Investing in the Home over an RRSP

This recent article in the Globe and Mail gave me a small pause. The author was suggesting that you should forget about your RRSP’s and instead concentrate on improving your home as a safer rate of return.

I think he is forgetting one very important thing: in order to get any gains out of your home you have to change markets to try and maintain your lifestyle. Otherwise any gains you have made in your home will get consumed as you buy into another home in the same market.

One other thing that got me was the sales pitch that your home is a safer way to invest over the stock market. Which if you live in Alberta right now this may not apply at all. Home real estate is famous for being very subjective and unstable in the short term.

The last thing that put my guard up on this idea that investing in home improvements will produce a rate of return. This depends on what you do as an improvement (see this article for ideas) some may actually cost you some house value.

Tagged – Five Things You Didn’t Know About Me

Like any good virus I got hit the other day with one working it’s way through the blog sphere. I have been Tagged by Million Dollar Journey.

Unlike other nasty viruses this is a bit fun. I’ve got to post five things you didn’t know about me and then pass it along to others.

So here we go.

1) Beyond writing as a creative outlet I also paint. Mostly landscapes and more modern pieces.

2) I can’t sleep in during the weekend. My all time record in the last few years was 8:30 am.

3) I still read more than I write, even with this blog. My personal library is current around 70 feet of books when you add up all the shelf space.

4) Beyond blogging my other favorite genre of writing is fantasy.

5) I can drink coffee right before bed with no effect on my sleep.

So now I get to pass this along. I’m tagging Canadian Money Blog Reviewer and Getting Rich Together.

New Housing Increases

Over at Canadian Financial Stuff, he has a interesting post on new housing prices going up. While reading the post I jumped over his source from The Daily (Statistics Canada). I expected the big gains in housing in Edmonton, Calgary but a was bit shocked that the next two highest cities for the year are Saskatoon(12.7%) and Regina(10.2%). Both Saskatchewan cities beat out Vancouver and Toronto for price increases year to date.

So what gives? Well SK going under a bit a boom partly from some carry over from Alberta oil industry, but there are some other interesting projects underway like the SaskPower Clean Coal Project which wants to build a $1.5 billion dollar Clean Coal power generation unit. Provided they approve it this year, it promises to be a near zero emission coal power plant. Then they have built the Canadian Light Source project is Saskatoon. Not bad for a province that was typically just known for wheat.

A blog about early retirement and happiness