Welcome to First Place Realty 650-2514 Sign in | Help
"Calgary Rip-Off" says buying is now cheaper than renting

Does everyone remember this pleasant and amiable fellow, "Calgary Rip Off?"

He was famous for his love of Calgary. He posted things like this:

"I personally consider this stupid city a stepping stone to somewhere else. My wife hates it here, and Im beginning to see the wisdom of what she has been telling me all along that its overrated, claustrophobic, too cold, etc, etc, not to mention having an extremely ignorant political climate. One last note, people in Calgary move slow, like cows. Maybe that is why they call it cowtown: Dumb and slow."

He also posted this last year:

"No one is holding a gun to my head telling me to rent in Hidden Valley, but Falconridge and Temple arent the type of places I want my daughter running around at. However, the attitude of people who bought their homes here when the houses were worth less than half their current value is disgusting and slimy. Total greed. All I am trying to do is get a decent house for $250-$310K. I dont think that is too much to ask knowing that houses when built in Hidden Valley were probably $180K."

Well, I see a house in Hidden Valley recently sold for less than $300,000: the actual price was $288,750. I'm thinking that he might have bought it and that's why we never hear from him anymore.

His payments on a house purchased for $288,750 would be a lot less than the $1650 which he was paying for rent.

With 20% down, 4% interest over 25 years, the payment including taxes(PIT) would be $1328.

Posted: Saturday, April 11, 2009 8:42 AM by Bob Truman

Comments

Really? said:

Comment deleted.

Hey you rude dude, go back and read the rules and try again. -Bob

# April 12, 2009 11:36 AM

Bob Truman said:

I was involved in a multiple offer situation yesterday on behalf of my buyer clients. House was listed on Friday at 9 pm. By Saturday at 2 pm there were three offers.

That prompted me to check the sales to see how prevalent multiple offers/overlists are. 10 single family homes have sold in the past three days for list price or higher out of 108 sales.

It was a solid home in a nice location and was listed for under $300,000. Getting a single family home in the inner city for that price was unheard of two years ago, so it's good to see buyers getting priced back into the market. Most listings in this price range are selling very quickly, however.

# April 12, 2009 2:25 PM

Really? said:

Comment Deleted

Go ahead and delete this comment too!

Okay -Bob

# April 12, 2009 6:51 PM

c9gunner said:

and better listings yet coming :-)

I sure hope so, especially in the lower price ranges. -Bob

# April 12, 2009 9:47 PM

Blast said:

Squidly over at the bubble blog is feeling lonely and forlorn. He wants you to make fun of him.

# April 13, 2009 12:25 AM

Bob Truman said:

During an exchange of comments on the blog last year, I attempted to help Calgary Rip-off locate a house for under $300,000. I said to him,  “From your earlier comment today that said you were looking to buy in Calgary for $270,000 but couldn't find anything, I see there are plenty of homes on the market in that price range. You could look up to $300,000 in this market. I see numerous nice single family homes in Erin Woods, Lynnwood. Lots of half-duplexes in Beddington. Tons of homes in the NE. – Bob”

Calgary Rip-off replied;

"They would have to pay ME to live in that type of situation.  I didnt complete three degrees(Bachelor, Master of Science, and Diploma of Technology) to live among gangs and low class scum. I remember living in conditions slightly similar to that on Vancouver Island.  I'd rather be dead than live in those rat holes."

# April 13, 2009 9:27 AM

MMJ said:

It's possible Calgary Rip Off lost his job and has bigger worries than the price of real estate. Or he got tired of being caught up in the debate (you took a few months of yourself if I'm not mistaken). While he is a bit over the top, i think it was just a visceral reaction to comparing a prairie city to something you'd find on either the east or west coast. If you grew up with ocean, lakes (ghost lake doesn't count) and trees, it takes a while to get over it, especially when you're playing the whole what would it cost at home game... My wife and I agonized over the same thing, albeit, more quietly the last couple of years too.

Personally, Calgary has grown on me, and if you accept it for what it is you'll be happy here. There is much beauty here, and hopefully once the newer communities have some trees grown up, the blight of urban sprawl will be somewhat masked. We did buy here, for about 15% below last year's list price, and about 10% below assessed. We're happy in our decision and wish people like Calgary Rip Off all the best in finding what works best for him and his family.

It seems your trying to bring controversy back to your blog, which i don't think helps the fair and balanced theme you try to convey.

Cheers,

mmj

Thanks for the comment. I was illustrating that even someone as negative as Calgary Rip-off could now buy for cheaper than he can rent.

He said some very disparaging words about Calgary and about me, despite the fact that I was trying to show him some positive features about Calgary. I pointed out some attractive areas where he could buy in his price range such as the NE and Lynnwood, but he could only think of cockroaches. I only know of one cockroach living in the NE. LOL

Fairness and controversy don't have to be mutually exclusive. It doesn't matter what I say, someone will take issue, so I choose to have fun with it. -Bob

# April 13, 2009 10:02 PM

Rick.C said:

Hey,

Its funny how it is way cheaper to buy right now and all, the propertiy owners who bought (drivng the cost up ) to rent the properties out to help pay for there mortagage are sure looking at them self in the mirror right now wondering what they did. Prices have drop a tonne (50000$) from last year thats like Ill give you an example alast year 2008 average price of a home was $474513 mortgage it 25yrs at 6.15 ( last years interests roughly)= $3078 Dollars for your mortgage, this year $420353 (march 2009) average 25yrs at 4.15= $2246. If you ask me that a load of savings. There is a guy who I workw ith who pays something like 2300 for mortgage and of course add the cost of own a house(utilities, taxes, repairs etc). Now think of this, yes his wife, but what if one of them had to go on disability at about 60% of wage. Lets says they want to go on a trip. Anyways I guess what Im trying to say is that how can you live in ahouse which doesnt allow you to do the things you love. For example me I love to SKI, Playing Hockey, Mountain Bike, and of course travel, Im only 23 and make good money and being pretty realistic when it comes time to buy, you need to live your life not worry about paying of your mortgage every month.

You're living in the past Rick. Get with the times. (I deleted your profanity. Consider yourself lucky because normally I would just delete the whole comment) -Bob

# April 14, 2009 6:52 AM

rj said:

"It seems your trying to bring controversy back to your blog, which i don't think helps the fair and balanced theme you try to convey."

I agree. The title is pure fabrication (Calgary Rip-Off said nothing of the sort), and the rent/buy comparison is badly flawed:

- it is between last year's rent and this year's purchase price

- it is between two homes that are quite likely very different

- it assumes a sizeable downpayment, without accounting for the opportunity cost of that downpayment in the rental scenario

- it includes taxes, but neglects to include the other costs of ownership (insurance, maintenance, etc)

etc

C'mon Bob, I'm sure lots of people would love to see a real rent/buy comparison - no need to drag up a long-dead argument with some tactless poster who quite likely no longer reads the blog.

It made a catchy headline. Calgary Rip Off was a notoriously negative person who everyone remembers from many real estate blogs.

I'd welcome your input on opportunity costs, insurance and maintenance. -Bob

# April 14, 2009 8:47 AM

Todd said:

Looks like the seasonal trend for spring price rise lost steam early this year. We didn't even make it to May!

Although February and March shown month-to-month rise from the really depressed prices of January. It only took a week in April to reverse trend and move south again. April looks like the early beginning of what would be an eight month decline (the regular seasonal summer-fall-winter price decline after the spring rally of every year).

I see SFH median losing another 10% this year from here. Keep renting Mr. Calgary Rip Off

The surprise for me is that prices increased at all. I don't think anyone was expecting that. -Bob

# April 15, 2009 7:45 AM

Andrew said:

"It seems your trying to bring controversy back to your blog"

I like the controversy.

A sense of humour helps, too.

# April 15, 2009 10:36 AM

Calgary_Rip_Off said:

Nah Bob.

I still rent.  And Calgary has gotten worse.  Now the cows/cattle are rewarded for being slow-green light cameras.  Neo-fascist Calgary now can boast a reward system for all drivers.  You think I would buy one of those overpriced shacks in Hidden Valley?  Crazy!!!  Sure the mortgage is less than rent, but the house is also a hole in the wall.  Like many other people, the game is sit and wait.  I am prepared to work until death-so Im not really too concerned about all this building equity crap.  If the economy goes under as a renter Im full prepared to abandon Alberta like I would when I was single and suspected the lady I was with had VD(before I got it).  As it stands the housing market has VD in Calgary.  I call it the grand delusion.  You mean to tell me and other prospective buyers that these $300K shacks should be worth that?  Hardly.  Market value is whacked.  In 2003 that same Hidden Valley hole in the wall was worth $200K if that.  Would I support this ultraconservative neo fascist Calgary climate?  Not a chance.  IF the house is reasonably priced for what I can get for the same price as a rental then I would buy.  It is getting closer, but still not on the same level.  I didnt write on these blogs for many months because Albertans typically support a boom at any cost.  I wonder if these same people would support immortality if they could get it.  I bet they wouldnt, and yet that would be more important than some stupid shack equity crap.  Most of these people havent produced a fine painting or musical work anyway.  Its really no different than serfdom under some feudal lord in medieval England.  Enjoy that real estate work-I would hate to have that job-talk about pressure as the sellers start going ape and using crude language to pressure you to sell their overpriced dry walled hastily built shack.

Nice to hear from you. We were all really concerned when we hadn't heard from you for months.

My job is great. I enjoy helping people realize their goals whether it is to buy or sell their home. I only accept nice, reasonable, realistic people as clients so the only crude language I've had to deal with is from bloggers like you. -Bob

# May 16, 2009 8:52 PM

jojo said:

Bob, nice to see that you have a one sided blog, what you dont agree with you erase. Why would anyone bother making a contribution..

Is that a contribution?

Could you elaborate on the "one-sided" comment? I don't know what you mean. -Bob

# May 17, 2009 5:43 AM

CRO-Calgary Police(citizens against ripoffs) said:

Bob:

Look at the real estate stats for 2003 in Calgary.  Any idiot would know that the market still is overinflated.  Pray that Alberta remains above water so prey still exists for real estate sales.

www.cren.ca/content_view?CONTENT_ID=1009&MODE=CATEGORY&CONTENT_CATEGORY_ID=cover&CONTENT_CATEGORY_NAME=Cover+Story

As the market stands right now a person would have to be a complete moron to buy anything.  $275K for a condo?  That is really really funny.  Let the delusion of fair priced housing continue in Calgary....The zoning...the construction....the traffic...its all......AWFUL.  Calgary=anhedonia

# May 17, 2009 10:44 AM
Leave a Comment

(required)

(required)

(optional)

(required)

Comment Notification

Subscribe to this post's comments using RSS