Poll on Vancouver Rent
Daily Dose suggested a poll on Vancouver rents, which seems like a natural extension of the discussion on rental prices started in the previous story. We’ve discussed the topic of rent in Vancouver before, but this poll will hopefully give a nice visual overview. Unfortunately this poll plugin does not give me the option to connect answers (i.e. 1 bdrm for $850 in Vancouver West) but please feel free to add detail in the comments section.
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Extra: Reductimat posted this link showing rent ratios in major American cities. This ratio is the purchase cost divided by the annual rent. This ratio ranges between 11.4 (currently in Columbus) and a peak of 34.5 (Bubble ratio in San Fran, currently down to 26.1). What’s your rent ratio?
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May 30th, 2008 at 9:46 am
I rent in a nicer area off the Gorge in Victoria (1 block from Portage Inlet), older home but well kept, 4 bedrooms, 2 bathrooms, huge nicely finished studio and greenhouse in the yard, yard maintenence included for the beautiful yard on 1/3 of an acre, for 1500/mo (incl. utilities). House would sell for over 600k today, so that leaves a ratio of 33 or more. Even if we were paying Craigslist market rent ($2000/mo), ratio stands at 25. For this price i could not even get a one bedroom in Victoria’s nasty downtown area.
May 29th, 2008 at 1:47 pm
When negotiating rent it would depend on the situation. If its an empty open house or doesn’t seem to be much other interest offer the lower rent right off the bat. If there are other applicants and you know you are a preferred tenant with good credit and income than I’d wait until you’ve applied so that the owner can see why it would benefit them to lower the price. Of course if they’ve overpriced the unit in the first place they probably aren’t thinking in these terms and it may be worth just steering clear.
You can usually tell how keen someone is on renting a place out to you specifically, I’ve had an owner call me up a couple of times when I moved last to try to work out a deal. I’d assume no better options came along for the owner, but fortunately for me a better option came along so I politely said no to their offer of a small monthly discount.
(I had offered $1400 on a $1500 house and they came back with an offer of $1450)
May 29th, 2008 at 10:59 am
When negotiating on price, does one typically do that before they even apply, or after their application has been accepted?
Thanks for the tips!
May 29th, 2008 at 9:19 am
Great interactive calculator to compare renting & buying on the NYT website http://www.nytimes.com/2007/04.....ref=slogin
May 28th, 2008 at 9:42 pm
My rent for a cute 2 BDR townhouse in Point Grey is $1230. The house would be $700,000. This puts me around … 47? And realtors try to convince me to buy ?!?!?!
May 28th, 2008 at 9:26 pm
tony danza’s landlord. negative cash flow tax write off
342,000/annum.
May 28th, 2008 at 7:43 pm
In a nice 950sq-ft 2 bdrm in west end. Rent currently $1664 (up from $1600 5 years ago). Current value (estimate) $500K for ratio of 25
May 28th, 2008 at 6:01 pm
we have a 1 bd & den with large patio
for $1800. we found it on craigslist
negotiated from $2k furnished to $1800
unfurn. pet friendly 1 year lease
May 28th, 2008 at 5:27 pm
Anyone live in Yaletown? What does a 1 bedroom in Yaletown rent for now? I’m trying to determine if the rents on Craigslist are accurate or if there’s room for negotiation.
May 28th, 2008 at 5:15 pm
120 or so on the ratio, I guess. We have a huge palace for 900 bucks. We would rattle around in that place so much, we just never go into most of the rooms. The servants keep the unused rooms clean and the yard gorgeous, mostly we stay in our lovely private chambers. I have my herb patch planted and let the gardener take care of the rest.
( We just have a suite within a big house.)
May 28th, 2008 at 4:38 pm
I’m in Yaletown 1 bedroom rent $1450.00 similar units priced at 450000 just under 26 ratio I believe. Downtown San Fran I guess.
May 28th, 2008 at 4:26 pm
It looks like rent ratios are worse in more desireable neighborhoods. Shouldn’t demand keep their ratios similar to less desireable areas?
May 28th, 2008 at 3:48 pm
1/2 duplex, east side, 3 br, 1500 sf (guessing). Rent is 1250.
Newer but smaller duplexes (there’s been a run on 1100 sf heritage style duplexes with all the schmancy trimmings — though this seems to have stalled recently) have gone for anywhere from 500 to 650k in my neighbourhood.
Assuming purchase price of 500k, that’s a factor of 33.
May 28th, 2008 at 3:08 pm
My 1 bedroom apt in the west end is only $825, going up $30 in September, but I’ve lived here 10 years. The cost of owning a similar condo (665 sq ft with a view) in this area would be fairly hefty, but to be conservative, let’s say $300k. My ratio at my new rent would still be 29.24, though I’d say this place would sell for more than $300k, three blocks from the beach.
May 28th, 2008 at 2:36 pm
Van Zee — I am in a 2br woodframe walk up, so not one of those coop buildings with hundreds of 1BR and studio units, and I am close to Lost Lagoon…the condo next door is concrete and has been selling 2BR in the $800K range over the past year or so. My suite though has just one small bathroom and no in-suite laundry…so hard to compare directly….but at $1380 per month including heat and hot water and secured parking, is a steal relative to owning in this neighbourhood, especially after you consider monthly taxes/mtce of about $700 per month….
May 28th, 2008 at 2:33 pm
My rental SFH in Kerrisdale/Shaughnessy has a multiplier of 75 (2200/mo, nearly identical house next door sold for 2MM last year).
May 28th, 2008 at 2:33 pm
Idiots don’t check their facts and correct statements, so clearly you aren’t an idiot.
Seems like that data with the REBGV benchmark price might provide a reasonable rent ratio to track, maybe I’ll try to find historical values for those two stats and see how they’ve changed over time.. or has someone already done that?
May 28th, 2008 at 1:04 pm
You know something, I’m an idiot.
CMHC does check the market rent, not average rent. Here’s the October 2007 report. The methodology is at the bottom. There’s also useful breakdowns by neighbourhood.
https://www03.cmhc-schl.gc.ca/b2c/b2c/init.do?language=en&z_category=0/0000000079
May 28th, 2008 at 12:47 pm
Comparing the rent figures from the CMHC and the benchmark condo price from REBGV is problematic because the CMHC rent figures measure the average rents for all renters, wheras the benchmark prices measure “what you’d pay now” for a condo.
Average rents at the margin, or what you’d pay if you rented a new place today, are likely significantly higher than the CMHC figures.
May 28th, 2008 at 12:26 pm
Anon, I don’t know what they do for vacant units. Renters do pay some council taxes in London UK.
May 28th, 2008 at 12:24 pm
YLTNBoomerang, I’d love to Sit Down with that Realtor for a firesale chat.
May 28th, 2008 at 12:21 pm
Where do they charge the occupier for property tax? Does that mean all you have to do is leave your place empty to avoid paying tax?
May 28th, 2008 at 11:33 am
Check out the blurb for: V704280
The price is still too high, over average for downtown townhouses but the wording is too funny… impending doom, ha ha ha
Receivership Sale at fireside prices! One bdrms from $387,900, 2 bdrms from $509,900. Completion 2008 December. Features include: S/S appliances (Bosch), fantastic finishings, great floor plans. 10% deposit until completion.OPEN HOUSE FRI-SUN MAY 30-JUN 1, 12-4pm @ H&H Sales Centre located at 638 Nicola St
May 28th, 2008 at 11:32 am
You will expect higher ratios for detached compared to condo which is why comparing ratios is not always the best. $1500 on a paid-for $325K condo nets no better than a T-bond with significantly more risk and overhead. Not a good deal unless you are speculating.
May 28th, 2008 at 11:16 am
I’ve seen a few Craigslist ads where two bedroom apartments in New West or Tri-Cities are being offered in the low 300s and they claim to have rented at $1400-1500. That would be around 20, if its true.
May 28th, 2008 at 10:51 am
Other jurisdictions (in parts of Europe) have the occupiers, not necessarily the owners, pay property taxes. It is why future expected net yield, not gross yield, on a property’s cash flow is the important measure of value.
May 28th, 2008 at 10:44 am
Does anyone know if strata fees are worked into the rent ratio calculation?
Strata fees are a cost of ownership like taxes, maintenance and insurance.
They don’t factor into the rent ratio, which is price/market rent. The rent ratio ignores all ownership costs. This can make a place like Texas, which has high property taxes, look cheaper than it really is. Or Florida, which has high insurance costs (and out-of-sight property taxes for non-residents).
May 28th, 2008 at 10:30 am
37 for me in Van West, if I’m doing the math correctly ($2200/mo, house assessment $1M). Yard, basement, garage – value-for-money it kills a Yaletown 1BR for $1600.
May 28th, 2008 at 10:15 am
Watching the Market
a few W.O.D. listings
MLS®: V703228 for $222,000 for 1 bed 460 sqft
MLS®: V706865 same building $239,000
At the end of Pendrel (herons out your window?)
MLS®: V703951 $249,000
I think all are Co-op building and need 35% down.
May 28th, 2008 at 10:11 am
Sorry, that was me above ^^
Does anyone know if strata fees are worked into the rent ratio calculation?
May 28th, 2008 at 10:09 am
You can still buy in New West for a ratio just over 29
http://vancouver.en.craigslist.....36802.html
San Jose is the only US city on that list that has a higher ratio at 30.7
If you take the average 2 bedroom rent figure from the CMHC of $1086 and compare it to the REBGV benchmark condo price of $389,070 you get a ratio of 29.85. I’m not sure if thats a valid calculation, but those are the numbers I have access to. If that is accurate its higher than all but 4 US cities at their bubble peak prices.
May 28th, 2008 at 9:28 am
Tough to calc for me, because I live west of denman and not many suites for sale there, but my ratio range is approx 30-40, depending on the property….um and yes, this is why I RENT!
May 28th, 2008 at 9:01 am
Most are from Westside and DT. No wonder so many are complaining about high prices.
May 28th, 2008 at 8:29 am
Macchiato,
LOL!!! It is nice to put a face to a name.
May 28th, 2008 at 8:20 am
I found out what Rob A. does, AKA Jason, wearing his Hugo Boss blazer, sipping that super-venti soy cap … he looks great in those ‘Stella’ ads:
http://tinyurl.com/5mqpbv
Starting under 400K, lol … on top of Toyota across the street from the Biltmore!