VANCOUER MARKET SUMMARY - APRIL 29 2018
On average the Vancouver market in the past month, sales has have decrease in sales by 27% compared to April 2017, 17 year low on number of sales. Inventory has increased 18% higher than the previous year..
Market condition are changing: New federal gov’t policies for mortgages, stress test. (However some Private Banks and Credit Unions are not subject to these rules).
Top area to invest:
Mount Pleasant, prices are up on condos up 19.7% in 1 year, market is now providing more buying opportunities, as there are more options and less multi;le bids happening. The entry level 1 bedroom in this area is 600 - 650k. Average prices are $1150 - 1200/sq.ft. Rents are 1900 - 2200/sq.ft. for 1 beds. Yaletown, Presales in the area sold well this year at an average of $1400/sq.ft. You can still buy re-sale newer buildings for $1200/sq.ft.
Westside of Vancouver Houses,
More affordable houses, Kitsilano 10-12% lower than the 2016 peak pricing, (prior to the foreign investment tax being announced) for an older well kept livable home or a lot.
Reasons why the market has cooled lately:
- 3 very strong years of price growth, some push back from consumers, finally inventory has increased, up 18% this time last year, it has been at records lows for the last few years.
- New mortgage rules
- Vancouver new tax policies: Vacant home tax (bought more rental to the market), increased foreign buyers tax from 15% to 20%. Getting people to take their time. Vacation home ownership is down.
- I don’t believe these conditions will reming for long, as the overall economy is in good shape, we have Amazon bring Presales are still selling well at prices