Spring Break! And it’s that time of the week again, time to do our regular news roundup and open topic discussion thread for the weekend. Here are a few stories to kick off the chat:
–CREA predicts sharp price drop in BC
–Canadian prices to ease this year
–Vancouver to push down national avg.
–Should you sell your condo today?
–Inventory rocket still rising
–Is there a Dr. Kevorkian for condos?
–Economists warn of overheating market
–Van sales jump 61.4% in February 2012
–Toronto has highest condo asking price
–Big Discount Mortgage Blow-out sale!
–Buy Britney Spears house for $4 mil off
–Possible Condo Glut coming
–Buy a nice house, forget about retiring
–Vancouvers demographic timebomb
And of course it’s spring break time! Is this the week to get out of town and explore the world or are you sticking close to home? Is it vacation time lounging by a pool or is it just a hassle to find childcare and another week of office drudgery? At least the sun occasionally shines, spring is in the air!
So what are you seeing out there? Post your news links, thoughts and anecdotes here and have an excellent weekend, week and spring kick-off!
The Vancouver real estate bubble is getting attention from outside Canada again. This time Mish is in Business Insider comparing current prices in massively overpriced Vancouver to what the same price gets you in post-bubble Ireland. The difference is rather large.
There are some pretty nice houses you can get in Vancouver for only $890k! Two of them are even potentially liveable and one has even had some upgrades.
The post-celtic-tiger property is pretty decent as well, and a fair sized discount from the original asking price of $6 million.
Now clearly what happened in countries like Ireland was that people who should not have been were extended credit. Lots of credit. And since property prices were rising they were viewed as ‘can’t lose’, until they lost.
Have we made credit too easy in Canada, or are we more sensible than that?
UPDATE: reader Anonymouse pointed out that Mish comparing a hotel to a single family home is not a fair comparison. In response Many Franks posted this link about home prices in Donegal from last September:
The average price of a new home in Donegal is estimated at €179,000, representing a drop of 43pc from peak values. New three- and four-bedroom semi-detached houses are cheaper than in most other parts of the country, with averages estimated at €128,800 and €155,000 respectively.
Second-hand homes are estimated to average €165,800, down 3pc from last April and a drop of 41pc from peak values. The cheapest second-hand apartments in the country can be found in Donegal, with the average price of a one-bedroom apartment estimated at €50,000, and €57,500 for a two-bedroom apartment.
It’s the end of another work week and that means it’s time for our regular weekend news roundup and open topic discussion thread. Here are a few links to kick off the chat:
–Time to panic on the housing market
–Very few expiries means a quick return to the 15k party.
–We’re at the highest inventory for this time of year in years
–Tighter mortgage regulations expected
–Do banks need to boost risk?
–Housing prices flat or falling
–House prices drive away staff
–Alarming rise in homeless families
–Here’s the fake GVREB press release
–Seattle (down 32%) was supposed to be immune to price drops
–Irish tiger left lots of empty homes
And just one more reminder: If you register for an account, you must use it to leave a comment here or it will be deleted. There have been a number of new registrations lately that have not added any comments. We don’t want to force you to participate in the conversation, but a number or fraudulent registrations preceded our recent site problems.
Please just leave a single on comment topic if you want to keep your registration active otherwise it will be deleted.
Thanks, and let us know what are you seeing out there. Post your news links, thoughts and anecdotes here and have an excellent weekend!
City by city data for US markets is just out showing how much prices fell in the year and how far they’ve come down since the market top. Here’s what last year looked like in some major US markets:
South of the border: city -by-city breakdown of latest Case-shiller data
Las Vegas: Prices down 8.8%, and 61% below peak.
Los Angeles: Prices down 5.2%, and 41% below peak.
Miami: Prices down 3.8%, and 51% below peak.
New York: Prices down 2.9%, and 24% below peak.
Phoenix: Prices down 1.2%, and 55% below peak.
Portland: Prices down 4%, and 29% below peak.
San Francisco: Prices down 5.4%, and 41% below peak.
Seattle: Prices down 5.6%, and 32% below peak.
Remember, it’s not a bubble, it’s a balloon. Balloons don’t pop, they deflate. Slowly over the course of many years.
Hat tip to VMD for the link.