Vancouver House Market

by Various Authors

Interesting excerpts on the housing market in Vancouver British Columbia.

Renting in Vancouver vs Owning - Olympics are coming

I own over 10 properties in various places. However the Vancouver house market makes me think twice, currently a renter in Vancouver is definitely getting the better side of things than an owner, if they are entering the market now.

The only thing your comment justifies is that the other 2 posts regarding banks forecasting 40 or 100 years into the future is bogus.

Also, please note that most publications made by Financial Institutions to the general public are in fact made by junior level people, who do not have the knowledge to make such statements.

My in depth research and multiple success stories is what I am basing my prediction on, and it is a prediction, not a fact. I am also posting to protect new potential home buyers who don't yet have the experience.

The worst thing one can do, is take the roof from over someones head, and this is the way the future is looking for a substantial amount of people.

BTW, getting a 40 year mortgage at 6% fixed however, is a good deal, for Canada.

Vancouver Housing Market Crash, Not so!

I don't know why so many of you keep talking about the housing crash. Those who believe it will come usually don't own homes and are hoping for such a disaster. And if this bubble should come, most of these people will still not have the ability to buy. They continue to rent and spend their money on videogames and computers so they can live an imaginary life of grandeur.

Bottom line: if you own property... you will always be ahead even with a slump in the market. Keep dreaming about your Shaughnessy homes you losers.

Vancouver Housing Market to Crash in 2009

With market trends the way they are, taking into consideration the economy, affordability, currency, supply/demand etc., you can expect to see the housing market in Canada crashing at the end of 2009.

We are lucky however to be in Vancouver, where the foreign investors will minimize our crash in comparison to what will be witnessed in Calgary. We should be able to get away with approx 10-20% drop in prices for homes, and approx., 30-40% in the condo market.

Before you decide to buy in Vancouver make sure you are buying because you want to live here and not move for at least 15 years, and not to speculate.

Calgary will have a more substantial drop of between 40-50% in condos and housing.

Ground yourself with knowledge before buying, and make sure that you can afford to pay a 15% interest rate on your mortgage. Remember, in the 80's rates were at 18-21% and the housing market corrected by 40% in Calgary! People had to walk away from their homes. The market looks exactly the same now as it did back them, and history has a tenancy to repeat itself.

BE CAUTIOUS, BUY FOR THE RIGHT REASONS IN THE VANCOUVER HOUSE MARKET!

Housing markets are cyclical. They go up and down.

If you look at the latest chart from the Real Estate Board of Greater Vancouver house market regarding Average Price Graph Jan 1997 to Jan 2008, you will see the following:

If you bought a house in 1980, it dropped in value approx. 40% within 2 years, and took a total of 7.5 years to recover to the same value!

If you bought a house in 1990, it dropped in value approx. 20% within 1 years, and took a total of 2 years to recover to the same value!

If you bought a house in 1995, it dropped in value approx. 25% within 4 years, and took a total of 8 years to recover to the same value!

HYPOTHETICALLY this means:

If you bought a house in 2008, it COULD drop in value anywhere from 20% to 40% within a couple years, and POTENTIALLY take a total of 8 years (thats year 2016) to recover to the same value!

Of course no one knows for sure, but history has ALWAYS repeated it self.

SO, if you plan on buying a place, make sure you can afford it (even in a recession), and be able to hang onto it for at least 10 years without missing your payments.

Check back for more articles on the Vancouver House Market.