Updated: Aug 23
Happy Canada Day!
It is easy to focus on the problems we have here in Canada, but at the end of the day, I believe this is an excellent country in which to raise your family, spend your time, and invest in your future. It is just as important to celebrate all the great things about this country as it is to point out the areas where we could improve. I hope you enjoyed your weekend as much as we did! My son loves tractors, so I took him to see the antique power show this weekend. Tractor pulls, train rides, ice cream, and a steam-powered tractor (above) really made his day!
It seems the "steam" really came out of inflation, as the latest CPI data shows an annual increase of 3.4%, down a full percentage point from last month. It's important to note that if mortgage interest costs were removed from headline CPI data, we would be at 2.5%. This is leading some economists to call for a halt to interest rate increases; however, the majority seem to expect another 0.25% increase on July 12th.
I have yet to meet someone who has owned a home for 10 years and regrets purchasing it. That's important to note when prices are falling and the cost of homeownership is rising. Real Estate is a long-term wealth generator, not a short-term get-rich-quick scheme. Those who can position themselves to weather the inevitable storms won't regret it.
A common objection people have to investing in real estate is that it is too risky. I would be lying if I said there weren't risks, but there are risks in doing nothing as well. A large public sector pension firm recently put out this note to their pensioners: "... for all pensions earned after December 31, 2022, annual indexing (to inflation) could be reduced (i.e., to less than 100% of CPI) or eliminated entirely."
Is real estate safer than a pension? If you pay into a pension your entire life, you want the money to be there when you retire. If public pensions are no longer guaranteed to be safe from inflation, it is time to take control of your future. Think of real estate as your personalized pension plan; it might be safer!
Interested in learning about how real estate and development might fit into your investment goals? Please select the button provided below, and I'll be in touch!
I'd love to hear your thoughts on this! Have a great week while working past those obstacles on your climb to success. Let's Grow Together!
Real Estate Investor and Entrepreneur
Jonathan Beam is a real estate investor in the Niagara region who is passionate about helping you achieve financial freedom through real estate. He works with new and experienced investors to formulate a plan that fits your specific situation and provides market guidance and consultation on the best places and strategies to pursue within the Niagara Region. Book a free, half hour no obligation consultation to see how he can help you to achieve your goals. His travels are available at www.realestateandrepeat.com
For a free market analysis on 2 markets within the Niagara region that we are currently investing in, please visit the home page and fill in the contact form at the bottom for your free report!