Comments for Moving Calgary Forward http://movingcalgaryforward.com Calgary Real Estate news and information from local Realtor Michael Bladon. Sat, 04 Jul 2009 22:16:03 +0000 http://wordpress.org/?v=2.7.1 hourly 1 Comment on Historical Home prices in Calgary by Michael Bladon http://movingcalgaryforward.com/archives/1326/comment-page-1#comment-568 Michael Bladon Mon, 11 May 2009 21:00:38 +0000 http://findcalgaryrealestate.com/?p=1326#comment-568 Buck - Thanks for reading and adding your excellent point regarding the compounding return. It is an interesting comparison to a mutual fund returning 8% a year average... I would also point out that you can buy a house with 95% borrowed money at well below 4.6% these days and live in it or rent it out for income while you pay off the loan. There are all these intangible benefits of home ownership that you don't get with a GIC. Freedom from rent, a place to raise your family, etc. Buck - Thanks for reading and adding your excellent point regarding the compounding return.

It is an interesting comparison to a mutual fund returning 8% a year average… I would also point out that you can buy a house with 95% borrowed money at well below 4.6% these days and live in it or rent it out for income while you pay off the loan. There are all these intangible benefits of home ownership that you don’t get with a GIC. Freedom from rent, a place to raise your family, etc.

]]> Comment on Historical Home prices in Calgary by Buck http://movingcalgaryforward.com/archives/1326/comment-page-1#comment-567 Buck Mon, 11 May 2009 20:49:13 +0000 http://findcalgaryrealestate.com/?p=1326#comment-567 Thanks for the info Michael. Have to comment though on you reporting 13.1% as the "average return per year." I believe when consumers see an average annual return they are going to compare that to a 5 year GIC at 3% or a mutual fund returning 8% per year [these rates are the financial industry standard "compound average annual return", CARR]. But your 13.1% is not a CARR and is therefore misleading [and I'm sure you don't mean to mislead consumers]. So a 368% growth over 28 years should be reported as a CARR ~ 4.6% per ann. May I suggest you amend your above newsletter? Thanks! Thanks for the info Michael. Have to comment though on you reporting 13.1% as the “average return per year.” I believe when consumers see an average annual return they are going to compare that to a 5 year GIC at 3% or a mutual fund returning 8% per year [these rates are the financial industry standard "compound average annual return", CARR]. But your 13.1% is not a CARR and is therefore misleading [and I'm sure you don't mean to mislead consumers]. So a 368% growth over 28 years should be reported as a CARR ~ 4.6% per ann. May I suggest you amend your above newsletter? Thanks!

]]> Comment on Balanced Market?? by “Moving Towards Balanced Conditions” : CMHC Housing Now, April 2009 | Calgary Real Estate Insiders - Michael Bladon’s Blog http://movingcalgaryforward.com/archives/1366/comment-page-1#comment-564 “Moving Towards Balanced Conditions” : CMHC Housing Now, April 2009 | Calgary Real Estate Insiders - Michael Bladon’s Blog Thu, 30 Apr 2009 14:58:18 +0000 http://findcalgaryrealestate.com/?p=1366#comment-564 [...] Balanced Market?? [...] [...] Balanced Market?? [...]

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