Vancouver's Real Estate Market

[kr4l]

Originally Posted by Liquid_o2

You have to remember that strata fees are calculated per square foot. That unit is about 33 cents a square foot, which is fairly standard. It's 400 bucks a months because the unit is large. Go down to a 800 square foot condo and strata fees would be only $256 a month.

They also have an outdoor pool to deal with. My brother has a slightly larger 2bed and den at $300/month strata but no pool

[Tapioca]

Originally Posted by Gerbs

How do you guys calculate what you can afford when you're looking to purchase your first home? Assuming you have about enough for 20% - 35% down payment, do you guys follow the 3x income rule?

The majority don't follow the 3x gross(net) rule anymore.

If you don't need CMHC insurance, banks are willing to lend 5x your gross income. This is why professionals in their 30s can afford detached houses in the $1 million range.

You go in and hope nothing bad happens to you in your first ten years. Hope your salary catches up or your property will appreciate so you can refinance when you need the cash flow. Detached owners always have the option of rental income/AirBnB to offset the costs.

You have to remember that strata fees are calculated per square foot. That unit is about 33 cents a square foot, which is fairly standard. It's 400 bucks a months because the unit is large. Go down to a 800 square foot condo and strata fees would be only $256 a month.

Keep in mind that the majority of strata contigency funds in BC are underfunded.

The less amenities, the better in my experience. The trend in most multifamily developments is towards clubhouse style facilities which is great in the first few years. However, given the number of renters and other transients you get in most new developments, the condition of these facilities quickly degrade over time. Pools are one of the largest ticket items.

A no-frills townhouse complex with no amenities, vinyl/Hardi siding and shingle roofs is typically $0.20 square foot.

[lowside67]

Originally Posted by VR6GTI

Its not a great deal you have to factor in $400/month for strata, it looks like it backs onto the bushes which is where the new skytrain runs. If you have a young family its a great area to raise kids. That complex has no guest parking and goodluck finding parking anywhere in that area in the summer time.

None of the low-rise apartments back on to the skytrain - only the highrise and the townhouses. We live in 700 at the far end of the complex (ie closest to Murray St and furthest from the Skytrain) and we cannot hear the skytrain whatsoever - that building is a bit closer, and you may hear it if you are listening carefully, but I am confident that it would not be overbearing.

To parking - it's hit and miss on the street, but every building has underground parking with guest spaces. In our building, 700, there has literally never been one day in the history of the building being open, that there has not been spaces available - we have 30 spaces and on average 5 are used.

Originally Posted by Tapioca

Keep in mind that the majority of strata contigency funds in BC are underfunded.

The less amenities, the better in my experience. The trend in most multifamily developments is towards clubhouse style facilities which is great in the first few years. However, given the number of renters and other transients you get in most new developments, the condition of these facilities quickly degrade over time. Pools are one of the largest ticket items.

A no-frills townhouse complex with no amenities, vinyl/Hardi siding and shingle roofs is typically $0.20 square foot.

Klahanie has the clubhouse style facility which has its pluses and minues. I am actually on the strata of that exact clubhouse, so I am quite familiar with the economics of running it. The pluses are the costs are divided by a huge number of residents, many of whom never use the space. There are over 1,000 units in Klahanie that share the cost of maintaining that space - while the pool is a big ticket item - we are looking at a complete resurfacing next year, a $50,000 bill is $50/unit - not bad.

Klahanie is not without its challenges, as is any neighborhood, but in general - it's the friendliest and most peaceful strata community I have ever lived in, especially considering the size. Living in apartments in Metrotown, Brentwood, Yaletown - you simply don't say hi to your neighbors, if you even speak their language. In Klahanie, I know the guy who lives next to me - I met him because he was outside in his yard one day and I asked him to come help me move a TV my wife couldn't lift. I like that part of living here a lot.

-Mark (Klahanie resident)

[Tapioca]

Originally Posted by lowside67

Klahanie is not without its challenges, as is any neighborhood, but in general - it's the friendliest and most peaceful strata community I have ever lived in, especially considering the size. Living in apartments in Metrotown, Brentwood, Yaletown - you simply don't say hi to your neighbors, if you even speak their language. In Klahanie, I know the guy who lives next to me - I met him because he was outside in his yard one day and I asked him to come help me move a TV my wife couldn't lift. I like that part of living here a lot.

-Mark (Klahanie resident)

If I were in the condo market or a Tri City realtor, I would recommend the community myself. There's a reason why Klahanie and Suterbrook have the highest concentration of strollers north of the Fraser River.

Your comments about community and English speaking neighbours are reasons why my wife and I moved to Port Moody last year. Born and bred in East Van, but I really dont know if I would ever live in Vancouver again, even if given my parents house for free.

[Mr.HappySilp]

Originally Posted by lowside67

Klahanie has the clubhouse style facility which has its pluses and minues. I am actually on the strata of that exact clubhouse, so I am quite familiar with the economics of running it. The pluses are the costs are divided by a huge number of residents, many of whom never use the space. There are over 1,000 units in Klahanie that share the cost of maintaining that space - while the pool is a big ticket item - we are looking at a complete resurfacing next year, a $50,000 bill is $50/unit - not bad.

Klahanie is not without its challenges, as is any neighborhood, but in general - it's the friendliest and most peaceful strata community I have ever lived in, especially considering the size. Living in apartments in Metrotown, Brentwood, Yaletown - you simply don't say hi to your neighbors, if you even speak their language. In Klahanie, I know the guy who lives next to me - I met him because he was outside in his yard one day and I asked him to come help me move a TV my wife couldn't lift. I like that part of living here a lot.

-Mark (Klahanie resident)

I am thinking of apply for the strata in my building but I am not sure.... It seems too much work but some people say is worth it.

[Liquid_o2]

Originally Posted by Tapioca

If I were in the condo market or a Tri City realtor, I would recommend the community myself. There's a reason why Klahanie and Suterbrook have the highest concentration of strollers north of the Fraser River.

Your comments about community and English speaking neighbours are reasons why my wife and I moved to Port Moody last year. Born and bred in East Van, but I really dont know if I would ever live in Vancouver again, even if given my parents house for free.

Completely agree. Fiancee and I looked at Port Moody and that specific product in particular and loved it, but ultimately, the work commutes would have been absolutely killer for us. Thus we are still looking at East Van/Burnaby.

[lowside67]

Both my fiance and I work downtown - we take the WCE to work and it's actually a very pleasant way to commute. Total time on the train is under 25 mins each way, direct, and they are much nicer than skytrain and no stops.

-Mark

[CivicBlues]

There's always Kits in Vancouver. Everyone there is white and presumably speak English

[Tapioca]

Originally Posted by Liquid_o2

Completely agree. Fiancee and I looked at Port Moody and that specific product in particular and loved it, but ultimately, the work commutes would have been absolutely killer for us. Thus we are still looking at East Van/Burnaby.

If you're still in the market for presales, I would look strongly at something like Aragon's Platform development. You can't get a much better commute from Port Moody to Vancouver than that. Walk time is 5 minutes to the station from the site. You would be basically a half hour door to door from downtown with WCE which is better than the commute from parts of East Van and west/central Burnaby.

[Liquid_o2]

Originally Posted by Tapioca

If you're still in the market for presales, I would look strongly at something like Aragon's Platform development. You can't get a much better commute from Port Moody to Vancouver than that. Walk time is 5 minutes to the station from the site. You would be basically a half hour door to door from downtown with WCE which is better than the commute from parts of East Van and west/central Burnaby.

That's assuming I worked in Vancouver and we both worked a 9-5 job, which neither of us does. Fiancee works in Vancouver (shift work so transit isn't an option), I'm near the tunnel. Looking at google maps right now, it would take me over 1 hour to get from my office to Clarke and Moody. For her, 45 minutes. We would rather live in 500 SF than face those commute times.

[UFO]

Originally Posted by Tapioca

Your comments about community and English speaking neighbours are reasons why my wife and I moved to Port Moody last year. Born and bred in East Van, but I really dont know if I would ever live in Vancouver again, even if given my parents house for free.

We were very fortunate buying into our block in Coquitlam, did not anticipate such a community feel on our street. Many easy going young families, kids play together on the block, neighbours watch out for each other and are friendly and outgoing. Though our house is simple, the neighbourhood is the main thing keeping us from upgrading to a nicer house elsewhere. Also raised in East Van where my parents still currently live; after working in the neighbourhood for the past few months, no way I want my kids to grow up in that environment when we have what we have right now.

Originally Posted by Mr.HappySilp

I am thinking of apply for the strata in my building but I am not sure.... It seems too much work but some people say is worth it.

People always like to bitch and complain that their strata council sucks, waste their funds, etc etc. When I was running my old building's council, I always encouraged the vocal minority to join council, be the change you want to see. But true to the Vancouver way, its much easier to complain about something than to actually do something about it.

Yeah its a lot of work, but the work is an investment into the investment you've made into your home. If/when you own a detached house, that too is a lot of work, just a different type of work. There are no free rides

[VR6GTI]

If I didnt have 2 kids I'd still live in the klahanie community

[westopher]

Originally Posted by Mr.HappySilp

I am thinking of apply for the strata in my building but I am not sure.... It seems too much work but some people say is worth it.

You were the guy that said composting was too much work right?

If you actually want to put in effort to make your building spend efficiently and be a better place to live please do.

If you are doing it for self serving reasons to make the rules fit your lifestyle over others please don't.

[Mr.HappySilp]

Originally Posted by westopher

You were the guy that said composting was too much work right?

If you actually want to put in effort to make your building spend efficiently and be a better place to live please do.

If you are doing it for self serving reasons to make the rules fit your lifestyle over others please don't.

Currently I can see a ton of issue/stuff that needs fixing IE people just leaving their trash in the garbage room just like not even in the bins, moving in without booking the elevator(happen during my move in date I book that time paid the deposit and during the move in someone just decided to roll up with their movers and wanted to use the elevator. I told them no I book it at this time so fuck off. They weren't too happy and talk to concierge and wanted to use the elevator as well. Too bad they didn't book it in advance so they have to wait thus wasting his time and money since hey paid the movers by the hours.), people not parking in their own parking spot or rather they have more than one car but only one parking spot so they park at someone else parking spot. There are more little things like people throwing their garbage in common area......

[Tapioca]

Originally Posted by UFO

We were very fortunate buying into our block in Coquitlam, did not anticipate such a community feel on our street. Many easy going young families, kids play together on the block, neighbours watch out for each other and are friendly and outgoing. Though our house is simple, the neighbourhood is the main thing keeping us from upgrading to a nicer house elsewhere. Also raised in East Van where my parents still currently live; after working in the neighbourhood for the past few months, no way I want my kids to grow up in that environment when we have what we have right now.

Lots of people are hellbent on staying in Vancouver because of the lifestyle. If you're single or DINK, then staying in Vancouver is very compelling, but if you've got a family, you're pretty much forced to buy a car or two because you're running around and juggling childcare drop off, appointments, errands, etc. So why pay the premium of living in Vancouver when you're forced to live a car dependent lifestyle?

Another problem with being a homeowner in Vancouver is that your taxes go towards tackling problems that no municipality has the capability to solve on its own, like homelessness and opioid abuse. Vancouver attracts the best and worst people in the country. At this stage in my life, I would rather have my taxes go towards things that keep my city clean and running effectively. High property taxes are also effective in maintaining the demographic of a community - that is, people who have relatively high incomes (as opposed to wealth) and who are just as invested as I am.

Yeah its a lot of work, but the work is an investment into the investment you've made into your home. If/when you own a detached house, that too is a lot of work, just a different type of work. There are no free rides

I would argue that people with detached houses don't need to put as much maintenance into their homes because the value of the land will appreciate far beyond any investment into the actual dwelling.

[Liquid_o2]

It's also a lifestyle choice as much as anything. Some people feel comfortable moving out to Langley or Maple Ridge and living a suburban lifestyle on a quiet street. Others prefer urban high density living. Also depends on how much you want to commute based on where your job is.

In my neighbourhood, there are tons of young families with kids. Has a really good friendly feel to it.

Also, Burnaby and New West have higher property tax rates than Vancouver I believe.

[lowside67]

Originally Posted by Tapioca

The majority don't follow the 3x gross(net) rule anymore.

If you don't need CMHC insurance, banks are willing to lend 5x your gross income. This is why professionals in their 30s can afford detached houses in the $1 million range.

Purchase price (or loan) to income is not a factor in residential mortgage approval. It is loan payment ("debt service") to income that is measured - specifically GDSR and TDSR. There are some relationships / similarities between the two since of course payments are related to loan size, but it's debt servicing that actually matters.

-Mark

[Mr.HappySilp]

Originally Posted by Tapioca

Lots of people are hellbent on staying in Vancouver because of the lifestyle. If you're single or DINK, then staying in Vancouver is very compelling, but if you've got a family, you're pretty much forced to buy a car or two because you're running around and juggling childcare drop off, appointments, errands, etc. So why pay the premium of living in Vancouver when you're forced to live a car dependent lifestyle?

Another problem with being a homeowner in Vancouver is that your taxes go towards tackling problems that no municipality has the capability to solve on its own, like homelessness and opioid abuse. Vancouver attracts the best and worst people in the country. At this stage in my life, I would rather have my taxes go towards things that keep my city clean and running effectively. High property taxes are also effective in maintaining the demographic of a community - that is, people who have relatively high incomes (as opposed to wealth) and who are just as invested as I am.



I would argue that people with detached houses don't need to put as much maintenance into their homes because the value of the land will appreciate far beyond any investment into the actual dwelling.

Maybe for some people they must live in DT, yaletown etc etc.... but once people actually move outis a whole different story. I find myself actually going out less even though I live right in the center of Burnaby.

[Tapioca]

Originally Posted by lowside67

Purchase price (or loan) to income is not a factor in residential mortgage approval. It is loan payment ("debt service") to income that is measured - specifically GDSR and TDSR. There are some relationships / similarities between the two since of course payments are related to loan size, but it's debt servicing that actually matters.

-Mark

5x your salary assumes you have no other debts.

Secure the biggest mortgage you can qualify for, then get a HELOC to buy a your new CLA or Range Rover Evoque.

[CivicBlues]

Originally Posted by Mr.HappySilp

I live right in the center of Burnaby.

So that puts you like in the middle of Burnaby Lake. No wonder you don't go out much anymore!

[Mr.HappySilp]

Originally Posted by CivicBlues

So that puts you like in the middle of Burnaby Lake. No wonder you don't go out much anymore!

Actually I live 2mins away from Metrotown.

[Tapioca]

Another reason why people probably don't want to volunteer for their strata council is that most owners violate bylaws on a regular basis. Everyday violations include parking in visitor stalls, alterations to their units without prior approval or notification to the strata, failure to submit Form K for rentals, allowing friends and relatives to use common facilities without supervision by the owner, drying clothes outside, replacing window coverings with non-white coverings, using deck storage furniture, performing major car maintenance in parkades, etc. They don't want to be called out on their hypocrisy.

[dat_steve]

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[trd2343]

I'm investing into RE in the next few months, and was wondering is there any property management companies that any of you have had good experiences with?

The reason why I want to go through a property manager is, I just want to let the property appreciate (at least keeping up with inflation), and not have to do or think about anything. I'm not looking into flipping the property either. I want the property manager to be able to rent out my property, and just give me the rent from time to time.

Is this a realistic expectation? Being a complete newbie at this, what are some things I should look for when finding a property manager?

Thanks

[Manic!]

Originally Posted by trd2343

I'm investing into RE in the next few months, and was wondering is there any property management companies that any of you have had good experiences with?

The reason why I want to go through a property manager is, I just want to let the property appreciate (at least keeping up with inflation), and not have to do or think about anything. I'm not looking into flipping the property either. I want the property manager to be able to rent out my property, and just give me the rent from time to time.

Is this a realistic expectation? Being a complete newbie at this, what are some things I should look for when finding a property manager?

Thanks

I have a guy that does a number of units for my family. The guy is awesome and is on the board of one building I have a unit in because he manages so many units in there. He saved me a pile of money last year. I will. Send you his info when I get back from. Europe.