Real Estate

Vancouver housing bubble?

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  • Aug 19th, 2019 8:43 pm
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Deal Guru
Jan 27, 2006
11092 posts
4493 upvotes
Vancouver, BC
JayLove06 wrote:
Jun 21st, 2019 6:30 am
Agent should have told you the government would try to tank prices? What agent would tell someone that?

Lol at homework. 4-5 years ago people should have known this would happen? Is this the same as telling the priced out bears they should have known home values were going to accelerate and they should have bought 10 years ago? Shoulda done the research. Priced out! Tough luck!

Look from one perspective and that’s all you will see.
Don't be a fool.

The agent should have told them that in any market, the price can go up and go down especially if you are looking at a few years out which most of these pre-sale ones are.

So, you are saying that due to their own greed, FOMO, and ignoring the possible downside risk, these people are being unfairly treated by the marketplace? Now that's LOL!!!!
Deal Fanatic
Feb 29, 2008
8093 posts
3151 upvotes
craftsman wrote:
Jun 21st, 2019 1:56 pm
Don't be a fool.

The agent should have told them that in any market, the price can go up and go down especially if you are looking at a few years out which most of these pre-sale ones are.

So, you are saying that due to their own greed, FOMO, and ignoring the possible downside risk, these people are being unfairly treated by the marketplace? Now that's LOL!!!!
Ah yes, buying precon is greed. I’ve heard it all now. Buying now has nothing to do with greed or FOMO...maybe for some people but not everyone. If you don’t understand that then let’s drop the conversation.

There is no agent on the planet that was telling people 5 years ago that the government would shit everything down the way they did. There’s a risk with buying anything. What is your point? I don’t like to well meaning people get ruined while lazy,underachieving losers sit on their asses and cry for help.
Deal Expert
User avatar
Feb 9, 2003
17737 posts
2387 upvotes
Langley
JayLove06 wrote:
Jun 21st, 2019 1:31 pm
That’s complete and utter nonsense. You guys need to stop with this nonsense about everyone having dirty money and not qualifying “honestly”.

A 20% drop would affect anyone from signing to closing. Yes, even those who can easily qualify. Or should we all make sure we have 20% down and another 20% to close?
Not necessarily. People should know the risks involved with a presale. If they can't get financing to close, the developer can sue them and they may have to declare bankruptcy. I feel sorry for them, but this sort of irresponsible activity, even from people intending to live in the unit, has greatly added to the price runup.

Nobody said anything about "honesty" other than you. Nobody says everyone has dirty money. These can be added to the long list of strawman arguments that you've brought to this discussion.
Deal Expert
User avatar
Feb 9, 2003
17737 posts
2387 upvotes
Langley
JayLove06 wrote:
Jun 21st, 2019 2:03 pm
Ah yes, buying precon is greed. I’ve heard it all now. Buying now has nothing to do with greed or FOMO...maybe for some people but not everyone. If you don’t understand that then let’s drop the conversation.

There is no agent on the planet that was telling people 5 years ago that the government would shit everything down the way they did. There’s a risk with buying anything. What is your point? I don’t like to well meaning people get ruined while lazy,underachieving losers sit on their asses and cry for help.
For someone so set on defending buyers against stereotypes, you sure are quick to toss them out to renters.
Deal Fanatic
Feb 29, 2008
8093 posts
3151 upvotes
i6s1 wrote:
Jun 21st, 2019 2:08 pm
For someone so set on defending buyers against stereotypes, you sure are quick to toss them out to renters.
I have no issue with honest, well meaning, quality renters. Never have. Trash renters? They suck and ruin things for everyone.
Sr. Member
Dec 30, 2012
851 posts
910 upvotes
Toronto
JayLove06 wrote:
Jun 21st, 2019 2:03 pm
Ah yes, buying precon is greed. I’ve heard it all now. Buying now has nothing to do with greed or FOMO...maybe for some people but not everyone. If you don’t understand that then let’s drop the conversation.

There is no agent on the planet that was telling people 5 years ago that the government would shit everything down the way they did. There’s a risk with buying anything. What is your point? I don’t like to well meaning people get ruined while lazy,underachieving losers sit on their asses and cry for help.
You picked out one word, went ballistic, and ignored the rest of the comment.

Should buyers - ESPECIALLY precon buyers - understand that a housing market can go up or down? Yes or no?
Deal Guru
Jan 27, 2006
11092 posts
4493 upvotes
Vancouver, BC
JayLove06 wrote:
Jun 21st, 2019 2:03 pm
Ah yes, buying precon is greed. I’ve heard it all now. Buying now has nothing to do with greed or FOMO...maybe for some people but not everyone. If you don’t understand that then let’s drop the conversation.

There is no agent on the planet that was telling people 5 years ago that the government would shit everything down the way they did. There’s a risk with buying anything. What is your point? I don’t like to well meaning people get ruined while lazy,underachieving losers sit on their asses and cry for help.
No-one said that buying pre-con is greed but you have to face it that there is a certain component of wanting to lock in pricing before the market goes up.... But, as with any purchase, the buyer needs to understand the risk involved in any transaction and take ownership for their decisions. If you don't understand anything about taking ownership, then we should drop the conversation.

No-one said that the agent should warn specifically about government intervention but they should, as professionals (or that's what their association website says they are), help educate the buying public of what goes up may also go down? It seems that you are the only one that seems to think that its government intervention that has caused this issue which is the same point of view as the realtor association...

"lazy,underachieving losers sit on their asses" not really a bridge builder, are you?
Hmmm.... "lazy,underachieving losers sit on their asses and cry for help.".... those are pretty harsh words
Newbie
Dec 5, 2009
97 posts
23 upvotes
It's genuinely too bad that the individual helping you make the largest purchase of your life is 100% incentivized to encourage you to buy buy buy. Regardless of what they might tell you, they are NEVER unbiased or working 100% for you. That fact alone should be enough to give people pause but unfortnately purchasing a place for many is an emotional decision. Factor in the mania from the last 4-5 years (for resale: you basically needed to be ready to put down a subject free offer in an multiple offer situation after one showing and for pre-sale: line up, bring a bank draft, and enter a raffle to see which unit you might "win", and at future $ that the developer expects the unit to sell for when completed) and I can imagine a ton of people are in way over their heads. Unfortunately this means that a drop in prices will impact home owners and speculators/investors alike (mentally, physically, etc). However, they need to realize it's only a drop on paper and it has the benefit of decreasing their property taxes. As long as the purchaser isin't stretched too thin they should be able to ride out the wave. Vancouver will always be in demand and in the long term prices should come back up.
Deal Fanatic
Feb 29, 2008
8093 posts
3151 upvotes
craftsman wrote:
Jun 21st, 2019 4:34 pm
No-one said that buying pre-con is greed but you have to face it that there is a certain component of wanting to lock in pricing before the market goes up.... But, as with any purchase, the buyer needs to understand the risk involved in any transaction and take ownership for their decisions. If you don't understand anything about taking ownership, then we should drop the conversation.

No-one said that the agent should warn specifically about government intervention but they should, as professionals (or that's what their association website says they are), help educate the buying public of what goes up may also go down? It seems that you are the only one that seems to think that its government intervention that has caused this issue which is the same point of view as the realtor association...

"lazy,underachieving losers sit on their asses" not really a bridge builder, are you?
Hmmm.... "lazy,underachieving losers sit on their asses and cry for help.".... those are pretty harsh words

I'd agree with the bolded if you and others didn't conveniently gloss over all the disrespectful shit Charles posts daily. I can and have called other bulls out whenever I thought they were out of line or if I disagreed with them. But what I find here is all the bears Like each post no matter how ridiculous or disrespectful.....because "bears gotta stick together"

Anyways, all I ever said was good, well meaning people will be financially ruined and I don't like that. And if your rebuttal is that they bought for FOMO or because they're greedy or whatever makes you sleep better is nonsense. Some do, while some do not. People move to a new city and want to set roots. So they buy a house. You blame them for not forseeing gross government manipulation and overreach to crash prices to....buy votes?

As far as an agent being able to predict what has transpired the last few yars. NO one on this board did it. NOne of the bears did. But buyers were supposed to trust a commission based agent? An agent who if I read this thread you'd think are greedy con artists? Trust those agents? C'mon. You're just trying to find someone to blame and in RFD fashion it's always the purchaser's fault.

Do you really think the market just changed on its own? C'mon man.
Last edited by JayLove06 on Jun 21st, 2019 10:35 pm, edited 1 time in total.
Deal Addict
Oct 7, 2007
4765 posts
1583 upvotes
craftsman wrote:
Jun 21st, 2019 4:34 pm
No-one said that buying pre-con is greed but you have to face it that there is a certain component of wanting to lock in pricing before the market goes up.... But, as with any purchase, the buyer needs to understand the risk involved in any transaction and take ownership for their decisions. If you don't understand anything about taking ownership, then we should drop the conversation.

No-one said that the agent should warn specifically about government intervention but they should, as professionals (or that's what their association website says they are), help educate the buying public of what goes up may also go down? It seems that you are the only one that seems to think that its government intervention that has caused this issue which is the same point of view as the realtor association...

"lazy,underachieving losers sit on their asses" not really a bridge builder, are you?
Hmmm.... "lazy,underachieving losers sit on their asses and cry for help.".... those are pretty harsh words
Interesting point. When dealing with investment advisors (i.e. stockbrokers), they are required to have clients sign a document that expressly says they understand stocks are risky and can go up and down and that there are no guarantees. It seems obvious but I guess getting it in writing from the client is a CYA move that is needed and could be applied to other markets where there is risk involved. Funny how no one complains when their market of choice is going up and they are making lots of money. All of a sudden when things go the other way, people are very creative with the excuses they come up with about how they didn't know and it is someone else's fault for not telling them such things.
Deal Fanatic
Feb 29, 2008
8093 posts
3151 upvotes
choclover wrote:
Jun 22nd, 2019 1:58 pm
Interesting point. When dealing with investment advisors (i.e. stockbrokers), they are required to have clients sign a document that expressly says they understand stocks are risky and can go up and down and that there are no guarantees. It seems obvious but I guess getting it in writing from the client is a CYA move that is needed and could be applied to other markets where there is risk involved. Funny how no one complains when their market of choice is going up and they are making lots of money. All of a sudden when things go the other way, people are very creative with the excuses they come up with about how they didn't know and it is someone else's fault for not telling them such things.
Much of the blame game is coming from the bears. Stocks should not be compared to housing. Bears constantly do this for some reason.
Deal Guru
Jan 27, 2006
11092 posts
4493 upvotes
Vancouver, BC
Alpine84 wrote:
Jun 21st, 2019 6:49 pm
It's genuinely too bad that the individual helping you make the largest purchase of your life is 100% incentivized to encourage you to buy buy buy. Regardless of what they might tell you, they are NEVER unbiased or working 100% for you. That fact alone should be enough to give people pause but unfortnately purchasing a place for many is an emotional decision. Factor in the mania from the last 4-5 years (for resale: you basically needed to be ready to put down a subject free offer in an multiple offer situation after one showing and for pre-sale: line up, bring a bank draft, and enter a raffle to see which unit you might "win", and at future $ that the developer expects the unit to sell for when completed) and I can imagine a ton of people are in way over their heads. Unfortunately this means that a drop in prices will impact home owners and speculators/investors alike (mentally, physically, etc). However, they need to realize it's only a drop on paper and it has the benefit of decreasing their property taxes. As long as the purchaser isin't stretched too thin they should be able to ride out the wave. Vancouver will always be in demand and in the long term prices should come back up.
The only time that the property tax on a home will drop is if the price of that home drops faster than the surrounding market - ie if the average Vancouver condo drops 5% in price and yours drops 5% in price, you don't see any reduction in property tax... however, if yours drops 10% vs 5% for the general market, you might see some reduction....
Deal Guru
Jan 27, 2006
11092 posts
4493 upvotes
Vancouver, BC
JayLove06 wrote:
Jun 21st, 2019 7:56 pm

As far as an agent being able to predict what has transpired the last few yars. NO one on this board did it. NOne of the bears did. But buyers were supposed to trust a commission based agent? An agent who if I read this thread you'd think are greedy con artists? Trust those agents? C'mon. You're just trying to find someone to blame and in RFD fashion it's always the purchaser's fault.

Do you really think the market just changed on its own? C'mon man.
Think about the other side for a minute. How many times do you hear a real estate agent say "It's a great investment" or "the market is only going up in the long term"? Isn't the agent predicting what will happen to the price in future? Do you ever hear of an agent say "looks like a good buy right now but who knows what the future will bring?" Heck, no.

All over-inflated markets will always change on their own - it's only a matter of time. If you remove all government intervention, the market will still correct but at different points in time and one could argue that it might not have even moved up that fast as you won't have any homeowner incentive programs nor things like the CMHC... nor would you have large influxes of foreign capital fleeing foreign government interventions in their own local markets.

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