Robert and Natalie Hawkins are packing up their belongings to move out of their first house. Rapidly-changing market conditions forced them to sell for far less than they had hoped.
They've since finished the basement, landscaped the backyard, put in a fence, a deck, a patio, and stainless steel appliances. "Things went up too far. They went up too fast," explained Garth Turner, a financial advisor, author and a former member of Parliament.'You can't have an asset go up 30 or 40 per cent and stay there,' says financial advisor, author and former MP Garth Turner
Combined with exceptionally low mortgage rates — some could briefly be had for under two per cent — and an influx of government money through pandemic relief programs, this perfect storm caused prices to soar by 30 to 40 per cent, said Turner.
The story should have been how these people doubled their money on their house in 7 years. Bought it for $350k ,Sold it for 790k. I guess feel good stories don't sell advertising?
When you sell high, you’re buying high too. Too many people bought at inflated prices and they’ll be in a world of hurt when their mortgages come up for renewal. 2% interest rates will be 4%. Can they afford double their previous mortgage payment? Recession incoming in 12-18 mos.
We were able to put 100k deposit on another house and pondered keeping both. We are deeply saddened that a doubling of our home value was not enough. Wtf. People can’t afford homes or food rn
tinyviolins
I look at the house and see a constructed contractor price of about $110,000 sitting on a postage stamp size lot. No way I would pay more than $200,000 for it. Its not worth the value. Banks need to stop loaning out hideous amounts on an asset they can never recover.
I'm a bigger fan of CBCRadioCanada but it's 'news' like this that makes me think that maybe the CBC does need to have it's funding cut!
'Won't someone PLEASE think of the poor investment property owners?' Cry me a river, you vultures
You bunch of absolute MAROONS. You expect us to feel SORRY for this couple who more than doubled their investment in 6 years, and who now get to move in to a BIGGER house up the street? Normally, the CBC is top shelf; this is bottom of the birdcage.
''We figure we lost about $150,000,' said Robert Hawkins. 'I know we didn't 'lose it' because it was not ours, right,' said Natalie Hawkins. 'But to not earn as much as other people have earned three weeks earlier … that's a lot of money to miss out on.'' I mean, C'MON!
'We realized a $390,000 (115%) tax-free profit on our house in 7 years. uuuuuuugh, life is so unfair.'
Are you starting to get the sense that this article and story are a very, very bad idea, and is in very, very poor taste? You need to pull this.
Welcome to the market.
Free Tamara
I hope the tenant they get takes a massive dump on their new floors
This is an embarrassment
Dear CBC, I think you should be focusing on the fact that people in this city can barely afford the skyrocketing price of rent and not a couple who 'didn't make as much profit as they wanted' and we're still able to buy a 4 bedroom house with a 2 car garage...
This is so insulting.
No sympathy from me either. They made easy money in no time off of market “froth”. $740k is still too high a price to pay for an average Ottawa house. And interest rates, which are still historically low, will still be going up, with inflation at 8%.
Dumbest article ever
Not price drops,yet, just readjusting to real market value
Oh CBC.... seriously? There is a homeless crisis and these people didn't make enough money that they 'expected'. We are supposed to Feel sorry they only made $400k?! Do better.
Holding steady
This story was a bad idea.
Should we start a Go Fund me? They only made $400k, how are they going to manage.
When I’m trading the market I wish I was trading against the people of Ottawa
Are we supposed to feel sympathy for people who doubled their investment in a time where an entire generation can’t afford to even make the initial one?
lol
you seriously wrote an article about a 'poor couple' who ONLY made 400K in profit on a home they owned for 6 years........jesus man, that poor poor couple, hope they don't have to live in a box now