The point is inflation is outpacing wages. That means a middle class income doesn't provide the same lifestyle that it used to. People have to choose things on that list to give up. More people are retiring with a mortgage now days because they can't afford to pay off debt. Staycations are fine but not every year. Sickness can be a huge burden on the middle-class.

When my oldest moved back home, they rented a place that was $1050. I got mad and called them dumbasses. I rent houses to idiots for a living. I gave them one of my rentals and told them to put that money into a remodel.

I disagree there. You could be building equity or HUGE debt, because housing value is not guaranteed. Owning a house is not really owning it for most people as they have a prerequisite 10 to 30 years before it ever becomes theirs and not the banks, and if they want to move before that time, they also have the hassle of being able to sell it for more than what they paid in order to not come out behind. At that to the HEADACHE of HOAs and their fees and fines for every little thing, property tax, maintenance and landscaping ... and some dont feel its worth the trade off, equity or not.

they dont make sense to people who havent lived it

he has 2100 AFTER paying rent every month. He is young and healthy and has no dependents. His credit is excellent, so he simply trades in every couple years with the same dealer he has been with since his teens, being good for it, in a stable job with good credit, they make that deal with him ...

so with a car note, lets say 300 that means after paying the car and the rent he STILL has 1800 a month. if he spends another 800 on the utilities(for apartment), food (for 1) the gas and the insurance, that STILL leaves him 1000 a month.

Tell me how a young man with no dependents cant put something away on that budget?

I found out the hard way that my delusions about life and what I expected from life is very different from what I needed in life.

When I was able to work I struggled to maintain a lifestyle I thought I should have at my income level. For a short while, it aligned.
Then things slowly, slowly went out of control.

I found myself trying to maintain a lifestyle on the same money without adjusting myself to the fact that the lifestyle was moving up in cost.

I was earning a $100 living and trying to life a $100 lifestyle but failed to see the $100 lifestyle was now costing $150.

My downfall was many layered.
Got hurt, got sick, lost job, ended marriage, lost possessions, lost house, lost car all within 3 years.
I found myself with only the personal possessions I could fit in a 5x10 storage unit but now, I was sick and jobless at 49 years old.

When I got my disability, I used my settlement to pay off what little debt I owed and set myself up in an apartment. I lived out of a few boxes for a few years till I moved to my present location.
When I moved in, I had a TV, a computer and a big pillow to sit on.
I slept on the floor with blankets as a bed.

What I did was adjust my lifestyle to my income.
I set my lifestyle at $60 with $100 income.
I used the leftover money to flat out buy my furnishings and started putting money in savings.
I don't do things I can't afford.
I don't buy things I can't afford.
Granted, I do not live the lifestyle I once did but I am flush and have backup money if I need it.
All in all, I am more contented in life than I have ever been.

What I have figured out is expectations drive happiness.
Money is not an issue anymore.
I do and buy what I want because I have realistic expectations.
I set priorities on my spending.
I budget under my income level.

$900 rent
$800 utilities etc
$300 car
=
$2000

Where can you get a New car for $300 a month? When you trade it in two years later more is owed on it than it's worth. So the next car payment would be even higher.

From what I understand by your participation, is that you own rental properties.
You pay taxes on that property.

Try not to take this wrong, I mean no offense.

If you gain money all year long from rental property and you pay taxes every year on property, why don't you allocate a percentage of the rental income to savings to pay the property taxes you know are coming?

In business sense, I think that is what is called 'overhead'.
Isn't there deductions on income tax for business expenses?
I'm no accountant I could be wrong...I don't know.

The thing is, all lifestyles have overhead.
To afford life, one must set their lifestyle below their income to account for overhead.

There are the exceptions though.

I have a cousin that it inherited our great aunt's home, free and clear.

Although, he's got it on the market now, because the taxes that used to be $340 a year 15 years ago, have more than tripled to $1064 a year.

I bought properties during the housing crash, so I got great deals. Property tax increased last year so I increased rent. It went up even more this year. I'm struggling not to pass on the tax increase. Inflation is a problem. Most people (including me) are struggling to keep up. I've filed appeals. I wasn't born with a silver spoon. I saw a great opportunity during the housing crash to benefit my family.

Property tax is getting to be crazy expensive. One property has increased by $1400. They keep dangling talk of a millage rate reduction but I don't believe it. I've considered selling but I have kids that will eventually need the homes. So it's either pay $300 a month in taxes or $1200-$1500 in rent. So that leaves me paying the tax.

I understand, Like I said, I mean no offense.

Inflation is a self-propagating burden.
In business, you must pass on increases in overhead to your customers.
In rental property, that is why most rental agreements are based on a year at a time. The rent price is fixed according to contract.
You can't raise the rent if bound by a contract.
However, as the contract expires, if you fail to raise the rent to account for tax inflation, who's fault is it that you lose money?

There are two options; Raise the rent to account for increasing overhead or liquidate properties to bring the overhead down. Just remember that liquidation means less income and taxes will continue to rise.

Its not about being a nice person, its about balancing the books.
You have no choice but to raise the rent to maintain the business.
There may be short term solutions, like grants and subsidies that can offset your costs but they will be short term and restrictive.

You are faced with a decision to be the bad guy and raise rent or take a beating trying to be the nice guy. A moral conundrum that many business owners deal with. I suggest if you raise the rent, raise it at least twice the tax rate increase so you don't have to raise it every year, then bank the additional moneys to cover that next rate hike.

I've never owned rental property but it makes sense to me and what I understand. I may not have all the information needed to advise anyone.
I do know that when my rent goes up, If I want to continue to live there, I have to adjust accordingly. If I can't adjust, I will have to move.

In this nation (USA) taxes are set by the people.
In most cases, property taxes are set locally.

There is a strange phenomenon in this country that people think the government is something other than the people.

No tax increase is made without a vote.
There are public meetings that determine these increases.
Keyword is public.
Every citizen in the community has the right to attend every meeting and has a say in any tax increase.
The problem is, most people don't take the time to participate in those meetings.
Business associations also poll their members on upcoming tax increases.
Many tax increases are proposed by business associations.
They make sure their interests are considered in those public meetings.
They make sure their votes are counted.

If more people attended more meetings those tax increases might be avoided.
Its a matter of public complacency and the powers that be are banking on lack of interest.
The government isn't supposed to dictate to the people in this country.
Its supposed to be the other way around.

I'm hoping the appeal lowers the tax. I'm going to shop house ins too. See if I can get it lowered. Rent is going up also in my area. But people are already struggling.

People here were pissed when they received property tax assements. They crowded the meeting. We made the news. 1 guy was arrested.
Now they are talking about millage rate reduction but I don't believe it. They are saying higher property values is a good thing.

Oh cry me a puckin river... our sales tx is 14.975%

Our property tx is about $9000.00 for 15k sq foot lot.


Ya'll have it easy

How much is rent there?

For a 3 bed home... 2500$-3000$

Appartment, about 1500$ easy

Wages?

When I was experiencing poverty with zero income I needed to look at my delusions about life.

I asked myself what I need to stay alive.
I made a list of everything I thought I needed to live.
It was a pretty long list.
Then, I started to honestly look at all those items on my list and remove my delusions about them.

I made another list and transferred all the 'needs' that were really "wants" to a separate column.
What I found out is there are very few 'needs' for life.
That some of those 'needs' were glossy with "want".

Example:
I need food to survive but I don't need steak and lobster to survive.
I need shelter from the environment but I don't need that shelter to be a house.

Its the realistic examination of need vs want that allows me to be content.
I know that if I have more than basic sustenance I am gaining an upper hand over my needs.
I do not struggle because I know I can reduce from my present state and still survive.


I think this is more common than people like to admit.
Its the fact that the power of the people has little power that irritates us.
We have given ourselves over to the power of the elite and the exercise that power despite how we react. They know better than the people, but who's fault is that? Its ours.

This is a great example of government control gone amok.
Most people are in denial.
Lots of people don't care.
Many will never choose to see what is right in their faces.
We have created our own monster and we continue to feed it in all forms of government.

The only way to change this is thru revolution but people can't unite.

Ive often feel for my Quebec colleagues you guys are getting it up the azz with the pst and gst

in Ontario its only combined 13%

hey do you guys over there have double tax on the houses that we have in Toronto?

If I sell my place who ever buys has to pay Ontario land transfer tax and Toronto land transfer tax, which is a rip off.

is it the same thing in Montreal?



I would assume double that if its in westmount?