you know what time it is, long it up!
–More OV condos available, problems with windows, floors and heat fixed soon!
–Church torn down to make more condos
–Plenty of choice for island buyers
–What can you afford?
–Vancouvers baby steps define our time
–Carney warns on global risk
–
So what are you seeing out there? Post your news links, thoughts and anecdotes here and have an excellent weekend!
@patriotz:
when he mentions the city wanting to avoid a rate increase, i think he means so as to not actually increase the % of property tax, just the amount taken in by inflating the nominal price valuation.
@Devore:
The city doesn't do property assessments, the BC Assessment Authority does. They have a statutory mandate to target market value for assessments. Property owners have the right to appeal, so there is also a practical reason to get it right, as the appeals cost them money.
Anyone who was a homeowner during previous downturns can tell you that when prices go down assessments go down too.
i like Coastal's comment below: "Does the media ever report that sales and prices in Mercedes and Jags are going thru the roof because of HAM so you poor saps will have to pay more for your Ford Escort or get out the walking shoes ? Two completely different markets they want to lump in to keep ReMax and LePage a happy advertiser." If so much HAM was out there, you would expect a big boost in not only real estate but also north american stocks, commercial real estate, business investments/mergers/acquisitions, etc. You would also expect to hear about big boosts in consumption such as expensive car purchases, fine dining, furniture shopping etc. But you don't hear much about these topics in the news and alot of fine dining places and furniture shops are closing down as we speak. Sounds… Read more »
@jesse:
to every multi-generational canadian and especially to first nations they are all foreign, but to our government they are better than the locals – the newcomers can still be bled.
“It remains a heavy weight on the banking system,” said Mark Zandi, the chief economist of Moody’s Analytics. “Housing prices are falling, and they are going to fall some more.”
As Lenders Hold Homes in Foreclosure, Sales Are Hurt
I guess it'll never happen here…..RTP
@ah
Awesome chart!
@patriotz: Indication that "foreign" ownership restrictions will have marginal effect.
After ten plus years of a perfectly synchronized Tango between what have become our two vital industries (commodities & RE),
http://i54.tinypic.com/23macm1.jpg
I wonder what happens when the lead partner abruptly leaves the dance floor?
@McLovin: The city isn't particularly concerned with how much your house is actually worth. You'll pay the same in taxes. It's in their interest to keep prices rising slightly, so they can keep rates the same while raising more money without an actual rate increase.
@AG Sage:
I believe you are looking a lot of google translated hanzi, unless you’ve been reading Japanese sites.(Kanji is the Japanese pronunciation, hanzi is the Mandarin pronunciation.)
@McLovin:
McLovin
Your anecdote, is in sync with reality, most properties in Van are at 2009 levels are slightly below.
Interesting note, my friend owns a loft on Seymour St and got his 2011 property tax notice. While I don't put any faith in assessed value it is showing flat over 3 years.
2009 $296,000
2010 $293,000
2011 $ 300,000
That certainly goes against what we have been reading in about the averages.
Does anyone know the restrictions on foreign ownership and CMHC insurance?
CMHC insurance is not available to offshore buyers, the most obvious reason being there's no effective way to go after them upon default.
Note I said "offshore". A resident buyer may be a foreign citizen, and an offshore buyer may be a Canadian citizen.
#166,
then put your money where your mouth is; put your shoe box in the market and buy back a few years later! talking is cheap!
I told you bafoons that the market would start to slow. And it has.
Next – it will slow more, and MOI will continue to rise. It will.
Then rates will tick up and prices will slip. And then we could be in for a hell of a ride – down.
McLosin, buckle up in your Ford Esprit, this could get bumpy.
xoxox
Romeo Jordan
@AG Sage: A realtor friend confirms this quote: "they can't believe how easy it is to get financing in Canada". I guess they heard that myth about having the strictest lending standards in the world and thought they had to bring cash. Now they've got it figured out. He also said they are bidding on up to a dozen properties at a time on the condition of financing. That way once they've put in all of the offers they might only be approved for 2 or 3 but they can sort out which 2 or 3 they really want and inform the other 10 that they were rejected on financing and not be held to their offer. It certainly makes the impression that the frenzy is in full force since they are bidding for so many properties at once. I'm… Read more »
@Curiosity: My sense (not scientific, just based on lurking on various boards and staring at a lot of google translated kanji) is that the mainlanders are no longer paying cash. When they first arrived, they never dreamed a Canadian bank would loan them money. So they were all cash, and that got the myth started. Now that they've figured out this stunning fact about Canadian banking, they are buying 7-8 homes on financing rather than 2 outright. But the myth lives on.
Like I said, just stringing anecdotes together.
@Keeping An Eye On The Pimps: Agreed, the latest article states there where 3779 sales to these wealthy foreigners in 2010! Wow, a lot right? With the amount the media keeps pumping the wealthy foreigner myth you'd think the market has been taken over. In reality, there were 74640 sales in 2010 so these investors driving the market account for a mere 5%. Clearly local buyers (95% of sales) are still in control of the market, however it would appear they are being controlled by fear if being priced out forever with this ridiculous propaganda. Let's take inventory: Buy before HST Buy before mortgage rules change (1) Buy before rates rise Buy before mortgage rules change (2) Buy before the only place not taken over by foreigners is Mission I wonder what's next? My hope is prices start to slide… Read more »
What the real estate ho's should be doing is splitting real estate into two camps and price quotes. Those over and those under $1 million. Does the media ever report that sales and prices in Mercedes and Jags are going thru the roof because of HAM so you poor saps will have to pay more for your Ford Escort or get out the walking shoes ? Two completely different markets they want to lump in to keep ReMax and LePage a happy advertiser. Believe me, I know someone who worked for one of the community newspapers and a few years ago an article was written about one of the larger car dealerships who had clearly screwed this guy on his car deal and refused to deal with him. The head car company dude phoned up and freaked at the top… Read more »
Michael Levy says whatever's popular to keep his face out there. He's full of shit and his predictions are rarely right. He's a monkey they roll out there in times of market gloom to pump his BS then flog his gold business. Just another friend of the NW crowd who will do anything to tilt real estate and the Liberal government in a positive light.
It's disgusting how people are so sucked into this bullshit but who said the masses are bright people to begin with ?
Levy is a pimping liar, or a buffoon, a fool, an idiot, an imbecile, a charlatan, a quack, and an ugly mutt to boot.
Mortgage debt has surpassed 1 trillion, and household income to debt to income is in the range of 149%.
See comment below with Levy's remarks. Don't know where Levy got his stats from. If it was true that rich foreigners are the only ones buying, then we would not have the following: 1) feds afraid of increasing the rates and causing a housing collapse. 2) big banks making loads of cash from mortgages written with the blessings from CHMC as a guarantor. in other words, there is a sustantial amount of people out there who require loans to purchase their house. hence, the new rule changes. 3) changes of CHMC rules to protect the locals from being in sustantial debt. Why change the rules if only rich foreigners are buying? They don't need CHMC because they pay cash only. The bottom line is that HAM probably only represents a small segment of the housing purchases. When a HAM investor… Read more »
"If I thought I could sell and get what this place is actually worth, I would do it in a second"
Poor deluded speculator. What it sells for is what it's worth.
Are we going to see people crying that the banks promised they wouldn't sell foreclosures for less than market value, like they did in Arizona? Anyone have a link to that hilarious video clip?
@Tim:
I dunno Tim, there's absolutely nothing happening in the real estate market right now so I'm inclined to let Rick and Ka-Ching have at it for a while.
The down arrow will take care of business if enough readers disagree.
no wonder you are pricedoutforever!
