REBGV May 2011 Housing Market Update

 

The Real Estate Board of Greater Vancouver (REBGV) housing market update for May 2011 with REBGV president Rosario Setticasi.

Cat: Vancouver Real Estate

Residents vow to fight UBC hospice despite approval

 

A group of Chinese condominium owners in Vancouver says it will continue to fight the University of British Columbia after the school approved construction of a controversial 15-bed palliative care facility.

Six of the condo owners and local Chinese community leaders told a news conference Friday that they're concerned a building housing dying people will bring negative energy and sadness to the area.

Late on Thursday, UBC gave the green light to the controversial hospice, which will be built on a site across the street from the condominium building.

Homeowner Kheri Zhang can't understand why the university won't just find another site on campus.

"We will not give up," said Zhang. "We have rights to stand up, to speak out."

David Choi, chair of the National Congress of Chinese Canadians and a major donor to UBC, said the school has done little to calm concerns.

"Please, please, please seek a more humanistic resolution," said Choi.

UBC spokesperson Stephen Owen said the concerns have been considered, but in the end, the chosen site is the best option.

"Substantial tree screening will be put up," Owen told CBC News Friday. "It's a beautiful architectural design that would fit in any community in Vancouver."

Owen said UBC is offering to work with condo owners who may want to move find comparable homes on campus.

 

Cat: UBC Real Estate

Chinese buyers snap properties overseas over fears of rising inflation

 

Beijing, June 21(ANI): China's elite are snapping up properties overseas in anticipation of domestic inflation continuing to rise.

According to real estate service provider Colliers International, the proportion of Chinese buyers in Vancouver's property market are rising. At the end of the first quarter this year, Chinese buyers accounted for 29 percent of total homebuyers.

China has spent 1.3 billion yuan (200 million dollars) through Colliers' international property department in the past six months, with Canada, the UK and Australia topping among the buying destinations on the list.

"We are expecting a clear increase in the extent of mainland buyers' purchases of overseas properties this year because of the government's rigorous restraint on the number of homes a family can buy in key cities," the China Daily quoted Managing Director of Colliers International (North Asia) Alan Liu, as saying.

Demand from mainland immigrants now accounts for 29 percent of all new homes in Vancouver. The situation in London is similar. Last year, overseas nationals purchased 28 percent of all resale properties across all prime London sites and 54 percent by value in the prime central London area price bracket of over than 5 million pound (8 million dollars), according to Savills research report.
China and the Commonwealth of Independent States (CIS) have seen the biggest increase in global billionaires since 2007.

While CIS buying activity accounts for substantial 15 percent of prime central London purchases by value, Chinese billionaires are yet to have a real impact, accounting for just 3 percent of prime central London resale purchases. But Chinese are increasingly seeking various ways to manage their wealth globally.

"An increasing number of people from the Chinese mainland came to us and put their money into a property trust unit in Jersey to save VAT and avoid heritage tax as well as capital gains tax when trading again," Chief Executive of offshore financial center Jersey Finance, Geoff Cook said.

Copyright Asian News International/DailyIndia.com

Cat: Vancouver Real Estate

Vancouver is Canada's most expensive housing market, report says

 

Vancouver is Canada's most expensive housing market, with average prices for a four-bedroom, two-bathroom home coming in at over $1.546 million, according to the Coldwell Banker Real Estate Home Listing Report.

The report, released Wednesday, is a snapshot survey of average listing prices for four-bedroom, two-bathroom homes in 70 Canadian markets over a six-month period from September 2010 to March this year on coldwellbanker.com.

Vancouver was followed by Kelowna, B.C., at $1.087 million and Burnaby, B.C., at $797,455.

Fort McMurray, Alta., was fourth overall at $652,382 followed by West Kelowna, B.C., ($640,055), Oakville, Ont., ($624,914), Victoria ($540,087), and Surrey, B.C., ($536,109).

Calgary is ranked the ninth, with an average price of $534,912. Sherwood Park, Alta., rounded out the top 10 at $534,850.

In the survey, Vancouver was ranked the third most expensive market in North America behind California's Newport Beach ($2.5 million US) and Pacific Palisades ($1.6 million US).

Windsor, Ont., was Canada's most affordable market at $144,456.

© Copyright (c) The Vancouver Sun

China bringing wealth to Vancouver

 

VANCOUVER • The rising price tags on luxury houses on Vancouver’s west side are a sign of China’s expanding wealth as Chinese mainland buyers seek a home for cash in the face of real estate investment curbs at home.

There is no reliable data on how much Chinese money is flowing to Vancouver, but industry watchers say enough has gone into several high-end neighbourhoods to skew Canada’s national real estate data.

Stories abound about cash buyers, who won’t be vulnerable when interest rates rise, and of bids that far exceed the asking price.

“Placing the money is really what they’re doing. They’re parking it, like in a bank,” says Cam Good, president of TheKey.com, which markets Canadian property to Chinese buyers and recently opened its second China office.

The Canadian Real Estate Association in May revised its 2011 average price forecast up because of a jump in Vancouver area multi-million dollar property sales.

Vancouver area real estate spending was up 10% from a year-ago in April, and the average price was up 21% to $815,252. The national average is $372,544; the GTA’s is $486,223. 

The rise in Chinese spending in Vancouver mirrors similar trends from other emerging economies, including a reported spike in property buying in New York by Brazilians.

Chinese money first went into real estate in Britain and Australia, and then to Canadian cities like Vancouver and Toronto, says Scott Brown, a senior vice-president at broker Colliers International in Canada, who sees little chance that the trend will fade. “It is in its early stages,” he says.

China’s efforts to control spiking domestic real estate prices means it may be easier for wealthy individuals to invest abroad than at home.

 

In theory, the Chinese government can limit capital outflow, but in reality the wealthy find it relatively easy to avoid the controls.

“As the government sought to calm the runaway real estate market, it’s inevitable that some of this capital will leak overseas, seeking higher returns,” says Alistair Thornton, an economist with IHS Global Insight in Beijing. “Also, if you bought a house in Vancouver, it also is a hedge against future Chinese growth, because there is something solid there and you can live in it if something goes wrong.”

With the buying so far restricted to a few neighbourhoods in and near Vancouver, the impact of Chinese buying may also be somewhat overstated, says Cameron Muir, chief economist at the British Columbia Real Estate Association.

“The footprint is surprisingly small given the amount of media coverage it has received,” he says.

The surge in Vancouver real estate prices has prompted some calls for curbs on foreign investments to prevent local residents from being priced out of their own market.

The jump has also raised alarm bells for economists, but the lack of firm data on who is buying and why makes it difficult to say if Vancouver has a real estate bubble or not.

Robert Hogue, an economist at Royal Bank of Canada, is careful not to describe the Vancouver market as a bubble. But like many, he sees it as “a real risk area.”

“Vancouver’s average house price has doubled in six years, just a couple years longer than it took Las Vegas’ prices to do the same,” Bank of Montreal economist Sal Guatieri wrote in a report last month.

“The latter was driven by a wave of sub-prime buyers, while the former is being fuelled by a wave of foreign investors. If the latter ebbs, it could leave a serious undertow in its wake: sinking prices.”

Cat: Vancouver Real Estate

Real Estate Board of Greater Vancouver May 2011 Stats

 

Greater Vancouver housing market holds steady and favours sellers in May

Home sales remained at typical springtime levels on the Multiple Listing Service® (MLS®) in Greater Vancouver in May.
The Real Estate Board of Greater Vancouver (REBGV) reports that residential property sales of detached, attached and apartment properties in Greater Vancouver reached 3,377 in May 2011, a 7 per cent increase compared to the 3,156 sales in May 2010 and a 4.7 per cent increase compared to the 3,225 sales in April 2011.

Looking back further, last month’s residential sales are 8.1 per cent below the ten-year average for sales in May. The three highest selling Mays ever recorded occurred in 2005, 2006 and 2007 when sales exceeded the 4,000 mark each year.

“With a sales to active listings ratio of 23 per cent, conditions continue to favour sellers in the Greater Vancouver housing market, but activity has eased away from the near record-setting pace we saw in March,” Rosario Setticasi, REBGV president said.

New listings for detached, attached and apartment properties in Greater Vancouver totalled 5,931 in May 2011. This represents a 15.4 per cent decrease compared to May 2010 when 7,014 properties were listed for sale on the MLS®, which was the second highest total for May on record. Last month’s new listings increased 1.4 per cent compared to April 2011.

At 14,656, the total number of residential property listings on the MLS® increased 2 per cent in May compared to last month and declined 16 per cent from this time last year.

The MLSLink® Housing Price Index (HPI) benchmark price for all residential properties in Greater Vancouver over the last 12 months increased 6.2 per cent to $627,568 in May 2011 from $590,662 in May 2010.

“We’re seeing more activity at the high end of our market this year than we did one year ago. This is causing today’s average prices in the region to be less reflective of the total activity occurring in the marketplace,” Setticasi said. “The Housing Price Index benchmark prices are more accurate, reliable indicators of housing prices compared to averages.”

Of all residential properties sold on the MLS® in Greater Vancouver in 2011 to date 21 per cent sold for $1-million or higher and 20 per cent sold for $350,000 or lower. While 77 per cent of the properties that sold for over $1-million were located in West Vancouver, the Westside of Vancouver or Richmond, the properties that sold for $350,000 or lower were located throughout the entire Board area.

Sales of detached properties on the MLS® in May 2011 reached 1,570, an increase of 25 per cent from the 1,256 detached sales recorded in May 2010, and a 12 per cent increase from the 1,402 units sold in May 2009. The benchmark price for detached properties increased 10 per cent from May 2010 to $890,833.

Sales of apartment properties reached 1,228 in May 2011, a 9.3 per cent decrease compared to the 1,354 sales in May 2010, and a decrease of 15.8 per cent compared to the 1,458 sales in May 2009. The benchmark price of an apartment property increased 2.2 per cent from May 2010 to $407,419.

Attached property sales in May 2011 totalled 579, a 6 per cent increase compared to the 546 sales in May 2010, and a 12.8 per cent decrease from the 664 attached properties sold in May 2009. The benchmark price of an attached unit increased 3.5 per cent between May 2010 and 2011 to $517,787.

View complete stats package by clicking below:

 

The CREA updates resale housing forecast for April 2011

 

The Canadian Real Estate Association (CREA) has revised its forecast for home sales activity via the Multiple Listing Service® (MLS®) Systems of Canadian real estate Boards and Associations for 2011 and 2012. National sales activity is now expected to reach 441,100 units in 2011, a decline of 1.3 per cent from 2010. This is a slight improvement from the 1.6 per cent decline forecast by CREA in February, due to stronger than expected activity in British Columbia in the first quarter of 2011.

Greater Vancouver housing market sees typical spring activity in April

 

VANCOUVER, B.C. – May 3, 2011 – Greater Vancouver saw a typical, solid month of residential home sales on the Multiple Listing Service® (MLS®) in April, in contrast to the near record pace witnessed in the two preceding months.

The Real Estate Board of Greater Vancouver (REBGV) reports that residential property sales of detached, attached and apartment properties in Greater Vancouver reached 3,225 in April 2011, an 8.2 per cent decrease compared to the 3,512 sales in April 2010 and a 21 per cent decline compared to the 4,080 sales in March 2011.

Looking back further, last month’s residential sales represent an 8.8 per cent increase over the 2,963 residential sales in April 2009, relatively unchanged compared to April 2008, and a 4.8 per cent decline compared to the 3,387 sales in April 2007.

“While it continues to be a seller’s market in Greater Vancouver, last month’s activity brought greater balance between supply and demand in the overall marketplace,” Rosario Setticasi, REBGV president said. “The year-over-year decline in April sales can be attributed to a less active condominium market on our MLS®, as there were more detached and townhome sales this April compared to last year.”

New listings for detached, attached and apartment properties in Greater Vancouver totalled 5,847 in April 2011. This represents a 23.5 per cent decline compared to April 2010 when 7,648 properties were listed for sale on the MLS®, which was an all-time record for April. Compared to March 2011, last month’s new listings total registered a 14 per cent decline.

At 14,187, the total number of residential property listings on the MLS® increased 8.2 per cent in April compared to last month and declined 10 per cent from this time last year.

“There’s considerable variation in activity within the communities in our region. This is causing home price trends to differ depending on the area,” Setticasi said. “Your local REALTOR® is a valuable resource for obtaining the most accurate, up-todate market evaluation.”

The MLSLink® Housing Price Index (HPI) benchmark price for all residential properties in Greater Vancouver over the last 12 months has increased 5 per cent to $622,991 in April 2011 from $593,419 in April 2010.

Sales of detached properties on the MLS® in April 2011 reached 1,402, an increase of 2.3 per cent from the 1,370 detached sales recorded in April 2010, and a 17.8 per cent increase from the 1,190 units sold in April 2009. The benchmark price for detached properties increased 7.4 per cent from April 2010 to $879,039.

Sales of apartment properties reached 1,201 in April 2011, a 21.3 per cent decrease compared to the 1,526 sales in April 2010, and an increase of 1.9 per cent compared to the 1,179 sales in April 2009. The benchmark price of an apartment property increased 2.9 per cent from April 2010 to $409,242.

Attached property sales in April 2011 totalled 622, a 1 per cent increase compared to the 616 sales in April 2010, and a 4.7 per cent increase from the 594 attached properties sold in April 2009. The benchmark price of an attached unit increased 2.4 per cent between April 2010 and 2011 to $514,670.

 

BCREA Housing Market Update - Diverging Market Statistics (Apr 2011)

 

BC Real Estate Association (BCREA) Chief Economist Cameron Muir discusses the March 2011 statistics and an in depth look at diverging market statistics.

 

Cat: Vancouver Real Estate

Canada National home sales hold steady in March 2011 - CREA Report

 

According to statistics released by The Canadian Real Estate Association, the number of homes sold through the Multiple Listing Service (MLS) Systems of Canadian real estate Boards declined in January 2010 from the previous month.