Another week when some of the real estate happenings have occurred predictably and others have proved to be a surprise! We loved the article in the Western Investor, Vancouver Not The Foreign-Buyer Magnet Most Believe by J.Neil Hamilton, which exploded our current most popular myth that our present market conditions are brought about solely as a result of foreign investment.
We might live in a beautiful part of the world, but cannot pride ourselves in being the top choice (or even close to it!) for foreign investment or tops in property values. Vancouver is number 10 on the world real estate stage for residential cost per square foot. This should give us some comfort and pause for the thought that these market conditions will not continue on for ever. And this week we felt those winds of change in certain sectors of the market – even more “affordable” properties did not attract the same frantic rush of frenetic buyers. Why? Good old economics 101 – we have increasing supply. The age old reason for market shifts! Buyers are not all suddenly in for an easy ride, but subtle changes are evident.
Largest exception to that rule is the one affecting every aspect of Canadian life right now from the cost of health care to real estate – the bulge of baby boomers! Many of this group are looking for that perfect downsize – larger than the average 2 bedroom, 2 bathroom condo. Consequently the competition to buy the larger condo or suitable townhome is fierce and these buyers have the money generated from the sale of their home to outbid their competitors. Amazing that developers are not catering to this group!
SPRING FORWARD - don’t forget the change to daylight saving time happens tonight – we lose 1 hour of sleep. Drive safely this week – takes a little while to adjust. And remember – regardless of season or market, we have you covered. Sheila and Michelle.