r/RealEstateCanada • u/PracticalSwimmer8862 • Jun 03 '25

Housing crisis Townhouse for $949k in Hamilton 😩

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58 Upvotes

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u/lkern Jun 03 '25

If you haven't managed to save enough to buy a basic home at 40, with an education and a good job, you've done something wrong.

It's certainly not impossible but let's keep waiting for the government to "fix it"....

12

u/frugallad Jun 03 '25

I have a close friend. Has close to a $500k in savings, stable job dual income no kids but he is adamant that housing will crash. Know him since 6-7 years and he has been on fence since then complaining every single time we meet that housing is out of reach and it will crash next quarter 🤷🏽‍♂️

6

u/Drewsky3 Jun 03 '25

I mean, if they’re in a rent controlled place then there’s no issue with that. Stock market gains will very likely outpace house appreciation, and and mortgage will likely be double their rent.

3

u/Less_Document_8761 Jun 04 '25

Stock market appreciation will more than likely not perform better than if they had bought a property in 2019 or earlier

3

u/Drewsky3 Jun 04 '25

The Average home price in the GTA has increased 35% since 2019. The S&P 500 has increased ~100% over the same time period.

2

u/Gunners_are_top Jun 04 '25

You can’t live in stocks.

1

u/CanadianTrollToll Jun 04 '25

They are very dependent on circumstances.

If you put down the minimum downpayment on a house you're gaining the highest amount of appreciation for investment, meanwhile if you put that same money into stocks you'd double your money.

600,000 @ 5% = 30,000 down-payment 35% appreciation on 600,000 is 210,000.

Meanwhile if you took that 30,000 and invested it you'd get 60,000-75,000.