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Time Lapse of Vancouver

Tue, 14 Nov 2017 17:01:09 GMT

New help for 1st time home buyers

Thu, 15 Dec 2016 19:35:45 GMT

A new government program promises to match the down payment for eligible first-time homebuyers.

The BC Government has announced today the BC Home Owner Mortgage and Equity Partnership Program.

Under the program, the BC government will match down payment funds of eligible first-time homebuyers up to $37,500 with a 25-year term second mortgage.

As an example, a buyer purchasing a $500,000 home can put down 5% using $12,500 of their own funds and $12,500 from the BC Home Partnership Program.

No payments are required and no interest will accrue until the sixth year of the mortgage term.

The program was announced by Premier Christy Clark Thursday afternoon. Samantha Gale, executive director at the Canadian Mortgage Brokers Association, attended the announcement.

“This is a necessary program which will assist many first time home buyers to enter the housing market at a time when housing affordability is a serious challenge. This program will provide tangible, necessary assistance which will facilitate the purchase of first homes for many BC residents struggling to save sufficient funds for a property down payment,” Gale said. “There are many potential buyers in BC who simply cannot afford to buy a home because they do not have the necessary down payment saved, despite having sufficient income to qualify for their mortgage payments.

“We find that most potential buyers are aiming to put down on a property purchase either the minimum 5% for an insured mortgage or 20%, so that their mortgage is conventional with no CMHC fees. We at the CMBA, believe that the borrowers who are aiming to put 5% down are the ones whom this program is likely to benefit the most.”

Applications for the program will be accepted starting January 16 up until March 31.

Below are the qualification requirements. Buyers must:

•             Reside in the home
•             Be a first-time homebuyer
•             Be a Canadian citizen or permanent resident for 5 years
•             Have resided in BC for at least one year
•             Have a combined gross income of $150,000 or less
•             Have saved at least half of the minimum down payment they will require, and
•             Be pre-approved for a 1st mortgage before applying. Brokers should treat the second mortgage as a non-traditional source of down payment.

Additionally, the property must be the principal residence for the first five years, must cost less than $750,000, and must not be a rental or recreational property

New 15% tax for foreigners on Vancouver real estate

Tue, 26 Jul 2016 13:55:51 GMT

Just announced!

http://www2.gov.bc.ca/assets/gov/taxes/property-taxes/property-transfer-tax/forms-publications/is-006-additional-property-transfer-tax-foreign-entities-vancouver.pdf

Vancouver to tax vacant homes

Tue, 12 Jul 2016 18:30:15 GMT

The City of Vancouver is one step closer to introducing a vacancy tax that will target homes and condos that sit empty for the majority of the year after the provincial government on Monday committed to introducing the needed legislation in a rare summer sitting of the legislature.

Finance Minister Mike de Jong said Monday that the House will convene on July 25 to pass new legislation that will effectively amend the Vancouver Charter and provide the city with statutory authority to introduce and administer Mayor Gregor Robertson’s proposed vacancy tax.

As well, de Jong said the government will use the summer session to introduce legislation that will end the self-regulation of B.C.’s real estate industry, a move promised by the government earlier this month following release of a scathing report of the sect0r by an independent advisory group.

De Jong’s announcement responds to a request late last month by Robertson for the province’s support to impose a vacancy tax as a way of encouraging some of the owners of an estimated 10,800 vacant residences to rent, thereby increasing the city’s rental stock.

At the time, Robertson warned that the city was prepared to push ahead with the tax with or without the province’s help. On Monday, De Jong agreed that the proposal is a way to increase rental supply while waiting for some of the city’s pending housing projects to come online.

“It strikes us that if the city wants to do this, it is a reasonable request on their part,” he said. “We want to ensure the City of Vancouver has clear statutory authority to do this. But, it is ultimately their decision to proceed. We want to ensure that they have all of the information that is available to the province, that could reasonably be expected and be needed to effect enforcement of a measure like this when it is up and running.”

Robertson welcomed the province’s support at a press conference held later on Monday, saying it was a positive step in the right direction. He did note, however, that a lot of work around the details — including the rate of the tax, how it will be administered and what data the provincial government will supply to the city — still need to be ironed out.

“We want to make sure it is fair, we want to be sure it’s focused on homes that are empty 12 months a year and that we are using all the data that has already been collected, whether that’s provincial data or city data we are using, that to make sure we administer this fairly and efficiently,” he said.

“We are working on the next steps with the province on exactly how we collect the data [and] administer the empty home tax. So we haven’t gotten to the point where we’ve made decisions on how this is going to be administered.”

De Jong said the day-to-day administration of the tax will be the city’s responsibility.

Robertson is hopeful other communities, particularly ones around Metro Vancouver, will push forward with their own empty-home tax as a way of increasing rental stock — a move that will require legislative changes to the Community Charter — noting that Vancouver is not alone in dealing with a vacancy crisis.

“The whole region is dealing with a vacancy crisis,” he said. “Rental housing is in short supply.”

De Jong said Vancouver is the only jurisdiction to date that has put forward a formal request for a vacancy tax.

NDP housing critic David Eby slammed the government on Monday for not acting fast enough on the affordability crisis, saying the only reason the government has decided to support Vancouver’s vacancy tax is because the B.C. Liberals are polling badly in Metro Vancouver.

The announcement also does nothing to address the issue of housing affordability in other communities, he said.

“If the mayor of Vancouver is happy with this, then I’m glad,” said Eby. “But the reality is that the province has responsibility for Metro Vancouver, and for the other areas that have identified this as an issue and this is a zero response for those residents that are grappling with unaffordability across the region.”

colivier@postmedia.com

Source: Vancouver Sun

Ultimate in Luxury and Privacy in the heart of downtown Vancouver

Wed, 15 Jun 2016 16:36:13 GMT

Welcome to this gorgeous Manhattan style urban home at the Iliad, a boutique luxury Yaletown building with only 11 units. This whisper quiet home spans over the entire side of the building and is truly unique as well as irreplaceable. The space has been extensively renovated and suits the tastes of even the most discerning buyer. Walk into the impressive entrance with soaring 30 foot ceilings, 3 fireplaces and immediately be drawn to the top floor which is a perfect entertaining space that has been strategically designed. The crisp white walls combined with the dark hardwood floors and ebony accent chandelier and décor make for a classy, elegant and sophisticated feel. The chef’s kitchen comes complete with granite countertops, high end stainless steel appliances including 6 burner plus griddle gas range and dishwasher, sub zero refrigerator, hvac system, air conditioning and surround sound throughout. The enormous master bedroom leads out onto one of two patios, not to mention the gorgeous spa inspired master ensuite with soaker tub, white marble countertops, beautiful hand laid Italian glass signature wall, his and hers sinks and rain shower. Middle floor boasts large second bedroom also with ensuite and fireplace as well as laundry area, and entry level consists of third room making an ideal office with built ins and storage room. 2 great patios on top floor east and west providing a nice cross breeze and overlooking trees for a lush urban feel combined with extreme privacy. 3 stories of unsurpassed luxury. This home has been specifically designed to provide incredible room separation allowing for ultimate peace and comfort . The architecturally designed concrete and steel building is ideally situated in the heart of Yaletown on this quiet tree lined street. Just steps to the city’s finest dining, lounges, café, boutique shops and the Canada Line. A commanding location for an elevated lifestyle awaits you.

http://vancouvercentury21.com/mylistings.html/details-56725744

A bold architectural statement in the heart of Vancouver - 1247 Homer Street

Fri, 10 Jun 2016 23:45:08 GMT

Finally a unique home that offers total privacy in the heart of Vancouver. This Urban Home offers 30 ft. ceilings and offers over 2500 sq. ft. of living space spread out over 3 levels. Check out the pictures and floorplan

http://vancouvercentury21.com/mylistings.html/details-56725744

New building in Yaletown - 8X

Mon, 16 May 2016 20:52:47 GMT

The newest edition to Yaletown living - 8X! On the edge of Emery Barnes Park, 200 homes elevated 35 stories finished with the highest qualities and offering a Skylounge and Skyfitness centre.
Contact Mike Walton for pricing and floorplans.

Yaletown loft building 1245 Homer - the Iliad

Sat, 07 May 2016 19:35:11 GMT

Looking for one of the best loft buildings in Vancouver? The Iliad is centrally located in downtown Vancouver in the heart of Yaletown - Vancouver's trendiest neighborhoods. Steps from the finest dining, best nightlife, seawall,parks, and incredible shopping - the Iliad offers 11 unique homes. Gargoyles on the roof look over the building and has some of the best floorplans in the city. If you are looking for privacy then look no further. The homes are strategically designed to offer the utmost in privacy.
Currently there is one home available. A unique urban home offering over 2500 sq. ft. of indoor and outdor space spread out over 3 levels. 30 ft. ceilings as you enter through your private entrance to the Manhattan style home. Completely re-done by the current owner with no expenses spared.
Click the link below to view details, pics and interactive floorplan.

http://vancouvercentury21.com/mylistings.html/details-56725744

Art lover? 1247 Homer

Wed, 04 May 2016 13:29:10 GMT

Are you an art lover looking for a home to display your collection? Tired of not being able to find a home with enough wall space? Well we are proud to announce our newest listing that offers tons of space for any collection size. As you enter through your private entrance, you are greeted with 30 ft. ceilings with stairs that lead you to the top floor where all the entertaining space is located. This is an ideal home for the art lover who would love to showcase their collection.

Check out the details below

http://vancouvercentury21.com/mylistings.html/details-56725744

1247 Homer St. Agents Open today!

Fri, 29 Apr 2016 13:01:16 GMT

We will be hosting an Agents Open today from 10 am - 12 pm. Feel free to bring your clients. This one is not to be missed. 3 level Urban Home in the heart of Yaletown! Spread out across the entire side of the building with soaring 30 ft. ceilings. in the Iliad - one of Vancouver's premiere buildings. The home has been strategically designed with all the main living spaces on the top floor offering total peace and quiet and has been finished by the highest standards. Hope to see you shortly! Check out the interactive floorplan for 1247 Homer St. in the link below

http://vancouvercentury21.com/mylistings.html/details-56725744

1247 Homer St. new listing

Thu, 28 Apr 2016 04:52:00 GMT

We are proud to present our new listing in Yaletown at 1247 Homer St. in the heart of Vancouver. Check it out in our featured listing. This home is simply irreplaceable. Urban home with 30 ft. ceilings. Just had a VIP preview with select agents and the feedback was overwhelming. Come by Friday 10 am - noon for a preview. This is a home not to be missed.

http://vancouvercentury21.com/mylistings.html/details-56725744

Another record month of home sales

Mon, 07 Mar 2016 16:57:28 GMT

Last month was the highest selling February on record for the Metro Vancouver housing market, according to the Real Estate Board of Vancouver.

Photograph by: Jason Payne , PNG

METRO VANCOUVER -- Last month was the highest selling February on record for the Metro Vancouver housing market, according to the Real Estate Board of Vancouver.

Residential property sales in the region, which covers areas from Whistler to South Delta, totalled 4,172 in February 2016, up 36.3 per cent from a year ago.

The sales in February were 56.3 per cent above the 10-year sales average for the month and rank as the highest February sales total on record.

"We're in a competitive, fast-moving market cycle that favours home sellers," Darcy McLeod, REBGV president said. "Sustained home buyer competition is keeping upward pressure on home prices across the region."

New listings for detached, attached and apartment properties in Metro Vancouver totalled 5,812 in February 2016. This represents an increase of 7.1 per cent compared to the 5,425 units listed in February 2015 and is up 30.8 per cent compared to January 2016 when 4,442 properties were listed.

"We're beginning to see home listings increase as we head toward the spring market; however, additional supply is still needed to meet today's demand," McLeod said.

The total number of properties currently listed for sale on the Multiple Listing Service system in Metro Vancouver is 7,299, a 38.7 per cent drop compared to a year ago. The sales-to-active listings ratio in February 2016 was 57.2 per cent. The REGBV said: "Generally, analysts say that downward pressure on home prices occurs when the ratio dips below the 12 per cent mark, while home prices often experience upward pressure when it reaches the 20 to 22 per cent range in a particular community for a sustained period of time."

The Fraser Valley Real Estate Board also reported sizzling February numbers with 2,387 sales, up 79 per cent compared to a year ago. This is 46 per cent over the 10-year average for the month of February and four per cent higher than the previous record of 1,948 sales in February 1992.

"In my twenty-five years of real estate, I have never seen such consistent demand for housing in the Fraser Valley," said Charles Wiebe, president of the FVREB. The board said across Fraser Valley, the the average number of days to sell a single family detached home in February 2016 was 21 days, compared to 41 days in February 2015.

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New changes to Property Transfer Tax

Wed, 17 Feb 2016 17:20:54 GMT

February 16, 2016

BC Budget 2016 – the impact on you and your clients

The BC government introduced its 2016 budget today. The budget included a number of items intended to affect affordability and availability in the Lower Mainland’s housing market.

Here’s a summary:

Property Transfer Tax (PTT)

• a New Housing exemption will apply to newly built homes or newly subdivided units priced up to $750,000, saving buyers up to $13,000; and

• a partial exemption will apply on newly built homes priced $750,000 to $800,000.

• a new 3% PTT rate will apply to the portion of a home sale that exceeds $2 million. For homes that sell for below $2 million, the PTT will continue to apply at a rate of 1% on the first $200,000 and 2% on the balance.

These changes will take effect on February 17, 2016.

“While we applaud the government’s efforts to improve affordability for home buyers purchasing new housing, there’s more work to be done, including indexing PTT thresholds to keep pace with changes in home prices over time,” Darcy McLeod, Board president said.

Data collection

Starting this summer, individuals and corporations buying property must disclose if they are Canadian citizens or permanent residents of Canada and if neither, their home country. These changes will provide information on the volume of foreign investment in BC.

Your Board supports this change. We advocated for this initiative in a letter to the Finance Minister earlier this year.

Home Owner Grant

The Home Owner Grant threshold will increase to $1.2 million from $1.1 million for the 2016 tax year.

Affordable housing

The province will invest $355 million to help the BC Housing Management Commission support more than 2,000 affordable housing units for residents with low-to-moderate incomes.

Watch for more information on today’s budget in next week’s edition of our REALTOR® News.

Additional government resources:

New mortgage rules kick in effect today

Mon, 15 Feb 2016 16:28:15 GMT

OTTAWA - New federal rules for Canadian mortgages have now gone into effect.

The changes affect properties that cost more than $500,000 — a small percentage of the overall market.

Buyers can still have a five per cent down payment on the first $500,000 of a home purchase but must now put at least 10 per cent down on the portion above $500,000.

Finance Minister Bill Morneau has said the new measure — effective Monday — aims to ensure buyers have sufficient equity in their homes.

Lenders also face new capital requirements to keep pace with the growing risk of the real estate markets that they bankroll.

And Canada Mortgage and Housing Corp. will change the fees it charges issuers of mortgage-backed securities.

The Finance Department has tightened mortgage rules on several occasions in recent years — along with requiring stricter enforcement and management of loans — to weed out marginal

Sourece: Yahoo

Multi family buildings a hot commodity in Vancouver

Sat, 23 Jan 2016 19:33:49 GMT

In Metro Vancouver last year, 181 rental apartment buildings were sold. The average price per suite was $362,424 in the city and $205,476 in the suburbs.

Photograph by: ian lindsay , Vancouver Sun

Sales of rental apartment buildings in Metro Vancouver surged 47 per cent in 2015 — and the total value of all sales of apartment buildings went up 99 per cent from 2014.

But that’s because most of the apartment blocks sold were bigger. The number of suites in the 181 buildings sold in 2015 was 6,259, up from 3,282 in 123 buildings the year before. The average price paid per suite was up only five per cent, to $247,879 in 2015 from $237,025 in 2014.

The figures come from the Goodman Report, a newsletter for apartment owners put out by commercial realtors David and Mark Goodman.

David Goodman said the increase was due to several factors.

“Obviously there’s low interest rates,” said Goodman.

“There’s a significant lack of supply. There’s just not enough land in the Lower Mainland, and when there is land it’s difficult as hell to develop new rentals, very difficult.

“Besides that, there is a staunch opposition to tearing down older rental buildings. It seems to be ingrained in the DNA of politicians — protect at all costs existing rentals.”

Goodman tracks 3,020 apartment buildings in Metro Vancouver. Last year 78 buildings were sold in Vancouver and 103 in the suburbs. The average price per suite was $362,424 in the city and $205,476 in the suburbs.

In dollar value, this worked out to sales of more than $612 million in Vancouver, and more than $938 million in the suburbs, for a total of more than $1.5 billion.

There were 17 apartment blocks sold in the West End, 15 in Kitsilano, and 14 in both East Vancouver and Marpole. The highest prices per suite were registered by buildings near UBC, $769,231, followed by Kerrisdale at $611,340 and the West End at $392,192.

Burnaby led the suburbs with 36 sales of apartment buildings, followed by New Westminster with 22 and North Vancouver with 10.

The prices paid were significantly less than in the City of Vancouver. Apartments in North Van sold for $289,362 per suite, in Burnaby for $260,036 and in Richmond for $251,880. Apartments in Maple Ridge sold for $92,614 per suite, and in Surrey for $128,419.

Goodman said most buyers of rental apartments are local.

“I would say 80 per cent of them are local,” he said.

“We know them all, it’s the same players over and over again. What has changed a bit this year is that there is investment coming in from China. Not an avalanche, they’re (usually) buying land.”

Goodman said the net result of all the sales will be that rents will go up. But there are other factors in those rent increases, such as when a long-term tenant moves out and a landlord renovates the suite.

“Why have rents gone up beyond 2.9 per cent, which is the mandated rent increase? Because if you own a building and you’ve had a tenant living there for 14 years and they finally leave, it goes from typically $900 or $1,000 to $1,400.

“And they paint it, they spend money on the suite, they’ll spend $10,000 to $15,000 on a unit and mark it up 30/40 per cent. Well, when you have some of those happening, it skews the 2.9 so it reports as four to five per cent.”

Vancouver councillor Geoff Meggs notes that half the city’s population lives in an estimated 67,000 rental apartments. He said the high prices paid for apartment blocks is “worrisome,” and said the city is doing everything it can to keep and expand rental stock.

“In Vancouver and I think maybe North Van you have to replace a rental unit if you tear it down,” Meggs said.

“But in some other municipalities, notably Burnaby, that’s not the case. And we’ve seen significant losses, which is discouraging. These are valuable lower-cost units, and they’re being snapped up in some cases for redevelopment as condominiums, depending on the municipality.”

Meggs said Vancouver insists developers build rental apartments in any new project.

“All major developments already have a 20 per cent requirement in our case,” he said.

“If it’s too small a project to warrant construction of the units right there, the money goes into a fund instead and we build it nearby. The rental program requires it to stay rental for 60 years or the life of the building, whichever is longer.”

Goodman said that while Vancouver’s goal of building 800 to 1,000 new rental apartments per year is laudable, it falls far short of the demand.

“It’s really a paltry amount, given what the marketplace needs, probably 4,000 to 5,000 a year,” he said.

jmackie@vancouversun.com

2016 Real Estate Forecast for Vancouver

Wed, 20 Jan 2016 17:23:55 GMT

Here is a great read by Mac Marketing about the 2016 real estate forecast and the factors that will affect the market

New listing - The Artemesia! The finest building in Vancouver

Wed, 06 Jan 2016 23:37:43 GMT

http://vancouvercentury21.com/mylistings.html/details-53863913

Vancouver Assessments are out!

Wed, 06 Jan 2016 18:27:04 GMT

http://www.bcassessment.ca/

Vancouver home sales hit all time high

Tue, 05 Jan 2016 18:36:01 GMT

January 5, 2016

Metro Vancouver home sales set an all-time record in 2015

REBGV on Jan 5, 2016 10:18 AM

In a year when the number of homes listed for sale was below historical averages, actual home sales in Metro Vancouver set a new record.

The Real Estate Board of Greater Vancouver (REBGV) reports that 2015 home sales were the highest annual total in REBGV history. This was powered early in the year by four straight months with more than 4,000 sales a month from March to June, another first for REBGV.

Sales of detached, attached and apartment properties in 2015 reached 42,326, a 27.8 per cent increase from the 33,116 sales recorded in 2014, and a 48.4 per cent increase over the 28,524 residential sales in 2013.

The total number of homes listed for sale on the MLS® in 2015 ranked fifth in the last ten years, while the MLS® Home Price Index (HPI) saw double-digit year-over-year price increases.

The number of residential properties listed for sale on the Multiple Listing Service® (MLS®) in Metro Vancouver in 2015 reached 57,249. This is an increase of 2.1 per cent compared to the 56,066 properties listed in 2014 and an increase of 4.6 per cent compared to the 54,742 properties listed in 2013.

With sales-to-active-listings ratios above 25 per cent for 11 months in 2015, the Metro Vancouver market experienced seller’s market conditions for much of the year.

"Home buyers were active and motivated throughout 2015 despite the pressure on supply of homes on the market," Darcy McLeod, REBGV president said. "Housing markets typically experience quieter periods within a calendar year, but that wasn't the case in Metro Vancouver last year."

The MLS® Home Price Index composite benchmark price for all residential properties in Metro Vancouver ends the year at $760,900. This represents an 18.9 per cent increase compared to December 2014.

“We often hear economists say that seller’s market conditions put upward pressure on home prices,” McLeod said. “That was certainly the case in 2015, with price increases ranging from 14 to 24 per cent depending on property type.”

December summary
Residential property sales in Greater Vancouver totalled 2,827 in December 2015, an increase of 33.6 per cent from the 2,116 sales recorded in December 2014 and a 19.8 per cent decline compared to November 2015 when 3,524 home sales occurred.

New listings for detached, attached and apartment properties in Greater Vancouver totalled 2,021 in December 2015. This represents a 7 per cent increase compared to the 1,888 units listed in December 2014 and a 40.4 per cent decline compared to November 2015 when 3,392 properties were listed.

The total number of properties currently listed for sale on the MLS® system in Metro Vancouver is 6,024, a 41.6 per cent decline compared to December 2014 and a 25.6 per cent decrease compared to November 2015.

Sales of detached properties in December 2015 reached 1,136, an increase of 36.4 per cent from the 833 detached sales recorded in December 2014. The benchmark price for detached properties increased 24.3 per cent from December 2014 to $1,248,600.

Sales of apartment properties reached 1,225 in December 2015, an increase of 34.3 per cent compared to the 912 sales in December 2014.The benchmark price of an apartment property increased 14 per cent from December 2014 to $436,200.

Attached property sales in December 2015 totalled 466, an increase of 25.6 per cent compared to the 371 sales in December 2014. The benchmark price of an attached unit increased 13.6 per cent from December 2014 to $543,700.

Highest increase in assessed home values......

Mon, 04 Jan 2016 18:44:28 GMT

Owners of single-family houses in East Vancouver can expect some of the biggest increases in the assessed value of their homes for 2016.

Photograph by: Gerry Kahrmann , PNG

Owners of single-family houses in East Vancouver can expect some of the biggest increases in the assessed value of their homes for 2016.

Annual assessment notices from BC Assessment were in the mail Monday morning, and homeowners in many parts of Metro Vancouver can expect increases as high as 25 per cent on detached homes, according to Assessor Jason Grant.

“Increases of 15-25 per cent will be typical for single-family homes in Vancouver, North Vancouver, West Vancouver, Burnaby, Tri-Cities, New Westminster and Squamish,” Grant said in a news release.

“Typical strata residential increases throughout the region will be in the five to 10 per cent range.”

The release gives examples of homes in each city, including a home on the east side of Vancouver valued at $1.575 million last year that has now been assessed at $1.94 million — a jump of 28 per cent. The west side example increased in value by 23 per cent.

Over in the Fraser Valley region, which includes Richmond, Delta, Surrey, White Rock, and every thing to the east, assessment increases are a bit more modest.

“Properties in South Delta and parts of Richmond will generally see the highest per cent increase within the region,” Grant said.

Urban areas in the Fraser Valley can expect increases of between five and 25 per cent. An example home in south Richmond saw a jump of 20 per cent, whereas the value of a house in east Richmond only rose by eight per cent.

Assessment increases are less dramatic in Whistler, Pemberton and the Sunshine Coast, where values have typically risen by between zero and 15 per cent.

Commercial and industrial properties near Vancouver are also seeing big increases of 10-20 per cent, or even higher for properties being bought with redevelopment in mind.

More information is available on bcassessment.ca.

Looking for an Air B n B investment condo?

Thu, 17 Dec 2015 18:39:21 GMT

In downtown Vancouver there are limited buildings where you can do short term rentals legally. There are 3 buildings downtown that allow them. Contact me for more information @ mike.walton@century21.ca

New mortgage rules to slow down hot market

Fri, 11 Dec 2015 17:56:57 GMT

OTTAWA - The federal government, concerned about sky-high real estate prices in Vancouver and Toronto, announced Friday it will make new buyers come up with a heftier down payment starting in mid-February.

The move was part of a three-pronged effort aimed at lowering the risk that taxpayers will have to bail out lenders in the event the bubble bursts in the housing markets in those two cities.

Effective February 15, 2016, the minimum down payment for new Canada Mortgage and Housing Corp.-insured mortgages will jump from five to 10 per cent – though that extra five per cent will apply only to home purchase prices exceeding $500,000.

In other words, the current minimum payment on a $500,000 house would be $25,000. If the house costs $600,000 a 10 per cent charge is levied only on the extra $100,000, bringing the minimum payment to $35,000.

The new rule will not apply to Canadians who already hold mortgages.

The measures also won’t impact houses sold for $1 million or more, since they already required a minimum 20 per cent down payment.

Morneau, in a statement to reporters, made clear his concern was Vancouver and Toronto.

He noted that the average price of homes sold across Canada in October was $453,000, well under the threshold.

The “benchmark” price for a detached home in Greater Vancouver last month, however, was just over $1.2 million, according to the Real Estate Board of Greater Vancouver.

“Targeting higher-price properties will minimize the impact on many first-time home buyers and (on) regional housing markets where activity is more moderate, while limiting risk and taxpayer exposure to the elevated housing markets in Vancouver and in Toronto,” he said in a sttement.

“Moreover this measure will increase home owner equity, which plays a key role in maintaining a stable and secure housing market and economy for the long term. This protects all homeowners, including many middle-class Canadians whose greatest investment is in their home.”

Morneau was asked by The Vancouver Sun why the federal government is targeting first-time buyers in cities like Vancouver, while doing nothing to deal with the impact of speculators and foreign buyers driving up prices.

“You know, we are taking measured approaches to make sure we protect Canadians,” he replied.

“We are looking at how we can ensure the Canadians who already have homes recognize there is a stable housing market, and those people that are aspiring to have homes can be assured that their biggest financial investment is in a stable and effective market.”

Morneau got quick support Friday from economist Jock Finlayson, executive vice-president and chief policy officer at the B.C. Business Council.

“I think this move makes sense,” Finlayson told The Sun.

“With an almost stalled Canadian economy, policy-makers need to be looking at tools other than interest rates as a means to address concerns about overheated housing markets in some major metropolitan areas.

“This change should not affect first-time home buyers in most Canadian cities, but will affect some in the Greater Toronto and Metro Vancouver markets.

“It is a prudent measure, in my view, but it is unlikely to have a significant impact on the high end of the housing market where buyers typically have the ability to make substantial down payments.”

Morneau’s move today was part of a three-pronged effort to protect Canada from the potential impact of an expanding housing market price bubble that bursts.

- CMHC is increasing guarantee fees charged to lenders to cover the cost of CMHC-sponsored securitization programs, National Housing Act mortgage-backed securities, and Canada Mortgage Bonds.

- The office of the Superintendent of Financial Institutions said it will consult on and “update” regulated capital requirements for residential mortgages held by federally-regulated lenders, like banks, trust companies and credit unions, and for private mortgage insurers.

poneil@postmedia.com

Twitter: poneilinottawa

World's best outlet mall right here in Vancouver!

Thu, 03 Dec 2015 19:29:41 GMT

The recently opened outlet shopping mall at Vancouver International Airport is receiving some international attention: McArthurGlen Designer Outlet Vancouver in Richmond has won the title of the ‘best outlet centre in the world’.

The awards were presented last month at MAPIC, an annual international retail property conference that attracted 8,000+ delegates from the retail property industry, 2,000+ retailers, 470 brands, and 700 exhibiting companies from 74 countries. This year’s event was held in Cannes, France.

Other awards at MAPIC included the best redeveloped shopping centre (Alegro Setubal in Lisbon, Portugal), best retail urban project (Markthal in Rotterdam, Netherlands), and best new shopping centre (Milaneo in Stuggart, Germany).

A spokesperson with MAPIC did not respond to a request for comment on why McArthurGlen’s Vancouver property is the best outlet centre in the world. However, the mall has been a massive success since its opening on July 9.

Can anything slow down the Vancouver housing market?

Wed, 02 Dec 2015 00:20:00 GMT

In Vancouver, November housing sales were 46.2 per cent above the 10-year sales average for the month and the second highest ever for the month.

Even during what is considered one of the slowest months of the year for real estate, Canada’s most expensive housing market continued its torrid pace.

The Real Estate Board of Greater Vancouver said it recorded 3,524 sales across the multiple listing service in November, a 40.1 per cent increase from a year ago. Home sales were down 3.3 per cent from 3,646 a month earlier.

“November is typically one of the quietest months of the year in our housing market, but not this year,” said Darcy McLeod, president of the board. “The ratio of sales to homes available for sale reached 44 per cent in November, which is the highest it’s been in our market in nine years.”

November sales were 46.2 per cent above the 10-year sales average for the month and the second highest ever for the month.

Housing sales activity is soaking up supply in the market, with the total number of properties listed for sale on MLS at 8,096 just in November, a 35 per cent decline compared to a year ago and a 15.4 per cent drop from a month earlier.

The impact on prices has been obvious. The board’s composite benchmark price for all residential properties in the Metro Vancouver area rose to $752,500, a 17.8 per cent increase from a year ago.

Detached properties, one of the most sought after commodities in the region’s real estate market, led the way on price increases. Based on the board’s benchmark index, a detached home is now $1,226,300, a 22.6 per cent increase from a year ago.

The average sale price of a detached home climbed to $1,579,170 in Vancouver in November.

gmarr@nationalpost.com

November Stats are out!

Tue, 01 Dec 2015 17:59:18 GMT

Vancouver House wins future project of the year

Fri, 27 Nov 2015 00:38:00 GMT

An artist’s rendering of Vancouver House, by the Howe Street on ramp to the Granville Street Bridge. The building, which is under construction, was awarded Future Project of the Year at the World Architectural Festival in November 2015.

Step aside stale, staid and unimaginative. There’s a new word in town to describe Vancouver architecture: exemplar.

That is the term international judges used to describe Vancouver House, which snagged Future Project of the Year at the World Architectural Festival in Singapore this week.

The twisting building under construction at Howe Street and Beach Avenue “generates an exemplar new urban typology,” judges said.

“It is a delightful project that will impact positively on many future municipality- and developer-led agendas for cities across the world.”

It may take a moment for that to sink in. A Vancouver building is set to influence world architecture.

Then again, maybe it shouldn’t come as such a surprise. After all, the planned 59-storey Westbank tower is designed by Bjarke Ingels, a Copenhagen-based firm that has conjured up inspirational projects around the world.

Calgary’s Telus Sky Tower, VIA 57 West in Manhattan and the Hualien Residences in Taiwan are just a sample of the firm’s visually stunning projects that are under construction. It also has a raft of completed and proposed projects that — like Vancouver House — push the boundaries of architectural design.

Leslie Van Duzer, a professor at University of B.C.’s School of Architecture and Landscape Architecture, said the award was great news for the developer and the city.

“Vancouver House represents the confluence of an enlightened planner, a visionary developer and an architect who makes a practice of turning society’s detritus (in this case, a site with sprawling off-ramps) into gold. Such rare alchemy is most worthy of this significant global prize,” Van Duzer said in a written statement.

“Vancouver, long known for its exemplary urban planning, may yet earn a sustained place on the world stage for its architecture.”

Vancouver House’s unique design comes in part thanks to the awkward plot of land it is being built on. A 30-metre setback from Granville Street Bridge left the company a triangular base of just a few thousand square feet to work with.

About a dozen floors up, the building gradually expands into a rectangle, increasing its square footage while creating the appearance of a twist.

Ian Gillespie, the president of Westbank, called Bjarke Ingels’ architecture “an evolutionary moment in Vancouver’s design history.”

“This is an incredible win for Vancouver House and Vancouver; it recognizes our vision for city-building. Every city needs to have a few special moments that take your breath away, and Vancouver has lacked that until now,” he said in a news release.

Before the building was named project of the year, it beat competing residential projects from cities around the world for top prize in that category. Among the entrants was Nelson on the Park, a design for a residential tower at Nelson Street between Burrard and Thurlow streets in Vancouver’s West End.

The design features a rooftop pool and patio covered by airy, transparent cubes of what appear to be glass and mirrors.

Other entrants in the category are planned for or under development in cities on nearly every continent.

Judges at the World Architectural Festival include architects who have won festival awards in the past and peer-respected industry professionals, according to the festival.

City employees were not available to comment on the award, but the city’s planning and development branch released a brief statement: “The award is a wonderful recognition of the changing face of Vancouver.”

Neither Gillespie nor a designer could be reached for interview late Friday.

mrobinson@vancouversun.com

New feature on vancouvercentury21.com

Thu, 26 Nov 2015 00:32:00 GMT

We are pleased to announce that we have just added enhanced listing searches for all listings on MLS in Vancouver. Easy to navigate and easy to use. Check it out and let us know what you think. No sign up needed.

http://vancouvercentury21.com/recip.html

Should the Government get involved to slow down Vancouver's sizzling real estate market?

Wed, 25 Nov 2015 23:58:10 GMT

This house on Maple Street in Vancouver sold recently for $2.9 million, $1 million over the asking price.

Photograph by: Ric Ernst , VANCOUVER SUN

A Maple Street home in Kits Point, with an asking price of $1.9 million, fetched $2.9 million last week — $1 million over the asking price. The bidder, one of 17, was a local buyer.

Across the way, on Chancellor Blvd. near UBC, realtor Andrew Hasman sold a home two weeks ago for $5.3 million — nearly $600,000 over asking. The sale followed a six-party bidding war won by a 22-year-old university grad whose parents live in China.

Is housing just another commodity in a free-market system? Or ist it a social necessity, requiring a degree of government regulation? A new Insights West poll certainly suggests people here favour some government intervention.

When the typical price for all residential properties across the region — including condos — reaches $736,000, up 15.3 per cent from a year earlier, and bidding wars drive up prices, it surely is time to ask that question.

The price for a typical detached home in Metro Vancouver, at nearly $1.2 million, jumped more than 20 per cent in the past year.

Now, it is true that the region’s economy is performing well at the moment, probably better than any other metropolitan area in Canada. But few Vancouver-area residents got 15- or 20-per-cent pay raises in the past year.

Median family income in Vancouver in 2013, according to Statistics Canada, was $73,390. An income of about $150,000 is required for mortgage payments on an $800,000 Vancouver home.

Where are the nurses, teachers and firefighters supposed to live?

And it is worth noting that the housing stock already was unaffordable last year. With one-year price increases of 15 to 20 per cent, it’s no stretch to say the property market has grown too costly for those the region’s housing is primarily meant for — inhabitants who live and work here.

At least part of the problem is obvious. Many who do not live in the area, but have greater means than those who do, have discovered the glories of Canada’s west coast and flooded into the market, taking advantage of low interest rates and a weak dollar.

Their numbers will fluctuate in coming years, depending on economic factors. But foreign buying is likely to continue playing a role in Vancouver.

These buyers inevitably boost competition for local housing, forcing prices up, at both the top and bottom ends of the market, due to a trickle-down effect.

Prices have climbed to the point where those who might consider selling do not, for fear of not having affordable alternative housing to turn to.

Thus, Vancouver has a shortage of homes for sale. In the existing seller’s market, some buyers bid wild sums for existing property, putting upward pressure on prices.

It so happens the buyers from abroad happen to have a relatively uniform ethnicity, at least at the top end of the market, prompting talk about racism against Chinese people. This is a diversion.

People here aren’t worried by Chinese buyers; locals worry about being priced out of their own community by foreign money.

This worry is not unfounded. It has been the case for years now, people with average incomes are hard-pressed to afford local housing.

The evidence has gone beyond the anecdotal. Real estate companies freely acknowledge that the top end of the market is dominated by foreign buyers. To a lesser but still significant extent, the mid-range of the market also is affected.

That this affordability crisis has gone unaddressed reflects the fact that an overheated market serves the interests of the real estate industry, loving those commissions, and government, raking in property-related tax revenues.

Runaway pricing also works in favour of owners with home equity. It is regrettable that fetters are needed on what, ideally, should be a free and open property market. But with housing out of reach for too many in the region, it is time for government intervention.

byaffe@vancouversun.com

Gap between condos and houses narrow

Fri, 20 Nov 2015 22:40:58 GMT

The gap between sale prices of new condos and those for single-family homes could be closing as more buyers pay ever-climbing prices for condominiums in Greater Vancouver.

So far this year, there have been more than 2,000 new condo sales than at the same point last year, a 20-per-cent increase, according to Michael Ferreira, managing principal of Vancouver-based Urban Analytics, who addressed the Urban Development Institute last week. The figure totals two-thirds more sales than in 2013, he said.

Looking ahead, Ferreira said 87 per cent of the 21,600-plus concrete condo units scheduled to be finished by the end of 2018 have already sold.

The Real Estate Board of Greater Vancouver said Tuesday sales of apartments reached 1,543 in October 2015, an increase of 21.7 per cent compared to the 1,268 sales in October 2014, and an increase of 40.5 per cent compared to the 1,098 sales in October 2013. The benchmark price of an apartment property increased 11.4 per cent from October 2014 to $425,800.

Ferreira told the UDI that condo sales in some areas are increasing more than others and, across the board, rising construction and land costs are becoming large factors.

He said mainland Chinese buyers have been more active than in past years because the Chinese currency has increased by 30 per cent relative to the Canadian dollar.

This has also spurred companies with offshore capital from mainland China to buy land for building multi-family developments such as condos.

Some are well-established developers looking to set up here. These are “well-capitalized, patient and reasonably sophisticated,” said Ferreira.

He said they are attracted to and willing to overpay current market value for large or prime sites as a way of getting a foothold. The other breed is more of a mom-and-pop investor, whose “first priority is to park cash here.”

Aside from the “immense amount of offshore capital,” Ferreira said the “perfect storm” also includes more active local buyers.

At the soon-to-be-built Burrard Place, 350 of 395 units sold within a month. Priced at over $1,200 a square foot, these are nearing the cost of a single-family home in Vancouver. About half of the units, mostly those under $1 million, were sold to investors and the remaining, at about $2 million, to end users, according to Jon Stovell, president and CEO of Reliance Properties.

Older downsizers with money to spend on new condos after cashing out of their single-family homes are also a factor. In West Vancouver, apartments account for only about 19 per cent of all properties, said Michael Ward, senior vice-president of Grosvenor America. He is building and selling Grosvenor Ambleside in West Vancouver, where penthouse units are priced at between $3,500 to $4,000 a square foot and other units range from $3.5 million to $15 million. It’s about 70-per-cent sold, with more than 85 per cent to purchasers who live within 10 kilometres, said Ward.

“It’s not what we expected,” he said. “There are wealthy local people to absorb these condos, a mix of locals in West Vancouver with Caucasian, Iranian and Chinese buyers, who are equity rich in their homes.”

All of this has led to prices for prime Vancouver real estate — defined as properties in the top five per cent of the housing market — to increase by 20.4 per cent between September 2014 and September 2015, far outstripping Sydney, the city with the second largest price increase at 10.7 per cent for the same period, according to a report released Tuesday by London-based real estate consultants Knight Frank.

“Supply is tight with the number of homes for sale down 32 per cent year-on-year, and local demand is strengthening alongside foreign interest. The big question mark surrounds not Greece and the eurozone, but the slowdown in the Chinese economy. Wealth from China will continue to flow into overseas property markets with the U.K., U.S., Canada and Australia being key target destinations,” wrote researcher Kate Everett-Allen.

jlee-young@vancouversun.com

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An artist’s rendering of Vancouver House, by the Howe Street on ramp to the Granville Street Bridge. The building, which is under construction, was awarded Future Project of the Year at the World Architectural Festival in November 2015.

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This house on Maple Street in Vancouver sold recently for $2.9 million, $1 million over the asking price.

Photograph by: Ric Ernst , VANCOUVER SUN

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