Just like London, Stockholm & New York

So are we ‘world class’ yet?

Despite not making it onto lists of the worlds most economically powerful cities, Vancouver is finally being compared to London, Stockholm & New York and we come out on top!

Swiss bank UBS has named Vancouver the city with the worlds riskiest housing bubble:

UBS said Vancouver prices were unaffected by the financial crisis in 2008 and continue to rise despite weakening commodity prices.

“Over the last two years, the housing market has gone into overdrive due to strong demand for local properties among foreign investors and a loose monetary policy,” the report said.

“Currently, house prices in Vancouver seem clearly out of step with economic fundamentals, and are in bubble risk territory.”

Hot on the heels of Vancouver are London and the Swedish capital, Stockholm. The report stated that, with the exception of Milan, low interest rates in the euro zone have pushed all the European cities reviewed into bubble territory.

Read the full article over at CNBC.

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Boombust
Guest
Boombust

Interesting to me how people “on the outside looking in” are able to “get it”.

Boombust
Guest
Boombust

…even though this article is now outdated; no mention of slowing sales and declining prices.

Royce McCutcheon
Member
Royce McCutcheon

Yuck. I’m careful sometimes with my discussion of real estate in real life. But I have a hard time not taking the bait when someone makes a comparison of Vancouver to NYC or Paris or the Bay area.

It may be that prices never will decline here. I have no problem admitting that I have been wrong for a long while. But I can promise that even a cursory glance at rents and incomes makes it plain that Vancouver ≠ NYC, etc. In my experience, the people who make these comparisons have rarely been to the places they’re mentioning – and have certainly never had any exposure to people working in these places.

I honestly think that even those who are extremely bullish on Vancouver real estate should be inclined to point this out. It’s insane.

UBC in Crisis Mode
Guest
UBC in Crisis Mode

Right on!
A small city with its property price pumped up by foreign money cannot be compared to any real world class cities.

Zero Down Forty
Guest
Zero Down Forty

London, Paris? Just look at this national comparison. Home prices doubling to tripling in ALL 20 major Canadian cities: 2001-2011.
http://www.torontocondobubble.com/p/canadas-housing-bubble.html

Note that while Van prices rose 165%, other cities rose more %-wise; Winnipeg at 175%, Saskatoon at 200% ( that’s triple).

You think Van is unique? The world is full of cheap money asset bubbles.

Royce McCutcheon
Member
Royce McCutcheon

I love(d) this place, but I definitely don’t think Vancouver is unique. At least not in the realm of these asset bubbles. Well, maybe the magnitude here is more ridiculous than the rest of the country. But it’s definitely clear that some of the same issues are at play.

I think Vancouver is a moderately attractive girl, who is perhaps beloved by the people who’ve known her for a long time and/ or are suited to her specific peculiarities. But I think she now has a confused vanity though, believing that massive interest today is because she is a super-model while failing to see that the world is starved for anything remotely attractive or that her parents have decided to rig a beauty paegent for her.

(Feel free to flip the sex on this as needed for personal taste!)

HAMster
Guest
HAMster

Vancouver is a 3 dressed up as a 9.

Bag it and tag it
Member
Bag it and tag it

She married a rich chinese guy she didn’t love and now regrets it…

Billybonger
Guest
Billybonger

Oracle are you now changing your month end (updated to year end) prediction for 7,000 listings?

You seem to be flip flopping on this.

Change your opinions on the fly. Is that Trump University 201? Advanced training courses for the especially gifted? Did you get a scholarship to attend?

You are all over the place. Prices below Oct 15 and you buy another house. I call BULLSHIT.

Combat roach
Guest
Combat roach

Is this asholle a famous “fixer” who advised prominent scumbags from China how to settle here and introduced them to the local “jet set”?

http://vancouversun.com/business/real-estate/prominent-immigration-consultant-accused-of-fraud-by-bcsc

CanNeverThinkOfAGoodName
Member
CanNeverThinkOfAGoodName

Isn’t this the second immigration consultant found out to be crooked? Something is tickling my memory but I can’t catch it.

Billybonger
Guest
Billybonger

Tide is going out, will expose a lot of crud for what it is.

Just wait for the great unwashed to realize the jig is up. Oracle will claim he never saw it coming.

It’s the way it always is.

Madashell
Guest
Madashell

Way to go Vancouver, we have made it top of another list. This time, its “world’s biggest housing bubble” list by UBS.
http://www.zerohedge.com/news/2016-09-27/global-housing-bubble-biggest-these-six-cities
We have beat out the likes of London, HK etc and we have the likes of Krusty, Justin and Poloz to thank.

Royce McCutcheon
Member
Royce McCutcheon

Not excusing those you name for one second, but with nearly a decade at the helm (compared to less than 1 year for Trudeau), your list should include Harper and Flaherty (RIP).

Zero Down Forty
Guest
Zero Down Forty

Don’t forget this bubble goes all the way back to 2001 when Chretien was in power.

2000-2001: BoC ( and other banks) lowered rates from around 8% to 1% in the wake of the dot com bubble burst and the 911 attacks.

2003: CMHC reduced mortgage insurance premiums by 15 percent and eliminated the homeowner price ceilings.

No one’s hands are clean.

david
Guest
david

The hands of the Canadian taxpayer have been scrubbed so clean you can see the bone.

And yet they keep scrubbing us…

patriotz
Member

But I thought Vancouver was called the “city of millionaires” and average household net worth in Canada is at an all time high?

Can you see who the real culprits are?

Best place on meth
Guest
Best place on meth

The real culprits?

Fucking chinamen laundering money here.

Shut It Down Already
Guest
Shut It Down Already

Stats say otherwise, racist.

Best place on meth
Guest
Best place on meth

Nobody cares what you think, traitor.

Boombust
Guest
Boombust

And, it took this long to ratchet the prices up to where they are now; cheap interest rates and other manipulation of the area RE market. It’s all over now, though. Market pealed ;last Spring and now there are no more bullets.

With the cheapest borrowing costs in history, people did just that. They borrowed their brains out.

Royce McCutcheon
Member
Royce McCutcheon

I would like for you to be right, but until prices fall a lot further, MOI builds, and I can actually sense panic, I’m not going to bite on calling a top.

I’ve seen too much economic gymnastics and pandering on behalf of real estate to be anything but cautious.

Royce McCutcheon
Member
Royce McCutcheon

Yes – agreed. The rot does go that far back.

Boombust
Guest
Boombust

They are (were) the two biggest bubble blowers…

david
Guest
david

When everyone cheers on criminal activity, and even participates with a little home-grown insanity (weed pun), it’s amazing what you can accomplish. For a while.

Madashell
Guest
Madashell

David Eby: 32 properties-26 owned by housewives, 5 by students. Total value $107.7 million.

Combat roach
Guest
Combat roach

It is about a time for the new TV show, Chinese Housewives of Vancouver or Astronauts Dinasty.

I\'m With Stupid V
Guest
I\'m With Stupid V

Isn’t there some tax fraud hotline? Eby should call.

Billybonger
Guest
Billybonger

I wonder if Oracle is one of those housewives?

YVR
Guest
YVR

She is. But she lives in the slums of Surrey in a sawdust house.

Slava
Guest
Slava

Oracle is the indo-canadian wife of an indo-canadian (Sikh) house builder.
They need this Mainland Un-taxed Chinese Money to keep coming as they are the one’s building these poorly built Chinese Kitchen McMansions, as well as driving the dump trucks for all the gravel that is needed.

Shut It Down Already
Guest
Shut It Down Already

Pathetic,

Slava
Guest
Slava

Yes you are. Thanks for clarifying:)

Best place on meth
Guest
Best place on meth

“Real Sawdust Housewives of Surrey”

Who wouln’t watch a TV show with a name like that?

bullwhip29
Guest
bullwhip29
bullwhip29
Guest
bullwhip29
david
Guest
david

Maybe it’s just me, but it seems just a little perverse to be relegated to aspiring to live in a shipping container because all the REAL real estate is soaked up by crooks —- while everyone giddily cheered it on.

bullwhip29
Guest
bullwhip29

Vancouver smacks Chinese with real estate tax, but will they head south?
http://www.seattlepi.com/local/article/B-C-smacks-Chinese-with-real-estate-tax-but-9240940.php

Boombust
Guest
Boombust

We didn’t smack just the Chinese. Americans, too. Duh.

Combat roach
Guest
Combat roach

Most likely there are no other foreigners but Chinese buying RE in Vancouver. Who sane from the outside would buy anything with such insane prices unless is going to hide, launder money or possibly flip to another offshore Chinese sucker?

patriotz
Member

The media regularly have stories about Hollywood types buying in Vancouver. There are other 3rd world buyers besides the Chinese too. Perhaps not that many, but certainly “no other foreigners” is untrue.

(de Jong) He noted that of the more than 5,000 Metro Vancouver transactions tracked by his government last month, 260 involved foreign citizens who weren’t permanent residents. Of those, 234 were from China.

http://www.theglobeandmail.com/news/bc-government-releases-preliminary-data-on-foreign-home-purchases/article30790277/

Slava
Guest
Slava

Bingo! Best Place on Earth to Launder Money

bullwhip29
Guest
bullwhip29
Oracle
Guest
Oracle

Here’s the issue with the UBS report. Listen up people and try to keep up little Billybonger.

The UBS report CAN’T include the corruption elements that are ingrained in Vancouver real estate. Here’s what they can’t include and thus why they rank #1:

1) Incomes for mortgages are never checked with the CRA.

2) No one pays capital gains on 2nd, 3rd, or 4th homes. They are are principal residences. CRA has no way of knowing.

3) Students and homemakers buy multiple homes with foreign money inflows which are predominantly illicit funds.

4) Temporary immigration is out of control putting pressure on locals to buy now or never because rents are going thru the roof.

Oracle
Guest
Oracle

And those writing “housewives” or “student” in the occupation will now just be told to put down “businessperson” or something like that.

There is really no teeth in legislation.

If you can deport Permanent Residents for real estate fraud, then there is something i would take notice of.

Billybonger
Guest
Billybonger

Oracle, thank you for your prognostications.

How are we doing, with respect to tracking towards 7,000 listings, your last no can be wrong, swear on my momma, prediction?

How do we tell, in advance, which of your predictions is for real and which ones are total bullshit?

F’ing known it all…I suspect you are an emperor with no clothes, good luck with your real estate empire.

Oracle
Guest
Oracle

Little Billybonger, why so bitter? Maybe no portfolio and no real estate? Anyways who cares. Just to keep you updated; exterior siding and interior drywall going up in my home. Let me know if you need to get hooked up with a trades person for employment.

Slava
Guest
Slava

Little Oracle and Little Fantasy of a Fantasy House that he brags about on the internet anonymously. Pathetic.

YVR
Guest
YVR

Oracle is getting desperate. That sawdust got all wet on the weekend and turned to mush. Needs to find more sawdust to build the fantasy house.

YVR
Guest
YVR

Is all the sawdust up now? When will you be applying the pink stucco?

Billybonger
Guest
Billybonger

Oracle, why are you side stepping your clear as a bell forecast for 7,000 listings by month end?

You seem to know it all (you certainly behave like one), so what gives?

Oracle
Guest
Oracle

Boo. I can change my 7K inventory forecast all I want. Now at 10K. If it gets to 11K then cracks may get wider in market. Hahaha. I just changed my forecast cause of moving baseline positions. Does that upset you even more?

And try to say something new. The 7K spiel is getting a little tired.

rockerguy
Member
rockerguy

I’m not finding the 7K spiel tiring, but I can see why you might.

paulb
Member
Active Member

New
219
Price Change
69
Sold
111

TI:10,070

http://www.paulboenisch.com

Ktown
Guest
Ktown

Lets see how well the media trys to hide or maniplulate September’s stats. I predict 12k listings by Nov 1st. Its high, but I believe once the stats get out and show an actual decrease in SFH prices and the massive reduction in sales – the “smart” investor will be looking to get out ASAP.

Shut It Down Already
Guest
Shut It Down Already

12k is nowhere close to “high”.

Ktown
Guest
Ktown

A 2k jump in active listings over a 1 month period would be high. Be realistic.. no need to kid yourself.

Ktown
Guest
Ktown

This isnt going to be a massive “drop” in prices. It will be gradual taking many years. Dont expect 16-20k active listings until this time next year if at all.

Boombust
Guest
Boombust

Why no massive drop?

vangrl
Member
vangrl
YVR
Guest
YVR

This in only to the end of August. Things are worse in September. I can sum it up a little better than the realtor below – Richmond is Crashing. I still love all the suckers who thought the SFH could never go down. LOL.

Single Family Homes: Prices have peaked and have started to decline. Listing inventory is rising. Median days on listing before sale is starting to climb. Sales to active listing ratio, or the absorption ratio has crashed and is at the lowest point in 3 years along with the rate of sales in units.

Boombust
Guest
Boombust

Told ya so…

I\'m With Stupid V
Guest
I\'m With Stupid V

Check out the HPI Price.
Even with previous drops in all other metrics the HPI has had one trend. Up.

MarKoz
Member
Active Member

“Vancouver in Canada has been identified by Swiss bank UBS as the global financial center with the riskiest housing bubble.”

Memories. Misty water-coloured memories, of the way we were. Thanks, Babs…

“Yale economist Robert Shiller, the man who predicted the dot.com bubble would burst, is saying the same thing is about to happen in real estate. He was quoted in a local paper as saying that so-called “glamour cities” like Vancouver — where prices have accelerated most rapidly — will be hardest hit when the day of reckoning arrives.”

http://www.theglobeandmail.com/opinion/hoping-the-real-estate-bubble-bursts-for-the-children/article737889/

That was 2005 guys and gals. Shiller is one smart dude. And yet…

MarKoz
Member
Active Member

The above comment is for me and Ulsterman. We’ve just been at it longer.

YVR
Guest
YVR

Is the theory that if you switch from bear to bull then things will finally crash? Usually bubbles crash after the last person holding out buys. All we need is for you and Ulsterman to buy and we can get on with the full blown crash.

MarKoz
Member
Active Member

Not a bull. Just dispirited after all these years.

chilled
Member
chilled

Too funny, Canadians trying to be Chinese but to make ends meet they have to rent out the basement. Maybe if you are lucky you’ll get to fuck the guys wife.

http://vancouver.craigslist.ca/rds/apa/5802483529.html

HAMster
Guest
HAMster

Probably E.I.

Shut It Down Already
Guest
Shut It Down Already

Chilled, you have issues.

I\'m With Stupid V
Guest
I\'m With Stupid V

Its in Surrey, why would you want Oracle.

xyz
Guest
xyz

Expensive Vancouver Homes Are Owned By People In Traditionally Low-Income Jobs: MLA

Homemakers. Students. A waitress and a casino dealer.

These are just a few traditionally low-income professions you can work in and still, somehow, buy a home in one of Vancouver’s priciest areas.

That’s according to land title research by B.C. NDP housing critic David Eby. He pulled 250 titles for homes sold in the affluent MacKenzie Heights area from 2012 to the present, and found that 26 were owned by people in those types of jobs, he said at a Tuesday news conference.

It furthers his earlier concern that people with low incomes own multi-million dollar homes throughout the city.

http://www.huffingtonpost.ca/2016/09/27/expensive-vancouver-homes-david-eby-waitress_n_12220384.html

Combat roach
Guest
Combat roach

They have to say something. Can’t go with tieff, scammer, tieff’s wife, fraudster’s daughter, corrupted official’s fiancé, etc…

D Trump
Guest
D Trump

that’s why no one care about learning in this town.

YVR
Guest
YVR

Thanks NDP for presenting this data for 2016 which starts in 2012. But where were you in 2012, 2013, 2014 and 2015 with this data? Oh ya there was no election.

xyz
Guest
xyz

Hey YVR….you left out Christy’s housing actions over the last few months…..let’s be balanced now!

YVR
Guest
YVR

The Liberals reaped the benefits of the housing bubble over the past 4 years. Jobs, taxes, etc. What did the NDP get? Nothing. Then why did it take them 4 years to start talking about it and posting data that was readily available for years. And why is Ebby the only NDPer we hear from? Where are the other NDPers and what have they been doing for all these years? If they can’t do a proper job in opposition then they surely can’t run things. Just sayin. Lazy IMO.

patriotz
Member

“And why is Ebby the only NDPer we hear from?”

Because he’s the NDP housing critic and that’s his job. Believe it or not, there are other issues in BC and other NDP MLA’s have other critic’s positions.

As for why they weren’t talking a few years ago, back then nobody could predict today’s market (like any market) so what’s the point of taking a position that might not make sense when the election comes around years later?

Combat roach
Guest
Combat roach

How to define locusts syndrome?

“Taxes are how we pay for schools, hospitals, roads and police,” he said.

“And if people aren’t paying taxes, if they’re listing properties under their children’s name, as a student, to avoid capital gains tax for example, or under someone else’s name who’s a waitress, in order to avoid taxes, then that’s a big problem.”

Hyper-mega-Bull
Member
Hyper-mega-Bull

there is no comparison between vancouver and paris.

BEST FRENCH MORTGAGES
Rate Term LTV
1.70% 20yrs 80%
2.15% 25yrs 80%
2.20% 20yrs 85%
1.50% 15yrs 80%

and ppl say our rates can’t get any lower, lmao.

Ktown
Guest
Ktown

Jesus… could you imagine the penalty to cancel a 25year fixed term haha!

Bbbbb
Guest
Bbbbb

Only Canadian suckers have ludicrous mortgage penalties. People overseas have a spine and thus rights.

YVR
Guest
YVR

Nice. We should not only look forward to 60% off current prices but a 1.5% 15 year mortgage. Pays to wait.

Combat roach
Guest
Combat roach

Moonbeam, Krusty and gang… you should be all proud how this city turned out.

“Vancouver’s rental market is so tight that landlords are asking for – and getting – sexual favours instead of rent, even though the practice is illegal, a CTV News hidden camera investigation has discovered.
Dozens of online ads offer the chance at free rent to female tenants willing to have sex with their landlord. One posting seeks a “a sexy slut,” while another references a “friend with benefits.”

http://bc.ctvnews.ca/mobile/hidden-cameras-catch-vancouver-landlords-asking-for-sex-not-rent-1.3091626

Bag it and tag it
Member
Bag it and tag it

Love it…more embarrassment for the politicians that created this mess…

CanNeverThinkOfAGoodName
Member
CanNeverThinkOfAGoodName

Someone should make a flow diagram to illustrate exactly how their policies lead to this situation.

Oracle
Guest
Oracle

So Caucasian daughters have to sell their bodies for rent. Where is the outrage and riots? And what is causing this tight vacancy? Oh yeah, the “supply” thingy.

The renters are toast until they grow a set to actually tackle immigration numbers.

These daughters will be your daughters in the future if you don’t step up NOW!

YVR
Guest
YVR

“So Caucasian daughters have to sell their bodies for rent. ”

Actually the girl they used as the exploited renter was Asian. If you take a look at the girls selling their bodies on craigs list mostly Asian and south Asian. What is your daughter up to?

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