Real Estate

Short Seller calls out Van and GTA markets ...

  • Last Updated:
  • Mar 21st, 2017 7:22 am
[OP]
Member
Jul 3, 2007
331 posts
287 upvotes

Short Seller calls out Van and GTA markets ...



Has the balls to call the 2 biggest markets what they really are , a foreign money speculation and washing tool..... unlike most media and politicians out there....

He's up a massive amount of money on his Home Capital (Hometrust) short sell too.... with Equitable not far behind....puts his money where his mouth is
27 replies
Sr. Member
Dec 5, 2015
827 posts
228 upvotes
Thornhill, ON
joepipe wrote:
Mar 17th, 2017 9:40 am


Has the balls to call the 2 biggest markets what they really are , a foreign money speculation and washing tool..... unlike most media and politicians out there....

He's up a massive amount of money on his Home Capital (Hometrust) short sell too.... with Equitable not far behind....puts his money where his mouth is
How is he putting any money where his mouth is? How is he putting his money on the table to backup his assertions?

Please do share
Deal Addict
Jul 6, 2005
2945 posts
507 upvotes
Toronto
meh.... he must be best friends with Garth Turner. Spewing the same garbage rhetoric... 80% crash? really?

Say anything to get your 15 minutes (more like 7 minutes, here) of TV air-time/fame.
[OP]
Member
Jul 3, 2007
331 posts
287 upvotes
Doubleshot wrote:
Mar 17th, 2017 9:51 am
How is he putting any money where his mouth is? How is he putting his money on the table to backup his assertions?

Please do share
he shorted millions worth of Hometrust stock last year and its down 50% since he did that ... hes raking in the profits now ..

Hometrust is the biggest sub prime lender in Canada, with massive exposure in Toronto and Vancouver RE....

hows that for putting YMWYMI ??

Sr. Member
Dec 5, 2015
827 posts
228 upvotes
Thornhill, ON
joepipe wrote:
Mar 17th, 2017 10:32 am
he shorted millions worth of Hometrust stock last year and its down 50% since he did that ... hes raking in the profits now ..

Hometrust is the biggest sub prime lender in Canada, with massive exposure in Toronto and Vancouver RE....

hows that for putting YMWYMI ??

Ummm..He shorts a stock with poor fundementals...How is that in any way related to what he's talking about now? Or putting where his mouth is to bet on drop on re prices?

They're completely different things
I made huge amount of money buying AC and RCCL stock...But how does that have anything to do with me putting money where my mouth is if I said RE prices were going to drop/rise or whatever?

They're completely independent and not related

The guy made zero money and has made zero commitments with his money on a drop in re prices

He's done opposite of putting money where his mouth is

You're really grasping at straws here
[OP]
Member
Jul 3, 2007
331 posts
287 upvotes
Doubleshot wrote:
Mar 17th, 2017 10:40 am
Ummm..He shorts a stock with poor fundementals...How is that in any way related to what he's talking about now? Or putting where his mouth is to bet on drop on re prices?

They're completely different things
I made huge amount of money buying AC and RCCL stock...But how does that have anything to do with me putting money where my mouth is if I said RE prices were going to drop/rise or whatever?

They're completely independent and not related

The guy made zero money and has made zero commitments with his money on a drop in re prices

He's done opposite of putting money where his mouth is

You're really grasping at straws here
Really ?? you make zero sense....look what he shorted , its completely hinged to RE prices

check your straws again....
Member
Sep 16, 2009
262 posts
83 upvotes
joepipe wrote:
Mar 17th, 2017 11:33 am
Really ?? you make zero sense....look what he shorted , its completely hinged to RE prices

check your straws again....
Yeah its overvalued - who knows how much though - but realistically, if you have only one home, and you are not close to retiring, selling the house is not a realistic option. For speculators/investors and buyers on the side - its a different discussion.
Sr. Member
Dec 5, 2015
827 posts
228 upvotes
Thornhill, ON
joepipe wrote:
Mar 17th, 2017 11:33 am
Really ?? you make zero sense....look what he shorted , its completely hinged to RE prices

check your straws again....
He shorted a B lender which was affected not by any drop n re prices but in their poor business practices

Re prices didn't cause drop in that stock...poor risk management and provision of bad loans caused it to drop...Nothing to do with re prices which has continued to rise
[OP]
Member
Jul 3, 2007
331 posts
287 upvotes
Doubleshot wrote:
Mar 17th, 2017 11:56 am
He shorted a B lender which was affected not by any drop n re prices but in their poor business practices

Re prices didn't cause drop in that stock...poor risk management and provision of bad loans caused it to drop...Nothing to do with re prices which has continued to rise
my point is any housing price correction and that stock price gets even worse...
Newbie
Jun 30, 2009
60 posts
28 upvotes
I think the issue of the fundamentals of their lending practices. Are revenues down compared to year over year? Was there any notices served by the osc? What's their balance sheet like? Loans performance?
Jr. Member
May 26, 2008
112 posts
134 upvotes
Doubleshot wrote:
Mar 17th, 2017 11:56 am
He shorted a B lender which was affected not by any drop n re prices but in their poor business practices

Re prices didn't cause drop in that stock...poor risk management and provision of bad loans caused it to drop...Nothing to do with re prices which has continued to rise
It is true that the HCG is having issues mostly due to poor fundamentals and poor management. The reason it may have something to do with the RE market is that they were plagued with mortgage fraud, which CMHC was in position to investigate and act upon, but didn't. If it turns out that the HCG issue is a symptom of a much graver disease, then this would point to a much less stable Canadian financial system than we would have otherwise assumed. Don't forget that our financial instutions are heavily invested in real estate, in the form of mortgages, mortgage insurance, HELOCs, etc.

TLDR here: http://www.holypotato.net/?p=1764
Sr. Member
Dec 5, 2015
827 posts
228 upvotes
Thornhill, ON
joepipe wrote:
Mar 17th, 2017 12:00 pm
my point is any housing price correction and that stock price gets even worse...
Yes but there hasn't been one and the guy made his money not by shorting housing market but by shorting company with poor fundementals

And he most certainly didn't put any of his money on the table or where his mouth is with regards to drop in re prices

He shorted a stock with poor fundementals and practices that dropped with nothing to do with re prices
Sr. Member
Nov 18, 2014
605 posts
374 upvotes
Toronto, ON
Doubleshot wrote:
Mar 17th, 2017 12:44 pm
Yes but there hasn't been one and the guy made his money not by shorting housing market but by shorting company with poor fundementals

And he most certainly didn't put any of his money on the table or where his mouth is with regards to drop in re prices

He shorted a stock with poor fundementals and practices that dropped with nothing to do with re prices
You can't short the housing market in canada. Shorting b lenders is as close as you can get.
Deal Addict
Mar 15, 2005
4850 posts
412 upvotes
rkanwar109 wrote:
Mar 17th, 2017 1:48 pm
You can't short the housing market in canada. Shorting b lenders is as close as you can get.
You can short REITs, but those are mainly commercial buildings.

I supposed you could short the banks, but mortgages are just a portion of their business.

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