THANKFUL FOR EVERY BIT OF PROGRESS
Here’s a good challenge for you: do you remember life before COVID? Grand weddings, travelling the world, dining out anytime and anywhere you chose? Many of us miss something about those pre-COVID days.
Some of us are even wallowing a little about all the things we’ve “lost.” My intention is not to minimize the experience, or put on some rose-coloured glasses. But what a perfect time for Thanksgiving!
This is a long weekend to be grateful for everything and everyone we continue to have in our lives. Yes, there might be parties—at home—for 6 instead of 16; but if that’s what it takes to keep all 16 safe, let’s do it. And Albertans can be incredibly grateful for a gorgeous fall of warm weather!
For real estate investors, it is easy to get caught up in the doom-and-gloom headlines in the media these days! But we can put a different perspective in there too. For example, in any other year, investors would be thrilled to see ATB predicting GDP GROWTH of 3.3% for 2021. We can choose to focus on all of the losses of 2020, or look forward to the anticipated re-growth in 2021.
And just today, the unemployment numbers have been released. Canada’s unemployment rate is down to 9% from 10.2% in August. In Alberta, the August unemployment was 11.8%, in September we’re at 11.7% (essentially unchanged). And in Calgary, the unemployment rate is down to 12.6% from 14.4%; Edmonton is also currently sitting at 12.6% (down from 13.6%).
Now the first argument here is likely about how job numbers are calculated, etc… To keep it simple, relative to the previous month, we see improvement. And relative to the peaks of 15.6% for Calgary and 15.7% for Edmonton, that’s definite progress. Is it easy? Is it booming? Obviously not—but there is still a lot to be grateful for this Thanksgiving.
Unfortunately, the media doesn’t give much attention to how well the agriculture, food and forestry industries have been doing in Alberta. It’s far too easy to keep up-to-date on the losses and difficulties.
This Thanksgiving, make a conscious choice to be grateful for what you do have. Every tenant who pays on time is a blessing! Extremely low interest rates are helping our cashflow numbers, and paying down our mortgages faster. The initial sharp rise in unemployment has at least plateaued, and in some industries started to improve. There hasn’t been a mass exodus of people out of Alberta—because the cost of living here is still very low. The fundamentals are clearly bruised, but it’s not a TKO!
We know the winter will bring a heavy dose of challenges, but there will also be many opportunities. This weekend our house will be in the mindset of “Simple Abundance.” A good meal with close family, some outdoor time, and relaxing with a good book. We are also grateful for all of our family and friends and continue to look forward to seeing you all again soon!
