Canada officially enters recession

Its not all doom and gloom.

Only 1 out of the 6 largest economies in the world is not growing (Japan) The rest are mixed but still growing. The US (increasing) , China (slowing), Germany (stable) , France (weak) and UK (increasing )

 

I do like some of the 'doom and gloom' every so often, namely when I want to do some serious buying

 

yeah good call. I must admit to taking a keen interest in the share market of late and having been placing lot of buy trades. On the RE front, have been sniffing around Perth for quite some time looking for some bargains.

 

well according to the market sentiment in Perth there are some bargains.. I only worry its still too early to buy (a standard ip) and then wait for the next growth phase..

 

Totally agree

 

What happens in a recession? Job losses? consumer confidence down? what does that lead to? a lot of sales. I imagine people would panic as much in a recession and sell quick as they do during a boom and buy for FOMO.

Looking at the GFC, even though it barely impacted Australia, if you look through realestate.com.au and sort through lowest to highest of sales in a particular suburb you'll find that the lowest sale price was generally 2008/09.. Sydney then boomed slightly after that period but what happens externally influences us here. Banks will get tighter than now.. You'd hold on to everything but if a crapload of jobs are lost it aint gonna matter if you're in a high demand or a low demand area cause all will be low demand.. Not many people will be buying unless something stimulates their thoughts and emotions to make em buy...like a first home owners grant on established properties, like what happened after gfc. In saying all this, unless a recession is announced in the media, not many people have a clue as to how other countries affect our markets so it won't have a negative effect... i'd say 9/10 everyday people would have no clue actually..

 

I hear what your saying mate. I just don't buy into that. Even if your right, I still wouldn't buy into it. Cant afford to. Affects the mind too much imo. Some will call me ignorant. That's OK by me, as long as I am ignorantly moving , always moving, for better or worse.

 

Yup..that's the key...always keep moving in the right direction.

 

Well right or wrong direction, I decided long ago I am gonna keep moving. If life is gonna beat the Sheet outta me, then its gonna be on my terms.

 

Yeah..that's fine.. Better than not moving at all.

 

Yes, it is too early IMO.

 

I think it's possible to buy into what I'm saying and come out the other side rich. You can buy properties now, go through recession and rebound back in 2 years. I wouldn't stress. Like you said, keep moving forward. Only time I would stress is if i'm putting all my money into property and none into my own business, which is quite attractive at this moment and very tempting haha

 

I've always wondered. Is that profile pic of you? haha

 

@ej89 hi mate. Yes agree mate., I think I may have misunderstood. What I really meant was I just don't put too much emphasis on other countries. Even in Australia when there are hard times I just see it has opportunity and try not to overcommit my position. But I agree with you that we can go though hard times and still do well at the other end. What business do you have mate?

cheers

 

Rebound after 2 years??? I dont think so, we are coming close to markets peaking, the problem is when property markets crash they don't crash for 2 years, the bust cycles are much longer, more like 7+ years. If you are holding negatively geared properties you are going backwards because your properties will fall in price during this period and you are paying interest and you have no growth for many years.
Better to time the markets from my experience.

MTR

 

Been asked this a few times now, they are my daughters
I was a child bride and I am sticking to that story.

MTR

 

Are they into property investment too?

 

The eldest is interested in pursuing this when she gets back from O/seas late this year. The other fearful and not at all interested.

 

1/2 is not bad

 

I'm an exercise physiologist. Currently have a business where I work in medical centres. Starting another business to teach health professionals, especially Uni students, how to run type 2 diabetes programs for patients.