You really get the feeling the government is worried about the world of house ownership. The new rules being proposed about having new mortgage folks (in January) have to pass a “torture test” (Guideline B-20) will cause fewer mortgages to be approved (maybe). I like the rules, it makes it harder for folks to truss themselves into a financial bind. Real Estate Agents (i.e. New and Used House salesfolk) are displeased by these new rules, and it remains to be seen what interesting tactics will be used when the new rules come into place. Am I implying there will be “workarounds” for the rules put in place? Yes, that is how the system seems to work. Should be an interesting New Year in the housing world.
It was funny the first time I read the new rules I thought it was protecting the lenders (banks and such), but most pundits seem to think it is in place to protect the borrowers? I guess it protects both, however, we really won’t be able to tell for a while.
Gord Downie’s passing is a sad event. I was never a huge fan of the Tragically Hip, but I do enjoy their music. Mr. Downie’s battle against cancer was astounding to watch. He refused to give up, and simply fade away, he kept on going and for showing that kind of strength he should be admired. The world is a less interesting place with Mr. Downie’s passing.
Bombardier signed a deal with Airbus that will make their new C-Series Jets “American made”, which is an interesting way to get around the 300% levy being proposed in the States. Is this going to be a good move for them? Again, only time will tell, but the markets seem to think it was good (Bombardier and Airbus stocks are both up).
I do think that Pessimists Make Better Financial Planners, and the new rules for house buying seem to agree with my statement. So many folks I know are far too optimistic in their financial plans, and inevitably something derails those plans.
Happy Thanksgiving Canada shows off one of the finest turkeys with a bacon weave that you will ever see. Yes my wife cooked that turkey (a while ago), and it was delicious. The only question is how to get more bacon on the turkey?
Payroll Donations at Work came up when I tried to make my payroll donations directly to my Church and found out just how much is taken from my donations as “management overhead”. I am not trying to stop you from being charitable, just want to make sure all the money you give goes to those who need it.
Micro Blogging on Finance
Autumnal Fun with Money 🍂
The autumn is here, the weather in Ottawa does not seem to reflect the season yet. Quite warm for October, but I am sure the cruel short days of November may bring ill weather.
- We bid a fond farewell to the Author of the Canadian Capitalist, he has retired from financial blogging and has sold his site. CC was always a great site for investing ideas, it is where I found the Sleepy Portfolio.
- Black Monday, the first major stock market adjustment of my Adult life, and it was a big one. Luckily I have lived through many more of these adjustments? Was it really 30 years ago?
- Dan B. writes in the Globe & Mail, It’s time to stop bashing index funds, I didn’t know folks were bashing Index Funds. I keep hearing how boring it is to invest in Index Funds, I’ll take that boring every day of the week, after living through the great Nortel Debacle.
- Kerry K. from Squawkfox brings us 5 Steps to a Fall Financial Checkup , it is that time of year again. Get your house in order before the holiday spending debacle.
- Blessed by the Potato brings us more perspective on the Rent vs Buy Decision, and more detail on the subject as well.
- The Blunt Bean counter hinted to me he might be thinking of slowing down, but he continues to punch out more useful financial prose with Tax Efficient Investing – Part 1 . Always worth having a read.
- There still seems to be many folks Cheerleading for Home Ownership, but Michael James does his usual more complete analysis of the actual cost of home ownership. He would be an excellent loan officer (in my book, but I suspect the finance industry does not appreciate his candour).
My Music at Work
Gord Downie and the Tragically Hip have many great message songs, but my favourite is a simple hard-driving tune, that I sing along with when it is on the radio.
End of 2017 Random Thoughts
- Halifax Ikea, New Tax Plans, Pumpkin Spice ETFs and #MoneyTalk (September 29th)
This Quarter Random Thoughts
- Summers end, Taxes, Doomsday Insurance, Uber and #MoneyTalk (September 15th)
- Rates Up Trend, Summer Holidays, High Gas and #Moneytalk (September 8th)
- Farewell PC Financial, Summer Holidays, Bat Guano and #MoneyTalk (August 18th)
- Paying Children to Move out, Sears, and #MoneyTalk (July 28th)
- Rate Reactions, Mortgage Double Ups, Bad Cycling and #MoneyTalk (July 21st)
- Keep Calm and Pay Off Your Debt and #MoneyTalk (July 14th)
2nd Quarter Random Thoughts
- #Canada150, B of C Rates, and #MoneyTalk (June 30th)
- Donuts, Graduations, Summertime and #MoneyTalk #Canada150 (June 23rd)
- Bank Profits, Loose Money, Used House Salesfolk and #MoneyTalk (May 26th)
- Avocado Toast, Victoria Day, Ransomware and #Moneytalk (May 19th)
- RDSP, DTCs, Mother’s Day and #MoneyTalk (May 12th)
- Thanks Prince Phil, More Old Than Young and #MoneyTalk (May 5th)
- MLM, Balanced Budgets, and #Moneytalk (April 28th)
- Overheated Housing Market, Rent Controls and #MoneyTalk (April 21st)
- Ladies on Panels, Good Friday, Friendly Skies, Loose Money and #MoneyTalk (April 14th)
- Tax Time, Housing Bubbles, Financial Easter and #MoneyTalk (April 7th)
1st Quarter 2017 Random Thoughts
- April Fools, High on Life and #MoneyTalk (March 31st)
- Ho Hum Budget, Brackets Busted and #MoneyTalk (March 24th)
- Naughty Banks, March Madness, Big Snow and #MoneyTalk (March 17th)
- Teller Upselling, Auto-filling Taxes, Spring Forward and #MoneyTalk, (March 10th )
- Lent Begins, Loose Money and #MoneyTalk (March 3rd )
- RRSP Season, Tax Time, and #MoneyTalk (February 24th )
- Farewell Vinyl Café, Snow, Monopoly and #MoneyTalk (February 17th )
- RRSP , Tax , TFSA , RESP, and RDSP Time and #MoneyTalk (February 10th )
- Year of the Fire Rooster, Financial Groundhog Day and #MoneyTalk (February 3rd )
- Alternate Financial Facts, 1984 and #Moneytalk (January 27th)
- Bungled Mortgages, Friday the 13th and #Moneytalk (January 13th)
- Merry New Year, CPP, EI and #MoneyTalk (January 6th)
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