Category Archives: economy

How’s them development permits?

An anecdote from southseacompany:

Post from one of my LinkedIn connections;

“Lead indicators … Vancouver’s Development Permit Board reviews major project applications. Their agenda looks rather empty. ”

July 22, 2019 – Cancelled
August6, 2019 – Cancelled
September 3, 2019 – Cancelled
September 16, 2019 – Cancelled

“When I served on the DPB (1999 -2002) we commonly had 3 to 4 items on the agenda EVERY two weeks.”

19% mortgage fraud rate?

Bullwhip29 shared this story claiming 1 in 5 millennials commit mortgage fraud:

Around one in five (19 per cent) of Millennial home buyers responding to the survey admitted to inflating their annual income on their mortgage application. And nearly 23 per cent of Millennial home buyers said they think this is an acceptable course of action in today’s mortgage climate — nearly double the 12 per cent of all respondents who agreed this was OK.

Read the full article here.

Everybody wants to help you buy a house

Pointed out by southseacompany: all the major political parties want to help you buy a house and the promises are piling up.

They all love the idea of taking taxpayer money to drive up house prices, the current government even wants to get in on the speculation and help out with a 5-10% shared equity program.

The government also confirmed that, because the program gives it an equity stake in the mortgage, it will share any gains or losses in the value of the home over the life of the loan. Any money the government makes on the program will go back into general revenues.

Read the full article here.

Next price uptick in 2021?

Central 1 credit union is forecasting further big drops in sales and a “marshmallow soft” market for the next few years.

The province’s median home resale price across the year is expected to decline 4.1 per cent in 2019, then a further 1.2 per cent in 2020. This will be followed by the most meagre of recoveries in 2021 with a 1 per cent rise, which doesn’t even bring the median back to 2019 prices.

The biggest short- to medium-term price declines are expected, unsurprisingly, in Metro Vancouver, said Yu – but this could be what puts the market back on track in the longer term.

“In Metro Vancouver, on a benchmark basis, prices are down around eight per cent and we’re expecting that to fall further, giving us a total peak-to-trough decline of about 12 to 15 per cent. So that will erase a lot of the gains we saw from 2016 onwards. But this should pull some people back into the market.

Read the full article here.