Vancouver's Real Estate Market

[Z3guy]

Originally Posted by 4444

bc all university research is always right?

you know, vancouver real estate may go up forever (it won't), but the thing is, you all act as though vancouver real estate or nothing.

herd mentality ends up killing the last members of the herd.

again, you such a noob! haha. All I know is you are wrong Sheppard boy.

[IfUCare]

Z3guy/4444.

can't we all agree to disagree. You're both correct, you don't need to get angry at each other. You're both taking your argument to the extreme. You don't have to live beyond your means, you can buy a small place and not be insane debt and have the comfort of living in your own home. You can have money and invest and if anything goes south take your investments out. It's really not either or...
Find the happy medium.

[Gululu]

Originally Posted by GS8

lol I could care less which country they came from. But if a ton of foreign money starts pouring in out of literally nowhere (since it can't be tracked), which drives up the prices for us poor shits who were born here then why not be a little peeved?

Not sure why social warriors need to hold the racism flag so close to their chest. Nothing racist here at all IMO. It's about rich and the non rich.

My mom went through Hell coming here from another country (early 70s) so I took personal offense knowing that people could just buy their way in.

Whatever, way of the world

/rant

since you know it's about money, then don't blame chinese / asians keeping your real estate market afloat. it seems like Chinese is always the scapegoat to take the blame for virtually every single problem to happen in vancouver.


Bonus:
Is it racist to sell my house to the highest bidder?

Originally Posted by lady_mapetite

^agreed.

bugs me that my parents and now myself contribute to the economy and the benefits of canadians but cannot buy a place here and call it home

it also frustrates me to the max that i'll need a dual income in hopes of being able to purchase a shoebox here in van - what if i don't want to share a house with someone.. the only choice would really be apartments/condos - even that is stretching it

keep ranting then. i mean renting.

[iEatClams]

Originally Posted by Traum

The problem is, supposedly, the government's duty is to serve the citizens and look after our needs, not cater to foreign investors at the expense of the citizens' well being. With foreign investors driving up home prices and making home ownership next to impossible, the government (all 3 levels of them) is not doing its jobs right.

There's pros and cons to foreign capital investment into local real estate.

Pros:
- obviously it's similar to tourism as many businesses will now be exposed to new customers that have lots of $ and are willing to spend it.
- The owners that bought their property for 400K 10 years ago can now sell it for over $1 million. or more depending on where you live etc.
- those that own a home in a desirable area (west side etc) can now sell out for $2-8 million and use that cash to buy a dream home in East Van etc. trickle down effect.
- speculators make money
- banks, realtors, mortage brokers, real estate lawyers, property managers, housing, construction, condo development. . .they all benefit.
- municipal coffers are up big time, which is probably why we all think - Gregor is catering to the developers because he gets all this new property tax revenue. BC government gets property transfer tax revenue. Some of the biggest political donaters are developers.
- newspapers love developers, look at your newspaper, half the ads are real-estate related.

Cons:
- High cost of real estate and rents force companies to move elsewhere.
- many move elsewhere because they cant afford to live here due to high cost of living, companies suffer because they cant find good talent
- some are forced out due to limited supply of rentals, $1600-$2000 a month for a 1 BR condo downtown? $2000 a month for a 3BR townhome in east van? some of these homes are left vacant and there just need to be more supply in order to decrease the rent prices.
- extremely unsafe debt load from many taking on too much debt, all it takes is one earthquake and bam - those that are over leveraged are screwed.

I think it gets to a point where real estate levels are unsafe and that's when the government (all 3 levels) are not doing their job and not doing research, or keeping stats, or turning a blind eye to things and if the high real estate prices are left uncheck, this could cause a huge recession if say something like an earthquake happens or something and there's a major real estate correction.

And most likely the taxpayers will have to bail these people that are over-leveraged out. Not to mention that a recession also hurts everyone, even those that did the prudent thing and not over-leverage themselves.

[iEatClams]

I just find it funny that most other cities along the pacific rim already have some sort of foreign restrictions on real estate to protect the interest of the local people, yet Vancouver can't even discuss it, I'm just talking about having A DEBATE.

[jasonturbo]

You know what really sucks about property appreciating here? It isn't the value, I could even eat the 1.5M for a house that suits my taste on the North Shore.

It's the property taxes, 15-20K per year in property taxes is what will keep me renting until there are major changes.

1.5M virtually fully liquid generating fixed income cannot be compared to owning a 1.5M house and having to pay taxes and maintenance etc. You will absolutely come out farther ahead with the money invested than you will owning the house, this is simple math, and is also confirmed if you compare the return of the SP vs housing virtually anywhere.. and that's only looking at share value, not paid dividends etc.

Median household income is 75K in Van, interest rates are at emergency levels, housing will eventually come back to reality IMO.

When the US Fed bumps their interest rate up we will do the same or see our currency really start to take a beating... whether we see severe inflation or delfation at that point is the big question. I'm very bearish on the Canadian economy both short and long term.

[Z3guy]

^I am not sure about North Shore, but in Vancouver a 1.5M house property tax is in the $6-7K range. $15-20 seems really high......

[jasonturbo]

Originally Posted by Z3guy

^I am not sure about North Shore, but in Vancouver a 1.5M house property tax is in the $6-7K range. $15-20 seems really high......

Used some random calculator, checked another one and got roughly half the tax rate for all areas.

6500$ is probably more accurate then :s

#feelingoptimistic

[iEatClams]

Originally Posted by Z3guy

^I am not sure about North Shore, but in Vancouver a 1.5M house property tax is in the $6-7K range. $15-20 seems really high......

Vancouver's mill rate last year was 3.67 for every 1,000. so thats about $5,500 on a 1.5 million dollar property.

North van mill rate was 4.38, so $6570.

[Z3guy]

Originally Posted by jasonturbo

Used some random calculator, checked another one and got roughly half the tax rate for all areas.

6500$ is probably more accurate then :s

#feelingoptimistic

My buddy just bought a house Lynn Valley for 1.1m and spent approx. 300K on renos and his house is pimp. Relatively speaking, N Van seems to be pretty good value for Greater Vancouver housing.

[Gululu]

Originally Posted by iEatClams

I just find it funny that most other cities along the pacific rim already have some sort of foreign restrictions on real estate to protect the interest of the local people, yet Vancouver can't even discuss it, I'm just talking about having A DEBATE.

if you want to truly protect the interest of local people then let the free market work don't impose externalities

if anything you should feel blessed and fortunate we have a steady real estate market unlike elsewhere's.


Also:
When you start making assertions and using words such as "local people" you need to define it. who constitutes as a local and who doesn't? be really clear on this

[Y2K_o__o]

Originally Posted by iEatClams

There's pros and cons to foreign capital investment into local real estate.

Pros:
- obviously it's similar to tourism as many businesses will now be exposed to new customers that have lots of $ and are willing to spend it.
- The owners that bought their property for 400K 10 years ago can now sell it for over $1 million. or more depending on where you live etc.
- those that own a home in a desirable area (west side etc) can now sell out for $2-8 million and use that cash to buy a dream home in East Van etc. trickle down effect.
- speculators make money
- banks, realtors, mortage brokers, real estate lawyers, property managers, housing, construction, condo development. . .they all benefit.
- municipal coffers are up big time, which is probably why we all think - Gregor is catering to the developers because he gets all this new property tax revenue. BC government gets property transfer tax revenue. Some of the biggest political donaters are developers.
- newspapers love developers, look at your newspaper, half the ads are real-estate related.

Cons:
- High cost of real estate and rents force companies to move elsewhere.
- many move elsewhere because they cant afford to live here due to high cost of living, companies suffer because they cant find good talent
- some are forced out due to limited supply of rentals, $1600-$2000 a month for a 1 BR condo downtown? $2000 a month for a 3BR townhome in east van? some of these homes are left vacant and there just need to be more supply in order to decrease the rent prices.
- extremely unsafe debt load from many taking on too much debt, all it takes is one earthquake and bam - those that are over leveraged are screwed.

I think it gets to a point where real estate levels are unsafe and that's when the government (all 3 levels) are not doing their job and not doing research, or keeping stats, or turning a blind eye to things and if the high real estate prices are left uncheck, this could cause a huge recession if say something like an earthquake happens or something and there's a major real estate correction.

And most likely the taxpayers will have to bail these people that are over-leveraged out. Not to mention that a recession also hurts everyone, even those that did the prudent thing and not over-leverage themselves.

You are absolutely right

We, the tax payer, eventually pay the bill if there is a big correction no matter the CMHC so-called "$10k insurance" on high leveraged mortgage.

From the government's perspective, higher property value equates higher property tax. The increase in tax are just free money for them.

In long term, the young generation will eventually move out to other places where they can find more opportunities of owning a property, lower cost of living, and etc...

[Z3guy]

^ I think the younger generations will get accustomed to living in a small space and accept living in a 500sq ft shoebox but in the community of their choice. I think the younger generation have given up on trying to buy a house with dirt. It blows my mind all the condo complexs going up on Cambie and Oak between 33rd to 60th. However all the condos are $600K and up. Who are buying those things?

[Traum]

Originally Posted by Gululu

if you want to truly protect the interest of local people then let the free market work don't impose externalities

if anything you should feel blessed and fortunate we have a steady real estate market unlike elsewhere's.

Also:
When you start making assertions and using words such as "local people" you need to define it. who constitutes as a local and who doesn't? be really clear on this

Please tell me which parallel universe you come from where the free market exists to protect the interest of local people?

[westopher]

Guuluu just is trying to bait an argument to make "the whites" look racist like he always does.

[jasonturbo]

Local people in Vancouver?

... Millionaires?

Locals to me will be those that are welcome beyond my gated driveway

[Gumby]

Originally Posted by Z3guy

^ I think the younger generations will get accustomed to living in a small space and accept living in a 500sq ft shoebox but in the community of their choice. I think the younger generation have given up on trying to buy a house with dirt. It blows my mind all the condo complexs going up on Cambie and Oak between 33rd to 60th. However all the condos are $600K and up. Who are buying those things?

My parents are down-sizing so they bought one of the upcoming apartments on 41st to be closer to me in Vancouver (more convenient for baby-sitting!) and will sell their house in Richmond.

I guess all the empty nesters?

[Nssan]

Now sure if this is an appropriate place to post this, but hope you guys would complete this quick survey for me

https://www.surveymonkey.com/s/YRN5FTJ

[GS8]

Originally Posted by Traum

Please tell me which parallel universe you come from where the free market exists to protect the interest of local people?

I think it's called 'Homeschool'

[Marshall Placid]

Originally Posted by Mr.HappySilp

Is this the new condos they are putting up at Brentwood. I heard phase one is sold out already and not phase two is selling pretty well?

My parents went and check it out. Looking at the floor plans vs the price is not worth it IMO.

Probably Trump Tower.

[multicartual]

Owning is a massive status symbol


Vancouver is a very tolerant and peaceful city because we all observe our covert caste system where those of different social strata don't really mingle with each other


Probably why everyone is so passive-aggressive, which often plays itself out on RS

[Xu.Vi]

Originally Posted by Marshall Placid

Probably Trump Tower.

It's Brentwood phase 2. Only units left are the ones facing Metro Burnaby.

[4444]

Originally Posted by Z3guy

^ OK soapbox boy,

pot calling the kettle black.

[Z3guy]

^ really now? I share my personal experiences and views vs you telling everyone is dumb for buying real estate in vancouver and there are so many other smarter investments.

Btw where is your rebuttal to Asian money influencing vancouver soapbox boy? Lol

[Alby]

Originally Posted by 4444

no, but i can live in a much nicer house for less money by renting, all whilst my diversified assets grow with less risk.

i can also live in said rented property paid for by the income from my said diversified portfolio when i choose to retire.

in the end of the day, you guys are all blind to the fact that 1 moment can turn ur life upside down, a major terrorist attack in china, the implosion of a credit market, and boom, negative equity.

i can never be in negative equity. that is worth something to me.

but at the end of the day, guess what? you are only renting and have no house attached to your name while Z3guy does. you keep paying and paying and paying and paying but you still have nothing. why keep paying and not own?