Whether due to high prices or HST, the sales numbers for new houses and condominiums in Vancouver has taken a tumble. Volume of new units sold is near record lows in the last month, but what does the news about next years BC HST referendum mean for our housing market?
This is happening at a time when house prices are starting to fall all across the province. Will we see buyers sitting on the sidelines and delaying the purchase of a new condo, house or townhome in the hopes of saving money on HST?
This could be one more small element that contributes to a collapsing housing bubble. Will it help to tip our market further over the edge or is there another rabbit in the hat? Negative interest rates? Home-buyer credit? Tax deductions? High paying government jobs for everyone? What could support the current high cost of housing in Vancouver?