The Residential Market in Vancouver, BC Canada
Real Estate in Canada once again had a record breaking of the Real Estate Industry. Though some cities had a quite decreasing number of sales, Toronto and Vancouver continued to boom, closer to a balance and stable real estate industry.
In March 2016, Vancouver Real Estate just hit the new sales record with more than 5000 homes sold in the area according to the Real Estate Board of Greater Vancouver (REBGV), and a leap of twenty seven percent of in the year 2015 in the month of March. This could be a great success of the real estate industry, and of course, this record-breaking of sales won’t be successful without recognizing the efforts of other sectors. The results are scrambling agents dealing with multiple offers everywere in Greater Vancouver. The following have great influences in the mounting of sales:
AVAILABLE JOBS IN THE CITY. With the increasing number of available jobs, Vancouver becomes a very nice place to live in. Even if house rents are lower compared to the worth of a house, workers tend to invest in houses, giving their family a good place to live in. Besides, employment rate in the city is rising and therefore, they do not hesitate in acquiring properties.
POLITICAL AND ECONOMICAL STABILITY. Vancouver attracts people especially the migrants because of it is stable politically and economically. Good education can be provided to the young ones, and it is also considered to be the best place to work. Not only to non-Canadian. People who originally came from Canada are starting to create families and they tend to buy homes and other properties.
GROWING INVESTORS. Even though people are hesitant in acquiring residential properties, still many people do. Most of them came from investors. Instead of renting properties for business, they opt to buy multi- purpose properties. This contributed a lot for Vancouver to hit a higher mark of sales. Many respondents expect foreign investment to continue to flow in Canada, therefore, Vancouver City could be expected to have a higher mark in sales for the following years.
LIBERAL’S MORTGAGE PLAN. The tightened mortgage rules positively affected the higher sales of homes in the start of the year 2016. This plan requires mortgage holders of 10% for houses with a price of above $500,000. Since the rules did not apply for holders who purchased the property before February 15, and only applies to those who will purchase by July, people acquired properties at the beginning of the year which contributed to the higher number of sales by March this year.
INCREASING NUMBER OF IMMIGRANTS. Vancouver is considered to be a global capital for wealth determined-immigration, with 36, 892 immigrants activating permanent residency from the year 2012 to 2012, and up to now still increasing. 66 percent of these immigrants are from mainland China. Moreover, vast number of migrants also came from Taiwan and Hong Kong who are also Chinese, thus increase the number or Chinese permanent residents in Vancouver.
Having received the permanent residency, these immigrants contributed to the growth of real estate industry. Those immigrants probably had acquired properties in the year 2015 to 2016 after having gained from their job over the past years. Moreover, some of them might contributed to the increase number of renters, thus, increase the number of constructing houses for rents.
Further, Chinese are known to be good at creating business. As permanents residents, they are permitted to open businesses in the city. Their business would create more job opportunities and even invite more Chinese nationals to venture in Vancouver and of course, increase number Chinese permanent residents in the future. Presently, 70 percent of the all detached homes on Vancouver’s west side are sold to Chinese.
After three years of topping on the market, Calgary and Edmonton had slipped to mid-table, as Toronto and Vancouver rises. As of the moment, Vancouver can be considered to be an in-demand marketplace for all real estate. According to reports, purchasers for large-dollar land deals have increased significantly from a few years ago. Before, there may be three bidders; but now there were six or seven-- which indicates quite a lot of foreign money. With Vancouver’s economy continues to grow from 2014 to early 2016, it is expected that there will be more foreign investors and migrants who will be flowing Vancouver’s residential sector, offering more promising Real Estate Industry.