The BC Real Estate Discussion Thread

[Harvey Spector]

Home buyer demand continues to differ based on housing type

Apartment and townhome activity is outpacing the detached home market across Metro Vancouver. This activity helped push total residential sales above the historical average in September.

 

The Real Estate Board of Greater Vancouver (REBGV) reports that residential property sales in the region totalled 2,821 in September 2017, a 25.2 per cent increase from the 2,253 sales recorded in September 2016, and a 7.3 per cent decrease compared to August 2017 when 3,043 homes sold.

 

Last month’s sales were 13.1 per cent above the 10-year September sales average.

 

“Our detached homes market is balanced today, while apartment and townhome sales remain in sellers’ market territory,” Jill Oudil, REBGV president said. “If you’re looking to enter the market, as either a buyer or seller, it’s important to understand these trends and use this information to set realistic expectations.”

 

There were 5,375 detached, attached and apartment properties newly listed for sale on the Multiple Listing Service® (MLS®) in Metro Vancouver in September 2017. This represents a 12 per cent increase compared to the 4,799 homes listed in September 2016 and a 26.6 per cent increase compared to August 2017 when 4,245 homes were listed.

 

The total number of homes currently listed for sale on the MLS® system in Metro Vancouver is 9,466, a 1.2 per cent increase compared to September 2016 (9,354) and a 7.5 per cent increase compared to August 2017 (8,807).

 

“Detached homes made up 30 per cent of all sales in September and represented 62 per cent of all the homes listed for sale on the MLS®,” said Oudil. “This dynamic has slowed the pace of upward pressure that we’ve seen on detached home prices in our market over the last few years.”

 

For all property types, the sales-to-active listings ratio for September 2017 is 29.8 per cent. By property type, the ratio is 14.6 per cent for detached homes, 42.3 per cent for townhomes, and 60.4 per cent for apartments.

 

Generally, analysts say that downward pressure on home prices occurs when the ratio dips below the 12 per cent mark 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 $1,037,300. This represents a 10.9 per cent increase over September 2016 and a 0.7 per cent increase compared to August 2017.

 

Sales of detached properties in September 2017 reached 852, a 27.9 per cent increase from the sales recorded in September 2016 (666), a decrease of 33 per cent from September 2015 (1,272), and a decrease of 32.9 per cent from September 2014 (1,270). The benchmark price for detached properties is $1,617,300. This represents a 2.9 per cent increase from September 2016 and a 0.1 per cent increase compared to August 2017.

 

Sales of apartment properties reached 1,451 in September 2017, a 19.1 per cent increase compared from the sales recorded in September 2016 (1,218), a 5.1 per cent decrease from September 2015 (1,529), and a 22.1 per cent increase from September 2014 (1,188). The benchmark price of an apartment property is $635,800. This represents a 21.7 per cent increase from September 2016 and a 1.4 per cent increase compared to August 2017.

 

Attached property sales in September 2017 totalled 518, a 40.4 per cent increase compared to the sales recorded in September 2016 (369), a 4.8 per cent decrease from September 2015 (544), and an 11.6 per cent increase from September 2014 (464). The benchmark price of an attached home is $786,600. This represents a 14.5 per cent increase from September 2016 and a 1.1 per cent increase compared to August 2017.

[Harvey Spector]

BCREA ECONOMICS NOW

Canadian Employment - October 6, 2017

 

Canadian employment increased by 10,000 jobs in September while the the national unemployment rate remained steady at 6.2 per cent. In the twelve months to August, employment in Canada is up 1.8 per cent, or 320,000 jobs. Somewhat tepid job growth along with slumping exports and flat real GDP in recent months means the Bank of Canada will very likely hold off on raising rates at its October meeting.
 
In BC, employment declined for a third consecutive month, falling by 6,700 jobs in September. Full-time employment was up by 5,000 jobs but an 11,600 decrease in part-time work more than offset those gains.   Over the past twelve months, the level of employment in BC is up 3.6 per cent. Despite three months of falling employment, the provincial unemployment rate continued to slide lower due to declining participation in the labour market. The BC unemployment rate fell 0.2 points to 4.9 per cent, the lowest rate since September 2008.

The British Columbia Real Estate Association (BCREA) is the professional association for more than 20,000 REALTORS® in BC, focusing on provincial issues that impact real estate. Working with the province’s 11 real estate boards, BCREA provides continuing professional education, advocacy, economic research and standard forms to help REALTORS® provide value for their clients.

Real estate boards, real estate associations and REALTORS® may reprint this content, provided that credit is given to BCREA by including the following statement: “Copyright British Columbia Real Estate Association. Reprinted with permission.” BCREA makes no guarantees as to the accuracy or completeness of this information.

[Harvey Spector]

 

[Harvey Spector]

REBGV median prices for September 2017 compared to median prices from January 2017:

 

Detached Homes:

 

Vancouver West - increase 13% to $3,662,500

West Vancouver - increase 17% to $3,240,000

Vancouver East - increase 16% to $1,610,000

Richmond - increase 13% to  $1,790,000

North Van - increase 8% to $1,734,250

Burnaby - increase 11% to $1,677,500

Coquitlam - increase 19% to $1,308,000

Surrey - increase 15% to $949,500

 

Attached Homes (Townhouses and Condos):

 

Vancouver West - increase 16%% to $825,000

West Vancouver - increase 7% to $1,288,000

Vancouver East - increase 17% to $625,000

Richmond - increase 18% to $609,500

North Van - increase 13% to $689,000

Burnaby - increase 14% to $584,050

Coquitlam - increase 8% to $512,950

Surrey - increase 14% to $500,000

 

For detached homes prices have gone up everywhere since the start of the year. Double digit increases already in most areas. 

 

For condos and townhouses it's the same thing, double digit increases pretty much everywhere since the start of the year. 

 

Lack of inventory is still the key on the condo side.  Interest rate increases and new stress tests by the banks for qualification of uninsured mortgages may tighten the market moving forward into 2018.  I don't expect detached homes to go up any higher at this point and into 2018.  I think prices for homes will remain flat for the rest of the year and deals could be had into the winter market.  Houses are now taking on average 60-90 days to sell which is a good indicator that prices will stay flat or perhaps fall into 2018.

 

As for condos, there is still demand on the pre-sale side.  They are selling a new development beside Brentwood Mall called Lumina starting at $1100 per foot.  In Port Coquitlam there was a lineup around the block last week for the new pre-sale project called Montrose.  So even in Port Coquitlam there is massive demand for new condos.

 

I think it is hard to predict what will hapoen in 2018 on the condo side.  Lots of my realtor friends think that prices have peaked.  I think there is still some room for prices to go higher into 2018.  The NDP government and the Bank of Canada as well as the major banks will play a key part into what actually happens next year as well as the stock of new and existing inventory of condos.  I don't see any change for this year however as the fall market looks to be quite busy.

[Harvey Spector]

BCREA ECONOMICS NOW

Canadian Housing Starts - October 10, 2017

 

Canadian housing starts decreased by 4 per cent in September to 217,118 units at a seasonally adjusted annual rate (SAAR).  The six-month trend in Canadian housing starts also declined to 214,821 units SAAR.

New home construction in BC rose 6 per cent on a monthly basis to 37,470 units SAAR but was down 18 per cent on a year-over-year basis.  Single detached starts were flat compared to one year ago while multiple unit starts declined 24 per cent year-over-year.

Looking at census metropolitan areas (CMA) in BC: 

• Total starts in the Vancouver CMA fell 13 per cent from August and were down about half compared to September 2016. Multiple unit starts were down 58 per cent from one year ago as record levels of units under construction weigh on new projects.

• In the Victoria CMA market, housing starts continue to surge, rising 127 per cent year-over-year. Multiple unit starts continue to drive new home construction, with starts more than triple levels seen last September.

• New home construction in the Kelowna CMA jumped more than 200 per cent year-over-year as close to 350 new multiple unit starts were recorded.

• Housing starts in the Abbotsford-Mission CMA also more than doubled year-over-year due to strong growth in both single and multiple starts.

The British Columbia Real Estate Association (BCREA) is the professional association for more than 20,000 REALTORS® in BC, focusing on provincial issues that impact real estate. Working with the province’s 11 real estate boards, BCREA provides continuing professional education, advocacy, economic research and standard forms to help REALTORS® provide value for their clients.

Real estate boards, real estate associations and REALTORS® may reprint this content, provided that credit is given to BCREA by including the following statement: “Copyright British Columbia Real Estate Association. Reprinted with permission.” BCREA makes no guarantees as to the accuracy or completeness of this information.

[Harvey Spector]

GTA home sales fall 35 per cent in September

Wednesday, October 11, 2017

 

According to the Toronto Real Estate Board (TREB), there were 6,379 home sales in the Greater Toronto Area in September 2017, a decline of 35 per cent year-over-year. The number of new listings in September climbed 9.4 per cent annually to 16,469.

 

“The improvement in listings in September compared to a year earlier suggests that home owners are anticipating an uptick in sales activity as we move through the fall,” said Tim Syrianos, TREB president, in a press release. “Consumer polling undertaken for TREB in the spring suggested that buying intentions over the next year remain strong. As we move through the fourth quarter, we could see some buyers moving off the sidelines, taking advantage of a better-supplied marketplace.”

 

The average selling price of a home in September 2017 was $775,546, up 2.6 per cent compared to one year before. The MLS Home Price Index (HPI) composite benchmark was up by 12.2 per cent year-over-year. One key reason for the divide in annual growth rates between the average price and MLS HPI composite is the fact that in September 2017, there were fewer transactions involving detached homes, which is the most expensive market segment on average.

 

“With more balanced market conditions, the pace of year-over-year price growth was more moderate in September compared to a year ago,” added Jason Mercer, TREB’s director of market analysis. “However, the exception was the condominium market segment, where average and benchmark sales prices were up by more than 20 per cent compared to last year. Together market conditions for condominium apartments follows consumer polling results from the spring that pointed toward a shift to condos in terms of buyer intentions.”

 

https://www.reminetwork.com/articles/gta-home-sales-fall-35-per-cent-september/

[Harvey Spector]

For immediate release

BC Home Sales Ratchet Higher in September

 

Vancouver, BC – October 12, 2017. The . The British Columbia Real Estate Association (BCREA) reports that a total of 8,340 residential unit sales were recorded by the Multiple Listing Service® (MLS®) in September, an increase of 9.9 per cent from the same period last year. Total sales dollar volume was $5.8 billion, up 30.2 per cent from September 2016. The average MLS® residential price in the province was $693,774, up 18.5 per cent from September 2016.

“BC home sales rose nearly 5 per cent from August on a seasonally adjusted basis," said Cameron Muir, BCREA Chief Economist. "Total active listings on the market continue to trend at ten-year lows in most BC regions, limiting unit sales and pushing home prices higher. While the economic fundamentals support elevated housing demand, rising home prices are eroding affordability, particularly for first-time buyers."

 

Year-to-date, BC residential sales dollar volume was down 12.8 per cent to $57.6 billion, when compared with the same period in 2016. Residential unit sales declined 13 per cent to 81,608 units, while the average MLS® residential price was down 0.2 per cent to $705,501.

 

BCREA is the professional association for more than 20,000 REALTORS® in BC, focusing on provincial issues that impact real estate. Working with the province’s 11 real estate boards, BCREA provides continuing professional education, advocacy, economic research and standard forms to help REALTORS® provide value for their clients.

To demonstrate the profession's commitment to improving Quality of Life in BC communities, BCREA supports policies that help ensure economic vitality, provide housing opportunities, preserve the environment, protect property owners and build better communities with good schools and safe neighbourhoods.

For detailed statistical information, contact your local real estate board. MLS® is a cooperative marketing system used only by Canada's real estate boards to ensure maximum exposure of properties listed for sale.

[Harvey Spector]

CRA investigation seeks information to identify B.C. condo-flippers

The Canada Revenue Agency is casting a wide net in its investigation of condo presales, with court documents indicating the agency will seek "any and all correspondence, including emails," between all parties involved in the transactions, including developers, buyers and agents.

 

The agency in July obtained two court orders related to large condo projects in Vancouver and in September, applied for two more, after CRA investigators flagged potential problems in the sector. The CRA wants to ensure all applicable taxes have been paid when a person flips, or assigns, a sales agreement for as-yet-unbuilt condo to another buyer.

 

The CRA knows "from past experience" that profits from assignments may not have been reported for income-tax purposes, CRA investigator Amandeep Sandhu said in a July 20, 2017, affidavit for one of the court proceedings.

 

The CRA is seeking information that would help it identify people who buy and sell presale contracts before a building is completed.

Currently, only the transfer of legal title from the developer to the final purchaser is registered with the BC Land Title Office, the affidavit said; any assignments along the way are not registered.

 

As a result, the agency is unable to identify the assignors – people who sell, or assign, their contracts – from the BC Land Title Office "or any other sources to which the CRA has access," the affidavit says.

 

Developers targeted in the proceedings say they want to co-operate with the CRA but must also comply with privacy laws, and so are releasing information only under court order. The court actions come amid continuing concerns over housing prices in the province, particularly the Lower Mainland. Last week, citing affordability concerns, Vancouver Mayor Gregor Robertson announced he would introduce a motion at the next city council meeting to prioritize sales of new homes to local residents.

 

And housing concerns dominated discussion leading up to Saturday's Vancouver by-election, in which Non-Partisan Association candidate Hector Bremner took a seat formerly held by a Vision Vancouver councillor. (Mr. Robertson and other Vision Vancouver councillors now hold six of 11 council seats.)

 

It is difficult to determine the scope of potential tax issues that may result from presale flips or assignments. The CRA does not track any statistics specifically related to presale flips or assignments.

 

Individual developers track the transactions, which usually involve a fee for developers, but that information is not public.

 

In general, about five or six per cent of overall condo sales in a given year are assigned, or flipped, said Anne McMullin, president of the Urban Development Institute.

 

That percentage varies according to projects and areas and tends to increase when demand is high, she added.

 

According to figures from Urban Analytics, a real estate consulting firm, only 3 per cent of all high-rise units in preconstruction or under construction and scheduled to complete between now and the end of 2022 remain unsold.

 

"This speaks to why prices have continued to escalate, which in turn makes assignments increasingly prevalent," managing principal Michael Ferreira said in an e-mail.

 

The B.C. and federal governments could work together to improve reporting requirements for presale assignments, said Ron Usher, a lawyer and one of the members of a 2016 panel struck to review real estate regulation in B.C.

 

"We've not had a system in place … that requires reporting of the acquisition and disposition of real estate, or interests in land-like contracts that get assigned," Mr. Usher said.

"That's what missing from the system."

 

Authorities could address that gap by making it mandatory to report the acquisition and sale of land, including assignments, Mr. Usher said.

 

CRA could match up the information with tax returns, just as the agency does currently with information for, say, mutual funds or other investment income, he added.

 

People assign contracts for many reasons and the tax consequences vary according to circumstances, Mr. Usher said – some people might be taxed on income, for example, while others might be taxed on a capital gain.

 

"If I do five of these [assignments], it's pretty clearly my business," he said. "If granny is 78 and no longer needs a two-bedroom, she probably is not in the business of flipping condos."

 

The provincial NDP campaigned on commitments to tackle real estate concerns, including a potential speculators' tax.

Following the May election, the NDP and the Green Party struck a power-sharing agreement and took power from the former Liberal government.

 

In a recent statement, B.C. Finance Minister Carole James said the government remains committed to reducing speculation in the real estate market and will review changes to the tax system as part of the planning process for the 2018 budget.

 

https://beta.theglobeandmail.com/news/british-columbia/cra-investigation-seeks-information-to-identify-bc-condo-flippers/article36596875/?ref=https://www.theglobeandmail.com&utm_source=facebook.com&utm_medium=Referrer%3A+Social+Network+%2F+Media&utm_campaign=Shared+Web+Article+Links

[Harvey Spector]

 

[Harvey Spector]

BCREA ECONOMICS NOW OSFI Announcement of Change to Mortgage Underwriting - October 17, 2017   The Office of the Superintendent of Financial Institutions (OSFI) announced new restrictions on uninsured mortgages today. Effective January 1, 2018, all home-buyers with a down-payment of more than 20 per cent will have to qualify at the higher of the posted 5-year qualifying rate and their contractual rate plus 200 basis points (2 per cent).  This is in addition to policy announced in October of 2016 that required all insured borrowers qualify at the posted 5-year qualifying rate.  In addition to the new stress test for uninsured mortgages, OSFI is also requiring lenders to establish and adhere to appropriate loan-to-value limits reflective of risk and the current economic environment and is prohibiting s lending arrangements designed to circumvent loan-to-value limits such as combing mortgages with other lending products.  These new residential mortgage underwriting requirements will apply to all Federally regulated financial institutions.   The impact of the new stress test requirement will be to lower the purchasing power of households by up to 20 cent. Like past tightening of mortgage regulations, we anticipate that the market impact will be sharp but temporary. In the past, we have seen home sales decline in the 3 to 9 months following the implementation of tighter mortgage lending standards, with the severity of the impact fading within one year.  However, these new regulations impact a larger pool of mortgages and so the impact could be more significant than in the past. The British Columbia Real Estate Association (BCREA) is the professional association for more than 20,000 REALTORS® in BC, focusing on provincial issues that impact real estate. Working with the province’s 11 real estate boards, BCREA provides continuing professional education, advocacy, economic research and standard forms to help REALTORS® provide value for their clients. Real estate boards, real estate associations and REALTORS® may reprint this content, provided that credit is given to BCREA by including the following statement: “Copyright British Columbia Real Estate Association. Reprinted with permission.” BCREA makes no guarantees as to the accuracy or completeness of this information.

[Warhippy]

Anyone see what Mayor Moonbeam just did?

 

Passed resolution stating that only locals will be eligible for pre-sale units/buildings when first listed

 

http://dailyhive.com/vancouver/vancouver-priority-pre-sale-homes-plan-approved-october-2017

 

Vancouver City Council has approved a motion to give Metro Vancouver residents priority in pre-sale home purchases in the city.

The motion, proposed by Mayor Gregor Robertson, was approved by Council members in a regular meeting on Tuesday.

 

It was approved in a 7-2 vote, with both NPA councillors George Affleck and Melissa De Genova opposed.

The motion asks City staff to create a framework for new development applications that gives people who live and work in Metro Vancouver the first chance to buy new pre-sale homes here.

In a release announcing the proposal earlier this month, Robertson said anyone living and working in the region would be eligible for priority purchase, regardless of citizenship.

At the time, Robertson said his priority as Mayor is to deliver new housing supply for the people who live and work in Vancouver, first and foremost.

The new policy could follow the example of a program previously used in West Vancouver, where officials struck a deal with Westbank developers for a development in Horseshoe Bay.

That deal stipulated:

• Pre-sales could only be marketed to locals during the first 30 days, and then to residents of Metro Vancouver for the next 60 days
• Pre-sale buyers would have to sign a statutory declaration to show their intention to live in the building and not flip their unit for profit
• Bulk purchases of units would be restricted

[Harvey Spector]

16 hours ago, Warhippy said:

Anyone see what Mayor Moonbeam just did?

 

Passed resolution stating that only locals will be eligible for pre-sale units/buildings when first listed

 

http://dailyhive.com/vancouver/vancouver-priority-pre-sale-homes-plan-approved-october-2017

 

Vancouver City Council has approved a motion to give Metro Vancouver residents priority in pre-sale home purchases in the city.

The motion, proposed by Mayor Gregor Robertson, was approved by Council members in a regular meeting on Tuesday.

 

It was approved in a 7-2 vote, with both NPA councillors George Affleck and Melissa De Genova opposed.

The motion asks City staff to create a framework for new development applications that gives people who live and work in Metro Vancouver the first chance to buy new pre-sale homes here.

In a release announcing the proposal earlier this month, Robertson said anyone living and working in the region would be eligible for priority purchase, regardless of citizenship.

At the time, Robertson said his priority as Mayor is to deliver new housing supply for the people who live and work in Vancouver, first and foremost.

The new policy could follow the example of a program previously used in West Vancouver, where officials struck a deal with Westbank developers for a development in Horseshoe Bay.

That deal stipulated:

• Pre-sales could only be marketed to locals during the first 30 days, and then to residents of Metro Vancouver for the next 60 days
• Pre-sale buyers would have to sign a statutory declaration to show their intention to live in the building and not flip their unit for profit
• Bulk purchases of units would be restricted

This is huge really. Could affect downtown prices moving forward as most of those projects are marketed first in Asia, like Vancouver House for example. 

[taxi]

1 hour ago, Harvey Spector said:

This is huge really. Could affect downtown prices moving forward as most of those projects are marketed first in Asia, like Vancouver House for example. 

Seems like it'd be a pretty easy workaround. All you need is a proxy who is "living or working" in Vancouver. I foresee a lot of students buying multiple high end properties downtown. 

 

Edit: The provincial government needs to close the loophole, which doesn't apply the foreign buyers tax to assignments of pre-sales. The unions and developers won't like that, so the NDP won't do it. 

Edited October 18, 2017 by taxi

[apollo]

1 hour ago, Harvey Spector said:

This is huge really. Could affect downtown prices moving forward as most of those projects are marketed first in Asia, like Vancouver House for example. 

Hmmm I think it will have some affect. But then again, those Chinese/Foreign buyers do have their kids or other relatives living here as "residents"... so surely they'll find a way around it? 

 

But good nonetheless. It will help to some extent. 

 

The main problem IMO still is the fact that developers only build luxury units. 

[taxi]

2 hours ago, apollo said:

Hmmm I think it will have some affect. But then again, those Chinese/Foreign buyers do have their kids or other relatives living here as "residents"... so surely they'll find a way around it? 

 

But good nonetheless. It will help to some extent. 

 

The main problem IMO still is the fact that developers only build luxury units. 

Developers will continue to build only luxury units as long as our archaic zoning laws permit them to profit from that. The zoning laws prevent mass scale development, which insures that supply never reaches demand and that both housing and land is always ultra-expensive. It maximizes return for the select developers who have the sway to get the building permits. Their units are "luxury" and sold at a premium. It also has the added benefit of keeping competing developers out of the market, as the cost of land is too high for any developers but the already established ones. 

[Harvey Spector]

4 hours ago, taxi said:

Seems like it'd be a pretty easy workaround. All you need is a proxy who is "living or working" in Vancouver. I foresee a lot of students buying multiple high end properties downtown. 

 

Edit: The provincial government needs to close the loophole, which doesn't apply the foreign buyers tax to assignments of pre-sales. The unions and developers won't like that, so the NDP won't do it. 

I don’t think every Chinese buyer in Asia has a relative living in Vancouver. I’m sure they would try and find a work around but I’m sure if someone is Chinese and they are waiting in line to buy they will be scrutinized to some degree. At the very least this will stop Westbank and other developers from going to China first to market their properties and give locals a first shot st buying. The biggest problem I see is downtown is already expensive for locals so even if they have a first shot they may still not be able to afford to buy. What they need to do is extend this to all areas of the lower mainland so locals in Burnaby and Coquitlam also have a first shot. 

 

In terms of closing the loophole for assignments that would be almost impossible as the government and CRA don’t have access to any records of assignments. Only the developers who collect a fee and draft up the contract would have access to info on who’s flipping their pre sale condos. Developers would have to willingly give this data to the government and CRA which they most likely will not divulge that easily. However the two cases in front of CRA right now will determine if these developers can be ordered by the courts to give out this info. 

Edited October 19, 2017 by Harvey Spector

[Harvey Spector]

4 hours ago, apollo said:

Hmmm I think it will have some affect. But then again, those Chinese/Foreign buyers do have their kids or other relatives living here as "residents"... so surely they'll find a way around it? 

 

But good nonetheless. It will help to some extent. 

 

The main problem IMO still is the fact that developers only build luxury units. 

The luxury units are primarily located in downtown. The stuff in the suburbs is not luxury. Since developers need to pay $80 million for a parcel of land downtown they need to sell downtown condos at a minimum of $1200 a foot just to break even. So everything downtown for now will be considered luxury if you are paying that kind of money. 

 

If land prices can drop then it’s possible these developers can lower the intial pre sale prices of these condos. We will see what happens with the new mortgage rules taking effect and also the new pre sale rule that allows locals to buy first and see if they have an affect on prices in 2018. 

[Harvey Spector]

BCREA ECONOMICS NOW

Canadian Retail Sales and Inflation - October 20, 2017

 

Canadian inflation, as measured by the Consumer Price Index (CPI), registered 1.6 per cent in the 12 months to September, up from 1.4 per cent in August.  The Bank of Canada's three measures of trend inflation were largely unchanged, averaging 1.6 per cent.   In BC, provincial consumer price inflation was 2.0 per cent in the 12 months to September.  

Canadian retail sales declined 0.3 per cent on a monthly basis in August but were 6.9 per cent higher year-over-year. Sales were down in 8 of 11 retail sub-sectors and excluding the impact of higher gas prices and rising motor vehicle sales, the retail sector was down 1.3 per cent. In BC, after five straight monthly increases, sales fell 1 per cent on a monthly basis, but were up more than 10 per cent compared to September last year.

Given that incoming economic data has been signalling a slowing of the economy and inflation is still essentially treading water below the Bank's 2 per cent target, not to mention the tightening of mortgage regulations by OSFI, we expect that the Bank of Canada will stay on the sidelines at its upcoming October 25th meeting.

The British Columbia Real Estate Association (BCREA) is the professional association for more than 20,000 REALTORS® in BC, focusing on provincial issues that impact real estate. Working with the province’s 11 real estate boards, BCREA provides continuing professional education, advocacy, economic research and standard forms to help REALTORS® provide value for their clients.

Real estate boards, real estate associations and REALTORS® may reprint this content, provided that credit is given to BCREA by including the following statement: “Copyright British Columbia Real Estate Association. Reprinted with permission.” BCREA makes no guarantees as to the accuracy or completeness of this information.

[jayzo]

https://betterdwelling.com/the-future-of-canadian-real-estate-prices-part-3-price-targets-and-recovery/#_

 

Read these Guys. The real estate is not going to look good in 2018...  I see a lot of people are cashing out and selling their condos right now. Typically October is a slow month but I see more listings to the market even assignments. Guess what will happen next...

 

 I feel bad for those people that bought presales recently in New West ,Langley and those paid over $1200-1400/sq ft condos... Increase interest rates, uncertainty to re price in 2 yrs later and mortgage restrictions etc... 

Edited October 22, 2017 by jayzo

[jayzo]

The whole mortgage tidening in 2018 shows that there is a housing bubble. If Bank of Canada doesn't believe that banks can recoup 80% of the value of a house thru a foreclosure sale then you know a crash is coming soon...