TD: Houses 10% overpriced nationally

Somebody over at TD bank looked in their crystal ball and saw interest rates rising.

They say that a combination of factors including increasing supply, softening demand and the expectation of rising interest rates mean that home price across the nation are overvalued by about 10%.

It says markets such as Toronto, Vancouver, Montreal and Ottawa are likely more overvalued than markets in the Prairie and Atlantic regions, and will likely see more of an impact.

The national housing market and worries about a real estate bubble have been key concerns for policy-makers for several years.

Recent indicators have suggested the market may be headed for a soft landing instead of a bubble bursting, but concerns have persisted.

Full article here.

Sort by:   newest | oldest | most voted
UBC in crisis mode
Guest
UBC in crisis mode

In January, 2014, 117 detached sold in Van West, average $2.14 millions. This is the separate market which has nothing to do with local economy, income, interest rate, etc. ALL HAM.

More are coming to North Van, as it is cheaper there (< $2 million).

jesse
Member

“Recent indicators have suggested the market may be headed for a soft landing instead of a bubble bursting”

So what was the last 5 years for Vancouver condos, and pretty much everything in BC outside of the near-burbs of Vancouver? Chopped liver?

kabloona
Member
kabloona

If it doesn’t impact Tamara Taggart, it’s not important.

Who cares about Abbotsford….? Tamara doesn’t live there….

😉

Snake
Guest
Snake
Van Coffee
Guest
Van Coffee
I post here infrequently, but read the comments here daily. 10 years ago I was a HAM denier. Now I have little kids, and one of them is in a private pre-school in the west side and I have spent the last few years living on the west side. Unless you live over there or spend considerable time over there, I can see how people would still deny the existence of HAM. I was at an event recently for my daughter’s pre-school. Not all parents are HAM, don’t get me wrong, however it is probably close to 50%. I was speaking with one mother there. Here are the facts of her situation. Her spoken english wasn’t that bad – I actually complemented her on it. She owns a house around 33 & Arbutus (I didn’t ask her exact address as… Read more »
Son of Ponzi
Guest
Son of Ponzi

#5
I’m in a similar situation here in Richmond.
My wife is Chinese, too.
In my opinion, the boat has left, and the only way is to adjust or move.

Van Coffee
Guest
Van Coffee

SOP –
you think so?
The Mainlanders I know are mostly transient. They are here for the kids’ schooling, and then they pretty much leave. They don’t put down roots. Wouldn’t stopping new ones help to end the cycle?

VC

Egg Hunt
Guest
Egg Hunt

#5 Van Coffeee

I hear you. I live Van West, children goes to
schools in West side.

>strong independent lobby group

This unfortunately in City of Vancouver or B.C., I know are
R/E Developer supporting, therefore, welcoming immigration
and like bike lanes to make gated-community to pump up house prices,
no matter what if they pay tax or no-tax.

Snake
Guest
Snake

Vancouver home sales jump 30% in January from a year ago, board warns people to ‘price’ home right

http://business.financialpost.com/2014/02/04/vancouver-home-sales-january-2014/

VanRant
Member
VanRant

“Ottawa to give IRS information on Americans living in Canada.”

http://www.theglobeandmail.com/report-on-business/ottawa-to-give-irs-information-on-americans-in-canada/article16710461/

Will China be next?

Collie
Guest
Collie

Re Van Coffee.
This is Vancouver so the last thing people will listen to are facts.
Here is a great idea though from Mish:
http://globaleconomicanalysis.blogspot.ca/2014/02/barcelona-to-fine-owners-of-empty-homes.html

Son of Ponzi
Guest
Son of Ponzi

# 7
I agree, but while they are here the want the comforts of home, like Chinese food, mani and pedicures, and manservants.
Which all means more service type immigrants will come, and so on and so on.

Joe Mainlander
Guest
Joe Mainlander

@#1

117 sales out of 2532 in Metro Van in January. That’s 5%. Not influential.

You did not cite any source for your info on these being all HAM, by which I assume you mean foreign investors, not the 30% of Vancouverites who happen to be of east asian descent.

Lots of anecdotes, but when you add up the data, so far, it is insignificant.

born a Vancouverite
Guest
born a Vancouverite

@5 Van Coffee

I agree with all your comments as I too, was born here. I don’t know if there is a strong independent lobby group that will tackle some of these issues but if you start one, I will support you.

This parent at your preschool with the son at Shaughnessy – the only reason she is not sending her son to a private school is because he would not pass the English requirement test. That is why she is concerned about his English language ability. You should have asked her if BC medical premiums are subsidized or not due to perceived low income.

tedeastside
Member
tedeastside

Abbotsford´, God’s chosen people don’t live in Abbotsford…
God’s chosen people live in Vancouver, according to proud vancouverites

UBC in crisis
Guest
UBC in crisis

“Sales of detached properties in January 2014 reached 728” according to the RE Board. So 117 detached over 2 million is 16% of all detatched sales in January, 2014 from such a small area.

Even a few 10 million property sales will screw the average.

wcth
Guest
wcth

re: #8

“…and like bike lanes….”

It is a bit odd ot throw bike lanes in here. After all, HAM tend to view bikes negatively. In that culture they are symbols associated with poverty and get in the way of the big SUVs. It seems that if you believe the whole HAM narrative you would welcome bike lanes.

mac
Member
mac

Too late Van Coffee. A small group coming and going is one thing. Catering to the free healthcare and education needs of a billion people won’t end soon. And you can’t count on the government to stop it because they can charge an entrance fee to pay for their stupid pet projects be it Olympics, social housing, or whatever, left or right.

Australia now moves wealthy investor immigrant visa to four point three MILLION DOLLARS and the Chinese are lining up. And the government knows it’s the Chinese too. That’s why the investor visa is called either 188 or 888.

I’m just going to get a set of rags and start cleaning Beamers, Mercs and Jaquars. That’s my new business model. Buy a condo and start scrubbing.

mac
Member
mac

Going to get some bristle board n’ write up some signs

Clean = 清潔

More clean? = 更乾淨

My wife cleans too! = 我的妻子也清理

patriotz
Member
@8: “I am against this “economic immigration”.” Sorry if this sounds like a nitpick but officially an economic immigrant is someone not admitted as family class, refugee, or on other humanitarian grounds. That is skilled workers are offically economic immgrants (as they are in fact). What you are talking about is investor and business class immigrants. No political party is in favour of eliminating investor immigration. Not even the NDP, which on the other hand wants to give priority to family class. The Cons are experts at giving the impression that they are going to do something and then doing nothing. Remember the supposed crackdown on bringing in parents and grandparents? All political parties give high priority to winning over recent immigrants who still identify with the home country. I guess the question is whether restricting the immigration of rich… Read more »
tedeastside
Member
tedeastside

hams love small towns with cold rain and nothing to do like vancouver

does anyone know if ham parents want their kids to start their careers in vancouver…..as vancouver isn’t exactly known for it’s job opportunities

Yunak
Guest
Yunak

Differences and disaffection will grow, tensions will rise until the point when this idiotic experiment of artificially inhabiting Canada with Chinese and creating monster-society falls apart and escalate to socio-ethnic conflict. After all someone will ask “How come we didn’t see it coming?”.

jesse
Member
Jedi Master
Guest
Jedi Master
You are racist!!!!! Just say stop economic immigrant period (or letting people in the country because they have cash!!!!!! The word HAM should not be used (because you are targeting a group of people). I disagree with the economic immigrant program too. We need more working people, not rich people. I don’t care where them come from. It is not a factor to me. Van Coffee Says: February 5th, 2014 at 12:49 pm 5 I post here infrequently, but read the comments here daily. 10 years ago I was a HAM denier. Now I have little kids, and one of them is in a private pre-school in the west side and I have spent the last few years living on the west side. Unless you live over there or spend considerable time over there, I can see how people would… Read more »
Son of Ponzi
Guest
Son of Ponzi

Crusty Clark has hitched her economic agenda on China.
So, she’s not gonna piss off the rich Chinese.
The Minister for Multiculturalism is Chinese.
I wonder what the south Asians think about that.
Also, BC was the first non Chinese jurisdiction to issue “dim sum bonds” which were denominated in yuan.
the first issue was so successful, that they are contemplating more.
Sorry, folks, but the Pecking Duck has laid its eggs