Down is the new flat in Vancouver and Victoria

A ‘flat’ market sounds good right?

Not too up, not too down, but just right.

It means if you buy a condo now you won’t have to suffer the indignity of someone buying the unit upstairs from you for $100k less in the future.

So flat is comfortable and we’re starting to see that word a lot more these days.  This article uses it in the headline: Vancouver condo market stays flat.

So you might be surprised to read the following directly under that headline:

Although Vancouver has a reputation as one of the most expensive cities in North America for housing, condo prices stayed flat or even dropped last year, according to recently released assessment numbers.

That follows several years of the same pattern, which means overall condo prices are now seven to eight per cent lower in inflation-adjusted dollars than they were at the recent peak of the condo market in 2009, says one analyst.

Meanwhile in the capital city they’re using the same word: Flat forecast for Greater Victoria home prices.

And here’s what they say:

Although the number of homes sold for the past year rose by four per cent to 5,998 from 5,747 in 2012, the benchmark price for a single-family house slid by 3.2 per cent. That benchmark, representing a typical house, was $479,599 in December, down from $495,400 during the same month in 2012, the board said Thursday.

The benchmark price has dropped from three years ago when it was $515,500, the board said. And it’s lower than the $483,400 price recorded five years ago.

So here’s the cheat sheet:

Vancouver ‘flat’ = 7-8% drop over four years.

Victoria ‘flat’ = $35,901 drop over three years.

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recruit

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Son of Ponzi

Johnny Boy,
You should write a book.
Tips like this could make you a billionaire.

Johnny-boy

I heard something CRAZY today. My wife says her hair-dressor, who is trying to sell her apartment, was asked by the Realtor to consider INCREASING the price by 30K. The borrower will get a larger mortgage and then the seller pays back the buyer the $30 k on the side which the buyer will use for closing costs and to pay the mortgage for a year and a half. I would not have believed it if the source was not 100% sound.

Barb Rennie SS

To 2.79% 5 yr. NEVER AGAIN

“Asians like free. Hilarious and true. Stating a simple fact does not make one racist”

Caucasians like to bitch instead of working harder. Stating a simple fact does not make one racist”

Snake

The Trailer is used for selling fast food and beverage at Skytrain Granville Station. Busy location, good business, easy to operate.

1814 COMMERCIAL Drive http://univs.ca/property/1814-commercial-drive-vancouver-bc-v5n-4a5/

1836 Triumph Street http://www.robbiejohal.com/listing/greater-vancouver/grandview-ve/v4035815-1814-commercial-drive

Snake

Building is held in a trustee company which can be bought to save Property Purchase Tax of approximately $125,000.

http://www.billgooldrealty.com/listings/?listing=327#.Us-ZC_RDvEI

Son of Ponzi

Burnaby Bakery owned by Asians sells fake Organic bread.

Softy

“Um, it went no bid and plunged 20% within a year.”

And then what happened?

Average detached price went from $750,000 to $1,276073.

Boy, that sure was a disaster for those idiot home-owners.

http://www.rebgv.org/sites/default/files/REBGV%20Stats%20Package%2C%20December%202013.pdf

tedeastside

if you don’t declare Vancouver as your Lord and Savior, proud vancouverites will bite your head off in this town …..

do vancouverites go to church or do they worship the god of real-estate

RealityCheck

YVR:

How about I did this instead: sold my house for 600K last year. Kept it in cash until last Friday. Where I put it into a FoRex trading account and bet against the C$ at max allowable leverage (200x). Dollar falls 3¢ and I would have turned that 600K into $4.2 Million.

I personally know some guys who each made greater than $800,000 profit since last Friday.

Makes me sick….it could have been me .

Funky monkey

What about the townhouses for sale on Clark just north of king Ed. 569k I think for a townhouse that has semis idiling 30feet away for most of the day.
Suckers who buy these places

DaMann

$800k for a 1 bedroom on 4th? Even in this insane market that is INSANE. Bloody hell

kabloona

Well, West 4th *is* a better neighbourhood, after all…..

😀

vangrl

how about $806,000 for an 860s.f 1 bedroom condo on a busy street..

http://www.ecorealtyinc.ca/listing?id=260712926

kabloona

#121 $418k for a 753 square foot condo……I’m laughing already.

😉

What a couple of maroons….

paulb

New Listings 216
Price Changes 42
Sold Listings 73
TI:11827

http://www.paulboenisch.com

Snake
Snake

WANTED: Asian man in his 30s, 5’4” tall, with a slender build and short black hair.

http://globalnews.ca/news/1065721/vancouver-police-issue-warning-after-woman-sexually-assaulted-in-downtown-vancouver/

Snake
Snake
Snake
Snake

50 mm of rain to fall in Vancouver on Friday (this guy does a funny weather report)

http://www.youtube.com/watch?v=9YK9KucLHio#t=0

jesse

“Um, it went no bid and plunged 20% within a year”

Not quite but… say for condos there are now 6 years of “flat” prices. In other words a drop of “just” 10% wipes a big part of levered equity out for 6 years of buyers. In 2008 it was barely 2 years.

The impact of elevated prices integrates with every year, with a very slow decay due to amortization. No wonder Flaherty wants a “soft landing”. He’s pot committed.

YVR

@129 “Well, just look at what happened to real estate after the 2008-2009 market crash.”

Um, it went no bid and plunged 20% within a year. How much equity will you have after that?