1,800 to rent a when does the forex market open after christmas 2012 bedroom-plus-den apartment in a swishy downtown condo in Toronto. 13 more a month to live in the same unit. Why the hell would anyone do it?
After all, buying a condo is not like scoring a house. You don’t own any actual dirt. If the pipes on the 15th floor burst, then your 10th floor unit is toast. Worse, if the building needs new plumbing in 15 years, you could face a special assessment of gargantuan proportions. You can never add a room or a window. And how are these things being sold?
Tens of thousands of them, imperiling the entire real estate market in cities like Vancouver, Calgary, Montreal and Toronto as legions of buyers assume liabilities they never expected, and discover losses they never imagined. He’s now the condo king of Canada. His marketing sets the tone for an entire industry. He has amassed significant wealth, and works at showing it. His rise from salesguy flogging cheesy waterfront boxes two decades ago to developer deity, TV star and the coolest guy in the room is legendary. But lately there’s more than a tinge of desperation in his message.
His weapon against a gathering storm of fear is simple. For Brad Lamb knows, greed works. 1,800 in the heart of 416. How could anyone walk away from that? Remove that from the equation, and you’re left with only the capital gain on the value of the unit, which in this market is probably phantom. In fact, with 63,000 more units in the pipeline, 5,500 resale condos currently for sale and 17,000 vacant, it’s a safe bet capital losses are more likely. Compared to the selling of liquid assets, flogging condos is a complete gong show.