The July stats package from the REBGV should be released soon, but in the meanwhile Inventory shared some interesting month end stats for unit sales – they’re dropping all over the place compared to the same month last year:
137 Comments
Your graph going positively. Great
@patriotz:
No it means we had a good start to the year with a tough finish. The market will balance itself out again by next Spring, if not earlier.
1. Demand brought forward by (a) tightening of CMHC insurance qualifications, (b) anticipated rate increases, and (c) the introduction of the HST.
That's completely true, which is why BCREA won't say it. It means that prices have nowhere to go but down.
Expect them instead to keep talking about "pent-up demand".
Nice, but you forgot to mention that with so much inventory on the market now has never been a better time to buy with so many properties to choose from!
The Calgary news release is out and even though SFH prices fell 5% (median) or 4% (mean) in one month, King Realturd(TM) has managed to actually spin this into “we are seeing relative stability in our average and median prices for the Calgary market.”
Now anyone with at least a grade 6 education would see right through this crap, no? Well here's the lead sentence from the Calgary Herald article on the release:
"Calgary’s housing market continued its summer slowdown in July, although prices appear stable, new figures show."
In Burnaby where building has at least 50% owners of Asian origin, empty condos for newer buildings are around 30%-35%. Older buildings of 15-20 years, around 20-25%. One condo for sale in an older building in Metrotown as the owners are working in China for past 2-3 years. Previous sale prices in that building in 2008 & 2009 were high $300k to $420k. They are asking $488k for a shabby 20-year-old condo for a big profit. Good luck to them.
fwiiw #24 in Cantonese is also pronounced as "yee sei" meaning "easy to die"
We are entering a period in history where massive amounts of wealth will be transferred from one segment of the population to another segment. Investments which appear to be ‘too risky’ for many people will turn out to be hugely successful for the few who dare to take that risk.
http://www.kitco.com/ind/Degraaf/images/aug022010…
Hi! Delurking for the first time. I’d like to re-visit Mclovin’s sample landlord. I can see how it makes sense for that landlord, so I can’t quite grasp why most think it’s a really bad idea. I have been a bear for several years, and have had my share of being the only one (and being proven wrong) saying prices will fall, in a social situation. What makes it worse for me is the people in the circles I walk in do not have mortgages, or if they do, it’s a conscious decision to use other people’s money at such low rates rather than a financial need that will lead to their downfall once interest rates rise or prices drop. Most of them would agree with Mclovin’s landlord. Here’s why. Assume : Purchase price = 600K Downpayment = 200K Mortgage,… Read more »
For how long has Google Maps been doing Real Estate listings?
"And it wasn’t one observation. I was there for a week and observed this every single night."
Perhaps the people in adjoining buildings had a more active social life than you.
Condo naming contest on in TO….any suggestions? I 've got dibs on 'Fools Paradise' and 'Sheeps Pasture'.
#123 SG, 4 in Cantonese is 'Sei' ( pronounced 'say), but don't forget that Cantonese is tonal and every word has several meanings depending on the pronunciation. The number 4 is 'dead' but it is also 'forever' and sometimes the swear word 'death' ( like fuck off and die)
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#24 , unknown ( because catonese is like Cockeny…a rhyming slang … yi sup sei…means nothing so I think the poster has it wrong.
#13 , well thats just stupid superstition and no one in their right mind sets their watch by the Gregorian calendar anymore….well at least since the 14th century.
Vanhemmeroids a no fun town they say….whys that? because the morons on the shitty council think they can schedule fun and now have decided what food you should eat? Look at North American cities and we find open markets free of government constraint. Vanshitholio is an sheep filled anal shithole compared to anywhere else on the continent.
http://www.nationalpost.com/news/street+food+succ…
BTW 'Vanshitholio' is now a Goggle search word. The English language has been enriched.
"4. The improving economy and strong immigration will strengthen the market in 2011."
With Harper intent on sabotaging the 2011 Census we may never know to what extent immigration is a factor.
@Raguz:
"It’s a cheap, ugly crap-house not worth more than 126K at its best, especialy taking into account all possible fundamentals and common sense."
Nonsense. What are the fundamentals that give you that number? Comps rent for 1.8 to 2 K. Do the math.
@ Stanislav
Aragon's had these two houses up for sale for about a year now. No price reductions yet, I wonder what their thinking?
http://www.realtor.ca/propertyDetails.aspx?proper…
and
Small developers who are heavily leveraged see the writing on the wall and have started to drop prices with the hope of blowing out remaining inventory. I am taking about complete projects. This is also true of some larger developers who are holding inventory. The small guys have to obtain approval from their lenders for price drops which obviously begins to raise concerns for the lenders. It is very early days in this correction. Later this year and early next I predict you will see a good number of complete and partially complete projects in foreclosure. Virtually nothing new is moving and hasn't been for months.
I think the BCREA has already telegraphed their spin on the numbers with their revised forecast for 2010.
1. Demand brought forward by (a) tightening of CMHC insurance qualifications, (b) anticipated rate increases, and (c) the introduction of the HST.
2. Low sales numbers are temporary and will rebound in 2011 with continued favourable mortgage rates.
3. Prices are firm. Any decline in prices will be small and temporary.
4. The improving economy and strong immigration will strengthen the market in 2011.
In other words, the usual spin for the sheeple.
@SomeGuy:
It's a cheap, ugly crap-house not worth more than 126K at its best, especialy taking into account all possible fundamentals and common sense.
"I don’t think any buildings are built with floors involving a “4″ anymore. 13 hasn’t been used in a long time…"
Not so at Nahanni in the Klahanie neighbourhood in Port Moody.
Opened exactly one year ago.
No 4, 13, 14, 24…
Catering to superstitious Asians and Europeans.
@oneangryslav2: I don't think any buildings are built with floors involving a "4" anymore. 13 hasn't been used in a long time. Apparently unlucky numbers affect value.
@VRENGD:
REOP is still a backbone of CRA interpretation bulletins. It is nota commonlaw concept, but the CRA's interpretation.
The challenge is that REOP represents something different for every industry, from RE to art to manufacturing.
@Devore:
Yes, It is called a "reasonable expectation of profit"
@Devore:
Yes, It is called a "reasonable expectation of profit"
@oneangryslav2: "My brother’s condo building–on Queen’s Quay–is built with the lowest door handles I’ve ever seen. That and the fact that floors 4, 13, 4, 24, were missing points to obvious clues as to the developer’s target market."
Okay, 4 is death to some Asians, 13 is unlucky to some Europeans, you listed 4 twice, and 24 I don't know. And I guess they're short. Who are we talking about here? Martians?