Torontonians, Not Paying Their Rent, who legally can’t be evicted, Demand their landlord do Maintenance and stop Harassing them😂, The Golden Equity Properties saga continues – November 24, 2021,
So, yeah, when I did my homework on The Golden Equity Properties situation, I couldn’t help but start laughing, because anyone who has a basic financial education knows what’s going on here. One year I paid my rent in full for the entire year and my mother told me that was dumb thing ever, I looked at her confused thinking I was a genius until she explained to me what could happen to my apartment building in a year and how powerless I’d be because that company would have all my money.
Anyway long story short, the private sector is flawed and the various levels of government in Canada make the situation worse by implementing their own laws. So first and foremost, rental controls exist in Toronto, secondly, the pandemic despite what anyone believes was actually DEFLATIONARY on the economy, the Canadian housing market which also includes the rental markets actually crashed.
What prevented the housing market from crashing was government debt deferrals and CERB and other government initiatives, that allowed the malinvestment in the marketplace to accelerate. So, if you know anything about real estate, you’d know most of these real estate companies are DEEPLY in debt, not only are they deeply in debt, but it’s illegal for many of them to raise their rents above a certain threshold on their existing tenants.
Now, if you’re a landlord in Toronto’s downtown core or even Toronto’s west end, chances are none of your tenants want to leave, meaning that as a landlord you can’t make up for the shortfall by charging new tenants higher rent prices. So the owners of rental purposed housing might find it hard to find any financing and might equally find it hard to find any buyers, because after all who wants an investment that has a cap on earnings?
In America, it was common for landlords to become slumlords because of government rules and regulations that protect tenants, that’s why in America it’s quite common to see run-down properties, typically that’s the result of a government law, that made it almost impossible for a landlord to cover their cost of doing business.
This is not as common in Canada, because we have a different banking culture in this country. But this doesn’t mean that these “Golden Equity Properties” situations don’t happen. Some companies don’t have a rainy-day fund, and when I looked up Golden Equity Properties in the Toronto area, almost all of their properties are in not-so-desirable areas. If you’re familiar with the Toronto area you can see it for yourself: Golden Equity Properties | Toronto
If you know anything about rental purpose housing in poorer neighborhoods in Toronto, you’d know how destructive and disrespectful a lot of the people are. They claim they’re poor but they behave like pompous spoiled brats who feel entitled to everything. The mistake Golden Equity Properties made was building housing for the poor because rent deferrals and the government making it so it’s almost impossible to kick out tenants hits your company hard if it was having trouble finding profitability before the pandemic.
Now, if you’re wondering why the government doesn’t build more housing in Canada, it’s because of the maintenance costs. In Singapore, the government has a major presence in the development of housing, but in Singapore, they have very STRICT Vandalism Laws. All levels of government in Canada have very bad and shortsighted laws and what should be praised are the companies that have been able to navigate through all the nonsense.
With Golden Equity Properties it’s just one of those things in which based on their locations in Toronto, they were trying to cater to the poor and they presently have mismanagement issues. Now, if you’re a paying tenant in a “Golden Equity Properties” property, you should be upset with federal entities like the Canada Mortgage and Housing Corporation(CMHC) and The Bank of Canada(BoC) for colluding to protect the housing market from crashing.
Because a crashing housing market would equate to lower home prices and lower rental prices, meaning that if you’re paying your rent on time and you have good credit, you’d be rewarded during times like this. But because Canadians decided to vote for Justin Trudeau, he’s protecting badly run companies and indebted individuals from failure.
This in the Free-Market is what we call malinvestment. Truth be told, in a free-market rental environment “Golden Equity Properties” probably wouldn’t have the problems it has now, because it would have stiff competition and the costs of operating its business would be lower, but this government-created disaster is what it is, and if you always pay your rent on time and you live in a “Golden Equity Properties” unit that’s going to hell fast, you’d be wise to look to move.
Yes I know the prices are expensive in Toronto, I don’t know what to tell you, maybe you just have to wait it out, but I’m certain that a large chunk of tenants haven’t been paying rent or have been inconsistent with their rent payments and if these people are going to fight back, chances are things might get worse before they get better. This is why I began this article by writing not to pay rent in advance, don’t sign a lease you don’t have to sign, and also avoid renting from individuals who own condos or houses because they might kick you out once you start to get comfortable and the price of their home rises in value.
All of this nonsense is the result of bad policies from the Federal government, but it started with bad policies from municipal and provincial governments. The people who don’t pay their rent in these circumstances, often times will be imagined as the heroes in these stories because the government wants votes, the squeaky wheel gets the grease, meaning the good tenants get SHAFTED!
If you’re a tenant who pays their rent and you don’t want to move, do yourself a favor and don’t join forces with the people NOT paying the rent. the people who are paying their rent in these “Golden Equity Properties” apartments in Toronto should join forces and turn on the people not paying their rent. Those of you who are paying your rent should work together to get the people not paying their rents EVICTED. Once you’re successful in doing this, then you should go to the “Golden Equity Properties” management and demand they fix these problems. It’s a hot rental market in Toronto and if a building is well run, units will fill up quickly!
If you’re paying your rent and you join forces with the people who aren’t paying their rent, don’t be surprised if the problem accelerates.
More Golden Equity tenants step up to fight landlord “harassment” | citynews.ca
Interesting times ahead!