Vancouver's Real Estate Market

[SSM_DC5]

Originally Posted by lowside67

Why don't you just look at the assessed value to see how much is house and how much is land? It is relatively easy to ascertain then if the house value represents an old tear down or a brand new house.

What's the address?

Mark

https://www.bcassessment.ca//Propert...AwMDAzVzNTWg==

[Hakkaboy]

Originally Posted by SSM_DC5

https://www.bcassessment.ca//Propert...AwMDAzVzNTWg==

500k+ for building seems pretty damn high for an old house

[twitchyzero]

wrong photo? says built 2017, and house value went up from last year

[Hondaracer]

Yea like that can’t be the same house they are appraising..I’m assuming that’s the one with a new build on it?

My parents house is like a 3700 sq ft custom build that is only like 25 years old fully renovated and their assessed building value is less than half that place

[Harvey Specter]

Google maps has the new house.

[G0rilla]

Lol $500k over assessment, where the house was already factored in?


https://www.rew.ca/properties/R23787...eet-burnaby-bc

[lowside67]

Okay, let's use our heads for a moment.

A 3600sf house cost at MINIMUM $250/sf to build at the level of the link which means the build cost is at least $900K. The BC Assessment does not say it's a house, it says it is a "non-manualized structure" which means not a complete house.

You are getting the BC Assessment for a partially completed house (remembering this was assessed in July 2018)... you can bet the assessment will go up another $4-500k next year.

Further, the lot values for everything in that neighborhood seem to be around $1.5MM, so that +$900K to build a house actually makes a lot of sense.

Regardless of what an assessment says, you are unlikely going to buy a brand new 3600sf house on land that genuinely appears to be worth $1.5MM for $2MM... that is a huge loss for the builder.

-Mark

[Hondaracer]

That build isn’t $250/sq ft builder cost. The interior finishing is pretty low level

[lowside67]

Respectfully, I disagree. It is fully tiled, has three kitchens (main, wok, and suite), a ton of millwork, a concrete fireplace, etc. I have financed enough single family homes to have seen in recent years that the old estimate of $200/sf hasn't held in anything more than a cheap basic house in some time. Also, we aren't looking for builder cost, we are looking for replacement cost which is what an average person has to pay, not whether somebody in the industry can do it cheaper.

-Mark

[SSM_DC5]

Thanks for the insight and teachings. So what's the builder cost? $200/sq ft?

Also why does it list that it was built in 2017 when non-manualized structure means not complete. And is there no sales within past 3 years because the builder sate on the house for years or does it mean that the incomplete house hasn't been sold within the last 3 years?

[Hondaracer]

A builder could build a house that LOOKS like that at 200/sq ft no problem

Personally I don’t really consider crown and chair rails “millwork” it’s a fairly broad term but I kinda throw millwork under coffered ceilings, paneled walls, intricate details, not just some profiled door casings etc. From the pictures the build quality looks good and I don lt disagree it could easily be $250 a square ft. However, in the same breathe I think a more “inexpensive” builder could build some of the homes Badhobz has been posting with the fancier, higher end finishing details for sub $300 easily.

If you drive by a build and you see a certain demographic working on the house, I can pretty much guarantee they ain’t building a $300/sq ft home.

[jing]

Originally Posted by Hondaracer

A builder could build a house that LOOKS like that at 200/sq ft no problem

Personally I don’t really consider crown and chair rails “millwork” it’s a fairly broad term but I kinda throw millwork under coffered ceilings, paneled walls, intricate details, not just some profiled door casings etc. From the pictures the build quality looks good and I don lt disagree it could easily be $250 a square ft. However, in the same breathe I think a more “inexpensive” builder could build some of the homes Badhobz has been posting with the fancier, higher end finishing details for sub $300 easily.

If you drive by a build and you see a certain demographic working on the house, I can pretty much guarantee they ain’t building a $300/sq ft home.

"Inexpensive"... "certain demographic"....

[Hondaracer]

helps when your plumber is also your framer ..

[CRS]

Originally Posted by SSM_DC5

Anyone able to give me insight?

Look at the breakdown of why it was assessed at 2 million. Look at the value of the land and value of the building/structure.

You should be able to tell whether or not the assessment is using the old structure/building and then figure out whether it will be more.

*edit, I clearly didn't refresh the page when I responded. I see that the above answers are what I have said.

[Badhobz]

That realtor for the burnlake (6k sqft interior) one did say the house was constructed at 250 a sqft. But since it's 6k in interior size it cost them a pretty penny.

[Gumby]

badhobz, do you need such a big house?

[Badhobz]

Kind of. Well not really. Just me and the wife. We don't have any kids nor want any but her parents might come live with us so more space is better.

Id figure I'd take a whole floor myself and put up a no wife allowed sign. Should be fun !

[Harvey Specter]

I would still wait to buy, prices are still falling and will continue to fall across the region. Here's monthly stats from a realtor friend from south Surrey...

We're still in a BUYER'S MARKET with only 72 out of 693 homes selling in the past month (10%) in South Surrey/ White Rock. (Note, anything below 11% is a Buyer's Market). Prices are deeply discounted for luxury products compared to the highs we'd seen 3 years ago. It could be a great time to upgrade to a large house with a suite!

In Ocean Park... sales in the month of June continued to be slow... with 10 out of 140 homes selling. That's 7%, which is definitely a Buyer's Market and slower than the South Surrey average.

Average Sale Price is $1,300,000 in South Surrey / White Rock.

Average Days on Market increased from 33 to 48 days, which is up 45% over May.

Homes are now selling on average 5% BELOW CURRENT list price (keep in mind, that's not necessarily the original list price - there may already have been several price drops).

The SLOWEST price range of detached houses are the LUXURY HOUSES priced over $2,000,000.

BUYER'S BEST BETS: Grandview, with only 6% of homes selling (4 out of 69), and Ocean Park area (10 out of 140 homes sold) or 7%.

SELLER'S BEST BETS: King George Corridor and Morgan Creek, with 21% & 19% selling.

[fliptuner]

If I were still in the market and was pre-approved, I'd be waiting for fall/winter, unless the exact place I wanted, popped up.

[SSM_DC5]

Care to elaborate on why fall/winter?

[CRS]

Originally Posted by SSM_DC5

Care to elaborate on why fall/winter?

Summer is typically when you see the most movements in terms of listings, people going out to check out places, and ultimately buying.

Winter is typically quieter where you may find deals.

[twitchyzero]

but winter is also when people pull their listing off the market
and arent preapprovals only good for 90 days

[fliptuner]

Originally Posted by SSM_DC5

Care to elaborate on why fall/winter?

Most people buy/sell in the spring/summer not just cause homes show better but it coincides with the school year.

Unless it's an investor that doesn't care either way, most winter listings need to be sold for one reason or another.

[SSM_DC5]

Don't people generally go on vacation in the summer, which would mean buyers aren't around to buy if they're out of town.

I will admit, I did notice an influx of new listings right around first week of June compared to a few months prior.

[twitchyzero]

you might get a very brief lulls around long weekends (victoria, bc, canada day, labour day), but spring/summer is historically the busy season

most try to lock down on a place before going on vacation