Episode 57 Transcript – Canada vs. US banking & buyers market

You’re live with Jessi Johnson. I’ve got some pretty good points today that I’d like to talk about. Everyone right now is complaining about the market in the States, how the whole world’s going to end and global this and global that. To run some quick examples for you in comparison to Canada, American versus the Canadian markets. America has 8,000 domestic banks. Voted number 44 or 45 in the world for banking stability. Pathetic. Canada on the other hand has 18 domestic banks, voted number one in the entire world for banking stability. If you look at the US banking stability in comparison with the Canadian, that might help alleviate some of the concerns that we’re all going to die just like the Americans. Now there’s a few points I’d like to talk about giving light to the current situation. We’re in the mother of all buyer’s markets. Sellers have had their edge for five years now it’s our turn, the buyer. Whether you’re buying to upgrade, move out of your current property, rent it out and purchase a new principal residence or just purchasing a new revenue property in general, bottom line is that it’s a great time to buy. Rates are still outstanding. Any rate below 6% you can’t go wrong. We’ve got one year rates, I’m not going to quote rates because that will make my video blog date sensitive. Rates are low, bottom line. The variable market is improving day by day. Further more we are expecting another quarter point drop in prime December 9th. That being said, buy, buy, buy, buy, buy. You can be crazy and not buy right now. I’m going to do everything I can to buy as many properties as I can in the next year because I’m buying it for cheap, undervalue and I’m going to make a lot of money when those properties come back up. Couple of other points I wanted to mention, everyone’s most concerned, I hear this all the time, they’ve lost $50,000 in equity. Ok, really. So if you sold your house, if you sold it today, then you could honestly say you lost $50,000 if you actually sold your house and lost $50,000 in equity. I myself have a half million plus dollar home and yeah I’ve lost a bit of equity but I technically didn’t lose any equity. It’s all paper, it’s all out in la la land. If I sold today, which I would not be doing at this point right now, I guess I would be losing money but I’m not. I plan on keeping the house for the next five years. I guarantee you in five years the market is going to be better if not I will be very, very, very surprised. That’s my word of the day. You can reach me at www.firsthomeinfo.ca or www.jessijohnson.com and my major, significant point is this is a good thing. Those who capitalize at the right time will do very well. It’s a very good time to buy. I can help you make some money. Have a good day.