City of Vancouver’s plans for more homes “not enough” without wider regional housing/transit strategy, says UDI


All levels of government are urged to “act quickly” in order to prevent Metro Vancouver’s housing shortage from worsening, in the latest quarterly State of the Market report issued December 5 by the Urban Development Institute.


The development industry group reported that an acute housing supply shortage continues, with just one new, move-in-ready townhome available for sale in Vancouver proper, and only 14 available across the whole Metro region, as of the end of 2017’s third quarter.



At a total of 1,813 units, new and unsold multifamily homes for purchase in Metro Vancouver, at all stages of construction, are down 84% from the peak of 11,090 units in Q1 2013.


Anne McMullin, UDI president and CEO, said, “Our industry wants to build more multi-family homes for all budgets across Metro Vancouver. The biggest obstacles are still municipal permitting delays, which can take years, and single-family zoning, restricting 85% of residential land.


“While we’ve seen an encouraging 10-year strategy to provide more multi-family options in the City of Vancouver, on a regional scale, a combined housing/transit investment action plan is needed now, or this will never be enough to meet local demand, around 97% of buyers.”


The UDI said the local population growth likely to come from the new federal immigration target increase of 13% a year by 2020, “will only add to our housing shortage and keep prices high, if local governments don’t act quickly.”






Post CommentComments: 0Read Full Story


Investing in condos can be a very lucrative pursuit. Everyday I work with condo investors whose portfolios outperform stocks and hedge fund!


Deciding whether to invest in condos, or where to invest, is usually a matter of simple math – deduct maintenance costs, insurance costs, taxes, association fees and other foreseen expenses from the value of the property and the rent you’d charge.


However, there are certain condo investor habits everyone should develop to ensure amazing cash flow from their condo investments. And today, we are going to give you five of our favorite habits of successful investors.

1. Condo Investor Habits: Maintain And Upkeep The Property

When you properly inspect, maintain, and occasionally renovate your property, renter appeal increases. This ensures the value of your unit and the rent you can charge is always maximized.


All well-maintained property projects a sense of pride in your properties, and shows a lot about you as a conscientious landlord.


Clean windows every once and a while, install a new doorknob, make sure fire detectors work, fix defects in the wall, pay for a professional cleaning during tenant turnover, consider painting. This is all minor upkeep that is minimal cost, but will make sure your investment is as profitable as it can be.


Tenants will want to rent from you, which means less vacancy rates and you’ll enjoy a steady stream of income for longer periods of time.

2. Condo Investor Habits: Have A Niche And Brand

As an investor in condominium real estate, you are essentially running a business, and it’s no secret that all successful businesses have a niche they cater to and a brand they’ve developed.


Think of who and what you want your business to cater to. Who is your target renter? Write it down, their age, profession, lifestyle, income, etc. Develop a profile of who it is you want to market to. This is part of your business plan and will help keep you on track.


Also, know your strengths and weaknesses – if you’re very familiar with a particular location or type of property, that should be what you focus on. Know what you can’t do as well – like physical maintenance – and take steps to mitigate your weaknesses while advertising and playing to your strengths.


Not a handy person? Don’t waste 6 hours trying to fix a toilet! Build a team of qualified contractor to come in and fix it. After all, your time is worth something.

3. Condo Investor Habits: Be Proactive

There’s only so much time you can whittle away at a decision, trying to figure out if it’s a good one or not.


For condo investor habits, it’s important to develop proactivity. If a property comes up for sale that’s a good deal, jump on it, because someone else sure will if you don’t.


A renter told you they’re moving out in a month? Advertise now and start coming up with a plan on what needs to be done before a new renter takes over. Plan now!


That isn’t to say you should make rash, uninformed decisions. But, inactivity will only cause you to miss out on an opportunity and your investments will stagnate. Be aware of any risks or obstacles involved, and pull the trigger.


Sometimes you will fail or have losses, but taking calculated risks are paramount to success.

4. Condo Investor Habits: Keep Learning

As investors, we often forget about the best investment anyone can ever make. Investing in ourselves!


There are always new strategies, new locations, and new information to digest. Financial and real estate laws change, and it’s important to keep up to date with those for obvious reasons.


Be involved in the condominium’s association as much as possible, as nearly every condominium complex has one and they have control over what happens at the complex and how funds are saved, spent and invested.


Commit to attending a monthly real estate meetup, or reading a real estate book once a month to keep up your skills.

There are thousands of real estate courses that can be taken online as well. Yes, the cost money, but it’s an investment in yourself, which will pay off dividends in the future.

5. Condo Investor Habits: Good Tenant Screening

It’s okay to be choosy about who you rent to, minus any applicable discrimination laws, of course. But when it comes to condo investor habits, this is the most important.


Successful real estate investors have a few things in common, and good tenant screening practices are one of them. You need a process to find tenants who pay their rent on time, don’t get into legal trouble and generally don’t cause problems.


Taking the time to ensure you get quality tenants up front will prevent a myriad of problems down the road. Here are a few important points to consider:

  • – Have a standard application form
  • – Be prepared with questions for any prospective tenant
  • – Check with professional references
  • – Do some simple online research of the prospective tenant, you’ll be amazed at what kind of public information people put on the internet
  • – Do a credit check – I like to ask tenants to submit one with their application
  • – Make sure the tenant understands the terms
  • – Give copies of condo by-laws to the tenant and make sure they know the key points

If you can develop these condo investor habits, you’ll be in a much better position to run a killer condo investment business. Know the risks, take some risks, have smart people and develop good habits, and your condo investments are sure to help you live a more financially flexible lifestyle.







Post CommentComments: 0Read Full Story

Condo and office towers under construction along Toronto's waterfront. Toronto's shortage of housing will keep the city's prices rising, and the same is true of Vancouver, says a new CIBC report.



The efforts of provincial government and federal regulators to cool off Canada's hottest housing markets will amount to little, and Toronto and Vancouver will soon be back to their old tricks, according to a new report from CIBC.


That's because both cities — and particularly Toronto — are experiencing a shortage of housing supply, and the underlying demand may be "stronger than perceived," deputy economist Benjamin Tal wrote in a client note Tuesday.


With another round of mortgage rule-tightening to kick in in January, reducing the amount of mortgage Canadians can afford by around 20 per cent, many analysts are predicting a slowdown for the housing market, especially in the priciest cities, Toronto and Vancouver.

But Tal says this slowdown will be mild and short-lived.

"The level of activity is likely to stabilize and perhaps soften in the coming quarters as markets adjust to recent and upcoming regulatory changes," he wrote.


"But when the fog clears it will become evident that the long-term trajectory of the market will show even tighter conditions."


Tal argues that both Toronto and Vancouver are suffering from a shortage of supply, particularly Toronto, where Tal says most of the available land for new developments is years away from being ready.

And with the federal government increasing immigration levels to bring in an estimated 1 million newcomers over the next three years, Tal says pressure on these housing markets will continue to grow.


"Without significant changes to land and rental policies alongside a dramatic change to housing preference among

buyers, those centers will become even less affordable," he wrote.


Non-permanent residents, such as students, are increasing as a share of the population and they may not be properly accounted for in the demand for housing, Tal wrote.

"The main issue facing this market is a significant and worsening lack of land supply."Benjamin Tal, CIBC

And he doesn't believe the new mortgage rules will change much. Under the new rules, borrowers of uninsured mortgages — those with 20 per cent down or more — will have to qualify at a mortgage rate that is about two percentage points higher than the offered rate.


"In the past, borrowers have seen tremendous ability to adjust to new situations and we doubt that things will be different this time," Tal wrote. He expects demand for housing to decline temporarily by about five to seven per cent, before bouncing back.

Other forecasts beg to differ

CIBC's forecast stands in contrast with some other recent predictions, which foresee a longer and more pronounced decline in Canada's housing markets.

In a report this September, ratings agency Moody's predicted that a majority of Canadian housing markets will see declining prices over the next five years, thanks to higher interest rates at the Bank of Canada, and the new mortgage rules.

Moody's forecast suggests the party is over for Vancouver, where it expects prices essentially to stay flat, falling by 0.3 per cent over the next five years. The agency still sees prices rising in Toronto in the coming years, but only by 7.7 per cent over five years — much slower than the double-digit growth of recent years.

'Troubling' shift to unregulated lenders

One area of concern flagged in CIBC's report is the growth in unregulated mortgage lenders.

As mortgage rules went through one round after another of tightening, larger numbers of borrowers have resorted to alternative lenders, including mortgage investment corporations. Tal calculates that 10 per cent of mortgages in Ontario now originate with these unregulated lenders.

"That transfer of risk from the regulated segment of the market to the unregulated (and in many ways unobservable) segment of the market is troubling," Tal wrote.


Post CommentComments: 0Read Full Story


The rapidly growing city of Surrey is once again ranked as the best bet to invest your buck in real estate, according to an annual ranking by the Real Estate Investment Network (REIN).


The 2017 survey identifies the top 10 cities in the province for real estate investment, based on REIN’s research. REIN’s methodology includes “all economic and demographic fundamental key drivers combined with the current influencers impacting specific markets,” according to the report.


The top 10 cities for this year’s rankings are:


1. Surrey
2. Abbotsford
3. New Westminster
4. Victoria
5. Kamloops
6. Kelowna
7. Chilliwack
8. Tri-Cities
9. Burnaby
10. Vancouver


The report said of its top-ranked city, “The main conclusion for strategic investors from these key drivers is that Surrey is a unique combination of a youthful, growing city with a diverse economy that is relatively affordable compared to the rest of the Metro Vancouver region.” It also cited increasing home sales, decreasing inventory and low rental vacancy rates as major factors in Surrey’s housing market.


Each city is identified as sitting somewhere on REIN’s boom-bust-recovery cycle, which sets out nine stages of the market. Surrey is said to be in the “beginning of a boom” stage.



The report also advises investors on the best investment tactic, based on the particular market stage each city is in. Being in the beginning of a boom, REIN advises investors in Surrey that the fix-and-flip approach will net the best return.



Vancouver squeaked into the top 10, despite being described by REIN as at the “end of a boom.” The report authors said that even though this is the market’s current status, having seen rapid home-price rises over recent years, “prices, especially in the condo market, are not expected to drop dramatically from this peak.”







Post CommentComments: 0Read Full Story

Retail investment in Vancouver surpassed $2.8 billion in the first half of 2017, eclipsing the previous record of $1.6 billion in all of 2016, says a new report by commercial real estate firm CBRE Canada.


Several major international retailers, and some growing local brands, are keeping downtown Vancouver’s retail market vibrant, a CBRE study finds.


The market is being driven by major international brands setting up shop in the West Coast city and sparking a renaissance in the retail sector.


The report says vacancy rates in downtown Vancouver continue to remain at historically low levels at 2.9 per cent, with mostly consistent rental rates and international brands continuing to drive new demand for retail space.


“Vancouver’s got great traction right now from an international standpoint. We are principally real estate brokers and our phone rings all day long from interested groups but in the last 18 months to two years it’s really transformed into strong international calls,” says Martin Moriarty, associate vice-president of Retail Leasing & Investment at CBRE Vancouver.


“Part of it is Vancouver’s growing reputation in the world. There’s a few things going on here that’s putting Vancouver on the map by way of residential projects, by way of the investment market here. We are also still having some very strong brands emerging for Vancouver.”

Five major new brands enter market

The report says five major international brands opened stores in the past year or announced they will be opening soon on Robson Street – Muji from Japan, Bailey Nelson from Australia, Laduree from France, Nike from the U.S. and the Vancouver-based athletic wear designer, Reigning Champ.


Japanese retail giant Muji is expected to open their biggest North American store at 16,000 square feet on Robson later this year.


On Alberni Street, the new high street for prestige brands, sales exceed that of Toronto’s Bloor Street, with rents escalating up to 50 per cent higher than that of Robson Street, says CBRE.

“As such, the demand for space is exceeding supply. A number of new stores are entering the market – including Van Cleef & Arpels, the French jewelry, watch and perfume brand and Hublot, the Swiss luxury watch brand – with more to follow in the remainder of the year,” says the report.

Growing international reputation

Moriarty says the expansion of international brands into the Vancouver retail market is transforming the city and brands in major centres such as London, Tokyo, Paris, Geneva and Sydney are attracted to Vancouver’s growing international reputation.


Gastown also saw an increase in the presence of international retailers with COS and Filson opening locations in 2017 and a second Bailey Nelson location to open soon.


Vancouver is proving to be a shining example that although the trend in e-commerce sales is growing, many consumers still prefer bricks and mortar for their shopping experience.


“E-commerce is having an effect, but I don’t think the effect is the termination of the existence of bricks and mortar. It’s changing the way the users and the tenants are operating. We have done a lot of deals with tenants that have tried to up their game by way of the ‘experience’ because that really seems to be emerging as a big thing,” says Moriarty.


“A product is very important but the experience is also as important.”

Vancouver set to keep growing

A recent report by Statistics Canada said population growth is driving a rapidly expanding retail market in the Vancouver region with sales increasing from $22.2 billion in 2004 to $36 billion in 2016, a rise of 62 per cent.


At the same time, the Vancouver CMA’s population went from 2.1 million people to 2.6 million, up by 19.4 per cent.


“Moreover, population projections suggest that the Vancouver CMA could see a further 26.4 per cent increase in its population in the next 20 years, which will likely increase the need for planning the location of future shopping centre developments,” says the StatsCan report.

There were 209 shopping centres in 2016 in the Vancouver region and Statistics Canada added there were 9,429 retail stores operating.


Post CommentComments: 0Read Full Story

If passed, new rules will apply to both new and existing tenancy agreements


B.C.'s provincial government has announced legislation to close what has been dubbed a major loophole affecting renters in the province.


Critics say the loophole allows landlords to bypass rent controls by having residents sign a fixed-term lease with move-out clauses. At the end of each term, tenants must either move out or sign a new lease at a reassessed market rental rate. 


In places like Vancouver where the rental market is especially tight, that new market rental rate can be hundreds of dollars higher, exceeding what would be allowable under the Residential Tenancy Act for the same tenant.


B.C. Housing Minister Selina Robinson said the new legislation would protect the rights of renters who have been left open to "unfair and unjustified rent increases."


"By closing this loophole, renters will know they'll be able to stay in their homes without the threat of skyrocketing rents," Robinson said.


If passed, the legislation would restrict a landlord's ability to use a vacate clause in fixed-term tenancy agreements and limit rent increases between fixed-term tenancy agreements for the same tenant to the maximum annual allowable amount (currently two per cent plus inflation).


Liberal MLA Todd Stone said while the measures may improve housing affordablity, putting more restrictions on landlords could affect rental supply.


"We want to just make sure that the measures being proposed here, and how they are implemented, ensures a continued balance between renters and tenants," Stone said.


LandlordBC CEO David Hutniak applauded the loophole's closure, saying his organization had raised concerns about a "growing cohort" of unscrupulous landlords abusing it for over two years.


"We were very concerned about it. It was damaging the industry, we felt," Hutniak told On The Coast guest host Gloria Macarenko. "Really, we felt it was unfair to responsible, professional landlords, which are the majority."


But Emily Rogers, a tenant advocate with the Victoria chapter of advocacy group Together Against Poverty Society said the measures might not go far enough.


She expressed concerns landlords would use other provisions to increase the rent further than the allowable increase.


"I would like to see rent tied to the unit rather than the tenant," she said. "It would ensure that rent increases do not exceed the annual allowable rent increase every year."


The province says the new rules will apply to both new and existing tenancy agreements.









Post CommentComments: 0Read Full Story

Giving Vancouverites priority on new homes is a fine idea, but only part of a much larger puzzle


There has long been rampant media speculation – and, in some cases, seeming proof – that at least some local real estate developers are marketing their Metro Vancouver projects overseas as a priority, leading them to be virtually sold out by the time locals can get their hands on the units.


Certainly it very often seems to be the case that only a handful of condos are still available for sale when it comes to the local sales centre opening day. And that leads to many, many frustrated buyers left out in the cold, and all competing with each other for other units, of which there are not nearly enough being built, or coming on the resale market.


So on the face of it, Vancouver Mayor Gregor Robertson’s proposal to implement a “locals first” policy and limit bulk-buying, modelled on this successful project in West Vancouver, would seem to be a good idea. Give Metro Vancouver residents first crack at all the new condos coming on stream, before non-residents are allowed to scoop up the remainder (if there are any left). Surely this will help with our housing supply and affordability issue?


Well… maybe a bit. It’s certainly a perfectly fine idea that can’t do any harm and might just help a few buyers get their hands on units they might not otherwise have access to. If I were voting in council next week when the proposal is tabled, I’d vote yes, and I would be surprised if this public-pleasing motion didn’t pass.


But I suspect the impact this new policy will have on our housing supply and affordability problems will be, sadly, minimal. The issue is multi-faceted.


First, we don’t really know how many new Metro Vancouver units are truly being marketed overseas first. Shouty media headlines about individual projects may have a lot of impact on the public perception on the topic, but that doesn’t prove that it is necessarily a widespread practice. Perhaps it is, but we have no real evidence of that. The Urban Development Institute claims that marketing overseas is relatively minimal, stating in response to the new proposal, “UDI members already sell the vast majority of multi-family housing units, over 90%, to local buyers, which is often a bank construction financing requirement.” That is to say, developers won’t get the money they need to build the project if they are taking on lots of presale contracts with overseas buyers, which are perceived by the banks as riskier than local buyers. Certainly, media reports about overseas marketing events don’t make it feel to the average local resident like this 90% figure can be accurate, but the UDI does collect huge amounts of data about buyers of new homes in the Lower Mainland from its members. If it is right, the new policy will help locals get their hands on only an additional 10% or so of units. Which is probably still worth it, but not dial-moving for affordability.


Second, even with all new units available to Metro Vancouverites, that doesn’t necessarily mean those homes will become more affordable, just because locals are no longer competing with non-local buyers. Even if you believe the UDI’s above figure is inaccurate, and the new “locals first” policy will release a much higher proportion of new units to local buyers, those homes will still be expensive. Land is still expensive, permitting and consultation processes are still time-consuming and expensive, construction costs are still expensive. To make projects profitable, developers will still charge the same high prices we’ve been seeing, knowing that if local buyers want the units, they will cough up – or if the project doesn’t sell to locals, non-local buyers will absorb the rest later. But in fact there’s also still a huge appetite for pricey condos even among local buyers, who very often have more money at their disposal than affordability reports imagine. That said, it’s possible that the easing of competition in the presale market will have a knock-on effect of taking some buyers out of the resale market, and improving supply there. So again, it might help a bit.


Thirdly, you’d have to also ban the practice of “insiders” getting first crack at local projects – people such as family and friends of the developers. It is often perceived that it must be overseas buyers who have snapped up units when there are not many left for locals. But on some projects, it has been suggested that particular groups of locals are getting in on the action first. So in addition to preventing bulk-buying, which the Mayor’s proposal also intends, perhaps it should also require that 100% of units are available for sale on the local public sales centre opening day.


But to really move the dial on affordability, there needs to be a much more massive influx of new housing for local buyers to get their hands on, and of much more widely varying and flexible home types. Dramatically increase supply with pervasive rezoning, dramatically cut permitting costs and times, flood the market with new homes and – even with the expensive land and construction costs – developers will have no choice but to be competitive with pricing. Perhaps add to that a requirement for income-linked non-market housing on every new project, or subsidize particular projects to offer all homes at below-market pricing like this one in Victoria. Build smaller units, less expensively finished units, units with lock-off suites to act as mortgage helpers. Get creative. Be radical. Stop drip-feeding supply and open the floodgates.


But sure, also give locals first pass on presale condos. It can’t hurt.






Post CommentComments: 0Read Full Story

Inventory at 10-year lows in most regions, pushing prices ever higher



The number of homes sold on the Multiple Listing Service® in BC in September rose nearly 10% year over year, and 5% from August, according to a report by the British Columbia Real Estate Association (BCREA) published October 12.


Because there was also an increase in sale prices, that lead September’s total sales dollar volume to rise by a

whopping 30.2% compared with the same month last year.


The average resale price of a home in the province last month was 18.5% higher than one year previously, at $693,774, which is up 2.3% in a single month since August’s average of $678,168.




The annual jump in homes exchanging hands across the province is largely driven by increased activity in the Lower Mainland, which has seen a recovery from the effects of the Metro Vancouver foreign buyer tax introduction last August. Of the larger markets, Greater Vancouver and the Fraser Valley posted the largest annual sales gains, both up around 25%, whereas Victoria saw the province’s biggest year-over-year slide in unit transactions, down 16.6%.


Some of the Interior and smaller markets also saw annual sales declines, although Kamloops and Chilliwack both had a strong showing, up 8.2% and 7.7% respectively.


The annual price rises seen by the different boards also varied, but did not necessarily mirror sales patterns. Nine out of the 11 BC boards reported year-over-year average price increases. Of the larger markets, where price changes are less volatile, the Fraser Valley and Greater Vancouver saw the biggest price gains, up 18.2% and 17.7% respectively. But Victoria, where sales dropped, posted an average price increase of 12.5%. Only the very small markets of BC Northern and Norther Lights saw minor annual average sale price declines.


Eight of the 11 boards posted year-over-year declines in the number of active listings in September, although Greater Vancouver was not one of them.


“Total active listings on the market continue to trend at 10-year lows in most BC regions, limiting unit sales and pushing home prices higher,” said Cameron Muir, BCREA chief economist.


“While the economic fundamentals support elevated housing demand, rising home prices are eroding affordability, particularly for first-time buyers.”


The BCREA report was issued on the same day as Royal LePage’s 2017 Q3 House Price Survey, which looks at quarterly price activity in Canada’s major urban markets. The report said that during the third quarter, the aggregate home price in Greater Vancouver rose year over year by a “modest, but healthy” 2.5% to $1,229,133.


However, when broken out by housing type, the brokerage found that the median price of a Greater Vancouver condo increased 17.6% year-over-year to $622,392. The median price of a bungalow had a much more reasonable increase, up 3.5% year-over-year to $1,422,458, but the median price of a standard two-storey home fell 1.1% to $1,532,849 in the same period.






Post CommentComments: 0Read Full Story


The drop in interest rates has been so significant that the interest burden of servicing debt has declined as a share of income, despite growing household debt.


With headlines about Canadian household debt hitting record levels and dire warnings from top policy-makers such as Bank of Canada governor Stephen Poloz, Canadians may think household debt is out of control.


The concerns, however, often fail to properly account for the other side of the balance sheet.


Yes, Canadian households have taken on more debt. But they’ve used this debt to finance assets – real estate and retirement savings, for example – that grow over time, causing their net worth to swell, also to unprecedented levels.


By the end of last year, household debt eclipsed $2 trillion, up from $357 billion in 1990. Two-thirds of this debt is for mortgages; the remaining third is split between consumer credit (29 per cent) and other loans (five per cent).


Despite the preoccupation with overheated real estate markets, the mortgage share of total household debt has remained stable. The $2-trillion-plus in household debt now equals approximately 170 per cent of household disposable income compared to just 90 per cent in 1990.


So does this mean Canadians are being irresponsible with debt?



The growth in household debt has partly been a rational response to plummeting interest rates. The Bank of Canada rate has fallen dramatically from nearly 13 per cent in 1990 to 0.75 per cent at the end of last year. Not surprisingly, as the cost of borrowing has dropped, Canadian households have borrowed more.


The drop in interest rates has been so significant that the interest burden of servicing debt has declined as a share of income, despite growing household debt. Today, interest payments on household debt consume six per cent of disposable income compared to almost 11 per cent in 1990.


That brings us back to the other side of the balance sheet – household assets. While household debt has grown substantially over the past 26 years, households are borrowing to invest in appreciating assets such as real estate, pensions, financial investments and businesses. Canadian household assets rose from $2.2 trillion in 1990 to $12.3 trillion in 2016.


The significant investment in assets has meant that household net worth (total assets minus liabilities) surged from $1.8 trillion to $10.3 trillion, a record level, during the same 26-year period. As a share of gross domestic product, household net worth rose from 265 per cent to 498 per cent.


While government policy-makers fret over household debt, the irony is that unlike government, household net worth is positive and increasing over time.


Debt is a tool and the concern should only be about debt that’s not manageable given the economic circumstances of a given household. The greatest risks to management of household debt are:

• economic shocks that lead to job losses, which make it harder for people to service their debt;
• increases in interest rates that raise debt-servicing costs.


Even with any small forecast increases, interest rates remain low and the Canadian economy has performed adequately in terms of employment, with relatively low jobless rates.


While these macroeconomic factors are of concern, they should also be kept in context. Despite record high levels of household debt, there are also record high levels of net worth.


Livio Di Matteo is senior fellow at the Fraser Institute and author of the study Household Debt and Government Debt in Canada, available at


By Livio Di Matteo
Senior Fellow, The Fraser Institute

Troy Media



Post CommentComments: 0Read Full Story

Vancouver is Canada's least affordable region for housing, according to new RBC data


Vancouver’s housing affordability won’t be tamed, according to new data from RBC.


The bank reports that it’s affordability measure for Vancouver climbed 2.6 percentage points in the second quarter of 2017 to retain its title as Canada’s most unaffordable market.

RBC’s affordability measure calculates the proportion of median pre-tax household income required to service the costs of mortgage payments, property taxes and utilities based on the average market price for a detached home or condo.


New data released Friday (September 29) pegs those costs at 80.7% of household income for the Vancouver market.


For detached homes the measure is at 114.6%. Condos come in at 46.2%.


Vancouver has the highest measures recorded in Canada among all categories.


“The rise in the second quarter reflected a tightening of demand-supply conditions. Home resales picked up following a year-long correction as the dampening effect of policy measures introduced last year to cool the market — which included a 15% tax on purchases by foreign nationals — waned,” RBC’s Housing Trends and Affordability Report stated.

“With demand-supply conditions back in favour of sellers, home prices resumed an upward trajectory this spring. This means that the window for a meaningful improvement in affordability in the Vancouver area likely has closed for now.”


Toronto follows Vancouver at 75.4%, while Victoria moved up 1.8 percentage points to 58.6%.






Post CommentComments: 0Read Full Story
Bank of Canada won’t raise overnight rate again until 2018, predicts BCREA


Having raised the overnight rate twice, in July and earlier this month, the Bank of Canada will adopt a wait-and-see approach to its next interest rate hike, according to a Mortgage Rate Forecast reportpublished September 19 by the BC Real Estate Association (BCREA).


Having “surprised” Canada by turning “hawkish” with its sudden interest rate rises, the BCREA’s economists predicted, “We anticipate that the Bank of Canada will hold off on further rate increases this year and assess how higher rates are impacting the economic and inflation outlook.”


But the report added, “However, in the Bank’s recent communications, it has very clearly left the door open for more aggressive tightening should the current torrid pace of economic growth continue.”


The BCREA pointed out that the posted five-year qualifying rate has risen in response to the BoC’s first overnight rate hike. It said, “After the July interest rate hike, markets widely expected at least one additional rate increase in the fall, and so bond markets and lenders had already priced in the September increase by the time it occurred.”


It predicted that rising bond yields would result in further increases in the five-year posted rate and the average discounted five-year mortgage rate.



The report added that the rising posted five-year qualifying rate is “an interesting development, because it is the first increase in the posted rate since stricter qualifying rules for insured mortgages were imposed last fall.”


The BCREA concluded, “Our baseline forecast is for gradual rate increases over the next two years, with the Bank of Canada’s overnight rate ending 2018 at 1.5 per cent.”




Post CommentComments: 0Read Full Story

Flurry of new home listings follows Labour Day long weekend, finds latest #REWCAP analysis

There was a host of new listings on the Greater Vancouver Mulitple Listing Service® last week (September 4-10) as sellers jump-started the fall resale market.

More than 1,300 home sellers listed their properties on the MLS that week, which is nearly 72% more than listed the week before.

That bumped the current total inventory to 9,370 homes available for sale in the Real Estate Board of Greater Vancouver region, as of September 14 – still not high, but a considerable improvement from the past summer weeks.



That total listing count breaks down as 5,730 detached homes, 1,233 townhomes/duplexes/rowhomes and 2,407 condo-apartment units available across Greater Vancouver.

The median listing price of a detached home remained just under $2 million, now at $1,999,000 as of September 14.

Median list prices for townhomes (including duplexes, row homes etc) and condos both rose slightly, to $938K and $678K respectively.

The most expensive home to be newly listed last week was a $12.89 million stone-and-glass mansion in the toney Chartwell neighbourhood of West Vancouver, with incredible views and a killer pool and terrace. The priciest new condo listing was a gorgeous Coal Harbour penthouse, also boasting a huge terrace, which came on the market September 5 for $7,688,000.

lavish Shaughnessy estate priced at $34.8 million remains the most expensive listing in the Greater Vancouver region. But it has now been usurped by this Toronto mansion as the priciest home currently for sale in all of Canada, which is asking just $200K more. 




Post CommentComments: 0Read Full Story

BCREA says the move limits choice and may not protect consumers as intended 


The BC government is set to ban the practice of limited dual agency, meaning home buyers and sellers will no longer have the option to choose one real estate agent to represents both parties in a single transaction, under strict new draft rules recommended by the Office of the Superintendent of Real Estate and announced September 7.


The move, which is intended to protect consumers from any conflicts of interests created by agents representing both parties in a transaction, may not have the desired affect and will also prevent many consumers working with their preferred agent, according to a response by the British Columbia Real Estate Association (BCREA).  


"Every day, REALTORS® help their clients understand real estate transactions, so they can make informed decisions," said BCREA president Jim Stewart. "Over my nearly 25-year career as a REALTOR®, many long-standing clients have developed trust with me, and now my clients have no choice but to start from the beginning and build new relationships. Trust is a crucial part of what is often the largest financial transcation in people's lives."


The BCREA pointed out that the ban significantly limits consumer choice, as buyers may have a relationship with the listing agent on a home they want to buy, and will have to use an alternative agent. The association said it was concerned that this scenario could even lead some buyers, who might not be able to work with the agent of their choice, to opt out of working with an agent altogether.


"Rather than working with licensees they don't know, we're concerned people may decide to complete real estate transactions without representation," said BCREA CEO Robert Laing. "That goes against the consumer protection mandate of the Superintendent of the Real Estate and Real Estate Council of BC."


The BCREA argued that the practice of limited dual agency is crucial in small towns, in which there are far fewer agents for consumers to choose from. It said that it was "pleased" to see the BC government has proposed an exemption for smaller communities, however.






Post CommentComments: 0Read Full Story

If 2018's annual rent increase goes into effect, renters could be paying up to $936 additionally per year


BC housing minister Selina Robinson is considering the possibility of altering the province-wide formula that sets the maximum amount landlords can increase rent by annually, the minister told media this week.


The current formula, part of the Residential Tenancy Act, allows landlords to increase rent by 2% plus inflation. With current inflation rates, the maximum rent increase would be 4% in 2018. If next year's rent hike goes into effect, the average rent for a one-bedroom apartment in Metro Vancouver, which is currently $1950, would increase by $936 annually. Robinson explained that the formula will be evaulated by her ministry as they work out ways to make renting less stressful across the province.


"[We are] having conversations right now," said Robinson in an interview. "We just saw [the 2018 increase] come out and I know that people are very, very concerned."


The province is looking into lowering the annual rent increase to only the rate of inflation, which would make the maximum rent increase 2% this year, or $468 annually on an apartment rented at $1950 monthly. 


During the provincial election in May, the NDP promised to help deal with the rental crunch by building 114,000 co-op and rental homes and by giving renters an annual home credit of $400. The party also promised to end the "fixed term lease" loophole, in which tenants are forced into one-year leases with higher than normal annual rent increases based on a minor technicality.


Robinson said that rent control is one of several aspects of the province's affordability problems.


"I'm looking for things we can deliver ASAP, because I know this is a crisis," she told The Vancouver Sun




Post CommentComments: 0Read Full Story



Buying property stateside is intriguing, often affordable, and considerably warmer. That’s why each year, as cold weather sets in, Canadian retirees go the way of the loon; according to Stats Canada, Canadian residents took 20 million overnight trips to the U.S. in 2010.

I know, I know – Cape Cod is not the south… but the charming property prompted me to look into the possibility further. What does buying a property in the U.S. entail?

The Cross-Border Contrasts

A good place to start is the variances between mortgage rules stateside and back home.

“There are few key differences due to the regulatory requirements, laws, and practices which govern the mortgage industry in the US,” says Alain Forget, vice president of sales for RBC.

Timing is an increasingly important element. “The average is 45 days to apply and secure a mortgage in the US, compared with a few days in Canada,” says Forget. “The main reasons is the number of steps in the process, including application, income and asset documentation, credit report, appraisal, title, credit loan review and approval, closing documents”

Getting a mortgage in the US requires a fair bit more documentation than in Canada. RBC has broken it down here. Expect to divulge details from your passport, Canadian-held accounts, and all Canadian property tax statements in addition to the usual income verification paperwork.

Expect to Pay More for Your Mortgage

Forget also points out that costs in the US can be higher – 3 to 4 per cent overall – when you factor in third-party expenses and pro services like property appraisal and title insurance. “This varies per state, for example Florida averages 2.5 to 3 per cent,” he adds.

There are also some key differences for the interest you’ll pay on your mortgage. “US mortgages are compounded monthly versus semi-annually in Canada,” says Forget. “They may also be tax deductible in the US for US citizens and permanent residents.”

How to Apply

If you don’t mind a few long-distance charges, Canadians are able to apply for a mortgage remotely via phone or email. This is usually done through a bank that has operations south of the border.

“They don’t need to have an account with RBC Bank USA to apply for a mortgage,” says Forget. “However we strongly recommend having a US account to facilitate the funding of the loan and monthly payment as well as to facilitate the transfer of the down payment for the closing.”

You can also pre-qualify before you start the vacation house hunt to give you leverage in the event you get into a bidding war with other snowbirds. “The closing should be done in person in the US, usually at the office of the title company,” adds Forget. “This requires minimum traveling across the border.”

Getting a Competitive Rate

In addition to finding a bank with the capability to deliver the mortgage in the state and county where the property is, you’ll want a Canadian-friendly lender. “Most US banks will not lend to foreign nationals like Canadians – or if they do, they might charge a foreign national premium which can be 1.5 to 2 per cent over the standard mortgage rate,” he says.

Working with a Canadian bank with reach into the US often means you don’t need an American social security number to qualify. The key to finding a competitive rate is looking to open mortgages or ones with various term options, Forget adds.

File Under: Things You’re Apt to Forget

Like property ownership in Canada, you’re going to want to make sure you have an account set up to seamlessly transfer funds between Canada and the US to cover those monthly utility bills and property taxes.  

“It is also important to seek professional cross-border advice to understand the legal, tax and estate issues which affect Canadians owning US property, since a number of those issues are different between the two countries,” adds Forget.

See, nothing too daunting, right? Find a banking partner in Canada to help you navigate the legal and money stuff and the rest is all about the search.


If you're considering buying a property in the US, how do you get financing and what are the differences in mortgages between the two countries? Andrew Seale of offers first-hand advice.





Post CommentComments: 0Read Full Story


Buyers and sellers alike need to understand “fear of loss” psychology in home purchases

Whether you are thinking of buying or selling a home, understanding the current market is crucial. You need to know if you’re in a buyers’ market or a sellers’ market because that’s going to affect how your property is marketed and how much money you’re going to get for your home. If you understand the market, that will tell you what your home is worth and what you can expect if you’re a seller. If you’re a buyer, it is going to tell you what the appropriately priced offer on the property would be.

Using the market on the Sunshine Coast right now as an example, we are in a seller’s market. In a seller’s market, you’re much better off listing your property at a price that is going to attract as many potential buyers as possible and try to create an environment where they have a “fear of loss” motivation; you should aim to capitalize on that and end up in a situation where you have multiple offers.

Fear of Loss Motivation

Here’s an example of “fear of loss” motivation – also colloquially known as FOMO, Fear of Missing Out.

Let’s say you’re looking at a newspaper ad because you’re shopping for a black Dodge Dakota. You look at 15 of them – they all have similar mileage, and they’re all around the same price.

If you are the person trying to sell a Dodge Dakota in that environment, the best thing to do is to position your Dodge Dakota to look the best and price it 5% cheaper than all the other ones. Then all the buyers will want to come have a look. Everyone will look at your price and then make offers because they don’t want to miss this opportunity to get this amazing deal.

It’s the same with houses. Even though you may think that your house is unique, and beautifully decorated, with all sorts of redeeming features, the reality is that when people are initially looking at the information available on the Internet, they typically don’t know any of that. They will call up their buyer’s agent and ask to see the home based on the first impression they’ve had from the photos.

Your listing agent has to make sure when they list your property that they have a good understanding of the market value of the house, and then position it in a way where it’s going to get the most exposure and the most interest as possible. Then what needs to happen, in this market, is the listing agent needs to maximize exposure.

This is what I do. I say we’re not going to accept any offers until “this date,” and I give two to three weeks for everyone who is potentially interested in it to come and see it.

Price it Right

A lot of people make the mistake of pricing their home too high, thinking it gives them room to negotiate. For example, if a house is worth $500,000 and they price it at $550,000 because they think they can negotiate and end up with $500,000. That’s the worst thing you can do because that’s going to put people off.

The average buyer is not a professional real estate agent, and they’re the ones deciding which properties they want to see based on their online research.

If you don’t make your home appear to be a really good deal, you’re going to lose a lot of potential buyers. When they come see your home, then they can find out that it’s got lovely decoration, it’s a great neighbourhood, it’s close to a school, and all the other great features. But until they come and physically see the home, it won’t really be on their list, so you can miss a lot of people. If their search parameters are set at prices under $500,000, your house won’t even show up at all.

Understanding and Expertise

You’re much better off understanding the market, understanding how people buy, and understanding the psychology of buyers and sellers. It’s very important. As a seller, it can make you tens of thousands of dollars, if not hundreds of thousands of dollars, in a market like Vancouver.

As a buyer, understanding this can save you the same kind of money. Right now, there are a lot of buyers in our local market using Vancouver agents, paying tens of thousands of dollars too much because the agent they’re working with doesn’t understand the local market. They’re coming from a market in Vancouver where sellers are selling for $2 million, and then buying a place on the Sunshine Coast for $600,000. They think they’re getting a great deal. If they were using a local agent who knew the market, they would probably get the same home for $550,000. But they don’t and $50,000, compounded annually at 3% is a huge amount of money. A local agent who knows the market and is working as a full-time agent in the thick of things can save you, or gain you, thousands of dollars.





Post CommentComments: 0Read Full Story


It’s no small secret that the Vancouver housing market is a tough one to break into. Among millennials and young families alike, the idea of buying property within the city limits is a daunting one. However, for would-be homebuyers in the Lower Mainland, there are a few simple tricks that can make the market a lot friendlier.

1. Look outside Vancouver proper

You know what they say: location, location, location! The attractiveness of the area you buy in contributes to a fair chunk of a home’s asking price. Rather than look at popular areas in the city that are going to come with higher costs, consider your options outside of Vancouver proper. While the median sale price in downtown Vancouver in the first half of 2017 was $749,500 (and all but one of those attached units), in Coquitlam it was $675,750 (mostly attached), in New Westminster it was $502,000 (also mostly attached). In Surrey North and Central, the median sale price was only $551,000, with more than 40% of those detached homes. It’s clear that for those who can set up house outside of the city, there are huge savings to be had.

2. Buy in a walkable, up-and-coming location

Consider buying a home in an up-and-coming neighbourhood and avoid excessive listing prices. With projects in walkable neighbourhoods such as Brentwood, Metrotown, Surrey Central and Port Moody, these areas could yield real estate gems. And with so many amenities at your fingertips, you’ll save on things like transit, vehicle costs and more.

3. Give up the parking spot

Another way to keep your costs low is to search out places without designated parking. Houses, townhouses and apartments without parking spots will nearly always have lower listing prices than their counterparts with driveways or underground spaces, which can easily cost an extra $50K. To keep things convenient, look for listings in walkable areas and that are close to transit corridors and handy car-sharing options.

4. Buy smaller

Forgoing a little space can save you a lot. Think carefully about how much room your family really needs before you commit to a larger home with a higher price tag. For instance, while you always imagined yourself in a fully detached home, you may find that a large townhouse fits the bill. And if you’re a first-time buyer entering the market, try a small one-bedroom or even a studio to get your foot on the property ladder. Assess your needs carefully before committing to square footage.

5. Buy larger and share – or become a landlord

On the opposite end of the size spectrum, look for places that would allow you to create additional suites to subsidize your mortgage. Having tenants does come with additional responsibilities, but multiple families living in a home makes it more affordable for all parties. Alternatively, you may want to apply for a Vancity Mixer mortgage and share your first purchase with family members or friends.This mortgage offers competitive rates plus the legal and insurance support you need to protect everyone’s best interests.

6. Purchase a fixer-upper

An oldie but a goodie, this nugget of wisdom still holds true. Buying a home with a few more cracks will help you save huge on asking price, whether you plan to renovate through contractors or put in the elbow grease yourself to build up that “sweat equity.”

7. Put gifts towards a down payment

Saving for a down payment is tough. One way to create savings is to put monetary gifts towards your down payment. With that goal in mind, ask friends and relatives for cash gifts if possible. Many couples even ask for cash wedding presents rather than items from a registry, with the intention of putting the proceeds towards a new home.

8. Take advantage of available resources

When you’re actively looking to buy a home, knowledge is power. Look to available resources like Vancity’s first time home buyer’s hub, which has tools to help you build your down payment, calculate how large of a mortgage you can afford and explore mortgage options. Planning ahead with expert advice will save you plenty of headaches down the road.

Breaking into the housing market is difficult, but it’s far from impossible. With careful planning and allowances for location and size where they can be made, home buyers on a budget can find the perfect place to call their own.







Post CommentComments: 0Read Full Story

There’s a better solution for the rental crisis than telling people what they can do with their homes, says agent Leo Wilk



The City of Vancouver is proposing (and we all know what that means) some new regulations on owners of real estate who use their residences or investments as income-generators on AirBnB or other vacation rental websites. Of course, this is yet another cash grab and they have claimed this will free up to 1,000 rentals in Vancouver.


The current rules are that zoning regulations do not allow short-term rentals under 30 days unless you are a licensed bed and breakfast. However, we all know people do not listen to the rules, and who is to blame them? I get it if you want to make everyone who uses property they own as am AirBnB have a licence – fair enough. But you cannot keep telling people what to do with their homes they own. Many people work very hard to afford a home in this city and then are told by the city what they can or cannot do. For me, that just does not make sense. 


I know so many people who have a home worth a couple million who do not want a long-term tenant but need to AirBnB every now and then to help out. The City, along with many people, think that anyone who owns a home over a million is insanely rich. But those people work very hard to afford their homes and want to enjoy it without someone living below them.


On top of that, there are many horrible renters out there and they are protected by the Residential Tenancy Act, which makes people not want to do long-term rentals. Ever had a hoarder in your rental? Makes short-term or AirBnB look even more attractive. But once that lease is signed it is a free-for-all, according to the Act. 


To give you the quick lowdown, the proposed new rules are as such:


Owners and renters (although the owner probably would not allow a renter) would be allowed to rent part or all of their principal residence on a nightly basis, if they have a business licence. To get a short-term rental business licence you would need to prove it is your principal residence by submitting your property title or a tenancy agreement along with photo ID and recent government or utility mail. Laneway homes, secondary suites, investment units and second homes will not be allowed to be rented out short-term. The City will audit licence applications to prevent fraud – and I am sure this process will be done very fast, just like our building permits! Licensed operators would need to post their licence number in all online advertising. People operating rentals without a business licence will face fines and legal action – which of course equals money to the City.


Here is my quick solution.


If the City wants to free up long-term rentals, why don't they change the regulations on strata corporations who have rental restrictions? Make it so that you cannot restrict the amount of rentals allowed in buildings. This would literally solve the rental crisis overnight and thousands and thousands of rental condos would come to market.


On the flip side of that solution, however, I do think it would mean fewer condos for sale, because now all these people who are forced to sell when they need to upsize, downsize, move out of town, etc., can hold their properties and rent them out. 






Post CommentComments: 0Read Full Story


For new investors, it’s easy to get overwhelmed by facts, figures, formulas, and different investment calculations. And, although many people are aware of condo investing terms, they have trouble defining them or deploying them properly.


Our goal today is to demystify the most important condo investing terms that you need to know. This will not only make you a better investor, but it will help you impress your boss at the next company meeting.


Although there are many different types of real estate investing, the fact is that there are several key terms that every condo investor should know.


Lucky for you, we’ve compiled them here in a handy list. Think you know them all? Keep reading and see!

Key Condo Investing Terms #1 – Return on Investment (ROI)

ROI, or return on investment, is an important formula to gauge how an investment performs. It’s a simple, quick calculation – easily done on a napkin – that lets you know how profitable an investment is.


The formula looks like this: ROI = (gain from investment – cost of investment) / cost of investment


For example, after four years you decide to sell the downtown Toronto condo you invested in. You bought it for $350,000 four years ago with a 20% down payment, or $70,000. It appreciated at an annual rate of 5.82%, which is the compounded annual growth in Toronto over the past 30 years. So that means your condo is now worth $440,127.


Let’s assume you sell it for $440,000 and have a remaining mortgage balance of $250,000. Your gain on investment is therefore, $190,000.


You also had expenses, including closing costs and upgrades, totaling $20,000. So your cost of investment is your down payment plus expenses, for a total of $90,000.


Now, let’s put these numbers into the formula:

  • ROI = (190,000 – 90,000) / 90,000
  • ROI = 100,000 / 90,000
  • ROI = 1.11
  • ROI = 111%

Over four years, your return on investment is 111%. That’s not bad! Some investors set a standard ROI they aim for and won’t buy anything that yields less than that.

Key Condo Investing Terms #2 – Pre-Construction Appreciation

One of the many reasons real estate is a great investment vehicle is long-term property appreciation. But, condos have a second opportunity for appreciation, through the wonders of pre-construction appreciation.


When you buy a condo before it’s constructed, you are paying today’s prices for a condo that won’t be constructed for several years. That means when your condo is move-in ready and you actually buy it (take out a mortgage), it’s already appreciated.


We won’t get into greater detail about the merits of pre-construction condos just now, as we have a lot more juicy stuff about this to share with you in the weeks to come.

Key Condo Investing Terms #3 – Net Operating Income (NOI)

NOI, or net operating income, like ROI, is a great tool for calculating how profitable your properties will be. Although it may sound a little technical, the formula is actually quite easy:


NOI = Revenue – Expenses


This is an annual calculation and assumes you own a property free and clear. Expenses include all your operating expenses such as taxes, insurance, utilities, maintenance, etc.


Imagine you bought a property that produces $21,600 per year in rent ($1,900 per month). Your monthly expenses include the following: property taxes at $200, condo fees at $150, and insurance is $50. This is $400 a month, or $4,800 yearly.


That would mean that your NOI = 21,600 – 4,800 = $16,800. Calculating the NOI is an easy way to compare properties and maximize your cash flow.

Key Condo Investing Terms #4 – Capitalization Rate (Cap Rate)

Now that you know how to calculate the NOI, we can move on to something a little more complicated. The cap rate is another way of calculating the rate of return on your investment properties.


Although this formula is expressed as a percentage, many investors use only the number when referring to a cap rate. For instance, “the condo one of my clients just sold had a 5 cap!”


Here’s how it works: Cap Rate = NOI / Current Market Value

So let’s use the NOI we calculated earlier – $16,800 NOI. And, let’s assume a $350,000 market value of your condo investment.


So, your cap rate = $16,800 / $350,000 = 0.048


Expressed as a percentage, your capitalization rate is 4.8%, or a respectable 4 cap! This calculation is a great way to compare investment opportunities.

Key Condo Investing Terms #5 – Refinancing

Refinancing is a crucial part of all real estate investing, and can save you thousands of dollars per year. Like most other investing concepts, refinancing seems a little scary if you’re not familiar with it, but it is a very straight-forward process.


Refinancing is simply negotiating a presumably better interest rate and/or terms for your property. It is usually done for one of two reasons: either to get a better interest rate, or to free up capital for your next investment. And the beautiful freeing up capital for your next investment, is that you can pull it out free of capitals gains by refinancing. Capital gains aren’t actually realized until the property is sold, whether that is in 1 year or 100 years.


We’ll be going deeper into detail about the power of refinancing next week. In the meantime, consider talking to a mortgage broker to see if your properties are worth refinancing.


The above list of condo investing terms is by no means comprehensive. But, these five terms are some of the most important you need to know as a condo investor.


If you’re consistently putting these concepts into practice, you’ll be in a much better position to analyze and evaluate your existing and future condo investments – which, in turn, means more money in your pocket.






Post CommentComments: 0Read Full Story

Average sale price increases in every real estate board in the province in June

Sales may be down from last year’s record-breaking activity, but that doesn’t mean home prices across the province are falling, according to the latest figures from the British Columbia Real Estate Association (BCREA) released July 13.


The BCREA reported that 11,671 BC homes were sold on the Multiple Listing Service® (MLS®) in June, a fall of 9.6% from June last year, and down 5.9% compared with May’s surge.


However, the average MLS® sale price in BC was $725,778, up 4.4% from the same month last year, and rising on an annual basis in every one of the 11 BC real estate board areas.


“Although home sales remain well off the record pace set last year, demand is still quite robust," said Brendon Ogmundson, BCREA economist. "That demand is supported by a strong provincial economy and vigorous job growth.”


He added, “Supply remains a challenge, which means most areas are seeing tight market conditions and significant upward pressure on prices.”


The number of total active listings across the province was down 6.2% to 29,651 units compared with June 2016.


Chilliwack was the board to see the highest annual price growth, up 18.3% year over year, followed by Kootenay, Victoria and Vancouver Island. Greater Vancouver saw the lowest average price increase of the 11 BC boards, a rise of 2.7% since last June.


Sales activity painted a different picture – revealing that it is largely supply, rather than sales volumes, that dictates price points. Along with Greater Vancouver, where sales were down around 12% in June year over year, Chilliwack saw an 11% annual sales decrease. In both Vancouver Island and Victoria, where prices are climbing robustly, year-over-year transactions declined 13-14%.


Post CommentComments: 0Read Full Story