It’s the end of another work week and that means it’s time for another Friday free-for-all here on VCI.
This is our regular end of the week news round up and open topic discussion thread for the weekend, here are a few recent links to kick off the chat:
–Some recent stats
–Rentals, the other disaster
–For rent, van with no toilet
–Scotiabank: Buyer tax the right move
–Mansion prices drop
–Prices to dip 10%
–Thousands of job losses
–What 3 mill gets you in Scottsdale
–Vancouver & Toronto go in different directions
So what are you seeing out there? Post your news links, thoughts and anecdotes here and have an excellent weekend!
Business in Vancouver has an article predicting that the BC Foreign buyer tax will hurt blue collar immigrant workers in the Fraser Valley, which is weird because we were under the impression that the tax was on the Metro Vancouver area and the valley was exempt:
Rob Philipp, chief executive officer for the Fraser Valley Real Estate Board (FVREB), said that while the new tax is aimed at high-end buyers, it’s only going to hurt the working-class immigrants who are trying to move to the region. He called the Fraser Valley’s immigrant population “the engine that drives us.”
“The people who are buying on the west side of Vancouver, they don’t really care about an extra 15% tax. If you’re buying two-, three- or four-million-dollar homes, they want into the market regardless.”
Philipp said the new tax also dampens the incentive for skilled out-of-country workers to settle in the region.
“As a province we’re trying to recruit really specialized professionals – doctors, nurses, certain types of engineers,” he said. “And those are people who are spending $800,000 to buy a place out here and now they’re thinking, ‘Well, I have to spend another $120,000. I’m not going to do it.’”
The other odd thing is that if skilled out-of-country workers actually ‘settle in the region’ and file a Canadian tax return they are exempt from the foreign buyer tax, so we’re curious how it would dampen incentives to move here any more than paying $800k for a house out in the Valley would.
Read the full article here and please correct us if we are mistaken about how the foreign buyer tax actually works.