Real Estate

Vancouver housing bubble?

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Apr 20, 2011
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(this news came out at around 6pm thursday)

http://www.vancouversun.com/business/af ... story.html
The Vancouver market increasingly seems like an impossible barrier for me to overcome, and is an increasing source of stress.” That lament, from Dr. Sahriar Kabir, is similar to many others I regularly receive.

The newly graduated family physician, 26, says his fellow medical school colleagues are in the same boat, and “the situation is worse for many of my friends in other professions.”

Unhappily for Kabir, the list of reasons for the real estate price surge lately taking place in the Vancouver area just got longer.

“Below-average home listing activity,” was added by the Real Estate Board of Greater Vancouver to a bevy of forces creating a white-hot property market.

They include low interest rates, a limited stock of detached houses, a devalued Canadian currency, population growth (including provincial in-migration following Alberta’s fiscal downturn) and continuing interest from foreign buyers.

The real estate board reports that the number of properties listed for sale in the Vancouver region last month dropped nearly 20 per cent from a year earlier, creating a seller’s market and inspiring bidding wars.

Despite the fact prices have been going through the roof, the Canada Mortgage and Housing Corp. recently asserted Vancouver’s market is both sustainable and balanced, not a candidate for a price correction.

While the market may be sustainable and balanced, those scrutinizing the situation might also describe it as exasperating and merciless — how many folks can afford a million-dollar house?

It used to be possible for potential buyers to delay their purchase, with a goal of saving additional monies for a larger down payment. But these days, delay only places properties further out of reach because Vancouver-area prices are climbing so fast.

For example, if someone had waited one year to save additional cash for an east Vancouver detached home, its median selling price by now would have jumped by some $200,000.

Also, downward price corrections do not often materialize here and, when corrections do occur, tend to be modest, and brief.

While Vancouver’s Consumer Price Index grew one per cent in the past year, the typical price for all types of residential property grew 8.5 per cent; and, over the past decade, 73.3 per cent.

Neighbourhoods where prices for all types of residential units increased more than 10 per cent over the past year include Ladner, North Vancouver, Squamish, Tsawwassen and West Vancouver.

Prices for single-family detached houses, meanwhile, have increased, over the year, by as much as 16.2 per cent on the east side of Vancouver, nearly 16 per cent in North Vancouver, and 15 per cent in Ladner. West side Vancouver prices grew 13 per cent.

Similarly, people owning detached homes over the past decade have been sweepstakes winners, recording home equity gains to die for. The typical price for a detached home in east Vancouver is up 128.7 per cent since 2005.

On the west side, the price is up 153.4 per cent. Burnaby north and south, Richmond and West Vancouver all experienced increases in their detached home prices greater than 100 per cent since 2005.

Across Greater Vancouver, in the past 10 years, prices for detached homes have ballooned by nearly 97 per cent.

Townhouses and apartments have not increased in price as much as detached homes over the decade, although on the east and west sides of Vancouver, increases have been in the range of 70 per cent.

Of course, over time, price dips in the Metro Vancouver market have taken place. But new highs are quickly reached thereafter.

A real estate board graph, tracking the path of average residential prices from 1977 to 2015, reveals a slow, steady climb upward, with a shallow downward dip through 2008 and 2009, and another in 2012.

The clear, and frustrating, message from board data for the Vancouver region is that, for those who put off their purchases in hope of better circumstances, catching up is hard to do.

byaffe@vancouversun.com
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http://bc.ctvnews.ca/ultra-luxury-real- ... -1.2369369
Vancouver’s real estate market is arguably the hottest in the country, and that includes ultra-luxury listings. Consumer reporter Lynda Steele just toured some of the poshest digs the area has to offer.
For starters, Steele visited a West Vancouver 5,600 square foot ultra-luxury dream home, built last year. The property offers four bedrooms and five bathrooms and is situated on a private oceanside bluff.
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popbottle wrote: http://bc.ctvnews.ca/ultra-luxury-real- ... -1.2369369
Vancouver’s real estate market is arguably the hottest in the country, and that includes ultra-luxury listings. Consumer reporter Lynda Steele just toured some of the poshest digs the area has to offer.
For starters, Steele visited a West Vancouver 5,600 square foot ultra-luxury dream home, built last year. The property offers four bedrooms and five bathrooms and is situated on a private oceanside bluff.
Those must be some huge bedrooms... I can't even begin to imagine what I would do with 5600 square feet.
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BinaryJay wrote: Those must be some huge bedrooms... I can't even begin to imagine what I would do with 5600 square feet.
Many of the houses of that type even have more bathrooms than bedrooms......
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May 15th.
http://www.vancitybuzz.com/2015/05/prov ... stment-bc/
Vancouver condos condo apartment / ShutterstockImage: Sergei Bachlakov / Shutterstock
B.C. Housing Minister Rich Coleman has said neither his ministry or the province has any plans to collect data on foreign ownership, stating that housing costs in B.C. are “pretty reasonable”.

Coleman was referring to the price of real estate in B.C. and the Lower Mainland region compared to other cities such as London and Tokyo after a prompt from Vancouver-Point Grey MLA David Eby.

“It would be greatly worthwhile, from the perspective of many people, to measure the impact of [foreign investment] on the B.C. real estate market,” said Eby.

“There is a lot of concern about this in my community, and people need to know whether their concern is overblown or whether it’s legitimate, and if it’s legitimate that people are using housing as investments and driving up prices, then the province should look at what actions should be taken.” He then asked if Minister Coleman would consider and take forward the conversation within his government to measure international and domestic investment in properties when the unit is vacant.

“I believe that the market place adjusts. If you notice over the years, it has fluctuations up and fluctuations down. If you look at the mean cost of housing across British Columbia and you compare it to other major cities worldwide, the reason it is attractive internationally is because it’s actually pretty reasonable compared to other cities like London, Singapore, Tokyo,” Coleman answered.
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popbottle wrote: May 15th.
http://www.vancitybuzz.com/2015/05/prov ... stment-bc/
Vancouver condos condo apartment / ShutterstockImage: Sergei Bachlakov / Shutterstock
B.C. Housing Minister Rich Coleman has said neither his ministry or the province has any plans to collect data on foreign ownership, stating that housing costs in B.C. are “pretty reasonable”.

Coleman was referring to the price of real estate in B.C. and the Lower Mainland region compared to other cities such as London and Tokyo after a prompt from Vancouver-Point Grey MLA David Eby.

“It would be greatly worthwhile, from the perspective of many people, to measure the impact of [foreign investment] on the B.C. real estate market,” said Eby.

“There is a lot of concern about this in my community, and people need to know whether their concern is overblown or whether it’s legitimate, and if it’s legitimate that people are using housing as investments and driving up prices, then the province should look at what actions should be taken.” He then asked if Minister Coleman would consider and take forward the conversation within his government to measure international and domestic investment in properties when the unit is vacant.

“I believe that the market place adjusts. If you notice over the years, it has fluctuations up and fluctuations down. If you look at the mean cost of housing across British Columbia and you compare it to other major cities worldwide, the reason it is attractive internationally is because it’s actually pretty reasonable compared to other cities like London, Singapore, Tokyo,” Coleman answered.
Who do these morons think they are kidding? Comparing Vancouver to London? Tokyo? GFY you fat slob Coleman.
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Feb 5, 2013
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rommelrommel wrote: Who do these morons think they are kidding? Comparing Vancouver to London? Tokyo? GFY you fat slob Coleman.
He wasn't. He was comparing the whole of BC to London.
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http://www.telegraph.co.uk/travel/desti ... -city.html
When prizes are handed out for the “best place to live in the world”, Vancouver regularly gets one. What felt like a big town on my first visit a decade ago is now a grown-up city, with glass tower blocks, a buzzy cultural life and a cosmopolitan population that includes newcomers from Asia, as well as home-grown Canadians and first-generation Europeans. And nowhere is this ethnic mix more representative than on a plate in one of Vancouver’s atmospheric restaurants.
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bankonit wrote: He wasn't. He was comparing the whole of BC to London.
Good point. He's even more full of BS. I'd say he's dumb, but he isn't. Just a liar.
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http://www.cbc.ca/news/canada/british-c ... -1.3079077

Real estate magnate Bob Rennie says young Vancouverites should let go of their dream of owning a single-family detached home in the city and embrace density if they want to stay.

Rennie, owner of Rennie Marketing Systems, will be speaking on the issue during his annual address to the Urban Development Institute on Friday.

As housing prices continue to skyrocket in Metro Vancouver, more and more educated young people with well-paying jobs are venting their frustration at being priced out of the real estate market. One Vancouver woman even took to Twitter to express her dissatisfaction by creating the hashtag #donthave1million.

With the average price for a single family home in Vancouver hitting $1.72 million in 2014, only densification will solve Vancouver's housing affordability dilemma, says Rennie.

"I think the problem we have with single family homes in Vancouver is we're not making anymore of them. We'll never create another single family lot in my lifetime. There's depleting inventory and increasing demand," Rennie told The Early Edition's Rick Cluff.

"So it's toxic."

According to Rennie, whose company was involved in high-profile projects like Vancouver's Olympic Village and the redevelopment of the historic Woodward's building, planners need to create a lot of density at once in order to drive down prices.

"I know nobody wants to hear that, but unless we're going to take a big broad brush stroke and add a lot of density, we're in trouble," he said.

Rennie will address the Urban Development Institute at 12 p.m. PT on Friday.
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Hawker of future slum condos says to buy condos.
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I do not see anything here that indicates he deals with properties in disadvantaged areas.

http://en.wikipedia.org/wiki/Bob_Rennie
Bob Rennie (born 1956) is a real estate marketer based in Vancouver, British Columbia. He is the owner and founder of Rennie Marketing Systems, which is Vancouver's largest real estate marketing firm.[1] He is known colloquially as the "condo king".[2] Rennie is also involved in the art community in Vancouver and throughout North America, and maintains his own art museum in Chinatown’s Wing Sang building.
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rommelrommel wrote: Good point. He's even more full of BS. I'd say he's dumb, but he isn't. Just a liar.
Yep, it was a poor comparison.
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http://www.vancitybuzz.com/2015/05/mayo ... 8-million/
Vancouver Mayor Gregor Robertson’s home has been sold for $1.98 million, just two weeks after it was listed in the market for sale.
Robertson’s family profited $405,000 from the transaction after owning the home for just two years, Metro News reports.
At the beginning of May, Robertson’s ocean and mountain view residence at Kitsilano was listed for $1.798 million. The Mayor purchased the three-storey home just in the summer of 2013 for $1.488 million.


- $400,000 tax free!
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A couple can get 500k tax free in the states, except their mansions only cost 200k!~ lol
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why hasn't this thread been updated? how much has it crashed?
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LandKing wrote: why hasn't this thread been updated? how much has it crashed?
Because crashadam is embarrassed as to how wrong he was and continues to be.
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LandKing wrote: how much has it crashed?

It hasn't crashed........yet. Countdown timer is still ticking.
A wise RFD'er once said, "Buy now, think later."
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