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Vancouver is liveable if you're happy renting and a software engineer. Buying is unaffordable but if like me you have no desire to own property that's not a maj

Vancouver is liveable if you're happy renting and a software engineer. Buying is unaffordable but if like me you have no desire to own property that's not a major problem. Wages in tech are low compared to the major US tech hubs. That can be an advantage if you contract for US companies as I've been doing recently tho.

chebum 10y ago
Why are you ok with renting?
- mattnewport 10y ago
  I wonder why people are ok with buying. For most people buying a house is a bad investment. Unless you're very wealthy a house is going to represent a big chunk of your net worth which means you're not going to have a diversified portfolio and you're going to be borrowing money to buy it. Few ordinary investors would contemplate making a highly leveraged investment in the stock market but seem to think it becomes a good idea with housing. Historically housing also tends to underperform the stock market when you take all costs into account (taxes, maintenance, strata fees, etc.). It's also a highly illiquid asset and tends to correlate with economic conditions (e.g. in an economic downturn you risk losing your job and facing a negative equity trap to move to find another one). Some people derive enjoyment from owning their own home and if that's the case then maybe the financial downsides still make sense for them. For me I'd rather not have any of the hassles involved with home ownership and let my landlord deal with them. Personally owning a house seems like an unappealing prospect and it would have to be not just a neutral financial decision but a heavily net positive one for me to consider it.
- Zachery 10y ago
  In some cases in some cities in Canada, and where you are living you can rent and save and be ahead compared to buying in the current market. The savings can be used to fund investments which make you more money. In TO and the surrounding areas a fully detached houses start around 750k, and in the core can be way more expensive. Average home price is heading (or is over) 1m CAD. I can get a shoe box condo (1b/studio) in the "close" burbs for mid-high 200-300k. A real house, detached that is nice, about 1.5 hours away approaches 200-300k.
theseadroid 10y ago
I've been lucky to have a nice landlord for a while until he sold the rental unit, then the new landlord started charging more for laundry/parking/anything the law allows. He also tried his best to increase rent. You must have heard that the ultra low vacancy situation leads to rent bidding wars and whatnot[1]. The renting market is current a seller market. Being a home owner you have to be in the market once. One good rational decision and you are set. Being a renter means being the buyer all the time. At least for me I dont want to spend the extra time to learn the skills to be an expert renter and try to outsmart the landlord year after year. [1] http://www.cbc.ca/news/canada/british-columbia/vancouver-rental-market-bidding-war-1.3680027 http://www.cbc.ca/news/canada/british-columbia/vancouver-ren...
- mattnewport 10y ago
  Protections for renters are pretty strong in Vancouver, there's not much landlords can do to increase the rent faster than the cap. I don't really know what you mean by being an expert renter, certainly there are far fewer things you need to know about to avoid being burned than if you buy a property. In the modern world I know of very few home owners who are in the market once. Most people have housing needs that change over time: marriage, kids, job changes (wanting a shorter commute), changes in financial situation. It's generally easier to adapt to those quickly as a renter. Nowadays I tend to go for furnished rentals. I don't have any more desire to own most of the contents of housing than I do to own the property. That means moving is relatively low cost and effort if my housing needs change.

chebum 10y ago

Why are you ok with renting?

mattnewport 10y ago
I wonder why people are ok with buying. For most people buying a house is a bad investment. Unless you're very wealthy a house is going to represent a big chunk of your net worth which means you're not going to have a diversified portfolio and you're going to be borrowing money to buy it. Few ordinary investors would contemplate making a highly leveraged investment in the stock market but seem to think it becomes a good idea with housing. Historically housing also tends to underperform the stock market when you take all costs into account (taxes, maintenance, strata fees, etc.). It's also a highly illiquid asset and tends to correlate with economic conditions (e.g. in an economic downturn you risk losing your job and facing a negative equity trap to move to find another one). Some people derive enjoyment from owning their own home and if that's the case then maybe the financial downsides still make sense for them. For me I'd rather not have any of the hassles involved with home ownership and let my landlord deal with them. Personally owning a house seems like an unappealing prospect and it would have to be not just a neutral financial decision but a heavily net positive one for me to consider it.
Zachery 10y ago
In some cases in some cities in Canada, and where you are living you can rent and save and be ahead compared to buying in the current market. The savings can be used to fund investments which make you more money. In TO and the surrounding areas a fully detached houses start around 750k, and in the core can be way more expensive. Average home price is heading (or is over) 1m CAD. I can get a shoe box condo (1b/studio) in the "close" burbs for mid-high 200-300k. A real house, detached that is nice, about 1.5 hours away approaches 200-300k.

theseadroid 10y ago

I've been lucky to have a nice landlord for a while until he sold the rental unit, then the new landlord started charging more for laundry/parking/anything the law allows. He also tried his best to increase rent. You must have heard that the ultra low vacancy situation leads to rent bidding wars and whatnot[1]. The renting market is current a seller market. Being a home owner you have to be in the market once. One good rational decision and you are set. Being a renter means being the buyer all the time. At least for me I dont want to spend the extra time to learn the skills to be an expert renter and try to outsmart the landlord year after year. [1] http://www.cbc.ca/news/canada/british-columbia/vancouver-rental-market-bidding-war-1.3680027 http://www.cbc.ca/news/canada/british-columbia/vancouver-ren...

mattnewport 10y ago
Protections for renters are pretty strong in Vancouver, there's not much landlords can do to increase the rent faster than the cap. I don't really know what you mean by being an expert renter, certainly there are far fewer things you need to know about to avoid being burned than if you buy a property. In the modern world I know of very few home owners who are in the market once. Most people have housing needs that change over time: marriage, kids, job changes (wanting a shorter commute), changes in financial situation. It's generally easier to adapt to those quickly as a renter. Nowadays I tend to go for furnished rentals. I don't have any more desire to own most of the contents of housing than I do to own the property. That means moving is relatively low cost and effort if my housing needs change.