Exclusive: Condo buyer from Nanjing says China currency controls led to collapsed West Van deal
Aug 18th, 2019 3:46 pm
Aug 18th, 2019 6:15 pm
Aug 18th, 2019 6:15 pm
That started it... now that the prices are dropping, no-one wants to put new money into a market only to see that market drop. After all, why buy today if you believe you can get it cheaper next month or 6 months from now?
Aug 19th, 2019 9:59 am
Since a crash is well underway and not reversible, would you consider writing to your MLC and BCNDP leadership and asking them to roll back all housing related taxes and fire Eby?
Aug 19th, 2019 11:38 am
Is that a serious question or a sarcastic one? I am no fan of the NDP nor Eby and am "taking a hit" on all sides under this government in terms of increased property taxes and "drop in property value" but this is the first government in a long time that has done anything to bring housing insanity under control. It is only just a very small start but our society is suffering from this terrible run up in pricing and for us to become truly liveable as a city we need for things to come back to reality again. I am NOT okay with the increased taxes but am somewhat okay with the drop in property value but hope that the NDP government can find a way to refine its taxes to target those who don't live, work and pay taxes in the region as opposed to those who do, like me.
Aug 19th, 2019 3:01 pm
Aug 19th, 2019 3:34 pm
Definitely a big part of it, it's why we're also seeing the market softening in Seattle even though they didn't introduce any measures to deter foreign buyers like Vancouver did.
Aug 19th, 2019 4:00 pm
Market is down 15-30% depending on municipality and nothing goes down in a straight line. I wouldn’t be surprised to see a few months of flat prices through the fall.Alpine84 wrote: ↑Aug 19th, 2019 3:01 pmThe data over the last 2 months shows that the market is supported very well (calculated by looking at selling price VS assessed ratio). If priced at the right discount you will find a buyer almost immediately. Will need to see how the rest of the year goes, but we have definitely reached a support level.
Aug 19th, 2019 4:14 pm
Obviously a sarcastic one. This crash is solely the product of Eby. Remove Eby, and party goes on. As for whether BCNDP/Green is overall a net plus/minus for the province / Canada as a whole, they haven't been governing for long enough for us to draw any conclusions. As money leaves the province, perhaps unemployment would go up, for those not working in government and not having a lot of advanced education. Or perhaps RE is really not contributing that much to the economy.choclover wrote: ↑Aug 19th, 2019 11:38 amIs that a serious question or a sarcastic one? I am no fan of the NDP nor Eby and am "taking a hit" on all sides under this government in terms of increased property taxes and "drop in property value" but this is the first government in a long time that has done anything to bring housing insanity under control. It is only just a very small start but our society is suffering from this terrible run up in pricing and for us to become truly liveable as a city we need for things to come back to reality again. I am NOT okay with the increased taxes but am somewhat okay with the drop in property value but hope that the NDP government can find a way to refine its taxes to target those who don't live, work and pay taxes in the region as opposed to those who do, like me.
Aug 19th, 2019 8:43 pm
NDP roll back taxes? What universe are you from? The only way the NDP will roll back taxes is if they are thrown out of office.
Aug 20th, 2019 11:54 am
It would be interesting if we could separate causation from correlation when it comes to factors contributing to downward pressure on real estate. Also, if we could find a way to measure how much each causation factor is contributing to the downward pressure on pricing. It could very well be that the measures the NDP are making it appear as if they are responsible for the downward effect on house prices when it may have very little to do with them and more to do with global issues. At least we can say that they were bold enough to try to steer things downward. We may never know what the true impact of their policies has been but certainly from a theoretical standpoint they would put downward demand on speculative buying.
Aug 20th, 2019 1:05 pm
Aug 20th, 2019 2:20 pm
According to media reports, the Canadian government has not received any extra inquiries from Hong Kong residents (ie those with Canadian Passports that live in Hong Kong and non-citizens) about moving to Canada. So, the story of 300,000 may be more hype from the RE industry as the facts don't seem to bear it out.RxMills wrote: ↑Aug 20th, 2019 1:05 pm
Regarding Hong Kong, China's being extremely careful. In minutes, billions could leave Hong Kong with a few keystrokes and that economic asset could be permanently lost.
Those with real money have long since parked it outside of Hong Kong. It's those that are less well off that have been making last minute inquiries.
The problem may not be a Trump victory but a left side of the Democrats victory (ie Saunders or Warren) as some (ie Warren) have stated on the record that they would be tougher on China than Trump.RxMills wrote: ↑Aug 20th, 2019 1:05 pmSo, China will resolve the Hong Kong issue that will keep its asset, and infiltrate the country by other ways, as communist governments usually do - - slowly and quickly deal with the top problem people.
The US is suffering more now from the trade war with Americans now blaming Trump more than China. China is slowly getting Trump pushed out with the hopes of a new deal post Nov'2020.
However, a Trump victory is still very possible. That extra year of "waiting" further pushes the global economy further into a recession, which China will suffer significantly. China wants enough recession to push out Trump without too much recession to shoot itself long-term.
We might be putting more faith into what is broadcasted in the news than what's actually happening. Throughout the world, the level of foreign investment into local real estate has dropped even in those areas that have not done anything to restrict foreign purchases or may not be as politically friendly to those foreign funds (ie US to Chinese investments). So, the downtrend may have less to do local polices and laws than the current slow down in China and the sense that real estate investment is no longer the 'in' investment.
Aug 20th, 2019 7:56 pm
Aug 20th, 2019 8:11 pm
As the stress test is really a national policy, we can compare what's happening in the rest of Canada to BC to have a better understanding of the effects of the stress test. Of course, the affordability factor may skew the stress test to have a greater damping effect than other parts of Canada where affordability isn't as extreme as in BC.mudd_stuffin wrote: ↑Aug 20th, 2019 7:56 pmYou also don't know how much effect the stress test had on market prices. To say that the GreeNDP has done a spectacular job at reducing... is oversimplifying it.
Also, it is nice to be able to say such a government has done a spectacular job on this. Of course, you are unlikely the one who has suffered a 30% decline on the biggest investment of your life which would be magnified if the purchase was mortgaged. Easy for you to say - speak for yourself.