Is Alberta now a buying opportunity?

The oil market has had an effect on house prices in Alberta.  Now with prices lower than they were a year ago does Alberta pose a good buying opportunity for real estate investors?

Don Pittis over at CBC says maybe not yet.

According to long time investment adviser and real estate guru Hilliard MacBeth, the bargain hunting in Alberta has already started.

“I’ve heard of lots of people who say, ‘The prices are down. I’m going to jump in,'” said MacBeth, Edmonton-based author of When the Bubble Bursts.

In fact, some of the people he advises have already identified a buying opportunity and jumped into the market, at least on behalf of their kids, who they are helping out in the role of bank of mom and dad.

“I would have counselled them against it,” said MacBeth by phone as he put on his ski boots in the Lake Louise parking lot. “I would have said, ‘Wait,’ because we’re early days yet.”

It’s more exciting to buy when prices are rising, so maybe try the Fraser Valley instead, where prices are up 27% over a year ago and they don’t have high paying oil jobs to lose.

“One of the things that was supporting Alberta home prices was the fact that our incomes were 40 to 50 per cent higher than the rest of Canada, and that’s changing very rapidly,” said MacBeth.

But property owners and prospective buyers elsewhere would be wise to watch and see if, indeed, the plunge is nipped in the bud by bargain hunters or whether prices continue to fall for a while yet.

Read the full article here.

Sort by:   newest | oldest | most voted
MLS watch
Guest
MLS watch

I would like to deeply thank Sooke (spelling?) for the information he posted about the Sunshine Coast for two years. It was very accurate and allowed me to make a decision that I enjoy everyday. Is the forum still accessible?

Shut It Down Already
Guest
Shut It Down Already

Skook?

The forum is still there, but it’s crickets these days. Nobody does stats and graphs anymore, especially here – it’s enthusiastic China-bashing all the way now. Admin prefers it this way, as it generates more adclick revenues.

Zzzzzz
Guest
Zzzzzz

Is this the most outrageous street brawl? Incredible moment six FORKLIFT TRUCKS battle in Chinese town in bid to win clients

Reports say that the two truck service companies were in intense competition for clients.

Zzzzzz
Guest
Zzzzzz
IloveCharts
Guest
IloveCharts

BC vacation properties in hot-spots for Albertans is one way to play this.

bullwhip29
Guest
bullwhip29

Chinese clone of the popular California-based In-N-Out Burger to open in downtown Vancouver
http://vancouversun.com/business/local-business/in-n-out-doppelganger-caliburger-opening-in-vancouver

>>>only in vancouver would such meaningless fluff warrant full court press by the msm

8888888
Guest
8888888

I wonder what kind of meat they use in their burgers.

southseacompany
Member
southseacompany

“Housing markets hot, but talk of a bubble getting louder”, Radio Canada International with audio.”

http://www.rcinet.ca/en/2016/04/19/housing-markets-hot-but-talk-of-a-bubble-getting-louder/

“According to Hilliard MacBeth, however, this frenzy of buying is not going to last.”

““The original premise of the bubble is the fact that housing prices have gone up two-and-a-half to three times, pretty much all across Canada, the outrageous levels of Vancouver are a little bit more stretched, but really not that much different from Regina, Saskatchewan, for example, in terms of the pace of growth in the house prices, but wages have not!””

“MacBeth explains, “because housing is bought out of wages and salaries there’s a point which is reached eventually where the household budget just can’t stretch anymore and we’re at that point in Alberta and Saskatchewan, and we will be at that point across Canada very soon.””

Best place on meth
Guest
Best place on meth

Housing is bought out of wages and salaries?

Not in Vancouver, here it’s bought with money wired by thousands of smurfs.

Until that dies down, prices will keep going up.

southseacompany
Member
southseacompany

“Negative Mortgage Rates Are Real: Will Canadians Get Paid To Buy A House?”, Huffington Post

http://www.huffingtonpost.ca/2016/04/18/negative-mortgage-rates_n_9722138.html

“You may have heard about certain countries, mainly in Europe, whose central banks have dropped their interest rates to below zero. But what about mortgage rates that are below zero?”

“Those are now a reality too, at least for some borrowers in Denmark, the Netherlands and a handful of other countries. Yes, there are homeowners out there who are being paid to hold a mortgage.”

patriotz
Member

It’s my understanding that payments on the balances of these mortgages are based on “interest” which is based on the central bank rate plus an additional fee called a “premium” or “service fee” (no I’m not talking about the principal repayment).

The actual interest rate by definition is what the borrower pays the lender, regardless of the label.

bullwhip29
Guest
bullwhip29
Hyper-mega-Bull
Member
Hyper-mega-Bull

China In ‘Dangerous Love’ Foreign Spy Warning

Female Chinese government workers are told not to get close to foreigners who might be using them to obtain state secrets.

http://news.sky.com/story/1681296/china-in-dangerous-love-foreign-spy-warning

patriotz
Member
Best place on meth
Guest
Best place on meth

If shi rong, he don’t want to be right.

Hyper-mega-Bull
Member
Hyper-mega-Bull
Combat roach
Guest
Combat roach

“Houses in Squamish have been converted to de facto rooming houses because people can’t afford to live anywhere else, she says.”

Standard crisis, like refugee camps.

“Individuals are living from month to month, not sure whether they’re going to have enough to keep the roof over their head.”

Great job on sucking up to the worst scum and help them to launder and park money while viciously letting Canadians and their families down.

Best place on meth
Guest
Best place on meth

“Families First!”

wwwww
Guest
wwwww

“HAMilies happy ok number 1!!!”

Madashell
Guest
Madashell

Foreclosed luxury flat at Hong Kong’s 39 Conduit Road offered for HK$37m less than price paid in 2014
The owners of a super-luxury Hong Kong flat that was recently foreclosed had used another flat on the same floor to use as collateral six times to raise money for more investments even as it stopped paying instalment on the first one.
“These are only the tip of the iceberg. Many more such default cases will emerge as property prices fall,” said Tong.
SCMPSocialNewsfeed
http://www.scmp.com/property/hong-kong-china/article/1936753/how-many-times-can-one-flat-be-used-collateral-raise-money?utm_source=&utm_medium=&utm_campaign=SCMPSocialNewsfeed

VanRant
Member
VanRant

Coming soon to a neighborhood near you, very soon.
When bubble pops, info’s about such madness will surface.

bestplaceonearth
Guest
bestplaceonearth

yep, heard the same song 10 years ago, when you had not priced out yet.

Funkeymonkey
Member
Funkeymonkey

I was 24 ten years ago ,priced out then to. I still owned a house not in Vancouver. Sold house in 2012, that market has not gone up since then.

Combat roach
Guest
Combat roach

In China We Trust!

(This should be the BC national slogan embroidered in BC flag)

VanRant
Member
VanRant

The unprecedented boom in China’s $3 trillion corporate bond market is starting to unravel.
Spooked by a fresh wave of defaults at state-owned enterprises, investors in China’s yuan-denominated company notes have driven up yields for nine of the past 10 days and triggered the biggest selloff in onshore junk debt since 2014. Local issuers have canceled 61.9 billion yuan ($9.6 billion) of bond sales in April alone, and Standard & Poor’s is cutting its assessment of Chinese firms at a pace unseen since 2003.
http://www.bloomberg.com/news/articles/2016-04-18/it-s-all-suddenly-going-wrong-in-china-s-3-trillion-bond-market

Sounds like a massive crash is coming. Bend over and kiss your ass goodbye Vancouver.

yoyo
Guest
yoyo

I wonder if Christy will jump off her ass and make a GIANT LEAP FORWARD by suddenly rushing to their aid with taxpayer’s money when it all craters here. I even know what to call it…..SOCIAL CREDIT!

Cat in the hat
Guest
Cat in the hat

VanRant, this means more and faster dirty money is coming to Vancouver RE. We had a massive crash in 2008 too, do you still remember what comes of it?

Hyper-mega-Bull
Member
Hyper-mega-Bull

i posted this in the last thread but i’m posting it again because i think it’s important. it hints at the potential ugliness we all know is possible but don’t want to say out loud.

Molotov cocktail may have caused Richmond apartment fire

RCMP probing cause of No. 3 Road blaze on Sunday night as residents claim it was second incident in a week

Residents of the apartment claim this is the second time in a week that the building has been targeted, adding that a smoke bomb was let off and offensive graffiti was found.

http://www.richmond-news.com/news/molotov-cocktail-may-have-caused-richmond-apartment-fire-1.2233660

Combat roach
Guest
Combat roach

I think it is local fight over free parking space or discount coupons stolen from mailboxes?

Hyper-mega-Bull
Member
Hyper-mega-Bull

raided community garden?

8888888
Guest
8888888

What are you alleging happened.

Hyper-mega-Bull
Member
Hyper-mega-Bull

it could be a racially motivated attack.

there is nothing in the article that specifically points to this, but after reading it, that’s what i was left thinking.

wwwww
Guest
wwwww

on the one hand, potential hate crimes are often hyped up. On the other hand Richmond RCMP has hushed up past incidents.

Personally I’m for hushing these things up otherwise you risk escalations and setting off the powder keg.

YLTNboomerang
Member

Publish these like crazy, make sure foreign money knows that while Krusty loves her comrades the local populace doesn’t. Let’s turn this into what the Welsh did to scare of the wealthy brits buying up the countryside:

http://news.bbc.co.uk/2/hi/uk_news/wales/north_west/8408447.stm

YLTNboomerang
Member
Shut It Down Already
Guest
Shut It Down Already
Towlie
Guest
Towlie

Yea, hate against dirty corrupt money. Burn it to the grounf

Shut It Down Already
Guest
Shut It Down Already

“Personally I’m for hushing these things up”

No. An example should be made of the perpetrators. This is not acceptable beahivor, and they should be charged with attempted murder at the very least.

wwwww
Guest
wwwww

Obviously they are going to be prosecuted. This isn’t China after all. But do you want the newspaper to report that racists are attacking Chinese (assuming that’s what’s happening and we have absolutely no reason to assume it is)?

It’s likely to give others ideas. Look at that yltnboomergang guy. He’s already promoting a campaign of violence and terror to scare HAM.

Shut It Down Already
Guest
Shut It Down Already

What they’re prosecuted *with* makes a difference. I somehow doubt they’ll be facing any attempted murder charges let alone one per occupant.

Would you want this hushed up of your assumed roles were reversed? Thought not.

Hyper-mega-Bull
Member
Hyper-mega-Bull

>I somehow doubt they’ll be facing any attempted murder charges let alone one per occupant.

is that because the an attempted murder charge per occupant doesn’t make sense given the definition of attempted murder and how law is practiced in canada?

YLTNboomerang
Member

The link was regarding single family homes in Wales, I don’t condone burning down condos as innocents will be impacted. I will turn a blind eye to folks burning down unoccupied West side homes owned by comrades and totally support keying luxury cars. In fact, I have already let the air out of more than a dozen tires of super luxury vehicles this year (ferraris don’t have spare tires). I’d slash the tires but that would get police interest, much easier to remove the valve cap, insert a small rock and half screw the valve cap back on thus slowly letting the air out (I do this while tying my shoe beside the car). If they are parked in a handicapped stall I do this to all four tires BTW.

Towlie
Guest
Towlie

Hell yea! If the pubic is getting violent against it, politicians will act as they want the public vote. Sledge hammer all the Lambos too

paulb
Member

New
341
Sold
241
TI:8509

http://www.paulboenisch.com

southseacompany
Member
southseacompany

“Canada’s Hottest Housing Markets Driven By ‘FOMO’ (Read: Panic Buying)”, Huffington Post

http://www.huffingtonpost.ca/2016/04/19/canada-housing-fomo-panic_n_9732022.html

“Many would-be homebuyers in Canada’s hottest urban markets are rushing in to buy homes without knowing whether their finances can handle it, a new survey suggests.”

“Nearly one in five respondents in the survey from TD Canada Trust showed signs of “FOMO,” or “fear of missing out” on the large price gains seen particularly in Greater Vancouver and Greater Toronto.”

“Twenty per cent said they were worried they rushed the buying process in order to secure a home, while 13 per cent said they rushed out of fear they would get priced out of the market.”

“Those fears could be creating a feedback loop for house prices, with home buyers rushing in ahead of further price hikes, thus putting more demand on the market and creating more upward price pressure.”

Shut It Down Already
Guest
Shut It Down Already

I thought it was driven by evil foreigners, not greedy emotional locals?

8888888
Guest
8888888

Locals ,foreigners same thing,Canadian citizenship is just a myth.

Hyper-mega-Bull
Member
Hyper-mega-Bull

very true.

today’s foreign buyer is tomorrows permanent resident, student visa holder, super visa holder, successful family reunification applicant.

crabman
Guest
crabman

You’ve been trolling here long enough to know it’s both.

Unchecked foreign buying has been going on for so long that the locals are now panic buying.

Shut It Down Already
Guest
Shut It Down Already

Locals are buying of their own free will. They’re greedy, think real estate always goes up, and are financially illiterate to the point that they think cutting TFSA contributions in half was a grand idea. They’ll have nobody to blame – especially not foreigners – but themselves when the music stops.

Ulsterman
Member

No, many locals are buying in a panic because they see a totally dysfunctional housing market that is rising from all-time peaks a further 15-30% annually. I’d say most are buying a city or two further out than hey planned or desired because they fear never being able to raise their families in a house/townhouse rather than some speculative greed. Most people are not sophisticated enough to be speculators.

Zero Down Forty
Guest
Zero Down Forty

Anyone who buys thinking the price will rise is a speculator. Not sophisticated – but still a speculator. Sophisticated speculators wouldn’t invest in this market. Too many unsophisticated speculators is the problem.

p123
Guest
p123

I’ve always been saying if you watch Paul’s daily numbers you’ll see an increase after the interest rate cuts. I thought housing would finally slow down before the interest rates but that’s changed everything.

Ulsterman
Member

My report from the trenches of real estate warfare in the Lower Mainland. I was at a realtor’s house today for dinner and over the course of the evening he lost a bidding war for a house in PoCo. List 800k, they topped out and 840, sold for 900. Last week a Pitt Meadows home was listed for 599. They “won” the bid with a 735 offer. The madness continues unabated.

Best place on meth
Guest
Best place on meth

We’ve become a city of refugees, fleeing the city, persecuted by economic warfare committed against us by china’s criminal class.

Even worse, our leaders have sided with the enemy.

1234
Guest
1234

House Prices: London’s super-rich are now renting to avoid stamp duty and taxes

London’s super-rich are increasingly turning to renting in order to avoid paying stamp duty on expensive purchases, a new report shows.
The number of letting deals on properties worth more than £10m increased by a third in the year to March 2016, according to figures by estate agent Knight Frank.
Sales of homes worth over £10m fell 33 per cent in the same period of time, to 138 in the year to March, down from 206 in the year to December 2015.

http://www.independent.co.uk/news/business/news/house-prices-london-s-super-rich-are-now-renting-to-avoid-stamp-duty-and-taxes-a6989171.html

I think a segment of rich foreigners are making headline grabbing purchases, often in strategic neighbourhoods, which then pulls in local sheep, driven by fear and rumour, not to mention cheap money. Meanwhile renters are in increasingly good company…..see above. Do they know something?

southseacompany
Member
southseacompany

Vancouver makes another list:

“What’s the world’s loneliest city?”< The Guardian UK

http://www.theguardian.com/cities/2016/apr/07/loneliest-city-in-world

"Or consider idyllic-looking Vancouver, on the shores of the Pacific Ocean, which struggles not only with affordability (it was recently crowned the most expensive city in North America), but also with friendliness. "

"The Vancouver Foundation thinktank asked community leaders and charities to identify the biggest issues facing Vancouverites and were told it wasn’t homelessness or poverty; it was isolation. Of 4,000 people from 80-odd ethnic groups who were polled, one third of respondents found it hard to make friends"

bestplaceonearth
Guest
bestplaceonearth

hard to make friends? why don’t they make some friends? there people are probably the ones that hang out at vci.

Combat roach
Guest
Combat roach

You talk a little but stupid. Keep going…

space889
Member
space889

Well, it’s hard to make friends when you are being called locust, scums, etc whenever you tried to venture out of your little group to make new friends and learn local cultures, or simply being down as the immigrant who should bend over backwards to prove s/he is worthy of Canada.

boom
Guest
boom

Locusts are robotic people. They have no other friend other than money. Sad.

Hyper-mega-Bull
Member
Hyper-mega-Bull

Richmond jockeys for greenbacks, renminbi in tourist race

Low dollar and more Chinese visitors foster growth for Tourism Richmond

http://www.richmond-news.com/news/weekly-feature/richmond-jockeys-for-greenbacks-renminbi-in-tourist-race-1.2232726

today’s tourists are tomorrow’s foreign buyers, are the next day’s citizens

Best place on meth
Guest
Best place on meth

“Shopping, Chinese restaurants, Steveston and the River Rock casino are among the most coveted tourist stops in Richmond, according to Tourism Richmond CEO Tracy Lakeman. ”

Wow, such amazing things to see and do in Richmond!

Hyper-mega-Bull
Member
Hyper-mega-Bull

i think we spend too much time on this blog pointing out the negative impact of HAM. there is a lot to appreciate also. we are getting an influx of a 5,000 year old culture. that’s nothing to sneeze at!

in that spirit i would like to post this chinese poem. it’s beuty can be appreciated by anyone, even if they don’t understand chinese. please listen.

https://www.youtube.com/watch?v=vExjnn_3ep4

patriotz
Member

“we are getting an influx of a 5,000 year old culture”

The 5000 year old culture is what we had been getting since the 1870’s – hard working people who came to make an honest living, often in the face of discrimination.

The culture we’re getting today is the legacy of the guy who tried to get rid of the 5000 year old culture, and his successors.

Combat roach
Guest
Combat roach

Krusty and gang like the guy and apparently his Great Leap Forward. That should be sufficient to transform BC and promote contemporary Chinese culture.

HAMster
Guest
HAMster

A guy I know (just a cubicle wage slave) went $70K over the already inflated asking for a townhouse in South Surrey. He had a dirt cheap rental nice house in the same area and gave that up because his WIFE (guess what nationality) wanted to buy (she also wants a BMW). Another guy advises when you write your offer put in there that you will add $5K to whatever the highest offer is. So whatever the highest offer is you will best it by 5 grand. LOL what stupidity. This is gonna be a disaster.

space889
Member
space889

I thought wives of all nationality want to nest? But that changed in the last few years to only select few nationalities? Care to enlighten us?

And I guess your wife is ok with you being a cheap ass and not willing to shell out some $$$ if she wants a place of her own? I guess that’s not part of the wedding vows?

Nom Nom Nom
Guest
Nom Nom Nom
8888888
Guest
8888888

What ‘s to stop these investors from doing the same thing in the rest of the market ,single family, townhomes ,condos. I don;t think they’re are any rules to stop this from happening.

Best place on meth
Guest
Best place on meth

The laundromat is going to need more and bigger machines to handle the influx.

bullwhip29
Guest
bullwhip29

exactly

bullwhip29
Guest
bullwhip29

these older commercial (vs strata units) apt blocks are easy pickings right now. expect to see this activity in areas like chinatown, main st, kits, false creek etc. forget about tear down single family homes, these folks have moved on to higher volume deals. the big losers (relatively speaking) in all this are owners of recently built strata units, where there is no untapped value to unlock and further upside is limited to performance of the general market in that catagory.

Combat roach
Guest
Combat roach

“The Post managed one follow-up question, asking Gao if he intended to develop the site. “Yes, this is a development site, it’s for development,” said Wong, after a nod from Gao.”

These guys must be watching movies, channeling Vito Corleone and his consigliere Tom Hagen. Vancouverites should be proud what kind of “world class business elite” is operating here and how future looks promising with this kind of players around.

sox
Guest
sox

“Vito Corleone and his consigliere Tom Hagen.” …. Not even close!

In China, real estate investors / developers control the security chiefs, mayors and have powerful friends.
http://www.scmp.com/news/china/policies-politics/article/1936740/former-security-boss-north-china-province-took-down

space889
Member
space889

What’s the bet this little plot of prime RE will be put under the hammer and sold to RE developers. Notice that the assessment value went up to $86M while VSB can collect at best $2M/yr in rents.

http://www.cbc.ca/news/canada/british-columbia/vancouver-school-board-launches-public-consultation-on-future-of-kingsgate-mall-1.3540992

bullwhip29
Guest
bullwhip29

how much do you want to bet that the VSB gets “shadow flipped”?

patriotz
Member

According to the article, VSB can use rental revenue against operating costs but if it sold the property it could only use the proceeds for capital projects. And operating costs are today’s problem.

Yield on assessed value doesn’t look too good but compare that to what VSB would pay to borrow and consider VSB’s income isn’t taxable and it doesn’t look that bad.

VanRant
Member
VanRant

Today’s News “China tests ICBM capable of striking US within half an hour”
Still want to call China our Friends and let many of the corrupt officials live Vancouver?

Nom Nom Nom
Guest
Nom Nom Nom

Human Shields?

Combat roach
Guest
Combat roach

Not really, officials would like them executed anyway because they stole more than they were allowed to.

space889
Member
space889

So US doesn’t have the ability to nuke every city with over 100K population in Canada within 30mins and that’s why they are our BFF?

Madashell
Guest
Madashell

Hey space, China is the same government that Canada and the free world fought against in the Korean war and still under the totalitarianism communist leadership. Communist still consider the free world as their enemies and plans to convert all countries to Communism or be destory.

Best place on meth
Guest
Best place on meth

The US should have nuked China in the 50’s, it was a huge mistake not to.

Madashell
Guest
Madashell

Round up all Chinese government officials and families that are living in Canada and charge them all with treason and threats against Canada and the rest of the free world. Revoke all their Canadian citizenship, deport them back to China and have a fire sale on Ferries and Lambos.

bullwhip29
Guest
bullwhip29

whatever it takes to juice the local economy
http://vancouversun.com/gallery/photos-vancouvers-420-celebration-at-sunset-beach

>>>surely the lawyers representing all the precious homeowners (and alpha moms) in the vicinity will be having a field day with this. best of all, we all get to pitch in with the cleanup costs and other medical expenses that will surely be added to the tab as the night progresses. effin retards…

bullwhip29
Guest
bullwhip29

Vancouver real estate firm owner stepping aside during investigations
http://www.metronews.ca/news/vancouver/2016/04/20/new-coast-realty-owner-stepping-aside-during-investigations.html

>>>so change front man, let dust settle, perhaps setup a new co. if need be (ie. nu stream, metro edge etc), continue on business as usual…

bullwhip29
Guest
bullwhip29

Man charged in slaying not a donor: B.C. Liberal Party
http://www.theprovince.com/news/charged+slaying+donor+liberal+party/11865938/story.html

“There is privacy around our donors, but the relationship that this Li Zhao, our donor, has to our party, has been confirmed by the event organizer and we have been able to trace him back to an identity that is not consistent to the Li Zhao murder suspect.”

>>>apparently it is not so difficult to get to the bottom of things when it’s in their best interests to do so…lol

http://www.theprovince.com/news/cms/binary/11865939.jpg

wpDiscuz