Vancouver Condo Info

I’ve started up a discussion forum at http://vancouvercondo.info/forum

I’ve been testing this for a bit and some of you have already found it. It seems to be working fine, so I figured I might as well go ahead and make a front page anouncement about it.

We get a range of topics going in the blog comments and they don’t always relate to the posting topic. I don’t mind this personally, but sometimes the secondary topics are more interesting and could use some extra focus. The forum will let you start your own topics and add images and video material.

The forum is limited to registered users, but if you’ve registered for the blog your login information should work for the forum. You can also create an account for the forum and not for the blog, whichever you prefer.

I’ve divided the forum up into the four following subheadings, any feedback about these is welcome:

Real Estate & Economics - The main topic of this blog

The City of Vancouver - anything NOT related to real estate

Vancouver Condos - Postings on specific condo developments

Suggestion Box - Complaints or requests for changes to this site.

note: registration is only required on the forums.  previously registered users on the blog should be pre-registered for the forums, but new users will have to register here. Registering for the blog will not give you a forum account at this time, I’ll try to fix that when I have time.

Condohype just sent in this link to the main story in todays New York Times: Mortgage crisis spreads beyond sub-prime. This story will be of interest to anyone who believes that our local economy is affected by the US, our largest trading partner.

As home prices fall and banks tighten lending standards, people with good, or prime, credit histories are falling behind on their payments for home loans, auto loans and credit cards at a quickening pace, according to industry data and economists.

Chip posted this link to a government of canada site in the previous thread which I believe neatly ties into why US economy stories relate to Vancouver real estate prices:

Canada’s economy is less than a tenth of the US economy and it is highly dependent on the US economy. Eighty-five percent of Canadian exports are destined for the US and about fifty-nine percent of its imports come from the US.

Speculation: Prices are going up, therefore prices will go up. Get in before you’re priced out forever. Its the only way to get really rich without even trying. Prices are practically guaranteed to go up forever. This time its different here.

Pent-up demand: Hey, we’re laid back in BC. We didn’t think about buying until everyone else thought about buying.

Rich Foreigners: We love it, we’ll take two, we don’t care what it costs. Do you have any magic beans for sale? We’re investing in magic beans as well, thats how we got so rich.

Leaky Condos: Its like NEW now! And its cheaper than the others! Lets buy it!

Low interest rates: Heck, the bank’s practically paying us to get rich.

Population growth: Ok, so population growth isn’t so hot. Still, you have to admit SOME people are moving here, just less than before the 90’s correction.

Income growth: Lets see now.. I could take on a paper route, mow a few lawns on the weekend and apply for that night watch job at the construction site.. maybe sell my plasma on the side… Yes, honey, we can make that mortgage payment!

Illegal drugs: Dude! heheh. This condo is wiiiicked! It’s like totally 3D! Quit bogarting the joint, pass the dutchie man! whoa. I can feel the shrooms kicking in, where do I sign?

Its time for our weekly real estate news round-up and general open topic discussion here on VancouverCondo.info . Here’s a few stories I’ve noticed this week:

- Vancouver records $7 billion in building permits for 2007
- Another BC sawmill closing down
- Senate passing out money to stimulate economy
- US slowdown hits the Canadian economy
- China’s latest consumer export: inflation
- 10 lies desperate home sellers tell
- Warren Buffet: money still cheap

What are you seeing out there? Post your news, links and anecdotes here!

note: please don’t paste entire articles in the comments, link to the original source and quote key points if appropriate.

This unit in the building located at 960 west sixth avenue looks a bit like its got a shower cap on.. As if its just gotten out of the bath and is getting ready for a night on the town.

Send your tarp and scaffolding covered condo repair photos in to vancouvercondo.info@gmail.com for inclusion in the photo gallery.

The Real Estate Board of Greater Vancouver (REBGV) benchmark price for a home in Vancouver edged up in the first month of 2008 - the new benchmark prices are as follows:

Single Family Home:  $742,490 (+ $12,091)
Attached / Townhouse:  $462,627  (+ $5,686)
Apartment / Condo:   $378,336 (+ $757)

Full stats are available from Paul Boenisch at nvcondos.ca.

In the Fraser Valley prices are down in many areas compared to December 2007, but still up year over year.  An increase in listings has pushed the Fraser Valley into a ‘buyers market’ according to the Fraser Valley Real Estate Board.  Detailed analysis of the Fraser Valley market can be found at the Financial Planning and Personal Sanity blog.

So far the Vancouver real estate market has been remarkably resilient - recession fears, a writers strike, complaints about affordability and markets dropping around the world have not dampened speculation in the Vancouver market.  Will we see a change in 2008 or can we expect to see higher prices in the next 12 months?

Looks like the FBI is checking up on the whole sub-prime debacle:

America’s Federal Bureau of Investigation is investigating senior banking executives for insider dealing and fraud as part of a criminal inquiry into the sub-prime crisis, the agent leading the inquiry said yesterday.

Neil Power, the head of the FBI’s economic crimes unit, is heading the most far-reaching criminal investigation into the practices of the mortgage industry since it began to melt down last year, after years of increasingly lax lending finally fed through into an increase in defaults on home loans.

The FBI is investigating every level of the conspiracy that it believes perpetuated the housing boom and ultimately resulted in millions of Americans losing their houses, investment banks losing billions of dollars and the chief executives of Citigroup, Merrill Lynch, Bear Stearns and UBS resigning.

Some pretty strong language there: ‘economic crimes’, ‘conspiracy’, etc.  How much responsibility do lenders have for the housing bubble and crash in the US?  How much more conservative are lenders in BC?

Hat-tip to scullboy for the link.