Quote:
Originally Posted by Traum
Jason,
Would you care to elaborate on what you mean by "impact"? Without any clear indications, I cannot guess whether you mean our Vancouver market will be "impacted" positively or negatively. As a matter of fact, even the words "positive impact" and "negative impact" can have totally opposite meanings, depending on whether you are speaking from the perspective of the average Canadian home owner, or the RE agent.
Cutting the chase, do you think the Vancouver housing market (premium or otherwise) will go higher or lower?
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At this time I believe the prices are being impacted in a "positive" way, in the sense that we are clearly seeing rapid price appreciation in the premium home market.
Regarding the comment you made about perspective, do you, under any circumstances, consider price of a publicly traded equity to be negative in nature?
My believe is that, subject to timing, the same factor which is currently driving our premium home prices up rapidly, will be responsible for the eventual decline in prices. As the economic situation in China becomes more severe and the Chinese Gov. simultaneously implements additional measures to curtail the movement of would be expats and their funds, the rest of the world will be pressing the panic button trading off over-valued growth instruments for fixed income instruments.
Some would say that real estate is a secure investment, while that might be true to some extent, it does not compare to US treasury bonds
