Bank Sales to the MOON, 2024 Canadian Real Estate Market

Power of Sale real estate listings continue to trend up and pile up across Ontario as the economy splits in half. I have to latest stats from Ontario showing what happening on the ground with bank sales and defaults. Also, builders and developers claim they can't build homes at the insane prices, I say you can and we can do it cheaper. #realestateinvesting #foreclosure #realestatemarket #housingmarket

[CarlAcevedo-scbl]

It’s crazy how power of sale listings keep piling up! The real estate market is splitting right in front of our eyes

[Llilllneek]

You are absolutely right Jon. Canada is a big country with a lot of land and the land shouldn’t cost that much. Everybody and anybody should be able able to purchase the property without spending almost all or a huge chunk of the salary in housing costs. Houses/ housing is meant for living and providing us shelter, not speculation !

[donnicholson]

Good info as always! Until the house price to household income ratio gets back to even 2:1 people are screwed. When I bought my first house in 1984 the ratio was 1.2:1. My wife and I made about $55K/yr total and a 10 year old 1500 sqft house in stoney creek cost $65K. New serviced lots (also stoney creek) were $30-35K. We are so far away from that world now.

[djdanb]

Just finished a build in East Port Weller (St.Catherines) and i priced to build the house at $420, 000. We had 9' ceilings basement and main floor and 8' top floor. Thats with a finished basement as well, shoring one wall for concrete pour, 2 red oak staircases, custom kitchen from Oakville, 3.5 baths, laundry upstairs, engineered wood siding, black windows from Turkstra and metal cedar soffits. That was to build only. Lot was $350, 000 with a tear down on it right across the street from the lake. Permits were extra, soil sampling and environmental fees were extra, architect extra. House was 2100 sqft and this was custom. I also have a buddy in Burlington building a 12, 000sq ft and he says he's around 350 sw ft. These other numbers are insane. If you want a new home, buy an old house, tear it down but keep one wall up and its considered a renovation.

[JS-jhcy]

Yes real estate agents push prices up, almost instantly if anything in the neighborhood goes over asking but very slow to reduce prices if anything get sold just below asking price

[rge]

I'm just finishing up a house build in the Gananoque area. It is a small (1, 250 sq ft) bungalow in cottage country. I paid $250K for the land with a lake view. It costs me $300K to build the house, so $240 per sq ft. I did 90% of the work myself and tried whenever possible to keep costs down. Building a house is expensive. It's easy to sit back and run the nmbers in a video but much different when yoi're actuallly building.

[inthezoneeeechief]

People are still paying 50-100k over asking in my area (keep in mind the houses are already overpriced compared to the 2019 prices). I have also noticed with help from my real estate agent that when a house sells for over asking new similar listings are all priced at that over asking amount or very close, most with different real estate agents. I think my City is extremely corrupt with the real estate tbh, ie: price fixing and collusion.

Its just crazy that people think it is a good investment to keep paying these over asking prices when just 6 years ago prices weren't anywhere near that for a similar home. I am trying to buy my first home but I am not going to throw my money away with these crazy people, i really hope things are able to return to fair prices.

[Peter-szsn]

Excellent point about taxes. I wonder if Freeland would call it "gentle tax" ...

[marcw]

Nicely laid out Jon. We need more in-depth videos on building and developing. Pulling back the covers to expose the profitability and potential gouging of new homebuyers could make a difference.

[bman]

Fuck yeah Jon! Keep calling it as you see it!

[therose]

Great broadcast Jon! Thank you for the informative analysis! We never miss you videos! 👍

[mikehogan]

I really like this analysis, Jon. Well done. I’d like you to go a step further, and show the profit margin inherent in new builds being offered by developers. Am I wrong, or have they been making a FORTUNE on these homes? It strikes me (i) that competition is not alive and well, if developers can charge these kinds of prices, and (ii) there’s a lot of room for house prices to drop, even allowing for decent profits for developers. Can you please illuminate these issues further?

[SquarishLink]

Nicely laid out, looks like prices can dip by a good 20% still and developers will still turn a profit. It is insane we pay HST on homes as its a necessity. It is also insane how high land costs are.

[maxmiller]

Hey Jon just built a house/secondary unit (duplex) Built in Loyalist township (Bath Ont)Trade prices are crazy, Land cost me $210K, then comes the BS from the township (the biggest headace and stress) and there fees were $36k. Right now dealing with there grading BS, it cost me $6k do do a grading plan and then just found out i have to get that engineer to sign off on it another $4k and iv i have to bring the excuvator back to get it to within 1inch of the design (YUP you read that right) this is BS, to grade a lot (which i have not had to do in the past) will cost $20k to do a house I will not build anything This is so i hope house prices go to the moon if people keep electing these people. Cheers.

[mike-xhq]

I can't recommend Shellane Maxwell enough! With her expert guidance, I successfully flipped my first property and made a profit of $80, 000. She provided invaluable insights on market trends and investment strategies that truly made a difference. Thanks to her, I feel confident in my real estate investments and excited about my financial future!

[LeftyLefty]

Buy High, Sell Low - welcome to the real world for the average person haha

[ikocadcam]

Best way to save on land is to start a brand new "one million people city" on 1000sqkm in remote area. When we finish it will not be remote beacuse it is a big city. All communications including underground should be built before any house is built. Capital city of Brazil was built that way ...

[geoffsmith]

Greed during the pandemic and we are still suffering. It should have never happened and there is no reason for it to continue except GREED

[antb]

One of my favorite of your videos. There needs to be more nuanced discussion of this topic. I would have added some financing costs item as money isn't free during the building period (say 10 to 18 months). Speeding up this time would also reduce costs. Maybe another video on this topic?

[sovereignty]

7:47 A three-bedroom bungalow in Campden, Ontario, for $1M. Absolutely insane.