It’s official. It’s a bubble!

What scares the heck of me, beyond the 22% Y/Y appreciation, is the nature of sales these days. In speaking with agents I see a few clear and worrisome trends.

First, “bully offers” have become the norm these days when they used to be the exception. Bully offers are aggressively high offers that bidders submit before the official offer date. For example, a seller and their agent will market the home as accepting offers on a set date (usually Tuesday), but bidders will come in with preemptive offers shortly after the listing goes to market, canceling out the stated Tuesday offer night. Basically if you’re trying to purchase a home in Toronto you can’t react quickly enough since the bully offers come in so fast, leaving many interested parties no time to react.

.. Since 1999, the Teranet-National Bank Toronto Home Price Index has risen an incredible 200%. In contrast Japan’s home price index rose 193% in the 17 years prior to its peak, and the US S&P/Case-Shiller National Home Price Index rose 152%

.. I have to run now. I’m interviewing some real estate agents to give me a quote on what my home is worth. Who knows, maybe Garth has rubbed off on me and I can convince my wife to sell our home and lock in a massive profit. These type of gains don’t come along too often in life!

Ringside With Steve Bannon at Trump Tower as the President-Elect’s Strategist Plots “An Entirely New Political Movement” (Exclusive)

The liberal firewall against Trump was, most of all, the belief that the Republican contender was too disorganized, outlandish, outré and lacking in nuance to run a proper political campaign. That view was only confirmed when Bannon, editor of the outlandish and outré Breitbart News Network, took over the campaign in August. Now Bannon is arguably the most powerful person on the new White House team, embodying more than anyone the liberals’ awful existential pain and fury: How did someone so wrong — not just wrong, but inappropriate, unfit and “loathsome,” according to The New York Times — get it so spot-on right?

.. “Darkness is good,” says Bannon, who amid the suits surrounding him at Trump Tower, looks like a graduate student in his T-shirt, open button-down and tatty blue blazer — albeit a 62-year-old graduate student. “Dick Cheney. Darth Vader. Satan. That’s power. It only helps us when they” — I believe by “they” he means liberals and the media, already promoting calls for his ouster — “get it wrong. When they’re blind to who we are and what we’re doing.”

.. If this is disarray, it’s a peculiarly focused and organized kind.

.. It’s the Bannon theme, the myopia of the media — that it tells only the story that confirms its own view, that in the end it was incapable of seeing an alternative outcome and of making a true risk assessment of the political variables — reaffirming the Hillary Clinton camp’s own political myopia. This defines the parallel realities in which liberals, in their view of themselves, represent a morally superior character and Bannon — immortalized on Twitter as a white nationalist, racist, anti-Semite thug — the ultimate depravity of Trumpism.

.. fiercely intelligent and yet reflexively drawn to the inverse of every liberal assumption and shibboleth. A working class kid, he enlists in the navy after high school, gets a degree from Virginia Tech, then Georgetown, then Harvard Business School.

Then it’s Goldman Sachs, then he’s a dealmaker and entrepreneur in Hollywood — where, in an unlikely and very lucky deal match-up, he gets a lucrative piece of Seinfeld royalties, ensuring his own small fortune

.. What he seems to have carried from a boyhood in a blue-collar, union and Democratic family in Norfolk, Va., and through his tour of the American establishment, is an unreconstructed sense of class awareness, or bitterness — or betrayal. The Democratic Party betrayed its workingman roots, just as Hillary Clinton betrayed the longtime Clinton connection — Bill Clinton’s connection — to the workingman. “The Clinton strength,” he says, “was to play to people without a college education. High school people. That’s how you win elections.” And, likewise, the Republican party would come to betray its workingman constituency forged under Reagan. In sum, the workingman was betrayed by the establishment, or what he dismisses as the “donor class.”

.. “ascendant America,” e.g. the elites, as well as “the metrosexual bubble” that encompasses cosmopolitan sensibilities to be found as far and wide as Shanghai, London’s Chelsea, Hollywood and the Upper West Side — as a world apart, is an understatement. In his view, there’s hardly a connection between this world and its opposite — fly-over America, left-behind America, downwardly mobile America — hardly a common language. This is partly why he regards the liberal characterization of himself as socially vile, as the politically incorrect devil incarnate

.. “The globalists gutted the American working class and created a middle class in Asia. The issue now is about Americans looking to not get f—ed over. If we deliver” — by “we” he means the Trump White House — “we’ll get 60 percent of the white vote, and 40 percent of the black and Hispanic vote and we’ll govern for 50 years. That’s what the Democrats missed. They were talking to these people with companies with a $9 billion market cap employing nine people. It’s not reality. They lost sight of what the world is about.”

.. “Like [Andrew] Jackson’s populism, we’re going to build an entirely new political movement,” he says. “It’s everything related to jobs. The conservatives are going to go crazy. I’m the guy pushing a trillion-dollar infrastructure plan. With negative interest rates throughout the world, it’s the greatest opportunity to rebuild everything. Shipyards, ironworks, get them all jacked up. We’re just going to throw it up against the wall and see if it sticks. It will be as exciting as the 1930s, greater than the Reagan revolution — conservatives, plus populists, in an economic nationalist movement.”

.. “The media bubble is the ultimate symbol of what’s wrong with this country,” he continues. “It’s just a circle of people talking to themselves who have no f—ing idea what’s going on. If The New York Times didn’t exist, CNN and MSNBC would be a test pattern. The Huffington Post and everything else is predicated on The New York Times. It’s a closed circle of information from which Hillary Clinton got all her information — and her confidence. That was our opening.”

.. Bannon feels he has triumphed over, but the conservative one too — not least of all Fox News and its owners, the Murdochs. “They got it more wrong than anybody,” he says. “Rupert is a globalist and never understood Trump. To him, Trump is a radical. Now they’ll go centrist and build the network around Megyn Kelly.” Bannon recounts, with no small irony, that when Breitbart attacked Kelly after her challenges to Trump in the initial Republican debate, Fox News chief Roger Ailes — whom Bannon describes as an important mentor, and whom Kelly’s accusations of sexual harassment would help topple in July — called to defend her. Bannon says he warned Ailes that Kelly would be out to get him too.

.. Trump — even after the leak of the grab-them-by-the-pussy audio — was speaking to ever-growing crowds of 35,000 or 40,000. “He gets it; he gets it intuitively,” says Bannon, perhaps still surprised he has found such an ideal vessel. “You have probably the greatest orator since William Jennings Bryan, coupled with an economic populist message and two political parties that are so owned by the donors that they don’t speak to their audience. But he speaks in a non-political vernacular, he communicates with these people in a very visceral way. Nobody in the Democratic party listened to his speeches, so they had no idea he was delivering such a compelling and powerful economic message. He shows up 3.5 hours late in Michigan at 1 in the morning and has 35,000 people waiting in the cold. When they got [Clinton] off the donor circuit she went to Temple University and they drew 300 or 400 kids.”

.. “I knew that she couldn’t close. They outspent us 10 to one, had 10 times more people and had all the media with them, but I kept saying it doesn’t matter, they got it all wrong, we’ve got this locked.”

.. “I am,” he says, with relish, “Thomas Cromwell in the court of the Tudors.”

Zuckerberg Lays Out Broad Vision for Facebook in 6,000-Word Mission Statement

The chief executive says Facebook should become a ‘social infrastructure’ for users

“Today’s threats are increasingly global, but the infrastructure to protect us is not,” Mr. Zuckerberg wrote. “Humanity’s current systems are insufficient to address these issues.”

.. Facebook, which faced criticism for, among other things, the design of its news feed, which put legitimate news sites on equal footing with those peddling misinformation during the U.S. presidential campaign. The company also drew fire for failing to catch violent live videos and for inconsistently applying its content standards, such as when it deleted posts containing a famous Vietnam War photo of a naked girl fleeing napalm bombs last fall. After considerable public uproar, Facebook reversed that decision.

.. This didn’t go over well with many employees who argued that the social network should be doing more to confront fake news as well as the “filter bubble” in which many users see few ideas or information different from their own, current and former employees said at the time.

.. Thursday, Mr. Zuckerberg said fake news and filter bubbles worried him, but a greater concern is “polarization.”

.. Facebook wants to show users a wider range of perspectives and demote sensationalized news, but has to be careful to do so without deepening divisions, Mr. Zuckerberg wrote, citing research showing that people hold tighter to their beliefs when confronted with an opposing view. “Our goal must be to help people see a more complete picture, not just alternate perspectives,” he wrote.

.. Longer term, Mr. Zuckerberg wants to build artificial intelligence that can detect violent content and terror-recruiting networks. Some of that work can be done now, he said, but major advances are still needed to build effective systems that can catch hate speech, graphic violence or sex.

The dark side of the boom

Rock-bottom interest rates have made big mortgages look less expensive, lighting a fire under house prices. But for many homeowners, when rates start rising, it won’t end well.

A recent survey by Manulife found that one-quarter of people have just $1,000 set aside for emergencies, a dismally inadequate amount by any standard of financial planning.

.. “You’re arguing with success on a huge scale,” says Moshe Milevsky, finance professor at York University’s Schulich School of Business and author of several books on personal finance and investing. “There’s nothing that people could have done that would have resulted in a better return than housing over the past five years.”

.. The credit-monitoring firm TransUnion reported recently that 718,000 people with debt would be seriously affected if interest rates rose just 0.25 of a percentage point, and one million people would struggle to cope with a rise of one percentage point.

.. Canadians owed a record $1.68 for every $1 in after tax income.