 2 is the most you can expect if at all.

Anyways, my condos are rented with market rate (very good these days), I will make sure increase rate annually as well transferring some hike related expenses to tenants to ride out any hikes )


https://www.bloomberg.com/news/articles ... treasuries
old research? how desperate are you?

look at the date! The article is from Feb 8th 2018 and the speech was given on Feb 8th.
At least 6 rates hikes in US in next two years; most rational people expect Canada to follow.

By Patrick Blennerhassett | February 8, 2018, 4:45pm


Helmut Pastrick, speaking at a Surrey Board of Trade event on Thursday (Feb. 8), said the move by the Bank of Canada in January to bring the benchmark interest rate to 1.25% is the first of many to come to continue the economy’s “rate normalization phase.”
Deal Addict
Jan 17, 2006
1030 posts
767 upvotes
Toronto
ud8077 wrote:
Feb 20th, 2018 4:25 pm
old research? how desperate are you?

look at the date! The article is from Feb 8th 2018 and the speech was given on Feb 8th.
At least 6 rates hikes in US in next two years; most rational people expect Canada to follow.

By Patrick Blennerhassett | February 8, 2018, 4:45pm


Helmut Pastrick, speaking at a Surrey Board of Trade event on Thursday (Feb. 8), said the move by the Bank of Canada in January to bring the benchmark interest rate to 1.25% is the first of many to come to continue the economy’s “rate normalization phase.”
Did you read links I provided ,they are from February 20th.
And I provided bloomberg and bnn instead of blog from business Vancouver.
Enjoy reading, you can enjoy your newly discovered professor's work as well, I don't mind.
Last edited by ilim on Feb 20th, 2018 4:38 pm, edited 2 times in total.
Penalty Box
User avatar
Aug 11, 2005
3745 posts
1089 upvotes
ud8077 wrote:
Feb 20th, 2018 4:25 pm
old research? how desperate are you?

look at the date! The article is from Feb 8th 2018 and the speech was given on Feb 8th.
At least 6 rates hikes in US in next two years; most rational people expect Canada to follow.

By Patrick Blennerhassett | February 8, 2018, 4:45pm


Helmut Pastrick, speaking at a Surrey Board of Trade event on Thursday (Feb. 8), said the move by the Bank of Canada in January to bring the benchmark interest rate to 1.25% is the first of many to come to continue the economy’s “rate normalization phase.”
Hahahah rekt
google NotDoug
Deal Fanatic
Feb 9, 2009
6086 posts
3347 upvotes
pkrash wrote:
Feb 20th, 2018 2:42 pm
More Fake News.
Rates are higher plus add new rules.
Stress test +2% posted rate.
No stress test for renewals unless you change providers
Deal Addict
Feb 23, 2009
1280 posts
1164 upvotes
Oshawa
Sanyo wrote:
Feb 20th, 2018 4:43 pm
No stress test for renewals unless you change providers
More Fake News.
Major banks are using new rules for renewals and TDR that they were not before.
Also when you renew on a property that is worth less than before you can run into bigger problems.
Stop spreading bad and outright wrong advice on the internet.
Deal Fanatic
Feb 9, 2009
6086 posts
3347 upvotes
pkrash wrote:
Feb 20th, 2018 5:03 pm
More Fake News.
Major banks are using new rules for renewals and TDR that they were not before.
Also when you renew on a property that is worth less than before you can run into bigger problems.
Stop spreading bad and outright wrong advice on the internet.
How many people are underwater in the gta? Talk about spreading fake news, adhere to your own advice.
Deal Addict
Feb 23, 2009
1280 posts
1164 upvotes
Oshawa
ilim wrote:
Feb 20th, 2018 4:21 pm
Ha ha, how desperate you are, Found some old resource (earlier than the latest economics data release ) .
Try to find something fresher next time .
No way it is going to be 5 hikes, 2 is the most you can expect if at all.

Anyways, my condos are rented with market rate (very good these days), I will make sure increase rate annually as well transferring some hike related expenses to tenants to ride out any hikes )


https://www.bloomberg.com/news/articles ... treasuries
Hmmm...you already told us you are happy being a landlord and cash flow negative.
Why worry about increasing rents?
Penalty Box
User avatar
Aug 11, 2005
3745 posts
1089 upvotes
pkrash wrote:
Feb 20th, 2018 5:03 pm
More Fake News.
Major banks are using new rules for renewals and TDR that they were not before.
Also when you renew on a property that is worth less than before you can run into bigger problems.
Stop spreading bad and outright wrong advice on the internet.
Yes that is true. People are being asked to provide additional collateral as houses have fallen 30% since lastbyear
google NotDoug
Newbie
Feb 2, 2018
42 posts
20 upvotes
Luckyinfil wrote:
Feb 20th, 2018 5:06 pm
Yes that is true. People are being asked to provide additional collateral as houses have fallen 30% since lastbyear
30%? Closer to 20%, isn't it?
Penalty Box
User avatar
Aug 11, 2005
3745 posts
1089 upvotes
As expected, sellers will cave in before buyers when there is more and more financial pressures. Buyers will continue to wait and watch prices plummet
google NotDoug

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