Absurd Vancouver Property of the Week
New Absurd Property of the Week now posted – click here!
This week’s absurd property came to my via my friend Lyndsay Prentice. Described on MLS.ca as “…a rare find potential redevelopment opportunity in the heart of prestigious Kerrisdale. Walk to 41st shopping, Pt Grey Secondary, community centre. Close to Crofton,” surely, this one has it all:
Listing price: $2.1 Million
Wow! They are practically giving it away! And, really, you get two homes for the price of one here. The upstairs has 2 bedrooms and 1 bathroom over 800 sprawling square feet. In the basement, another 2 bedroom, one bathroom apartment that, without a doubt in this coveted neighbourhood, you could rent out for at least $2000/month!!
Or….
You could buy this mansion in Aurora, just outside Toronto:
…or this luxury home in Melbourne, Australia:
…or, you could purchase the home of our fellow Vancouverite and former star of “Beverly Hills 90210”, Jason Priestly. His mansion in Tulca Lake California is on the market for $2.1 million:
Aside from the fact that each of these properties are amazing in their own right…the weather in each of these cities is actually above 10 degrees, unlike the frosty temperatures we awoke to here in the “most liveable city in the world.”
Vancouver…are you f*%#ing kidding me??
the thirties grind 
It just blows the mind. I live in Victoria, and I thought it was expensive here (especially if you’re not planning on living in the expanding West Shore), but Vancouver is insane. Sometimes I can’t get over the cost of living in BC, most of the time I just try to ignore it, especially as I don’t plan on ever moving (family and job and the beauty of where I live keep me here).
Vancouver is expensive, but I wouldn’t want to live anywhere else. Especially the United States
Really? Ever been to the Downtown east side? Speaking of garbage. It’s fools like you who give Vancouver a bad name.
Vancouver-big deal. The wages are horrible, the taxes are horrible, 90% of Vancouverites are horrible, the city is unmatched in Canada for drug abuse and homelessness, and the cost of living is unbearable. But I guess you get to look cool on Commercial getting a coffee or put on a nice hat while you ride the fancy sky train. Good grief Vancouver, please get over yourself.
I’d rather live in the U.S. in a great house, rather than in Vancouver in a dull house. Seriously, Vancouver has become over-rated….Canada may be a better country on the whole, but please…..for a house like that….America, here I come
I was born in Victoria and now moved to Vancouver for almost 20 years. I remember Vancouver housing prices ALWAYS being TWICE as expensive as Victoria. The area that this house is at is equivalent to somewhere close to Uplands (but not right in Uplands). As I hear it, there are homes in Uplands upwards of 4-5 Million.
I agree, would not want to live anywhere else. There is theBEST of everything here. Dining, entertainment, medical help (BC Children’s Hospital, BC Women’s and VGH). The nature is nice in Victoria but it can only get you so far.
You are beyond deluded if you think Vancouver has the best of any of those things.
I’ve lived in Rome, Milan, New York, Mexico City and Vancouver, and Vancouver is so unbelievably shitty in comparison to any real city that it beggars belief. The night-life is a joke, the climate is abysmal, and the people are the most self-righteous bunch of snobs imaginable.
People who haven’t lived anywhere else, usually say the same thing. It’s a classic case of the locals buying the hype. The Olympics and other things led locals to believe that somehow Vancouver’s standard of living is best in the world. However, reality is not so kind. It’s not that Vancouver’s not a nice place to live, it is.
However, the place has been overhyped to the point that Vancouverites (I am a Vancouverite) bought the hype and scare tactics that real estate agents and developers are selling.
Vancouver is a lovely place, it’s just overpriced at the moment and because of a lot of people who feel that there can’t be any place better live here… the bubble will unfortunately be more harsh and longer lasting as people grip onto the idea that it’s different here.
One at a time said it best. I am from the States and I also live in work in Vancouver. Thankfully I make a good living but for me there is no point in buying anything in Vancouver as I can’t deduct anything from the Canadian taxes like I can my U.S. taxes… good thing is the rentsI pay for my place in Van is 100% deductible from my federal income tax.
Believe me Vancouver should be worried, the median price of a home in Vancouver is nearly 10 times that of the median income. Even the local and federal government is concerned because at some point the market will correct itself and all the influx of foreign money (primarily form mainland China) won’t help one bit.
and good luck finding a career job….prices are not relative..and you know when thing are getting out of hand when you have the “real wives of Vanouver” on tv now!!!!!
but id rather be in downtown vancouver then any of those other (garbage) cities..
Agree vancouver is home and first choice for people music and resturants beaches shopping ,free outdoor concerts galore!!It’s soo beautiful in summer here!!!!
.
All 3 weeks of summer…the rest of the time you are stuck in traffic in the pouring rain.
Summer? You mean that brief interlude between soggy, grey, miserable cold weather the rest of the year? Yes this city is gorgeous in the sunshine. Unfortunately there’s no sunshine to speak of. Just that couple of weeks in August. That’s not enough for me.
Monica. Vancouver is definitely not a haven for the music scene. The scene in Seattle is much more vibrant. Toronto even more so. It does have good cuisine for a city its size, though.
Shopping… sigh. If you think Vancouver has good shopping you have never travelled. Not only is the shopping not that good (I’m assuming you mean clothing) but the concept of fashion is almost completely lost on most of its residents. There’s a reason that Vancouver’s official fabric has been called “Gore-tex” and Yoga pants.
You only have to see the border lineups to see that for shopping, people prefer the selection across the border.
Vancouver does have beaches downtown, which aren’t bad, but they certainly aren’t the kind of beaches a place like Sydney has. They’re full of grey gritty sand and very cold water. They look nice until you’re on them and have a chance to compare them with any of the beaches south of Washington state.
If you argued that Vancouver has a great hiking scene, then I’d be with you… but shopping, music and beaches… are most definitely NOT first choice here. Sorry to disappoint you, but this kind of boosterism has inflated the status of Vancouver among locals and is part of the reason the place is overpriced.
But this property ISN’T in downtown Vancouver, its about a 25min drive to the city core!
Except that kerrisdale is certainly not downtown.
Justin- “garbage cities?” seriously pal, you need to travel more and talk less.
Hahahah….perfect-since when is Aurora, or California, or seriously, Mebourne?! a “garbage city”? I wouldn’t want to live in the US either, but Canada has a bounty of great places to live…I mean LIVE, not pay to squat on the street on Van’s East Side……get real….I’ve classified it as “Great place to visit, wouldn’t live there again-EVER”…….not only cuz of cost, but the crappy attitude that seems to radiate fomr the people who think that it’s the only place in Canada that counts-grow the f__k up!
couldn’t agree more
Amen. It’s a common attitude here though, really pathetic. People buy into it because denial is such a comfortable state when you have tv and all those ‘free concerts’ to go to (never mind the musicians who make shit for wages here and have to fight for decent venues to even stay standing.)
Melbourne is a garbage city? what fucking planet do you live on? I suggest you do some travelling and get out of vancouver once in awhile to gain some prospective.
Really… have you even been to Southern California? Because I find it strange that we have a lot of really educated and wealthy Canadians that live here who clearly don’t share your view. But then again based on your post I am sure you think Granville Street is like parting in SoHo. Laughable
don’t worry this will end soon. YOY listings are up 20% and sales are down 30% and there are over 8000, (yes eight thousand!) condo units being completed this year in the GVRD. anyone with have a brain and an internet connection knows this kind of insanity isn’t going to continue for much longer.
living in bc is swell and all, but some people smoke too many drugs. the housing market is high…is the owner serious about that price? whomever buys that place has to be stoned…and stupid.
What is so great about that location? Where is the value? Everybody, the thought that every property has the value of the pricetag is just simply wrong. Those prices are determined by the market demand. The demand will ebb away. I wish everybody who thinks those prices are ok and can afford it to jump on it.
It’s the location that determines that price. It’s on the west side after all. The owner will likely tear ir down and build.
Whomever buys this place will make a lot of money tearing it down, rebuilding it and selling it for $5 Million. Yea they are pretty stupid, stupid rich that is.
I wonder how much will be spent on building a new house to sell it for 5 million. You DO realize that even in Vancouver, 5 million will get you a REALLY nice place in Shaughnessy or West Vancouver.
You’ll have to spend a considerable sum of money on a new house to come anywhere NEAR $5M. Even then, it’s a risk that while you’re building it, the prices don’t take more than they already have.
Alternatively, you and some friends with deep pockets could buy up the surrounding 8 properties for an astoundingly cheap 16 million dollars, knock the houses flat, and build a 12 story condo for somewhere in the range of another 30 million. Sell each story (what, 4 units? 6 maybe?) for only $4 million ($660K each if each story has 6 units, and that price is not outside the realm of possibility in that neighbourhood), and you’ll make a tidy profit of 2 million dollars. Build higher for more profit.
And I’m just using numbers pulled directly from my ass. Real profits from such development (they do mention that in the ad – that this is a development property) would probably exceed 6%, or you may as well just invest in the stock market, with far less risk and stress.
But no, to us little people, we want detached houses sprawled out into farmland that used to feed us, utterly dependent on cheap oil which is… not nearly as plentiful as it used to be.
Which part is more insane?
you would not be approved for the permit though, so good luck with that. you can not just “buy” a bunch of properties and tear it down and build a 12 story condo. city hall favours their “friends” not joe blow. basically, what have you done for them for their “campaign expenses,” if you catch my drift?
Suburbia is stupid yes, but as stupid as condos… not necessarily no. I don’t believe it’s an either or situation – what I think we need is not either of them but to gnaw away at the real estate conventions. I realize you were ranting, but essentially the argument is based on a perpetual population growth model, which is unrealistic in my view.
Also, the myth of “the farmland that used to feed us” is incorrect. For most of our human biological history we’ve been horticulturalists, as were the natives. Agriculture has only briefly fed us. Horticulture in my view is easier to maintain with detached houses, or alternatively condos with empty lots around them from detached houses being destroyed!
Keep in mind that the listing price is just what the owner has asked their Realtor to list the property at. The value to the owner and the property’s actual market value are quite different things. They’ll probably get somewhere around 1.8 Million for the property, unless it is located in a rezoning/redevelopment area, which often dictates the high prices that are asked. Developers pay big dollars for the plot of land and its latent value, not the old 800 sq ft house that sits on it. Land which is not being out to it best or more efficient use is a developers dream, and this house is a perfect example of that.
For more news and information visit my real estate services page here:
https://www.facebook.com/pages/Jonathan-Cornester-Real-Estate-Services/293996327336894
Go Canucks Co!
Yeah, I doubt that even Vancouver will sustain a price like that. Really puts things into perspective.
here are some highlights from the latest REBGV stats that are just in
At 15,236, the total number of residential property listings on the MLS® increased 8.4 per cent in March compared to last month and increased 16 per cent from this time last year.
Sales of detached properties on the MLS® in March 2012 reached 1,183, a decline of 34.1 per cent from the 1,795 detached sales recorded in March 2011, and an 11.5 per cent decrease from the 1,336 units sold in March 2010.
Sales of apartment properties reached 1,191 in March 2012, a decline of 26.6 per cent compared to the 1,622 sales in March 2011, and a decrease of 4.9 per cent compared to the 1,252 sales in March 2010.
—-Although average prices are up 2-10% YOY, (average prices have declined 2% in the last 6 months) sellers will have to lower their prices if they need to sell. I’m not sure how many more potential buyers are left out there are out there as 70% of Canadians are home owners. And foreign “investors” are small minority
I would NOT say that foreign investors a small minority in Vancouver’s housing market.
2% to 5% is a small minority
http://www.straight.com/article-619856/vancouver/questions-arise-over-extent-foreign-residential-sales
2% to 5% is actually unconfirmed. the reports tsate that many of the foreign investors have managers and lawyeres in vancouver who manage the properties and so the tax notices are mailed to Vancouver addresses of those managers even though the owners are foreigners it looks on the records as local because the notices are being mailed to local addressess. The governments dont want us to make a stink about it thats why they keep the facts and percentages low.
that’s why i left vancouver. i now own 2 houses in las vegas which i rent out at a profit. all 3 of then cost me less than a condo in burnaby. vancouver’s over rated. it was a good place to live 20 years ago, but no longer.
I hear ya!
“You could buy this mansion in Aurora, just outside Toronto”
Google maps says that by taking highway 404, you can get from Aurora to downtown Toronto in “only” 45 minutes, with current traffic conditions. That’s like owning a mansion in Delta, hardly what I would refer to as “Just outside Toronto”.
That’s a wee bit farther from Downtown Toronto than Kerrisdale is from Downtown Vancouver. My guess is that a comparable property in Toronto only 15 minutes from downtown would be around $6million. At least.
But hey, when you’re trying to be dramatic, who cares about such small details?
How about this one Ernie http://www.realtor.ca/propertyDetails.aspx?propertyId=11737422&PidKey=-945058114
9 minutes from Queen Street West in the Rosedale-More Park neighbourhood. Surely better than the bungalow in Kerrisdale?
And that is in one of THE most exclusive neighbourhoods of Summerhill/Rosedale. Bungalows 25 minutes from downtown (lets say Mississauga) would run 3-700K depending on neighbourhood.
We live in Mississauga and get downtown in 20-25 minutes. Rush hour maybe 40 minutes.
Toronto is WAY more reasonable in prices…even in the downtown area! And Toronto is also LOVELY in the summer, with REAL summer like temps! Vancouver is getting completly out of hand…I live in South Surrey, and for what I bought my TOWNHOUSE for, I could have a beautiful, completely renovated heritage home in Toronto!
I moved to Ottawa a few years ago kicking and screaming, convinced I was going to hate it, convinced I could never live anywhere but Vancouver, madly trying to negotiate with my work to get back there. Thankfully, the crazy fog has lifted. I own a 4br detached home 20 minutes from downtown on over an acre of gorgeous forested property (for the cost of a 1BR condo in Maple Ridge), pay 30% less for food, 60% less for car insurance, 10-15 cents a litre less for gas, less traffic, snow in winter, warmth in summer, outdoor concerts, bike paths, parks, festivals…
If you’re willing to convince yourself you can’t shop like this/live like this/party like this/eat like this anywhere but Vancouver, I can say with certainty that you’re sadly mistaken (and probably unwilling to admit it if you’ve just leveraged the bejesus out of your life in order to “afford” what is patently unaffordable).
Vancouver is a great city and I love to visit it, but “amazing scenery” is everywhere – this is Canada.
hahaha, this city is ridiculous, it isn’t as great as everyone thinks, all the heritage has been destroyed, nothing is protected but the real estate investments of the rich – most of whom don’t live here… I find it appalling to call a city that I cannot afford to buy a home in (without over extending myself into credit FOR LIFE) my home… oh did I mention I am moving out in the summer. Whew, can’t wait! the sad thing is, it was beautiful and it was desirable… but, the last few years (and the current mayor) have drastically changed it for the greater bad. Peace out y’all!
“I find it appalling to call a city that I cannot afford to buy a home in (without over extending myself into credit FOR LIFE) my home.”
You said it perfectly. Vancouver is overrated, overpriced, rainy, gloomy and sad. The only reason the news and the government spread rumors that Vancouver is “desirable” and “the most livable city” is a nothing more than a ploy to coax wealthy foreign investors to buy here. Same as why you rarely hear about crime in Vancouver in the news, yet crime in all surrounding area’s gets stated in the news regularity. Its one big government bullsh*t hustle to make it appear as if Vancouver is wonderful in the eyes of wealthy foreigners. Meanwhile the people who were born here, who grew up here, struggle everyday at their minimum wage service jobs just to pay their RIDICULOUSLY overpriced rent for a gloomy walk-up out of date 60s apartment with no hope to ever own here themselves.
This is not our home. I’m moving to California. There’s a thing called SUNSHINE there.
Ok so let us all in on the secret, those of you moving to Las Vegas and California. How are you doing that? Do you have a green card? I would move in a heartbeat but I need to work for a living and I don’t have US citizenship. If there’s something I can do that I am missing, I am all ears.
I hate Vancouver and can’t wait to leave for southern climes. SUNSHINE. That is what I need.
Somebody call the whaambulance!
I agree, Vancouver is totally overrated, dark and gloomy for almost 8 months of the year.
Anyway, the March stats were CRAZY bearish, this market is heading down fast, put your helmets on!
Just this morning I awoke to sirens not too far away. They were responding to a double homicide in a sushi restaurant – 2 foreigners killed Sunday evening. It used to be a nice, safe city when I grew up here, but ever since the opening of the flood gates to China and the rest of Asian after expo 86 it really SUCKS here!!!! We get all their criminals and least wanted citizens who buy their way into this country/province with dirty money because our politicians have absolutely NO morals whatsoever. GREED, GREED, GREED is what it’s all about!!!! I live in a beautiful neighborhood, but am now surrounded by Asians and East Indians who act like nobody else matters and they make all kinds of noise whenever they want. So much for the beautiful neighborhood!!!! As for the prices of houses here – absurd!!!! They buy from overseas, knock the houses down, cut down all the trees and pave their yards to build these huge ridiculous monstrous houses that take away from the beauty of the area they originally bought into.
I was never anti any culture growing up, but not now!! I wish our pansy ass government would close the flood gates and put caps on real estate prices!!! But then again it all comes back to GREED, GREED, GREED!!!!
Thank you for allowing me to vent here!
I feel like you’re painting all foreigners here with the same brush. I have neighbors who come from the countries you mention and they are quiet, respectful people. My biggest problem is when people buy homes here and don’t even live in them….or send their teenage children to live in them by themselves!
Foreign investors are more than a “small minority” of home purchases in Vancouver – it’s a big problem. Their money will never run in short supply. I don’t buy the 70% Canadian ownership figure for Vancouver.
The kicker is that a great number of homes bought by foreign investors sit vacant, while people born in this country are priced out of the market. My HHI is $140,000 and competing with foreign money is impossible. Gotta love this country, that country and our crappy government. Taking advantage of the system is the system’s fault.
this is old http://www.cbc.ca/news/story/2008/06/04/homes-census.html but it says 2/3rd’s (67%) of Canadians owned their home in 2008. Please do us a favor and find the latest stat.
Also There is no conclusive evidence that foreigners are the root cause of Vancouver inflated prices. If foreigners are as much as 15% of the buyers that’s still a minority. The likely cause of Vancouver “irrational exuberance” is the same as every other bubble or balloon are whatever you want to call it. Foreigners are no “smarter” than the locals
While I appreciate your effort to strengthen your claim about foreign versus Canadian buyers, your article is too old to even be relevant. Plus, the article doesn’t even touch on the point of my claim. It merely shows that, “Over two-thirds of households in 2006 reported owning the home they lived in.” Sure, it breaks it out by province, but it still lacks the relevance you need for your position.
I’m sure you live here and have a full understanding of the matter. But then, being so naive must be nice.
Sorry Dr. on I was at work and in a rush. Could please provide us with the stats to prove you know what you’re talking about.
here’s a more recent article Mar. 16, 2012 http://www.theglobeandmail.com/globe-investor/investment-ideas/features/the-buy-side/big-bad-wolf-could-blow-this-investment-down/article2372118/?utm_medium=Feeds%3A%20RSS%2FAtom&utm_source=Home&utm_content=2372118
“our home ownership rate has gone from 62 per cent 15 years ago to 70 per cent today, “
…..and yes I do live in Vancouver and I sold my condo last year for a Nice tax free profit. Its invested making me more money and I pay less tax. I sold when condo prices peaked as naive buyers who believe “home prices go up” and “this time its different” rushed out to buy before the 35 year mortgages end. since then ( as noted in my previous post) sales are down 20%. Less cheap money equals less buyers.
So If you want to call me naive or discredit me please provide some stats instead of you naive opinion.
You’re forgetting that foreign home ownership in Vancouver is a very recent trend. It’s really only been in the last fifteen years that it’s picked up considerably (since Hong Kong fell back to China in 97). While I am sure the amount of new owners in Vancouver are largely foreign, I can totally buy that 70% of Vancouver is Canadian owned – people who bought in the 70s and 80s that are now paper millionaires sitting on a gold mine. Those people really won the real estate lottery.
Excellent points
Well that’s the problem. I lived in the Woodwards in Gastown… vast majority of the owners were foreign and did not even live in Canada and close to 80% of the units were rentals.
I can’t begin to tell you the problems in that building – from prostitution (sorry escorts who were all in there early 20’s and going to school) to disrespectful people who would let their friends puke in the elevators or let their dogs take a leak in the lobby because they didn’t want to walk them in the rain. In all my time that I’ve lived in LA and in NYC I’ve never seen anything like it as people would slap the living hell out of you for stuff like that.
I agree that Aurora is too far from Toronto to make a valid comparison to the Kerrisdale property.
Here’s a more comparable property in Toronto for $2.1MM:
http://www.realtor.ca/PropertyDetails.aspx?&PropertyId=11652919&PidKey=844031035
Yeah I’m from Toronto and Willowdale to Toronto is similar when compared to Kerrisdale to Vancouver, but Willowdale is a bit further out and the neighbourhoods don’t carry the same prestige.
Try looking in North Toronto but stay south of Hwy 401.
This one’s a bit closer…
http://www.realtor.ca/propertyDetails.aspx?propertyId=11621190&PidKey=639247304
Foreign ownership. No way people born here could ever afford this.
Not foreign ownership:
http://www.straight.com/article-619856/vancouver/questions-arise-over-extent-foreign-residential-sales
It’s a definite trend lately that real-estate asgents are approaching owners adn getting them to list “just to see”… It’s horrible, they list businesses low just top see if there are nibbles with no intention of ever selling at that price. They also list high to see if they can “bump” the neighbourhood and increase sales/profits. Thats what is likely happening here.
sure anyone can buy a home in Van City and you don’t need any money to do it!!! just get no money down mortgage
https://www.notapennydown.com/zero.htm
we’re just like the US, only slower. pop pop pop
im moving to Australia for sure and buy that house.
For a real eye opener check out http://www.crackshackormansion.com/
Interesting site which shows you a million dollar property in Vancouver and you guess if it’s legitimate or a known crack house
I’ve lived in all these cities and could never afford to own and live in any of them. I did buy a home (not a mansion) in Aurora but am forced to rent it out so someone else can pay off my mortgage and in 15 more years I will move in with nothing owing to the bank. In the mean time screw Toronto and its consumerist society, forget Vancouver and the fake naturalists, Montreal, well je ne comprends pas. Heading out to farm land outside a smaller city like Kingston, where I can live a real life, and maybe in 15 years when the mortgage is paid off by my renters (thank you very much) I will be back to take another close look at the situation. At least that way I will not be 50 years old with no ownership and a beat up vehicle with a nice haircut.
Loving your blog! These crazy house prices are driving people away from Vancouver! Try renting in downtown Vancouver, you get a hole in the wall with nothing included for almost one months salary! Trying buying, you spend a fortune on a small old house that you’ll realistically never pay-off. Vancouver is just too expensive, over-hyped & really it does rain too much!!
I moved to Montreal, where there are actual seasons and housing prices are fair. I recommend to anyone who wants a beautiful city, plenty of fair-priced housing to buy & rent and a real summer with lots of sunshine (just bundle-up to get through a few months of snowy cold winter!) Montreal is the place to be!
haha..too funny! and true!
I’d pay $50,000 for that place.
hahhahaa “bubble.”
people have been calling Vancouver’s real estate market a “bubble” ready to burst for the past 25 years. Still waiting…and watching the value of my place go up in the meantime.
real estate is great if you bought +9 years ago. but don’t expect a repeat of the last 10 years anytime soon. the cost of living is also going up and wages ain’t. good luck to anyone who bought with recently with 5% down. just the slightest dip will wipe out all your equity.
also Vancouver real estate has gone through plenty of ups and downs in the pas 25 years. If you plan on holding a property that long, sure you’ll sell it for more than you bought it for, but the same is true for most assets. However houses require maintenance taxes insurance and interest payments all of which reduce your profit. So you bought 10 years ago and value of your house has gone up +100% who cares. If you bought a condo last year 0-5% down with the expectation of securing your financial future well good luck. And just because something hasn’t happened yet definitely doesn’t mean it wont. That’s why you have earthquake insurance. too bad you can’t insure stupidity. ….oh wait the banks can its called the CMHC so they don’t care if you default on your mortgage because you and the rest of us tax payers will end up paying for it anyway.
Furthermore prices right now are 14x the average household income does anyone honestly expect this to continue?
As long as demand for limited Vancouver property remains, yes, I do expect it to continue.
Did you just call me stupid? That’s awesome.
Supply, there is none compared to the number of people that want to live here. Quebec and Ontario are massively overdeveloped while here everything is crown land and mountains. If they built houses on every stretch of farmland in the area like Ont then you’d see the values drop, but that won’t happen so.
uhh….have you seen all the farm land that is being developed in South Surrey, Cloverdale, and the Fraser Valley! Often times I see deer with no where to go because their homes were destroyed by developers..
Its beautiful here but shitty weather for most part of the year, and only 2 months of the year is nice, and not even ,sometimes weather could be really shitty raining during summertime so think about it before moving to this ridiculous expensive city
China has over 1,000,000 multi-millionaires and between 95 and 115 multi-billionaires. When you have that much money, gaining citizenship from more than one nation, including Canada is relatively easy. The stats don’t go very deep into the buyer history, if at all. Buying a safe haven for a few million is nothing to them. Especially when it is more for temporary residence for their offspring to attend the University of choice easily (another perk of money). The problem I have is they are able to become so wealthy because they can produce cheaply on the backs of virtual slave labor, their real expense is paying off the political elite.
If you are able to live in the States, you can buy more than 10 houses for that price just 30km south of Downtown Vancouver in Blaine or Point Roberts.
This is insane, but surely it’s just a completely misguided seller? I mean, it won’t ACTUALLY sell at that price right? What’s the average prince in that area?
According to this recent article, $1.99 million.
http://www.vancourier.com/Vancouver+realtors+cater+wealthy+offshore+Chinese+middle+class+gets+squeezed/6399697/story.html#ixzz1r0BZMXBR
Unfortunately I’m sorry to say, but yes it will sell for that price if not more. Most of the homes in that area sell above asking and they are old, decrepit 1950’s homes going for well over 2mill – oh and the kicker is that the propery sizes are tiny!
Yep, I’m on the verge of pulling the plug. When it’s nice, it’s reeeaaallly nice, but it’s only nice for such fleeting moments. Having good skiing so close is great but it’s getting pretty pricey too. And when it’s nice, all the cool places to go are just packed because everyone wants to go to the same place.
It’s a love hate thing and it’s driving me nuts!
Or you could buy this château in France for less than the asking price of this very average Kerrisdale property >> http://www.christiesrealestate.com/PropertyDetails/274754/1528714/5031/11#274754/1528714/5031/11
Every day I see these ridiculous prices, I ask myself why I live in this city and ever hope to get onto the property ladder. It’s such a depressing joke.
Just stupid, Good luck to the buyer, you deserve it.
The first graph explains a lot. Anyone think that interest rates will always remain this low? I’d like to see how the mortgage for that property lines up with 5, 10, 15% interest rates.
http://www.bcrealtor.com/d_bkcan.htm here is the graph
Geoff…that spike in the 80s is what scares me. My parents told me about how many of their friends lost their properties back then as they had overextended themselves and then the marked corrected…
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Actually a family friend of mine sold their “tear-down” house in the westside (on W. 36th) last spring in a BIDDING WAR. It was listed at 2.1 and sold at just under 2.7. The ‘offshore’ buyers are tearing it down to build a box……
sadly it’s going to go higher. i have been in the market since i was 24 years old – i’m 48 now, and when i bought my first place they said the same thing, “it can’t get any higher’. ‘the bubble will burst’. sure, there have been ups and downs but as long as there’s an ocean here and mountains and mild weather – even if it rains – people will keep moving here. i bought a condo 15 years ago for 130K, after i sold one in kits and now it rents for 1500.00 a month and is valued at nearly 390k. it just is. if i had to start now i would never get in and i hate that i have friends that work hard and have decent jobs and they save and will never be able to buy anything. i own a place as well in kits that since i bought it has not gone up at all – over two years – but since i live here i don’t care much as i’m not thinking of selling. the numbers are the numbers and i see the stats but, the proof is in the pudding, vancouver keeps going up.
This is exactly it. It is unfortunate that people with lower incomes can’t afford to buy in Vancouver, but there are enough people who can afford it to keep prices up. It’s all about perspective, and everybody’s is different. If you don’t like the weather and the high cost of living, you don’t want to live in Vancouver and you don’t think the housing prices are worth it. If you love this city, love the weather, and love what it has to offer, than you can see why there is such a high demand on properties here. There are plenty of people who will pay crazy high prices for property to be able to live in Vancouver, because it is ideal for them. This is certainly not true for everybody.
I live out by Metrotown and there are so many condos going up–four under construction right now with at least eight or nine that I know of in the planning stage. Before it wasn’t too bad because the condos were being developed on vacant lots or under-utilized commercial space, but I know of at least two instances now where low-rise rental apartment buildings are going to be torn down in favour of condo hi-rises. Not a good trend given the lack of reasonably priced rental places in this city.
I can’t believe that half of the people commenting on this thread are JUSTIFYING the cost of the house. What ever happened to housing being an inalienable (if not literally defined and documented) right for people living in democracies? Have people learned nothing from the crash south of the border years ago? So some horrible millionaire can tear the place down and rebuild on the property, making a profit. Why should that be O.K.? Why are you all being total fucking lemmings and going along with it? The question isn’t only how long you think this will last–it’s what is going to happen when it all comes crashing down?
Cities can’t survive if everyone needs to be a millionaire to live there. Someone still needs to take our your trash, trim your grass and make you your extra-hot no-foam Latte.
No offense to anyone who likes extra-hot no-foam lattes.
You can thank both the federal and provincial governments for that stupidity. They encouraged immigration to create growth (translation, get immigrants to vote for them) driving up prices.
I moved out of Vancouver last summer for a job, and where I’m living now is much more affordable, especially when comparing my income:cost of living for Vancouver vs. where I am now. I couldn’t earn in Vancouver anywhere near what I’m making here for the same job.
It’s sad, because I really enjoy Vancouver, it is a beautiful, lively city that has so much to offer.
So is the housing market going to crash in Vancouver? What are you thoughts I’m interested to here what people have to say. In my opinion it will only taper off slightly.
crash..
it’s starting right now
http://www.yattermatters.com/2012/04/vancouvers-stats-dont-lie-if-you-are-balanced/
I definitely see the decrease in sales, but the prices don’t seem to be decreasing, especially in North Vancouver where there is no land left for building. Open houses in my area still have approximately 40 showings / open house and detached houses rarely go for less than $1,000,000. Fingers crossed for a crash though lol.
Inventories increase and # of sales decrease before prices drop. It will happen.
I don’t know why people say Vancouver is the best city in the world? It rains almost every day and is freezing + damp in the winter! Yeah summer is nice but it don’t last long!!!
Ive been to vancouver and nice and all It isnt that good a place especially the weather.
It reminds me of Dublin in their boom everyone tells a visitor how wonderful the place is blah blah blah.
Vancouver is losing its original spirit.When I went downtown on a sturday night I saw more fights and cops arresting people than a Tv doc.And the people were so full of themselves!!
Its a small provincial place with small provincial people!!
I just came across your blog!! Keep it up kidda, love it! I jumped ship from Dublin, Ireland 4 years ago because property prices were RIDICULOUS! Came to Vancouver stupidly…all I can say is look at Dublin now. They are hooped, too much greed came back on bit them on the ass. I dont wish that on any home owners here…all I wanna do is get onto the ladder. Anyway, wicked site. I’m sharing. Peter
Thanks, Peter! I think I’m just saying what lots of us are thinking! My hubby is from Dublin…and, yes, many of our friends still in Ireland are feeling the effects of the crash there!
Seems crazy but that block has been rezoned. You can tear down house and build atleast a 4 story condo building or townhouse on that lot. Aswell depending exact address some lock on 41 got approved for 6-8storys. Thus apartment building or something on that lot. House is a tear down. The 2.1 Mill is strictly for lot value
I agree and don’t think its right as I am a Canadian who was born here.
This is one of three in a row at 5600 Larch Street, being offered together as a package for a multifamily, residential development. If you’re going to make a point, do your research. No 33 ft lots are selling for this amount, stand alone in Kerrisdale today.
my understanding from the listing was that this was the price for this property alone and that the adjoining lots could be purchased as well, but not for the 2.1 million. The listing states that it is a 33×122 lot and that it “can be sold with adjoining lots” NOT that the adjoining lots are included. http://www.realtor.ca/PropertyDetails.aspx?PropertyID=11537897&PidKey=878401640
there are tons of houses with 33 foot lots on the west side around the 2 million mark. do your homework. Of 800 detached homes on the west side of van listed now there are 2 at 990,000.. 70 between 1million and 1.5 million 150 between 1.5 and 2 million the other “charmers” or over 580 homes are over 2 million..The “excuse” that some people use in these blogs like “Its your fault you didnt buy,or you cant afford it” are either people who inherited something, or bought over 10 years ago, those prices are not what some one even a proffessional can pay if they are moving here in 2012. There might be .001% of salaries in vancouver that can actually afford a $10,000 month mortgage with 10% down for a 2 million average on west side of vancouver. If you have one of those salaries give me a call Im single and hot.
No like button but like!
Here is the Skinny…….Downtown Vangroovy is Neo Manhattan, Surrey is New Jersey, East Van is Harlem……DIG…………can any middle class Human afford Manhattan or Hong Kong……….this will never end.
LOL New york is a world center of finance (among many other things) In the world largest economy, and still is despite the crash! wages in NY are significantly higher. Keep dreaming Carlton
Vancouver is a joke. Most beautiful city in the world, really? It rains all the time, how beautiful is that though? I live in Vancouver but I bought 10, yes 10 properties in Las Vegas!! Condos for under $60,000 that rent for $850/month, no joke. The same condos here would cost $250-$300,000… If I was single I would move to Vegas for good and sell my house in East Van for 1.4 million! For now Vegas is my vacation home, but everytime I come back to Vancouver I want to get on the plane and never come back lol.. Over rated = Vancouver… The best place on earth, maybe if you have never left Vancouver, seriuosly..,,
That’s why we left Vancouver…and we miss it sooooo much! For all of you bemoaning Van property prices, go walk down a sidewalk with street lights, look at the beautiful views (note no Walmarts in sight), get a good coffee from a real coffee shop (not a McCafe), have a conversation with your neighbours about something other than hunting, take your children to the aquarium or science world (not the play place at some filthy fast food joint) and soak in this fantastic city. I miss you Vancouver! And hold on, property prices can’t continue this ridiculous growth. Keep renting, but whatever you do, don’t move to small-town BC!!!!
You are so right Sheilagh!!! The whiners are too afraid to make the leap to be here. Rain, yes, ocean, mountains, rivers, forests, city, museums, galleries, yes. And you save money because you don’t spend every cent clawing to get out of the small town you moved to. Seriously, the housing costs are high, they are not going down, but you will spend less because all this beauty is right outside your door. Vancouverites even live longer. Check out the North Shore.
I too grew up in Vancouver and moved to the Fraser Valley before everything went up. I feel as an exvancouver I should have the right to be able to afford to return to where I grew up. I think it is wrong that they have sold out Vancouver to investors for money,
second most livable city in the world after melbourne australia as voted this year :d
For fun, check out this house in Seattle, only 250km away:
http://www.redfin.com/WA/Seattle/3724-Cascadia-Ave-S-98144/home/488954
This area is indeed less than 25 minutes from downtown Seattle and it’s right by the water in an actual “prestigious” neighbourhood.
My observation, having lived through a real estate bubble in Seattle, is that Vancouver is overdue for a massive correction, perhaps on the scale of 35% to 50%. There is a fundamental link between income and property value which is entirely broken in the Vancouver real estate market. There is no reason for it other than speculation, of which I believe is partly due to Canada’s relaxed immigration policy which encourages and rewards wealthy people to immigrate and invest in Canada. Naturally, Vancouver is the recipient of most of this investment as it is a major port for trade with Asia and it has developed as an immigration cluster for people from Pacific Rim nations.
This has pushed up housing prices year-after-year, doubling the cost of houses over the last decade even after correcting for inflation, giving people the quite logical belief that if home prices have increased 7% every year for ten years that they will continue to grow at this rate forever. This behaviour is called a bubble.
London, Tokyo, and New York City are property-constrained cities that can support outrageous real estate prices. They are global centres of high-dollar value industries such as banking, finance, entertainment, etc. What high-dollar value industries does Vancouver have, other than drugs and real estate, that support the pricing Vancouver property owners are commanding? Film? Forestry? Shipping and trade? My experience meeting people who live in Vancouver is that even people with decent jobs live in near poverty conditions, renting basements in houses just like this tear-down because it is all they can afford.
My hometown of Seattle is comparable to Vancouver in many ways — climate, terrain, social and political attitudes, etc. Seattle is space-constrained to the east by mountains and to the west by water, just like Vancouver, although without a national border constraining us to the south. Seattle has a somewhat higher unemployment rate than Vancouver, but Seattle also has a higher per-capita median household income. Even in the most out-of-control days of our real estate bubble we never saw Vancouver-style prices. Then our national real-estate market crashed, reducing values by 1/3 from the peak. This brought us back in line with historical averages seen with income vs housing costs.
Clearly the Vancouver real estate market is broken, and there is no other logical explanation than speculative investment. Hold on up there, and get ready for the bust.
I am so over this place. I hate it here. We get such little sunshine…. it’s a great place to visit for a week in August… but that is IT. If I could either get work that was location independent OR get a green card, I’d be outta here so fast you wouldn’t see me for road spray.
My parents emigrated here from England in the early 60’s. I was 7. I remember them debating and debating – brochures spread out all over the kitchen table – wether to move to BC or California. They couldn’t decide so, after 3 months of back and forth, tossed a coin.
I curse that coin.
Bahaha! Now you need all the coins for rent monies.
I remember the same type of golitang in SoCal before I left, now people are putting bullets in their head when the bank takes the house. And those gloaters are all crying for governement bailouts and whining about how they aren’t being helped by the banks. Your wealth is imaginary, unless you sell it now. You will be truely surprised how quickly a million dollars in paper money can be gone.
Speculation drives prices up and benefits those that own here, just you jealous fucks that didn’t get in early missed out. If you cant afford it, don’t live here, we dont want you . you don’t see any comparisons to other desirable places to live, like say Manhattan, London, Paris, or even Beverly Hills. Lets give the author some credit, trying to get a rise but clearly is not of the caliber to able to afford a home.
Just came across this site, glad I did, but cannot help but notice alot of comments crediting/discrediting life in Vancouver but not really alot of mention of affirmative action to establish much needed change and curious as to why.
May I suggest checking out http://www.rampvancouver.com where a group of concerned citizens are taking said affirmative action against the City and Developers to fight for the citizens of Vancouver to have affordable housing and less of a dictatorship monopoly by the City, City Planning and Developers.
The outcome of the Development that is the main focus on the site will be precident setting for other communities in Vancouver and is currently one of the largest Public Hearings to date. Keeping up with consistant and factual data presented to the City that cannot be ignored when the outcry from citizens is loud and visible.
I would urge those of you who love their city and feel that its time to take the City to task for allowing these grossly inflated realestate prices to continue and for allowing Developers power that almost superceeds that of Government, to attend or even better yet, voice your opinion by speaking at the Rize Development Public Hearing slated to begin again on April 4th, 2012.
Come join the almost 300 people that have already signed up to have your say and show the City that democracy is not going to be silenced……..Vancouver is already on unstable ground with the idealism of its current City Planners that would rather see this city be a mini ‘New York’ rather than a city with affordable housing and wages that are on pare with the cost of living to name a few positive attributes.
Just my two cents worth…….
A friend of mine shared your post on Facebook. My wife and I left Vancouver in 2008 (I was Ontario born and raised, my wife a North Van girl) and moved back to Ontario. Real estate was one of the primary reasons. We sold our 800 square foot (1 bath, 2 bed, 1 parking) North Van condo, added about $40,000, and bought a brand new 2700 square foot, 2.5 bath, 4 bedroom, 2 car garage house on a large lot in Waterloo. The best part? No pay cut. Salaries in Vancouver lag far behind the cost of living. Anyway – love your blog. Keep up the good work.
1.Insane housing prices driven by foreign owners who are not Canadian citizens or living in the country. Properties are bought and sold on overseas listings without having to be mandatorily listed in Canada.
2.Even if the market drops, it does not drop the inflated rental prices.
3.Highest cost of living/rental/housing and lowest minimum wage in the country.
Three reasons why the people who have allowed this city to go to shite gargle sac.
It would be nice to NOT live in a city where the only way to get ahead is to get an inheritance.
– Kevin, N.Vancouver.
And then at the other end of the spectrum, there is this: http://realestate.yahoo.com/promo/homes-for-the-price-of-a-car.html
They will keep filling the “broken Housing Market” with immigrants that are willing to put up with the tortures of slavery. There is no bubble because there are still 800,000 millionaires in the world waiting for a Visa to move to Vancouver from China. Vancouver was my home but my home was sold to the highest bidder. Good luck waiting for the “bubble to burst”. As long as they are creating more and more millionaires in China (With Vancouverites buying their Chinese made wares), this is just the beginning.
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Grew up in Vancouver and love the city but it became clear that I would likely never be able to afford to buy without lots of work and struggle. My dream would be just a small place with enough yard to grow some veggies. Ended up ditching city life altogether though not everything I liked about like access to recreation and more wild areas. Gave up mountains but gained big lakes. Still able to hike, bike and cross country ski and snowshoe in the winter. Have small city access 45 mins away. Big city 2.5 hours if I need a real fix.
The biggest difference though, I now have more time and money to do all that stuff because my 1500sq foot house on three acres costs a measely 500 bucks a month for the mortgage. In Vancouver that was what I was paying for my share of an apartment.
I really miss Vancouver at times but moving was one of the best decisions I’ve made so far. Post like this just make me more assured of that. 🙂
Now that is beyond stupidety.. $2.1m really??
I will continue to live in Fort McMurray, and have just as much fun, and outdoor life! The news talks about our prices and how ridiculous they are however, our wages are increased significantly (including service industry) We can comfortably afford our mortgage x2 and get as many vacations as we want a year. I am from BC and unfortunately I will never move back, the economy is dwindling and prices of houses are going up.
Not so weird. It’s a teardown being sold purely for the land in one of the prestigious neighbourhoods in Vancouver. That is all. My house is slightly further away but not in a neighbourhood like that, with water view, privacy, way more land, 3x the size house and mine’s worth 1/2 that.
No bust. Just a small local population who trust in the practice of investment. Canada is an open port for financial washing.
It is true
Meanwhile, here’s a property a 20 minute drive east, same size, and also with a rentable basement suite for 1/3 the cost:
http://www.realtor.ca/PropertyDetails.aspx?&PropertyId=11545887&PidKey=1336254598
I realize that by other cities’ standards, $700k is hardly a steal for a home of this size, but when West Siders complain about the cost of living, as they routinely do, it’s worth bearing in mind that they could stay in this city and put money in the bank if they’d just move a few blocks away.
People have been saying this forever. But there is a huge difference between Vancouver and Seattle. Vancouver West side and West Vancouver are VERY small areas by large city standards and are by far the most desirable areas for the wealthy to live. And the world is full of wealthy people wanting to move to Vancouver over Seattle for many reasons such as politics, culture, immigration, lifestyle, etc.
I went to high school in Kerrisdale where that “gem of an architectural bargain” is for sale. Back then it was full of snotty boring, white,yuppys and retirees. Now its the same snotty white rich plus rich Asians who shop at the darling boutiques with their designer clothes and bags trying to park their Bentleys and Bimmers, and thats the teenagers cars Im talking about btw. Kerrisdale has to be the most stuck up boring neighbourhood in vancouver, zero warmth or charm. You arent even getting water views maybe a little top of mountain view. Ill go rent in Kits or west End or east van for 1/20th of what the mortgage would be for that “charmer”. Yes Vancouver is gorgeous, and world class in many ways BUT the wages here arent world class .The reality is that the houses are not for locals. Its not racist its fact. Those countries have LAWS against non resident buyers being able to purchase in their countries, our governments say WHO CARES! Give us money and to heck with the locals! But I am tempted about that “cozy” basement for only $2000 a month! Hope its still available!
holy crappers, i think ur all crazy!!! I wouldn’t have paid $200.000 for that house,
let alone 2.1 million!!! However, I would have KILLED to live in any of the other places, especially in those house, and if I’d had that kind of money, I would gladly paid those prices and been happy for the rest of my life! Actually, I wouldn’t have lived in Vancouver even if I’d been GIVEN the house for free, I cannot imagine anywhere more depressing and more inappropriate to raise children. Good luck on the sale, lol!
Since when is Melbourne a (garbage) city as per Justin’s comments above? It’s a much more liveable city than Vancouver in terms of climate, opportunity and real estate prices. It is also consistently at the same level, if not higher in liveability rankings than Vancouver. Perhaps get your facts straight before commenting. I am born and raised in South Coastal BC and I have to admit that Vancouver is a shit-show. It’s become nearly impossible to live here as a young professional and gets worse every year. High immigration from wealthy investors, speculation and cost-to-income ratios are in line with the developing world. Not to mention “Bland-couver” is boring, lacks any major arts facilities, good jobs and has some of the least friendly people this side of the Pacific. It’s not Lotus Land people, Vancouver is a lost soul full of more lost souls looking for the golden ticket to happiness. Problem is, they arrive here and don’t find it. City of broken dreams.
Check out this Frommer’s travel guide of the world’s most over-rated places. He calls Vancouver for what it is: Blandcouver.
http://vancouvercondo.info/2009/06/vancouver-a-top-over-rated-city.html
Here’s what 2.1M would get you in Montreal, in Westmount (aka: most expensive part of downtown): http://j.mp/HekqJz
Is a square foot the same size in Vancouver as the rest of the world? 800 sq ft (if there are still only 12″ to a foot) is a little small. Now, 800 square METRES… no, 2.1 million is still stupid.
Happy to say I sold my overpriced condo in Vancouver and moved to Ontario. Friends and family can make all the snow jokes they want, what I saved in housing costs (not to mention gas and general cost of living) more than pays for a snow blower or two, it pays for a completely different lifestyle and peace of mind. Still a Canucks fan though.
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I just sold my place in Coal Harbour last week…..so now I am cash rich. But I certainly will not be buying in Vancouver again.
But remember for very one of these high price sales, there is a happy Vancouverite dancing to the bank.
I will rent a great place on the interest, until I can retire. At that time I’ll be out of this dark wet place for someplace where the sun shines everyday.
City encourages the bubble, because that means property assessment goes up. City taxes are based on the assessed value. The house would only be assessed 5K, but the land ….!
Vancouver is an extremely expensive city for the average working person. The taxes only kill you.
It is so depressing to have such little left over after mortgage, food, gas, daycare is done.
I love my city and lots of other cities. Vancouver can be fun. However seeing how they are populated with people who riot over hockey games, I’m not sure I would call it the best place to live. Not to mention 4 months after the disaster of an Olympics, my wife and I flew out for the weekend. If it wasn’t for the monument surrounded by construction fencing you would never know they just had the Winter games there. It is a city consumed by money and greed, downtown can be very dangerous at night. I prefer to sit on the plane an extra 45min and make my way to Victoria. Much nicer and cleaner, lots of outdoor shows and events.
Vancouver is the most ridiculous place I have ever lived, sure north van has some natural beauty, but downtown is just a big factory where you get paid less than it costs to live.
This kind of insanity is why I’m paying $600k for a 20+ year old house that’s a “mere” hour and twenty minute commute from my workplace downtown. That’s an hour and twenty each way…
I lived in Vancouver for 7 years and spent most of it in mouldy basement apartments for approx $1000 a month, and that was considered “awesome!” Now, I live in the East Coast – and own a house. A HOUSE. With a yard. Oh, and a forest behind it. Oh, and did I mention that my mortgage is HALF the price of my Vancouver rent? And, I am the same distance from the ocean as when I was in Vancouver?
This listing is so ridiculous, it makes me happy that I am no longer prisoner to an awful commute under perpetual clouds and rain … because out here, we can afford to be a one-income family! booyah.
When everybody agrees it’s insane, then it must be.
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Really out of context … Poor comparables …. This is sensationalism at its best
The comparison to Melbourne is incorrect. I used to live in Van and now I live here. $2.1M buys you a very basic house if not a ripper-downer in a comparable neighbourhood in Melbourne. Yes the ‘house’ in the pic looks good but does it have any land whatsoever? Not from the look of that pic.
Add in 8% mortgage rates, private school fees at $15k per child (as the public schools are bad) and double the cost for groceries and it really isn’t more affordable. In fact it’s the 7th most expensive city in the world.
We are on a well paid expat package and the feedback from those in our same situation is ‘HOW does ANYONE afford to live in Melbourne’? We can’t figure it out and god we’d love to know. Sydney is worse.
Just thought I’d share that in case anyone was thinking of ditching Van for Melbourne based on affordability reasons.
Wow…. what a bunch of whiners on this site. If you don’t like living in the place you live there’s a simple solution, leave. No one put a gun to your head, if they did then you have bigger problems than real estate prices. And yes Justin….. you need to travel more, Melbourne is a fantastic city.
I feel like I opened up the Pandora’s box of real estate strife with my posts about Absurd Property pricing in Vancouver. Although I find the housing prices crazy, I do love this city. I grew up here. My family is here. My friends are here. My children go to school here and I love our neighbourhood..I am not a real estate expert nor do ever intend for anyone to confuse my criticism of the real estate market in Vancouver with my love for the city.
The expression “no one put a gun to your head” is pretty fascinating isn’t it? Implies that we live entirely be force of will, that we do nothing in our day which is a result of anyone else’s will, and that we are entirely free and independent of our situations. This is true, but at the same time ridiculous. We are born, for instance, not of our own free will.
James, gentrification exists as a social construction – it is an observed force, a general raising of the cost of living. I understand that it is often seen as a privilege of the rich to complain about raising housing prices, but in reality it’s not usually the rich that are complaining. Personally I make under 10 grand a year, working as a musician in Vancouver. It would be easier elsewhere, but I value my family, my familiarity with the landscape, my painstakingly built garden (which is being destroyed in order to build a bigger, more expensive house in this one’s place) and my relationships that I built up with the three non-profit societies that I work with.
It is a popular myth that real estate prices are simply the city “getting better” and being “more desirable to live in”, simply because the ethics of land use are so pathetic on this continent. Look up “manifest destiny” some day and set it in the context of other popular myths.
Most of the issues surrounding your kind of comments about this article/forum are based around ideas of identity anyways. As Meliss604 (Melissa?) demonstrates above, it’s not always so. If someone has it in their head that their identity is made up entirely by the inability to have an affordable home then perhaps you could be right in insinuating that they have more options available now (although at many times this century you would not have been correct in saying so) than “complaining” about it. Co-ops, and group homes for instance. But it’s just as ridiculous to require a city, with all its historical attitude toward land, to change abruptly simply because a bunch of developers want to make a dollar while having fun typing on their computers while the rest of us get to worry about things like the environment, ethics, community, love and children, and people like yourself who are writing comments one step short of trolling.
Not to mention that there’s supposed to be some humour in this… yeesh.
I would just like to say, I work in real estate, a LISTING doesn’t mean crap. I could list my cardboard box at the side of the lougheed highway for 2.1 Million. The sales are what shows you the true value of the place. Show it to me again after it sells and for how much. And side note, as a rental property, even getting $2000 per suite its really only worth like 456 000 at a decent market capitalization. For 2.1 million your market capitalization is like 1.5% not a smart way to invest that kind of coin. So yeah, show it to me after it sells.
I do research at UBC in asset bubbles. There is really only one solution. Since foreign real estate speculation is the root cause to this madness (hard to prove), it follows that foreign speculation should be discouraged, not encouraged. It causes way too many social problems. We should learn from Australia, France, and Hawaii that residents come first. There should be some reform in Canadian immigration law and property tax structure. In any case, even the most violent real estate correction wouldn’t bring real estate in Vancouver into “affordable” territory. As soon as I’m done at UBC, I am gone. Don’t even get me started on the carbon tax, the HST, ridiculous infrastructure decisions, 25% parking tax, privatization of BC Hydro, ICBC insurance premiums (give us private car insurance NOW!). Almost zero economic insight on the part of politicians. Too bad they didn’t have the foresight to prevent this disgraceful real estate situation when it began years ago (and they could have). And that’s the real rub. The major decision makers: the premier, the mayor, etc are property owners. What incentive do they have to stop this insane appreciation? I would argue they will do everything in their power to maintain this annual real estate inflation as long as possible, while the people who voted them in are suffocating due to annual decreases in disposable income.
Excellent comments, thank you. I completely agree with everything that you’ve said. Vancouver is only a city of 600,000 and a region of 2.3 million, which does NOT make it a large city by world standards, yet we have the same prices as NYC, London, Sydney and to some extent Hong Kong (it’s still more expensive there). Those cities have the economies to support those kinds of prices and a global reach that capitalizes on business opportunities and real capital. Vancouver sells nothing but lifestyle and some tertiary economic activity. We are not a business-friendly province and have very little acumen in regards to protecting our citizens from the vagaries of rampant speculation and foreign entitlement to our land. We must enact laws now that limit foreign ownership and speculation and limit immigration to select Canadian cities. It’s totally out of control and we are seeing the very serious and immediate impacts of these lamentable decisions on our public. Why is nobody standing up to present effective alternatives to the current fiasco?
Look at property in Fort McMurray, we have trailers that go for 500k and older homes that go for 600k and up. Newer homes here are outrageous and they are just slapped up because of the demand for housing. When my plan for living here is done we are moving to BC and buying somewhere warm like the okanagan. It would be a shame if someone bought The house for the price they are asking.
Fort McMurray is Canada’s oilsands headquarters – technically it’s not even designated a city, but a “service hub”. If people go up there to drill for dirty oil then I don’t really feel a lot of pity about paying for high housing. I do feel sorry for those that lived there before the oilsands and for those that are born there.
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It’s a teardown!
Born and raised in the lower mainland, I have moved to the US and back. I would pick Vancouver any day. We bought our first home in Mission and then sold it and moved back here with a down payment to get into the Vancouver market. You have to decide what you want and go for it. I am not saying the prices are good I am saying if you want something you have to find a way to get it. I love Vancouver, all parts of it. Stop complaining and buy yourself a place while the interest rates are low. The World is coming and you better get used to it.
There are signs of a crash on the way. Too much household debt. Home equity loans. This property could be worthless in 5 years if interest rates go back up where they belong.
I’m not sure if anyone is still reading this thread but I’ll post anyway.
The real estate market is a funny thing, its one of those subjests that effects us all and as such everyone has an opinion and believes that THEY have the right one. At the end of the day theres no right or wrong. It really comes down to each of us and what we think we want out of this short life we have.
First off let me say I LOVE Vancouver. I’ve been lucky in life to travel a lot and have lived in many cities and can say that hand on heart its one of the best. May I add though its not because the city is beautiful. This will raise a few eyebrows but Vancouver really isn’t that beautiful. Sure the mountains in our backyard are but really. Walk down most streets in Vancouver and take out the mountains to the North, where is the beauty? Anyway, I digress.
Vancouver benefits from its location. That is really it. All I ever hear is you can ski, you can surf you have out door activities…well yes I agree it is conveniently positioned to take advantage of those outdoor pursuits and it saves us money that we dont have to fly somewhere to do it. But, when it comes to world class ski resorts…Grouse isn’t one in my top 20. So you ask why do I love it here. Well its the complete package, what it lacks in one area it makes up for in another. The highlight for me is the diversity of Cultures and the way we West Coasters can get on with each other and just not care if you’re white, black, brown, asian or alien. IT IS RARE believe me.
Property, well I have been lucky to dodge 3 bullets in my life. I have got out of Housing bubbles 3 times, London twice and Dublin once. Literally 3 times 6 months before the crashes I have sold out and cashed in. Its enabled me to travel. I have seen the world because of that luck and am thankful. Vancouver is a place I would love to buy, if I could afford it I would. Between me and my partner we earn around 100k a year, not a bad wage I think. We’re not Millionaires but we’re not on the breadline…we are confortable. There is no way in hell we can afford a 3 bed detached property here. East, North, Burnaby or Surrey. I would NEVER get into the Condo market right now. It shows all the signs of a “correction” as they call it. But thats not why, at the end of the day if you’re in a property and you live through a crash, as long as you can live in that house and grow in it what does it matter it you lose equity in the long run. Let me explain, when you enter the a Mortgage you
know that for 30 years (example) you will have to pay down a certain amount off each month. If you lose equity you will still have to pay that same amount off. If you can live in the place what does it matter. Condo’s however are different. If you get in at an inflatted price and it crashes you will be stuck in it. You will not be able to grow in it and you life will be stuck.
Look at a car, when you buy a new car off the lot you lose around 30% as soon as it leaves the dealer. You’re already in negative equity, you wont be able to sell it for the same amount. But you can live with it.
I’m jealous of people that got in years back, or have a family here they can rely on for help. We have neither, but we will work, support our city, help its ecomomy by sepnding our money and continue to rent. I will sit on the by lines and see how it plays out over the next 2 years. My prediction is though that China has recently changed its focus on “inward” economic growth and as such will try to keep its money in, that involves trying to stop peoples money leaving their shores, that coupled with first time buyers being unable to get on the property ladder and an over supply of “New Builds” we will see prices coming down. It will be sooner rather than later ie the summer when traditionally house sales slow up due to people going on Vacations etc. BUT….if it doesn’t happen this year, I will have to backtrack and say IT WILL NEVER HAPPEN. All the signs are there…July 1st 2012.
Anyway, rant over. Enjoy the city we live in, there are some nations out there that are renters by culture (Germany) they spend there whole lives renting, secured in very tight lease agreements and what they do is buy abroad in time for there retirement. Think about it. If you can’t afford here, rent, and look at a holiday home.
Peace and happy Easter.
Peter
ps excuse my writing, i’m not the brightest star in the sky! 😉
Absolutely ridiculous. The big crash is inevitable. Politics and real estate have always been a roller coaster ride in BC.
Only someone with more money than brains would even take
a second glance at this
I was born and raised in Vancouver. This USED to be a beautiful, hip, laid back city….back in the 70’s! I’m seriously disgusted with what has happened to the city I call home. I guess I was lucky/smart enough to buy a house before the prices blew up out of control about 10 yrs ago but now I can’t afford to upgrade to something larger for my growing family because I’m not a millionaire. I’d like to know who’s buying these grossly overpriced homes? Every true Vancouverite I know can barely afford to get into the market so something is seriously rotten here.
Something else that really pisses me off is the complete lack of appreciation for character and history in this city. It seems 80 percent of developers would rather tear down the older homes and replace them with hideous pink stucco monstrosities. Yeah, I get it. It’s all about money but really, peach stucco? There should be laws….We have some of the ugliest neighbourhoods I’ve ever seen in my life, devoid of character and charm. Million dollar neighbourhoods. PFFFFFFFFFTTTT!!!!
I’m from Calgary. I’ve been living in Costa Rica for 9 years. I’m moving back to Canada in June. I would love to sell you my house here for $2.1MM. When I move back I’m going to where my family is. Canmore. Not the best weather, nor the best place in the world, but it’s where the family is. WTF are all you people arguing about? There is no place in Canada with good weather. Vancouver is nice. Not perfect. Paris is nice. Not perfect. etc etc. You all sound like a bunch of spoiled Canadians arguing about who’s fantasy world is better than the next fool’s version.
Such overwhelming negativity and pessimism. There are millions of people in the world struggling to feed themselves and shelter their families from the weather. Yet here in North America we are complaining about how ugly our houses are, how shitty the weather is and how rich and obnoxious we are. I have lived all over the place, but I am quite content with my condo in Vancouver. It may be expensive to live here, but I live within my means. I am happy to have a beautiful city and country to call home. Many of you should be ashamed of yourselves. If you don’t like where you live then leave. You will make room for someone else.
My favorite new website.
if you can’t afford to leave here, get the fuck out. Many of you hope for a crash to occur, because you are nothing but jealous (probably still wouldn’t be able to afford it at crash prices). Suck it up and move elsewhere. You think you are all so smart, but you certainly weren’t smart enough to make enough money in the first place like many of the buyers that can.
Actually those of us who do not purchase residential property at these over inflated and completly unjustified prices are the smart ones…..the stupid one are the ones who do and then brag about…..sound like someone you know?
You must be a Developer or work for Mayor Gregor in order to be able to buy and be so cocky about it because someone who works hard for their money and can afford to purchase would not be as arrogant as you are.
I suggest a spell check as well next time….I am assuming you meant ‘live’ not ‘leave’?
If none of you have noticed its not vancouverites that drive up prices. Its out of towners who want to move into the lower mainland. There are countless reasons why people rather live in BC rather than SO many other places in this crazy world. Yes, the down town east side is filled with people smoking crack right in front of you at any time of day. But the if you have spent time down there, even in the middle of the night you will realize there are many scarier places even a short drive away . A very safe city is one of the many reasons why our real estate is very expensive. Another is that we are constantly being named as one the best, if not the best city to live in in the world.
Don’t blame us, blame the beauty that is Vancouver.
Re Alyssa’s comment on Melbourne (Aus):
Er, I think the garbage might have actually been collected since you were last here (in Melbourne Aus). With a bit of luck, you might be able to buy yourself a luxury 1880’s/early 1900’s renovated Victorian terrace house in an inner city suburb like Albert Park (I’ll try a link, but it may not work): http://www.cayzer.com.au/index.cfm?pageCall=property&propertyID=2078472
Certainly, the price of housing here is abominably expensive, but the market goes up and down and it’s cheaper than Sydney. Now, what did I read about AC/DC’s manager stating that without the support of Melbourne, that group wouldn’t exist? Have a look at Men At Work’s original video of their song “Overkill” – some were fooled into thinking it was actually filmed in Miami; it was filmed in the bayside suburb of St Kilda, which does look a bit like Miami, but with a rather lower crime rate (about 420% lower?). How are the trams going in Vancouver, by the way – good way to get around?
I’ll tell you how ‘Mammaspray’. Melbourne is 3 times the size, meaning much more work opportunities with min wage at $16.90ph and barely anything under $20 ph. Taxes are the same, social securty is the best in the world and employer superannuation is compulsory at 9 – 17% on top of your wage.
I’ll clear up a few minor miscalculations, interest rates are under 7% now and actually lower if you shop around, an average 3 bedroom character house in a nice inner city area will set you back $500K as compared to $1.2 in Van. Have no idea where that private school fee was manufactured from but would believe it would be about the same here.
Long story short.. Wages are higher, property is nicer and MUCH cheaper. Weather is much better and culture, arts and sport is on an international level.
I find cost of living in Vancouver absurd for what you get.. or should I say don’t get. As much as I enjoy the 5 weeks of sun every year the real question is… How can you not live in Melbourne?
The comparison to Melbourne is incorrect. I used to live in Van and now I live here. $2.1M buys you a very basic house if not a ripper-downer in a comparable neighbourhood in Melbourne. Yes the ‘house’ in the pic looks good but does it have any land whatsoever? Not from the look of that pic.
Add in 8% mortgage rates, private school fees at $15k per child (as the public schools are bad) and double the cost for groceries and it really isn’t more affordable. In fact it’s the 7th most expensive city in the world.
We are on a well paid expat package and the feedback from those in our same situation is ‘HOW does ANYONE afford to live in Melbourne’? We can’t figure it out and god we’d love to know. Sydney is worse.
Just thought I’d share that in case anyone was thinking of ditching Van for Melbourne based on affordability reasons.
The reason the prices are so high is because we foolishly allow people from other countries to buy and hold properties in Vancouver and never live in them. A client of mine is paid $60k per year to look after 14 properties for a billionaire in Asia.. Rediculous… Alberta put a stop to that and the prices came back to reality…
We do not have racism in vancouver
I got this website from my pal who told me on the topic of
this website and now this time I am visiting this web site and reading very informative articles at this place.
I hope you don’t kick me out of here because you think I place ads here. I work for a distressed Spanish rental company for wonderful holiday homes. Spain is in a deep economic crisis because their bubble burst. Now the people have to bailout corrupt politicians and bankers. Beware Vancouver for blowing yoir bubble up too big. Spanish people at least have 300 hours sunshine, gardens to grow their own food and healthy social life and family bonds that help them to survive. It is incredible what people in Vancouver expect for a ridiculous house like this portayed here. For 2 Million $ you can buy a whole village and fields around and make people happy and have them elect you as their mayor.
Bc mean “Be careful”
Bc mean “bring cash”
Bc mean “Be criminal”
Bc mean failure in every way as long as people have cash and they can come and go I will be the best place on earth to get rip off by everything from government to corporation and the art to use immigrant to raise the power of cheap labour and the illusion on a gateway of those immigrant how tought than Canada was a nice country lol nice my ass this country don’t care at all it’s just money and a bone tie to a string to make you believe poor Bc and Canada
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Very interesting!!
Makes me want to go back for another visit soon! Good times!
I love this site will be back. Its great to hear how other people agree with you regarding the high price of real estate and how it happened.
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