rcarrick

Should we just leave and seek affordable lifestyles elsewhere? Totally. Opt out of a crazy market that grinds up millenials to feed home values for others. Even Toronto is more affordable. Good buys in Calgary. Bargain prices down East.

Short answer: No. Would rather see you save for a few years and buy an existing condo. Pre-construction ties you to a property that might not suit you in a few years. If you see a condo as a temporary, transitional thing before buying a house, consider jumping right to the house, even if you have to save longer. Even if condo prices rise, the cost of selling in a few years to buy a house would cost you bigtime.

Big fan of the robo-adviser biz, and I have to give WealthSimple credit for being the most visible player. I was walking down Dundas St. in Chinatown in Toronto on Saturday and saw a WealthSimple poster on a wall. A goal for the next while is to wrap my head around online borrowing solutions like Borrowell and Mogo. I'm a bit leery, but there's obviously demand for the kinds of loans they offer. As for new opportunities, what about a combined banking/saving/investment platform that would allow me to sweep extra cash in my chequing account into a high-rate savings account or my investment account?

I write for a Canadian audience, and that means much a vastly different student loan environment than in the U.S. So I'll give you some broad thoughts...First off, cut your borrowing to the barest of bare minimum. Consider studying part time and working to minimize borrowing. Taking an extra year or two to get a degree means nothing for young people who can expect to live 90+ years. Totally, totally think it's worth paying extra to get loans done early. Clearing the decks opens up so many important avenues, like saving for retirement, a house down payment etc.

It's brutal for young families on the West Coast. You're paying monster prices to lock in a profit for someone lucky enough to have bought years ago. Here's my thinking on the $550K mortgage: If you can afford it, go ahead. How do I define "afford it?" By having you try my Real Life Ratio spreadsheet: http://www.theglobeandmail.com/globe-investor/personal-finance/mortgages/can-you-really-afford-that-mortgage-know-your-real-life-ratio/article17333137/. If you get a good RLR score, it shows you can afford a house, cover living expenses and save for retirement. Don't use the banks' affordability calculators - they only look at whether you can afford the mortgage. There's a lot more to it than that. With a scary RLR, you're stuck. Save $$ to add to your home equity, or stay in the condo.