Wanted to address CMHC’s Evan Siddall’s negative comments towards a simple example I made on twitter last week on how leverage works in Real Estate. Discussing his dark and ominous forecast of a major correction in the Canadian housing market. Also wanted to reinforce my long term beliefs and benefits of buying your principal residence and simply holding it for long periods of time. Take advantage of our current historic low interest rates, use the leverage via a conventional mortgage (in Vancouver this is the norm) and take advantage of the principal residence exemption allowing you to shelter all the capital gains.

In my eyes becoming a life time renter in an expensive city like Vancouver is not a viable option.. do the math. Not to mention the intangible benefits, pride of ownership and stability home ownership gives you in this country.