Recession just around the corner?
- Thread starter neilsleder
- Start date
jjack
Banned
Just give a minute will ya,There are you one now.
I work for a home builder in the Whitecourt and Foxcreek. sales of new homes are at an all time high. felt 2008... didn't stop us but definitely slowed things down but not so far here. we deal with a cliental that would most likely be effected by this is something was a 'rye.
gates559
Active VIP Member
"No one learned anything from '08, if anything people got dumber."
I used to think the same way but now im not so sure. People live it up, well above there means and there's no repercussions. Bankruptcy, and there right back at it.
Syclone74
Active VIP Member
That there is the truth. I made it through with a few bumps but nothing major, and it opened my eyes. Now I enjoy my life but not beyond my means as I won't be one of those who has to git rid of everything to survive. And to reply to the topic, It don't bother me at all as I've been in the patch for over 20years and and the one thing that I learned is if your good at what you do, you stay working. To me it's a good thing cause it weeds out all the leaks in the payroll that think they can't be fired. We all worked with them.
mathrulz
Active VIP Member
Recessions are inherently brought on by negative economic growth. Lower oil prices most often help to stimulate the economy actually. In 2007/2008, the danger was when oil prices skyrocketed, the after effect was when they fell way down. At these prices, oil seems somewhat stable at $80-95 ish, which is better than how volatile it was in the past. Being in the oil patch myself, sure, higher oil prices usually means more work for us here in Alberta, but I think a lot of investors are also looking for stability since 2008 to keep paying for all these new projects. This is what we are finally getting now.
Also, as mentioned, the U.S. Cannot keep printing money forever. Lower oil prices will improve the strength of the economy, and allow them to continue cutting back their quantitative easing programs. This is important in getting interest rates to begin to climb again.
Also, as mentioned, the U.S. Cannot keep printing money forever. Lower oil prices will improve the strength of the economy, and allow them to continue cutting back their quantitative easing programs. This is important in getting interest rates to begin to climb again.
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pistoncontracting
Active VIP Member
Agreed. In order for things to go back to 'normal', interest rates need to go up. But I really don't think our controllers want things back to normal.
Never before have the citizens of the free world been so under the thumb of someone else.
Look at the flyers in the mail. They don't even hardly give the price of anything if it's over $100 dollars, instead it's shown as payments for 6 months or a year. Tools to Tv's. Radar detectors even.
But hey, you DESERVE to have everything now. Doesn't matter or not if you can afford it, right?
If interest rates go up even just a little, there are going to be some awful tough times for some.
Interest rates don't need to go up, interest has already been added to the price of the products. Kind of like all the people who get sucked in at he dealerships with 0% interest over 72 months. Your making payments on the retail price not what you could have paid cash for that vehicle.
pistoncontracting
Active VIP Member
So, with that logic, at what rate has it been added in?
Yes, interest rates need to go up, and the gov't needs to stop pumping money into the economy. It's causing an illusion of prosperity.
Beels
Active VIP Member
You're always paying for the financing by not taking the cash program, but there's nothing saying you can't negotiate the price. At the same time, most people aren't in the financial situation to be laying out 30 or 40K in cash to pay for a vehicle, but still need reliable transportation and can more than afford the payments.
MADMAN
Active member
08 whooped my arse!!!!!!! It has to come around every so often in order to bring some of these company prices back to reality imho
DRD
Active VIP Member
I can't see interest rates going anywhere quick, the government is the biggest debtor of anyone, it's in their interest to keep them low
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X'2 ... old enough to remember interest at 18%+ and you were glad to be able to even get it ... with low rate now everything is a "payment" .... if rates pop or oil tanks there are a lot of people in for a very rough ride especially since they have not experienced those conditions .... kids out of school with a 12 month diploma (or less) getting $120,000+ / year is not sustainable over the long term and totally #ucks up the labour market for other businesses that are not in the oil industry. Many forget / don't know that Gov't Canada bailed out the lenders big time in 08 otherwise the results would have been similar to what happen in the US. Problem now is that if the rate pop the fallout will be too massive for gov't to cover so they are continuing to hold rates at an artificially low rate ....
I think just mentioning the word recession, it snowballs. People hear that word and clam up, stop buying, spending.. etc. You say BOOM and everyone spends.
As for the price of oil, I have a feeling that there will be a need for petroleum for the rest of my life, however long that will be. Ya, so the price of oil is low... That won't be the case in 4 months, and we will all biotch about the high prices again,,LOL
And high interest rates... They have proven the best way to stall an economy is to raise interest rates...
As for the price of oil, I have a feeling that there will be a need for petroleum for the rest of my life, however long that will be. Ya, so the price of oil is low... That won't be the case in 4 months, and we will all biotch about the high prices again,,LOL
And high interest rates... They have proven the best way to stall an economy is to raise interest rates...
dodgeram18
Active member
There has been good word spread on here. Im also in the industry and this is the quarter where companies and corporations will reassess their profits, earning, and budgets. many will hold off until the new year but I havnt seen many "holding off until the next quarter" yet. this year has been a good one as it was better than last year and the year before. I am not certain but i am confident that the lower bbl prices are not going to affect our industry-->then following industries and we will not go into another recession yet I just wouldnt mortgage an 800k house, new cadi for the wife, new lml dmax lifted, and fill the garage with new toys on payments just yet.
sc800
Active VIP Member
From what I hear and read we should expect locked in mortgage rates for this time next year to be around 3.5-3.7%. A slight increase from the 2.89-2.99% right now but this is a minor and small jump.
S.W.A.T.
Active VIP Member
I think it crazy what people finance, TV's, couches and even cell phones. This buy now spend later program will come back to bite a lot of folks in the bum. The crash happens when the people can't make the payment. I see it all the time. How many of our parents financed toys or really anything for that matter. We grew fairly poor but can honestly say we never went with out. Lived strictly on cash and we always got by. I do think it would be hard for many, including my self but the world could use a correction. Just my opinion
Even if interest rates go up by 1% that could seriously affect alot of people. I know im glad im locked in at 2.84 for 5 years. People need to stop with the buy now paylater mentality.
Hmmmmm or maybe it's time to go open a payday store....
Hmmmmm or maybe it's time to go open a payday store....
fidorama
Active VIP Member
I don't think Alberta got hit all that hard in 08, as compared to other areas, and I cannot imagine interest rates getting up close to 20% like the early 80s. hard to truly predict what we are in for in the future
fidorama
Active VIP Member
Its hard not to finance a cell phone. When they want $750 to buy the damb thing!
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