High housing costs in Toronto and Vancouver are being blamed on Chinese purchasers grabbing too much of an already-limited supply.  These factors do contribute to high housing costs, but most of the blame lies elsewhere. City homes aren’t expensive because we’ve run out of land to develop within cities, as is often claimed. City homes are expensive because politicians prevent available land from being intelligently developed or redeveloped.

Without constructing any more high-rises or giving up their greenbelts, Toronto and Vancouver could easily double their population within their existing city limits. Their residents wouldn’t even need to emulate European architecture. 

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Real Estate Board of Greater Vancouver (REBGV) reports that residential property sales in Metro Vancouver totalled 3,226 in July 2016 - a decline of 18.9% compared to the 3,978 sales in July 2015.

“After several months of record-breaking sales activity, home buyer demand returned to more historically normal levels in July,” Dan Morrison, REBGV president said. Last month’s sales were 6.5 per cent above the 10-year sales average for the month. “Home sale activity showed some moderating signs in late June and this carried into July,” Morrison said. “We’ll wait and watch over the next few months to see if this marks the return of more normal market trends.”

For more in-depth information on July's market, please click below.

Greater Vancouver:  REBGV July 2016 Stats Package

Fraser Valley:  FVREB July Stats Package

With the new 15 per cent additional Property Transfer Tax for overseas buyers of Metro Vancouver homes taking effect today (August 2), local agents are starting to report collapsing deals, according to the Fraser Valley Real Estate Board (FVREB). 

The new tax, passed July 28 under Bill 28, which applies to current and future home purchases closing from today onwards, has caused much concern in the real estate industry over its retroactive nature and lack of exemptions. 

The FVREB announced Tuesday morning that it is receiving numerous complaints from local REALTORS® whose overseas buyers are backing out of signed deals, choosing to walk away from their deposits over having to pay an unexpected tax bill of potentially hundreds of thousands of dollars. This is leaving local home sellers, often in purchase agreements themselves, without a buyer – potentially being forced to walk away from their own purchases and deposits if their buyer cannot be immediately replaced.

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Thankful that my clients, first-time homebuyers, were able to beat 7 other offers to buy this detached house that cost under $620K in an established neighbourhood in Coquitlam.  Congratulations, D & Y!