Economic Downturn ?

Canada won't escape U.S. woes, TD chief says

TARA PERKINS

Globe and Mail Update

January 29, 2008 at 5:37 PM EST

Toronto-Dominion Bank chief executive Ed Clark says a significant slowdown is coming, and the Canadian economy will not decouple from the United States.

Speaking to a financial services conference in New York, Mr. Clark spoke positively of the domestic banking environment.

“I always say to people if you don't buy me, buy one of the Canadian banks,” he told the room of investors. “It's been a terrific story in Canada.”

But he added Canada's economy will not likely escape troubles south of the border.

“Our outlook is that Canada will not decouple itself from the United States,” he said, adding there will be an impact on the bank's business.

“We're sitting here, the guns of August, waiting for the war to begin and anticipating it,” he said. “... Over a year ago, I announced it was coming, and all I did was end up cutting expenses probably a year in advance. But I do think this time it really is coming, and we are going to have a significant slowdown.”

Courtesy the Globe and Mail

Link

Vancouver Housing News

Here is an interesting article about the Vancouver housing boom

Who in their right mind would want to pay these kinds of prices.

The price of a benchmark condominium in Greater Vancouver has risen 111.5% in the past five years to a disgustingly unaffordable $377,579.

The price of a benchmark townhouse in Greater Vancouver has risen 100.8% in the past five years to a sickeningly unreachable $456,941.

The price of a benchmark single family home in Greater Vancouver has risen 95.5% in the past five years to nauseatingly excessive $730,399.

Even adjusted for inflation we are far above any historical norm.

Courtesy the 'Financial Planning and Personal Sanity Blog'.

Alcan gets Environmental Approval

It looks like Alcan has received environmental approval for the planned smelter upgrade in Kitimat, BC. I can just imagine what this will do for house prices in this region, as speculators arrive in droves. Watch that $30,000 shack become a $250,000 palace with a new coat of paint, laminate floors, landscaped yard. Don't worry about the asbestos or anything. Just paint over it.

January Terrace & Kitimat MLS Listings

Well, it looks like it's time to see how many units are on the market in Terrace and Kitimat for the month of January. Take note, this is just a snapshot in time. Values could go up or down by the end of the month.

Going Mining

One of our contributors wrote in to ask when Terrace is going mining, as is clearly indicted on the signs posted at the new Skeena Bridge, and downtown. That's a good question, because at this point in time it is really debatable if Terrace is really going mining, such as to the signs put up by the Terrace Economic Development Authority (TEDA), would lead you to believe.

With one mining project suspended, another one on the verge of closing (Kemess), and not much else on the immediate horizon, we really need to question the value of these signs. Sure, they might bring hope to some, but that's really about it folks. I doubt they would even make good firewood.

Coming Soon.....

Our monthly analysis of the MLS property listings for Terrace/Kitimat. Let's see what the housing market does over 2008. My predictions:

• Increase in listings on the market in both Terrace/Kitimat in the spring/summer of 2008.

• Decrease in prices, as people try to bail out of a failing, mostly speculative market. This will be especially interesting to watch if the housing market in Vancouver goes down, as some are predicting.

• Come on folks, let's hear what your predictions are for the Northwest real estate market are for 2008....

Kitimat

Well, it looks like Kitimat is quite the place that's really showing all the trappings of a prosperous economy. Have a look at this video on Youtube, and see you for yourself folks!

Welcome

Hello Everyone,

Welcome to the Northwestern BC Booming Blog. This is where we watch the exciting economic events in places like Terrace, Kitimat, Prince Rupert, Smithers, and the big city of Stewart BC.

The Editor