Hey There!
This past weekend, we kicked off the March break by taking the kids on their first-ever ski trip to Boler Mountain in London.
I was blown away by how fearless they were and how quickly they picked it up! 😲
Now, I’m no expert skier, but I’ve hit the slopes a few times before. Even so, I never expected my kids to outshine me within mere hours of starting their ski journey!
What I thought would be a day spent on the bunny hill turned into an adventure filled with chair lifts and black diamond runs! 🏂
My 6-year-old even “accidentally” took a wrong turn and started down the steepest hill they had, forcing all of us to chase after him.
I’m not so sure it was an accident, but at least most of us made it down injury-free… except for good ol’ dad, who took a tumble and was limping for a few days. 🤕
It was a great day, and I foresee more ski trips in our future! ⛷
Now, let’s talk about the harsh reality behind Canada’s inflation numbers.
Imagine you had a choice 20 years ago: you could either buy a house or keep your money in your pocket.
If you bought the house, your investment would have grown by an incredible 215%! 🏠📈
But if you kept the cash, inflation would have eaten away at its value.
When you look at the official inflation numbers (CPI), it might seem like things have only gotten a little more expensive over the last 20 years.
But this eye-opening chart from Wowa.ca tells a different story. 📈
While CPI has slowly inched up, asset prices—like stocks, housing, and gold—have skyrocketed in comparison.
Two lines really stand out: Money Supply (M2) and Housing Prices. 💸🏡
Since 2005, Canada’s money supply has more than quadrupled as governments print more money.
This reckless spending often leads to skyrocketing asset prices, as all this new money flows into hard assets like real estate first.
What’s even more interesting is that housing seems to track the growth in money supply much more closely than official inflation numbers. 🤔
So while day-to-day costs may rise slowly, the cost of building wealth—owning real assets—is climbing much faster.
This is what we call the ‘Destruction of the Middle Class’. 😞
If you don’t own hard, income-generating assets, you’re falling behind in real terms, even if your wages or salary go up with official inflation (CPI).
In a world where money is constantly being devalued, owning hard assets like real estate isn’t just a good idea—it’s a way to protect your financial future. 🔒
But I know what you’re thinking: “Buying a house in Ontario right now feels impossible!” 😕
And you’re right. With prices and interest rates soaring while incomes remain stagnant, it can seem like an uphill battle.
But don’t lose hope! 🌟 We’re here to help you navigate these challenges and find a way to make your real estate dreams a reality.
Together, we can explore creative strategies, crunch the numbers, and come up with a plan that works for your unique situation.
So don’t let the current market conditions discourage you.
With the right guidance and a bit of determination, you can still achieve your real estate goals and set yourself up for long-term financial success. 💪
If you’re ready to take the first step, give me a call or shoot me an email.
Our team is always here to listen, advise, and help you turn your dreams into reality. 📞
Let’s build your wealth together! 😄
To your financial future,
Vince Castagna
P.S. If you know someone who could use some guidance on their real estate journey, please share this email with them. Together, we can help more people secure their financial future! 👍
