Much has been made about the huge number of condo towers under construction in Toronto, but here in much tinier Vancouver we’re not doing so bad.
There are currently 16 towers in progress and 67 more in the works.
With population growth and prices on the retreat will there be enough buyers for all these new units or are we over-saturating the condo market?
Cameron Muir says don’t worry:
“Prices have been pretty flat since 2009,” Muir said. “There’s ample supply in the market place, but we are seeing prices at a steady pace.”
The fact more condos than single-detached homes are being built in Greater Vancouver is nothing new, said Muir, as condo starts have consistently made up about 75 per cent of all housing starts in the last several years. “It’s a function of land supply.”
Consumer demand during the last several months is trending on a 10 to 15 year average, he added.
One indicator, says Muir, of the demand-and-supply balance in the marketplace is the sales-to-new-listings ratio.
In Vancouver last month, the ratio, at 15.3 per cent, inched closer to a buyer’s market – but sits within the balanced range of between 15 to 20 per cent.
There hasn’t been a sustained buyer’s market since the recession hit, between late 2008 to early 2009.
..And of course it’s starting to smell like 08/09 again with the Eurocrisis and global economic sluggishness, but is it different this time?
Here’s one thing that’s different: Out in Burnaby yet another condo presale had a lineup, but what a waste of time for the participants according to VMD:
re: polygon’s “MODA” presale in Burnaby that opened today, with some people camping since Monday…
sold today: 138
total units: 249
Wow. Can you imagine waiting in line for a week for something that sells only 55% of inventory?