Okanagan Airline Pilot Near Retirement – Assets: RE ‘Worth’ $2 Million; RRSP $100K

“Housing grows more turgid each passing week. I tried explaining that yesterday to the airline pilot living deep in the folds and creases of the Okanagan Valley, where he has a $2 million waterfront property and just $100,000 in RRSPs as he nears retirement. “This is not a happy asset allocation,” I said, as he told me how much he was worth. “Try selling the house for six months and see.”
An illiquid house is worth nothing. Just bills.”

– from Garth Turner at greaterfool.ca 11 Sep 2012

8 responses to “Okanagan Airline Pilot Near Retirement – Assets: RE ‘Worth’ $2 Million; RRSP $100K

  1. “An illiquid house is worth nothing. Just bills.”
    Bills that could eat up that $100k in pretty short order. Lots of boomers like this will be going from hero to zero…real fast.

  2. You know, I’m watching til debt do us part on Global. They have this couple, borrowed 57k from their family to buy a 181k condo. They make 106k a year, and yet they are in all this debt cuz the woman shops like crazy, etc. Gail tells them to sell the condo and the immediate reaction is no way, no how, where am I gonna live. To their credit they got over the shock and will rent but man, I have a feeling a lot of people here are like this.

    • I don’t get it, $181K condo with a $57K down payments means only about $125K mortgage. At their salary level, that shouldn’t even be a problem. Heck with some belt tightening, the mortgage should be paid off in 5 years or even 3 years. How would renting be that much cheaper?? There must be something I’m missing here.

      • I’ve seen this episode, it was an older episode, so interest rates were different then. Plus its mortgage, plus condo fees, utilities etc… Not just mortgage.

  3. FridayAfternoon post-UncleBen’s ZIRP/NIRP, InfiniteQE3+ &… a RefreshingBreak from BurgeoningGlobal CrappyMovieJihad… 10 GoodReasons why BC AirlinePilots nearing retirement shouldn’t call their Realtor™ on ‘final approach’…

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