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by epistasis
1532 days ago
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Compare your financial setting from massive financial gain versus not having it: you are immeasurably better off than the person that did not own a house during the same time period. You are also immensely better off than anybody who was born later and doesn't have massive family resources for the down payment. The rise in prices is the predictable (and desired) form of demand-side management thay results in market-based pricing of homes. In another comment you express the desire that people should live places other than Vancouver. That rise in prices gives you both financial power and the displacement of others that you desire. I think it's wrong. |
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Again: maybe. If I'd sold in 2006 I could have made a gain. But if I'd retired in 2008 after the housing crash and had to sell while the mortgage was underwater, there would have been no gain at all.
If I sold today I could make a profit but I can't sell today because I'm not at that stage in life so it's meaningless.
I'm still relatively far from retirement so there may or may not be another large housing crash between now and then (I think there will be but I don't have a crystal ball). So nobody can predict whether the paper gains I have on home value today will exist when I retire and sell. Personally I don't care because I don't keep a house as an investment, it's a home to live in and a stable place for my child to grow up in.
> You are also immensely better off than anybody who was born later
False equivalence. I'm better off than most 25 year olds, yes. I'm also far better off than my own 25 year old self who had a net worth deep in the red. This has nothing to do with year of birth. It's about stage in life. At 25 I'd just finished school and owned nothing but debt. Now a couple decades later I have the benefit of a couple decades of savings from my career.
> In another comment you express the desire that people should live places other than Vancouver.
I have not expressed such desire. I didn't desire to not be able to live in Manhattan. Giving up that dream hurt. But pragmatically it was a wise choice. I'm better off having moved to a cheaper place and built a life here instead of staying tilting at the windmills of the Manhattan real estate market that I could never crack.
Same strategy might work for someone tilting at windmills in Vancouver today. That's not a desire, just pragmatism.
> That rise in prices gives you both financial power and the displacement of others that you desire.
I desire no such thing. You keep putting words in my mouth that I never wrote, so I won't be responding tit for tat.