ThreadgillToussaint109

Vancouver Real Estate

Vancouver Real Estate market has stayed strong regardless of the meltdown of our neighbours south. Thanks to a more closely guarded banking system, Canada continues to be able to slide with the mess relatively unscathed. Now you ask: now that the Olympics games have ended for Vancouver, will balance anticipated financial hangover begin?

Using the current strength within the Vancouver Real Estate market matched with historically low increasing to go with it, you are likely to say "how could we often be headed for a meltdown"? Current inventory is low which can be again sending Property transactions into multiple offer situations with buyers paying $10,000, $20,000 and in many cases even $200,000 over market price. Although the latter is perfect for a specific product in the couple of choice neighbourhoods still has happened. The chance of a bubble is unquestionably there but not on the broad scale. It's more like the micro-markets of Vancouver Property that are getting much ahead of themselves are at most risk for a bubble.

The Vancouver condo and townhouse market has seen growth within the last year at a pace that has all the right conditions to be sustainable. 1st-time buyers are often the demographic on this category and are taking advantage of the low mortgage rates. Using the recent changes imposed through the Canadian Government on mortgage lending, we have to have a little more of the cushion against a standard bubble. The changes included that anyone seeking a home loan with less than 20% down payment (CMHC insured) would have to meet the requirements of a 5 year fixed price mortgage regardless of the term these folks were seeking. Another safeguard ended up being lower the amount of equity you are able to withdraw from their home for refinancing purposes from 95% to 90% with the appraised value. In the case of a market retraction this would offer a little more cushion if you're spending close to what their home is worth.

The $700,000+ debt left around the shoulders of the Vancouver taxpayers to the construction of the Olympic Village will hopefully be recouped in the next decade. According to recent reports, one local developer surely could cash in on $31.8 million in top end units from people visiting for the 2 week Olympic period. The village will house approximately 1100 units of mixed income households in a sustainable community of shopping, services and parks.

Though there are some challenges ahead the near future still looks very bright and promising for the Vancouver Real Estate market. Some lessons are actually learned that in hindsight should help the City and Country steer clear of the same mess the U.S. got themselves into. You will have, although, pockets of bubbles where ignorance is driving people into frenzied buying and driving prices to unsustainable levels.

Vancouver Real Estate