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January Stats
Feb 04, 2020

Home sale activity up, supply down to start 2020

Home sale and price activity remained steady in Metro Vancouver to start 2020 while home listing activity declined in January.

The Real Estate Board of Greater Vancouver (REBGV) reports that residential home sales in the region totalled 1,571 in January 2020, a 42.4 per cent increase from the 1,103 sales recorded in January 2019, and a 22.1 per cent decrease from the 2,016 homes sold in December 2019.

Last month’s sales were 7.3 per cent below the 10-year January sales average.

“We’ve begun 2020 with steady home buyer demand that tracks close to the region’s long-term average,” Ashley Smith, REBGV president said. “Looking at supply, we’re seeing fewer homes listed for sale than is typical for this time of year. As we approach the traditionally more active spring market, we’ll keep a close eye on supply to see if the number of homes being listed is keeping pace with demand.”

There were 3,872 detached, attached and apartment properties newly listed for sale on the Multiple Listing Service® (MLS®) in Metro Vancouver in January 2020. This represents a 20.1 per cent decrease compared to the 4,848 homes listed in January 2019 and a 143.8 per cent increase compared to December 2019 when 1,588 homes were listed.

Last month’s new listings were 17.4 per cent below January’s 10-year average.

The total number of homes currently listed for sale on the MLS® system in Metro Vancouver is 8,617, a 20.3 per cent decrease compared to January 2019 (10,808) and a 0.2 per cent increase compared to December 2019 (8,603), and is 13.7 per cent below the 10-year January average.

For all property types, the sales-to-active listings ratio for January 2020 is 18.2 per cent. By property type, the ratio is 11.6 per cent for detached homes, 22.6 per cent for townhomes, and 23.9 per cent for apartments.

Generally, analysts say downward pressure on home prices occurs when the ratio dips below 12 per cent for a sustained period, while home prices often experience upward pressure when it surpasses 20 per cent over several months.

The MLS® Home Price Index composite benchmark price for all residential properties in Metro Vancouver is currently $1,008,700. This represents a 1.2 per cent decrease over January 2019, a 1.4 per cent increase over the past six months, and a 0.8 per cent increase compared to December 2019.

Sales of detached homes in January 2020 reached 439, a 29.5 per cent increase from the 339 detached sales recorded in January 2019. The benchmark price for detached properties is $1,431,200. This represents a 1.7 per cent decrease from January 2019, a one per cent increase over the past six months, and a 0.5 per cent increase compared to December 2019.

Sales of apartment homes reached 814 in January 2020, a 45.6 per cent increase compared to the 559 sales in January 2019. The benchmark price of an apartment property is $663,200. This represents a one per cent decrease from January 2019, a 1.5 per cent increase over the past six months, and a one per cent increase compared to December 2019.

Attached home sales in January 2020 totalled 318, a 55.1 per cent increase compared to the 205 sales in January 2019. The benchmark price of an attached unit is $782,500. This represents a 0.7 per cent decrease from January 2019, a 1.6 per cent increase over the past six months, and a 0.5 per cent increase compared to December 2019.

Download the January 2020 stats package

 
December Stats
Jan 03, 2020

Home sales decline below long-term averages in 2019 despite increased demand to end the year

 

The Metro Vancouver housing market experienced below average sales activity and moderate price declines in 2019.

The Real Estate Board of Greater Vancouver (REBGV) reports that sales of detached, attached and apartment homes reached 25,351 in 2019, a three per cent increase from the 24,619 sales recorded in 2018, and a 29.6 per cent decrease over the 35,993 residential sales in 2017.

Last year’s sales total was 20.3 per cent below the region’s 10-year sales average.

“We didn’t see typical seasonal patterns in 2019. Home buyer demand was quieter in the normally busy spring season and it picked up in the second half of the year,” Ashley Smith, REBGV president said. “In terms of home values, prices dipped between two and four per cent across the region last year depending on property type.”

Home listings on the Multiple Listing Service® (MLS®) in Metro Vancouver reached 51,918 in 2019. This is a 3.2 per cent decrease compared to the 53,614 homes listed in 2018 and a five per cent decrease compared to the 54,655 homes listed in 2017.Last year’s listings total was 7.6 per cent below the 10-year average.

“Home buyer confidence was a factor throughout the year. In the first quarter, many prospective buyers were in a holding pattern, waiting to see how prices would react to the mortgage stress test, new taxes, and other policy changes,” Smith said. “Confidence started to return in the summer, and we saw above average sales in the final quarter of 2019.”

The MLS® HPI composite benchmark price for all residential properties in Metro Vancouver ends the year at $1,001,000. This is a 3.1 per cent decrease compared to December 2018.

The benchmark price of apartments decreased 2.7 per cent in the region last year. Townhomes decreased 2.4 per cent and detached homes decreased four per cent.

December summary

REBGV reports that residential home sales in the region totalled 2,016 in December 2019, an 88.1 per cent increase from the 1,072 sales recorded in December 2018, and a 19.3 per cent decrease from the 2,498 homes sold in November 2019.

Last month’s sales were 9.5 per cent above the 10-year December sales average.

There were 1,588 detached, attached and apartment properties newly listed for sale on the MLS® in Metro Vancouver in December 2019. This represents a 12.9 per cent increase compared to the 1,407 homes listed in December 2018 and a 46.8 per cent decrease compared to November 2019 when 2,987 homes were listed.

The total number of homes currently listed for sale on the MLS® system in Metro Vancouver is 8,603, a 16.3 per cent decrease compared to December 2018 (10,275) and a 20.1 per cent decrease compared to November 2019 (10,770).

For all property types, the sales-to-active listings ratio for December 2019 is 23.4 per cent. By property type, the ratio is 15.2 per cent for detached homes, 25.7 per cent for townhomes, and 32.5 per cent for apartments.

Generally, analysts say that downward pressure on home prices occurs when the ratio dips below 12 per cent for a sustained period, while home prices often experience upward pressure when it surpasses 20 per cent over several months.

Sales of detached homes in December 2019 reached 599, a 72.1 per cent increase from the 348 detached sales recorded in December 2018. The benchmark price for detached properties is $1,423,500. This represents a four per cent decrease from December 2018, and a 0.6 per cent increase compared to November 2019.

Sales of apartment homes reached 1,053 in December 2019, a 96.8 per cent increase compared to the 535 sales in December 2018. The benchmark price of an apartment property is $656,700. This represents a 2.7 per cent decrease from December 2018, and a 0.8 per cent increase compared to November 2019.

Attached home sales in December 2019 totalled 364, a 92.6 per cent increase compared to the 189 sales in December 2018. The benchmark price of an attached home is $778,400. This represents a 2.4 per cent decrease from December 2018, and a 0.7 per cent increase compared to November 2019.

Download the December 2019 stats package

BC housing market to enjoy stronger sales and starts in 2020
Dec 20, 2019

Home sales and construction activity in British Columbia will be on the upswing next year, continuing trends already well underway during the second half of 2019, according to veteran industry observers.

In their recent joint piece for BIV.com, Business Council of British Columbia executive VP / chief policy officer Jock Finlayson and chief economist Ken Peacock noted that “a sooner-than-expected upturn in the residential real estate sector is also a plus for next year.”

The housing market can look forward to further recovery in 2020, “and residential building activity will surprise on the upside.”

“Under the weight of stress tests, demand-dampening tax measures and escalating affordability challenges, home sales fell precipitously in recent years. But in the second half of 2019 sales activity jumped, resulting in more balanced market conditions,” the duo wrote.

Expansion of the inventory of other housing types will prove to be a significant driver of activity, as well.

“The BC government’s plan to develop more rental, co-op and non-market housing should add to new home construction,” Finlayson and Peacock said. “In line with stronger sales activity, we expect average resale home prices in the Lower Mainland to edge higher in 2020 and BC housing starts to remain close to 2019’s above-average level.”

A RE/MAX analysis earlier this month had similar conclusions, with a mixture of economic and demographic conditions leading to a “bottoming out” of the province’s housing slowdown within two years.

Citing trends data from the Canada Mortgage and Housing Corporation, RE/MAX stated that starts are expected to hover between a low of 39,300 and a high of 42,300 by the end of this year, and a low of 40,700 and a high of 44,700 in 2020.

This is likely to further intensify into a low of 41,900 starts and a high of 46,900 by 2021.

Meanwhile, sales are projected to climb to a maximum of 84,400 in 2020 and 90,800 in 2021. This will be a breath of fresh air after the muted 78,000 transactions in 2018 and a further dip to around 69,000 this year.

Source: Ephraim Vecina: Mortgaqe Broker News

BCREA Stats Release
Dec 12, 2019

Home Sales Firming Across the Province

Vancouver, BC – December 12, 2019. The British Columbia Real Estate Association (BCREA) reports that a total of 6,616 residential unit sales were recorded by the Multiple Listing Service® (MLS®) in November, an increase of 27.5 per cent from the same month last year. The average MLS® residential price in the province was $746,939, an increase of 5.5 per cent from November 2018. Total sales dollar volume was $4.94 billion, a 34.4 per cent increase from the same month last year. 

"After several months of strong gains, home sales are now firming around
long-run averages," said BCREA Chief Economist Brendon Ogmundson. "We
expect 2020 will be a much more typical year for markets compared to the
volatility of recent years."

MLS® residential active listings in the province were down 6.6 per cent from November 2018 to 31,310 units, and down for a seventh straight month on a seasonally adjusted basis. Overall market conditions remain balanced with a sales-to-active listings ratio of 21 per cent.

Year-to-date, BC residential sales dollar volume was down 6 per cent to $50.23 billion, compared with the same period in 2018. Residential unit sales were 3.9 per cent lower at 72,106 units, while the average MLS® residential price was down 2.2 per cent year-to date at $696,574.
 
November Stats
Dec 03, 2019

December 3, 2019

Metro Vancouver home sales return to historically typical levels.After a quieter first half of 2019, home buyer activity has returned to more historically typical levels in Metro Vancouver*.

The Real Estate Board of Greater Vancouver (REBGV) reports that residential home sales in the region totalled 2,498 in November 2019, a 55.3 per cent increase from the 1,608 sales recorded in November 2018, and a 12.6 per cent decline from the 2,858 homes sold in October 2019.

Last month’s sales were four per cent above the 10-year November sales average.“We started to see more home buyer confidence in the summer and this trend continues today,” says Ashley Smith, REBGV president. “It’ll be important to watch home listing levels over the next few months to see if supply can stay in line with home buyer demand.” 

There were 2,987 detached, attached and apartment homes newly listed for sale on the Multiple Listing Service® (MLS®) in Metro Vancouver in November 2019. This represents a 13.7 per cent decrease compared to the 3,461 homes listed in November 2018 and a 26.7 per cent decrease compared to October 2019 when 4,074 homes were listed.

The total number of homes currently listed for sale on the MLS® system in Metro Vancouver is 10,770, a 12.5 per cent decrease compared to November 2018 (12,307) and a 12 per cent decrease compared to October 2019 (12,236).

For all property types, the sales-to-active listings ratio for November 2019 is 23.2 per cent. By property type, the ratio is 17.2 per cent for detached homes, 24.9 per cent for townhomes, and 29.3 per cent for apartments.

Generally, analysts say downward pressure on home prices occurs when the ratio dips below 12 per cent for a sustained period, while home prices often experience upward pressure when it surpasses 20 per cent over several months.

“In today’s market, the intensity of home buyer demand depends on neighbourhood, property type, and price point,” Smith said. “To better understand the changing trends in your neighbourhood and property type of choice, it’s important to work with your local REALTOR®.”

The MLS® Home Price Index composite benchmark price for all residential properties in Metro Vancouver is currently $993,700. This represents a 4.6 per cent decrease from November 2018 and a 1.3 per cent decrease over the past six months.

Sales of detached homes in November 2019 reached 825, a 59.9 per cent increase from the 516 detached sales recorded in November 2018. The benchmark price for a detached home is $1,415,400. This represents a 5.8 per cent decrease from November 2018, a 0.5 per cent decrease over the past six months, and a 0.3 per cent increase compared to October 2019.

Sales of apartment homes reached 1,222 in November 2019, a 50.9 per cent increase compared to the 810 sales in November 2018. The benchmark price of an apartment home is $651,500. This represents a 3.8 per cent decrease from November 2018, a 1.9 per cent decrease over the past six months, and a 0.2 per cent decline compared to October 2019.

Attached home sales in November 2019 totalled 451, a 59.9 per cent increase compared to the 282 sales in November 2018. The benchmark price of an attached home is $772,800. This represents a 4.4 per cent decrease from November 2018, a 0.8 per cent decrease over the past six months, and a 0.2 per cent increase compared to October 2019.

Download the November 2019 stats package

Vancouver Real Estate Crackdown's Next Step: A Big Watchdog
Nov 14, 2019

British Columbia plans to create a single real estate regulator to better combat money-laundering in markets like Vancouver, where the government says dirty money has helped drive up housing prices.

The provincial government intends to introduce legislation late next year that would establish a joint financial-services and real estate watchdog by the spring of 2021, the Ministry of Finance said Tuesday.

The plan would bring real estate regulation -- including licensing -- under the purview of the B.C. Financial Services Authority, which currently regulates mortgage brokers, private pension plans and financial institutions. Having a single regulator for those areas will streamline investigations and enforcement, according to the government.

British Columbia has led Canada’s charge against spiraling home costs, introducing new taxes and policies to restrict foreign investment and speculation. In 2016, it ended self-regulation of the real estate industry after a scandal involving “shadow flipping,” where brokers earn multiple commissions by helping properties trade hands repeatedly before a deal closes, inflating prices. The province also is set to become the world’s first jurisdiction to expose hidden property owners next year when it creates a searchable, public registry of who controls the trusts and anonymous corporations that own land.

Vancouver, in particular, has come under scrutiny after the government revealed that casinos had been accepting millions of dollars in questionable cash from gamblers for years. The Pacific Coast city is one the continent’s most unaffordable housing markets after prices more than doubled in a decade.

Premier John Horgan’s government has partly blamed dirty money, issuing a government-funded report earlier this year that claimed more than C$7 billion ($5.3 billion) was washed through the province in a year. Questions remain about those figures, which were derived from economic modeling, not hard evidence. Horgan has launched a public inquiry to investigate the extent to which money laundering has driven up real estate in the province, and an interim report is due in November 2020.

Source: Natalie Obiko Pearson: Bloomberg News

October Stats
Nov 04, 2019

Home buyer activity increases in October

The Metro Vancouver housing market is experiencing a fall pickup in home sale activity.

 

The Real Estate Board of Greater Vancouver (REBGV) reports that residential home sales in the region totalled 2,858 in October 2019, a 45.4 per cent increase from the 1,966 sales recorded in October 2018, and a 22.5 per cent increase from the 2,333 homes sold in September 2019.

 

Last month’s sales were 9.8 per cent above the 10-year October sales average.

 

“Home buyers have more confidence today than we saw in the first half of the year,” says Ashley Smith, REBGV president. “With prices edging down over the last year and interest rates remaining low, hopeful home buyers are becoming more active this fall.”

 

There were 4,074 detached, attached and apartment homes newly listed for sale on the Multiple Listing Service® (MLS®) in Metro Vancouver in October 2019. This represents a 16.4 per cent decrease compared to the 4,873 homes listed in October 2018 and a 16.3 per cent decrease compared to September 2019 when 4,866 homes were listed.

 

The total number of homes currently listed for sale on the MLS® system in Metro Vancouver is 12,236, a 5.8 per cent decrease compared to October 2018 (12,984) and a nine per cent decrease compared to September 2019 (13,439).

 

For all property types, the sales-to-active listings ratio for October 2019 is 23.4 per cent. By property type, the ratio is 17.3 per cent for detached homes, 26.2 per cent for townhomes, and 29 per cent for apartments.

 

Generally, analysts say downward pressure on home prices occurs when the ratio dips below 12 per cent for a sustained period, while home prices often experience upward pressure when it surpasses 20 per cent over several months.

 

“The recent uptick in home sales is moving us into a more historically typical market,” Smith said. “Both sale and listing activity is trending around our long-term averages in recent months.”

 

The MLS® Home Price Index composite benchmark price for all residential properties in Metro Vancouver is currently $992,900. This represents a 6.4 per cent decrease from October 2018, a 1.7 per cent decrease over the past six months, and a 0.2 per cent increase compared to September 2019.

 

Sales of detached homes in October 2019 reached 938, a 47.3 per cent increase from the 637 detached sales recorded in October 2018. The benchmark price for a detached home is $1,410,500. This represents a 7.5 per cent decrease from October 2018, a 1.3 per cent decrease over the past six months, and a 0.3 per cent increase compared to September 2019.

 

Sales of apartment homes reached 1,384 in October 2019, a 40.5 per cent increase compared to the 985 sales in October 2018. The benchmark price of an apartment home is $652,500. This represents a 5.9 per cent decrease from October 2018, a 2.2 per cent decrease over the past six months, and a 0.2 per cent increase compared to September 2019.

 

Attached home sales in October 2019 totalled 536, a 55.8 per cent increase compared to the 344 sales in October 2018. The benchmark price of an attached home is $771,600. This represents a 5.8 per cent decrease from October 2018, a 0.4 per cent decrease over the past six months, and a 0.5 per cent increase compared to September 2019.

 

Download the October 2019 stats package

B.C. speculation tax personal information can be collected and disclosed: privacy commissioner
Oct 22, 2019

B.C.’s Ministry of Finance can collect, use and disclose taxpayers’ personal information under the Speculation and Vacancy Tax Act (SVTA), the province’s Office of the Information and Privacy Commissioner has ruled.

“I am satisfied that the property owner’s name, address, date of birth, social insurance number (SIN) and email address relate to and are necessary for the program of administering the tax,” adjudicator Erika Syrotuck said in her ruling.

The opposition BC Liberals and other critics have panned the tax for prying into people’s private information, namely by requiring a SIN on declaration forms. The tax required all property owners in specified areas to file a declaration. That declaration is used to determine if the tax should be paid.

And, concerns about the tax and its implications for privacy impacts led the commissioner’s office to open an inquiry after receiving complaints the ministry had exceeded its authority by collecting SINs, as well as letters of concern about collection, use and disclosure of names, addresses, dates of birth and email addresses.

All agreed it was personal information.

At issue was whether or not the tax is a program of the government as defined under B.C.’s Freedom of Information and Protection of Privacy Act (FIPPA).

Syrotuck found the speculation tax is a program as it is an organized implementation of a law passed by the legislature.

The ministry argued the collection of the information was needed to verify information about individuals to administer the legislation. SIN collection, the ministry said, was needed, as it is the primary identifier of Canadians and needed to calculate tax owing.

“The administrator says the absence of a SIN is valuable because it identifies that a person does not pay taxes in Canada,” Syrotuck said in her Oct. 18 decision. “Any anomalies of the SIN can alert the administrator to further investigate that declaration.”

The ministry argued email address collection was necessary to provide confirmation of declaration receipt confirmation.

The complainants, however, said the government had said more than 99% of British Columbians would not have to pay the tax yet 100% of British Columbians had to file declarations.

Complainants said collection of SINs is not allowed under federal law.

The ministry argued SINs are collected to verify other incomes and is subject to the FIPPA.

Syrotuck found more than 150 federal and provincial laws mentions SINs.

“The province is not required to get federal approval to use the SIN,” Syrotuck wrote.

She said a SIN identifies a person’s B.C. residency. She said it conforms to the speculation tax’s definition of a resident in British Columbia.

“I cannot see what other reasonable means would be available to the Ministry to verify that a person is a ‘resident of British Columbia’ for the purpose of claiming an exemption, the lower tax rate or a tax credit under the SVTA.”

Further, she said, the SVTA provisions extend to determining if a property owner is and ‘untaxed worldwide earner.’

“I do not see how the ministry could reasonably verify this without the SIN,” Syrotuck wrote.

She found the property owners’ names and addresses relate directly to the tax’s administration.

“The property owner is liable for the tax,” Syrotuck wrote. “The ministry needs to know their identity.”

Further, Syrotuck found, B.C. can share information collected with the Canada Revenue Agency under information sharing agreements.

Finance Minister Carole James said in a statement to Glacier Media the government has been confident information collected is legal and authorized under FIPPA.

“The Ministry of Finance is committed to protecting people’s personal information and privacy in everything it does,” James said. “Social insurance numbers are essential for both the administration of the speculation and vacancy tax, and in preventing tax evasion. I am pleased that the recent decision by the Office of the Information and Privacy Commissioner confirms this.”

James told the Union of B.C. Municipalities’ September annual conference that the tax, instituted in November 2018, is increasing housing stock and generating revenue for housing creation.

The tax was created to address the ongoing affordability crisis in the province’s major urban centres where real estate has been subject to speculation and allegedly used for laundering illegal funds.

“When we formed government two years ago, we really were at the peak of a housing crisis,” James said. “The tax is working as we intended.”

Critics, however, wanted to see more data and questioned James’ claims that the results have been positive.

The NDP government announced the tax last year to free up rental properties and to put a greater tax burden on those who use social welfare systems but do not pay much income tax.

The minister said 99.8% of British Columbians are exempt from the tax. More than 1.6 million British Columbians completed declarations as it was initiated.

Those affected by it (and the taxes assessed) are in the Victoria ($3,743,000), Central Okanagan ($2,964,000), Fraser Valley ($661,000), Metro Vancouver ($50,084,000) and Nanaimo areas ($621,000).

The average assessed home value of properties subject to the tax is $1.45 million while the average assessed value of properties exempt from the tax in the taxable areas is $1.1 million, ministry data said.

And, James warned, an audit of those exempted from the tax will ensure no one is avoiding paying their legal share.

Liberal Party finance critic Shirley Bond is expected to comment on the commissioner’s decision.

Source: Jeremy Hainsworth: VIA

Canada's real estate market in full recovery mode as home sales rise
Oct 17, 2019

Canada’s realtors produced another strong month of sales and prices in September, with gains in most major markets in a sign of strength for the nation’s housing market.

The number of units sold rose 0.6 per cent last month, extending a recent jump in activity that have seen transactions jump 16 per cent from a year ago, the Canadian Real Estate Association said Tuesday. Benchmark home prices rose 0.5 per cent in September, and are up 2.3 per cent over the past four months. Markets in British Columbia led gains in both sales and prices last month, with the country’s oil-producing regions the only ones showing any weakness.

The report is in line with other recent indicators that suggest housing has fully recovered from a slump earlier this year, helped by falling mortgage rates. The run of robust housing data gives the Bank of Canada another reason — along with strong job gains — to hold interest rates steady, even as counterparts around the world tilt toward easing policy.

“Home sales activity and prices are improving after having weakened significantly in a number of housing markets,” Gregory Klump, chief economist at the Ottawa-based realtor group, said in a statement. “How long the current rebound continues depends on economic growth, which is being subdued by trade and business investment uncertainties.”

Source: Theophilos Argitis: Bloomberg News

The fall real-estate updates: Economists predict gradual rebound
Oct 03, 2019

Spring is usually the hottest season for real estate but that wasn't the case in 2019. We saw inventories build and prices trend downwards. However, things appear to have changed since then.

According to the Canadian Real Estate Association, national home prices have increased for six consecutive months. The national home price index is up by 0.9 per cent since August 2019.

Economists from RBC and Sotheby's have declared the housing correction over and expect a gradual rebound over the near term. Homes priced up to $1 million have seen an uptick in selling activity, whereas the higher priced luxury market, which has been hit the hardest, remains soft.  

Since the spring, sentiment around real estate has improved. Interest rates have been dropping and prices have adjusted downwards. This means that buyers can afford more "house" compared to last year.

There is also a greater sense of urgency to purchase compared to last spring due to the China/Hong Kong conflict. Some fear that if the conflict escalates, as many as 300,000 Hong Kong/Canadian dual citizens could flood our local market and drive up prices. 

It's hard to generalize our real estate market.  It isn't one "Lower Mainland" market — it is more like 30 submarkets. Overall, I'd say it is more or less balanced, with lots of hot and cold pockets. It really depends on the location and price point.   

Hurting markets

Pre-sales and newly built condos aren't selling very well. Not only is there currently a large number available on the market, there are more expected over the next year.

Several pre-sale projects have been cancelled due to a lack of demand with some developers needing to offer incentives to entice buyers. 

This past June, a developer was famously offering buyers a years' worth of avocado toast, but since then they have had to up the ante. Now, instead of toast, one developer is giving away a Telsa worth $55K with every home purchase.    

Another area not doing well is the luxury market. This has been the hardest hit with price drops, in some areas, of 40 per cent. The main reason for the lack of buyers is that, despite the 40 per cent price drop, the luxury market is still expensive. A home worth $7 million in 2017 would still cost over $4 million today, a price few can afford.  

Those buying in the luxury market in 2017 were often foreign buyers and that market has completely dried up. Many have suggested that foreign buyers used our real estate market as a bank account. Well, instead of making deposits, they are now making withdrawals. 

For the first time in decades, the Chinese have become net sellers of global assets, which includes Vancouver real estate. As a result of this behavioural change, the areas of our market that were popular with foreign investors are now struggling.  

Personal finance expert Mark Ting says it's difficult to predict how the 2019 federal election will affect housing. (Graham Hughes/The Canadian Press)

Election season

Another consideration that will have an impact on real estate is the upcoming election. Exactly how the election will affect housing is hard to quantify as we don't know who will win, whether they will follow through with their pre-election promises or, if they do, how fast they implement their plan.  

I'm not rushing into this market even if some experts say that it has bottomed. It can bounce along the bottom for quite some time. It is rare that you see a V-shaped recovery with real estate unless there was a major crash.    

At the end of the day I use spreadsheets. If the math works, be it a home for you to live in or a revenue property, then I would be inclined to go through with a deal. If the math doesn't work, then be patient and try again when the numbers make more sense.  

Source: Mark Ting, CBC News

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