Quote:
Originally Posted by Traum
I agree with everything you said except for the bolded part. If the last 20 years of Vancouver real estate has taught us anything, it is that this market is insane and unlike anything else in the rest of Canada. Also, given the global COVID debts and how governments around the world have fallen in love with printing money to get themselves out of trouble, I'd say inflation is a real and serious risk that could further artificially inflate that RE transaction price.
I'm not saying price will stay elevated forever. But in the immediate future, it isn't going to happen, and nobody knows when it is going to happen.
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I agree on this as well - we may see a slight cooling here or there like we did after 2016 but the trend line is going to be up and to the right. You can find stories tracing back to the 70s' where people complain about housing prices in the GVRD and you can just replace the dates and it's the same story today.
The ship has sailed on housing prices as it powers too much of the economy and governments won't be able to make the brutal choices that drive it back down (and frankly, they can't as WAY too much wealth would be lost and it'd be on the backs of the middle class).
New housing, particularly the type for new families, is just not happening enough - it's either a detached multimillion dollar house or it's a condo. The missing middle of duplexes and townhouses has a massive shortage of supply and our civic leaders are too cowardly to tackle that problem by up zoning the entire city. They do spot rezones that only drive up prices further.