For years the Real estate industry has been among the most lucrative sector in the world. The sector has made some people who decided to invest in the sector super rich. Over the years the sector has grown tremendously. It is not surprising to see foreign investors pouring millions of dollars in the same industry. In the past real estate in Vancouver, was dominated by the local investors. However, recent stats have shown that the trend is slowly changing with non-resident slowly taking a piece of the real estate pie. These recent findings can be attributed to the hues and cries caused by activists and academics who believed that recent increase in Vancouver properties prices was due to non-resident purchases.
The real estate in Yaletown, Vancouver BC, is perhaps going to be the probable central causes for a resurging housing bubble that hit the US a decade ago. Adjunct economic housing instability has engrossed a fury of housing spectators, disenfranchised students, and residents towards a political decry.
Most spirited candidates once believed that half a million dollars could get them a beautiful offshore mansion. The reality is however different. 500,000 $ is only equivalent to a small residential condo. This is exactly why most people believe that the housing market is out of control.
Now, certain spectators believe that the city’s housing market was being covertly restructured to supply millionaires in the third world countries with a medium to vent out their black currencies through investment. Others believe that extreme housing prices are due to a lack of political management of funds and resources, forcing the housing sector to collapse because of changes in the global dynamics. Now everyone has their own peculiar hunch, so here are certain trends that have really taken British Columbia aback.
Real Estate Tyranny
The law of capitalism says that the rich get richer and the poor get poorer. This could exactly be the case here. Most multi-million dollar tycoons are investing from their pool of wealth into real estate to create secondary sources of income through investment. Exorbitant lumps of wealth need to be utilised and real estate, well, it’s the best way to block your money!
International agencies reckon that shell companies own most high-end properties in posh areas. Within Vancouver’s city limits, around 99 percent of the single detached houses are now assessed at $1 million. More than 20,000 Vancouver homes get vacant every year. Vancouver’s rental vacancy rate is hovering just below one percent! This means that property sale and purchase have taken a leap forward, and people other than the middle class are reaping vital benefits from this!
Foreign Ownership and Immigration
Foreign nationals are taking advantage of having access to quality real estate. There are a plethora of opportunities for Non-Canadians to buy, invest, and extract profits from real estate. Most immigrants are finding it rather tough to attain affordable accommodation, yet there a rich group of ‘so-called’ sophisticated immigrants that spur up the real estate prices with their barrels of wealth.
The trends of real estate in Yaletown, Vancouver aren’t on the people friendly side. Perhaps, proper governmental action and holistic mortgage policies could help control the snowballing effect of prices. Developing punitive housing taxes and other measures to prevent illegal money from entering into the Canadian economy is the right step forward.
For many years, Vancouver has been rated as one of the best places to live in the world. It has one of the most expensive neighbourhoods and is a hot stop for real estate investment.
Being open to so many alluring options, it becomes difficult for an investor to shortlist his/her potential deals and come to a sound decision. If you too are confused about which property to buy in Canada, check out this list of top 5 real estate investments to make a sound decision.
Guelph tops the list as the city with the most attractive real estate in Canada. Undoubtedly, there are a number of buyers ready to grab onto the best buys offered by this location. Homes in Guelph go for about $441,000. This is more than over four times the average household income. The location is on stable footing with a low unemployment rate. Guelph is home to advanced manufacturing companies, green tech firms, and supports several high paying government jobs.
This location has immense potential at the moment. The absence of foreign buyer tax along with low Canadian dollar rates add to the pros for Victoria as a location or property investments. With 26,000 people working in technology, it is an emerging high-tech hub. Victoria has the ocean along with great climate and scenery. People have the opportunity to buy great condos for under $250k. The rental vacancy rates and rental prices are just about the same as Vancouver, making it an excellent bet.
It may come as a surprise to many, but Brampton is one of the best places to invest in the real estate market. This conclusion can easily be drawn by people who have been closely analysing the market in the last few years. Brampton has the ranking in the top 10 vacancy rates and offers strong employment and population growth. Coca-Cola, Air Canada and Canon Canada are a few of the many blue chip employers that relocated here. 23-km Hurontario LRT line will also undergo improvements in its infrastructure.
North & West Vancouver, BC
North & West Vancouver have become favourites when it comes to growing real estate locations. The areas have lots of special amenities, great schools and amazing views. Port Moody’s continued investment in development and the completion of the SkyTrain stop have converted this area into a high-value neighbourhood. It offers a balance between lifestyle, travel distance and house size. New Westminster is another real estate hotspot. Factors such as growing employment and population have led to an increased demand in the area.
Barrie has a beautiful waterfront location on Lake Simcoe. It has been on the radar for investors for years. A designated Urban Growth Centre, Barrie has benefitted from job growth, transportation improvements and economic diversification. It is about 90 km away from Toronto. It offers all of the ideal amenities for future resale. What’s more? Good schools, beautiful parks and safe neighbourhoods make Barrie one of the best choices for residents and investors.
As an investor, you must be patient and calm while looking for potential real estate investment buys. There are major housing issues in Vancouver at present, but the rates of the properties may rise sharply. This is because Yaletown condominium property is one of the most desirable properties in all of Canada. Factor in every aspect to make a profitable purchase.
This leads to acute homelessness issues. City folk have taken to sleeping on pavements at night in wake of the increasing difficulty for any but the rich to put a roof over their heads.
Government Speculation on Property Speculators
The government has its own angle on the issue. Legislations as recent as August 2016 reveal that they believe – or at least want the common home buyer to believe – that those responsible for the current crisis in Vancouver housing live off the shore in global metropolises. They believe that Canada’s famously low interest rates in general – and Vancouver’s quality of life and superior recreational provisions in particular – made the city a natural spot for investments.
These legislations include the introduction of 10-15% tax for foreign buyers, and the Empty Homes Tax, which penalises under-utilization of residential spaces that have a current owner. This latter is aimed at investors who primarily buy houses as security or assets. The government also incentivizes native home owners through state grants.
Of these, the foreign buyers’ tax has been panned by experts and academics. They say that if foreign buyers are behind the spike at all, they’re likely to be able to adjust easily to the extra expenditure.
Investigators like Geoff Dembicki don’t agree with assessments such as those implicitly sponsored by the government.
According to proponents of alternate viewpoints like Geoff, much of the housing crisis is due to domestic speculators, not foreign ones. They argue that the main problem is gentrification. The fact that property rates in Vancouver increased to epic proportions to begin with – probably due to the famously low interest rates mentioned earlier – accords them an odd prestige status. The demand for such spaces increases manifold. Since the rich can catch up most easily, they lap up these properties quickly, and come to attract the attention of investors thereafter. Luxury retailers, of course, bask in the glory of these trends.
The fallout of these trends is not just in terms of luxury housing. The people who miss out on property in cities such as Vancouver do not just miss out on elegant facades. They miss out on opportunities. Studies like Geoff’s reveal that most new jobs in urban Canada were created in about three or four cities like Vancouver with inaccessible property rates.
All in all, trends suggest that economists and experts were right, and that foreign buyer tax is useless. The other implication is that foreign buyers were only a small part of the problem. The real issue is with wealthy domestic speculators cashing in on the effects of gentrification and buying homes as investment – to rent them out sooner or later, or to sell them off later rather than sooner to avail higher returns. The best way out is to put more power into the hands of a broader range of home-buyers.
The condo craze is still current in Vancouver, and especially so in Yaletown, erstwhile warehouse district that blends its heritage status with all the paraphernalia of the new lifestyle that, regardless of actual inventory, is still driving speculative money exchanges for those willing to avail of impressively high going values. It doesn’t hurt that Yaletown has a matchless transportation system in place and is a beautiful locale with a lot to offer. From the amazing Seawall to the many lush and expansive parks that dot the area, such as the George Wainborn Park, which is 2.5 hectares in size!
It should be noted that all of these spaces make good use of the city’s existing infrastructure and contribute to it, with the focus on sprawling green spaces and public recreation facilities leading to a happy circle that helps sustain those natural loci and quality recreation facilities with their focus on community living.
1121 Seymour + Davie
The nine-storey 1121 Seymour across from the Emily Barnes Park is slated to have 38 units. For those with sophisticated taste buds, it will be pleasant to know that the property is 474 restaurants away from residents and a lack of choice for cuisine satisfaction. And over all of this, the building has been given a silver certification by the LEED Canada, which means that one can avail of all the luxuries of this space without the attending green conscience scare that so many other metropolises are ridden with.
The Arc Vancouver is perhaps one of the most ambitious and conspicuous developments of the area, despite the fact that it is, well, a development, and not a finished project. True to its name, The Arc carries forward the tradition of triumphal arcs built on steppes and sand and asphalt since time immemorial, just that this one is built of two separate towers! The concrete-and-glass behemoths will be connected by two- or three-storey sky-bridges. In addition to the wealth of Yaletown around it, The Arc will provide special pedestrian plazas for their residents.
Developments like the Smithe, Viva tower, and 498 Drake Street focus on the region’s marriage of the urban and the traditional – based on its historical mix of older commercial and newer residential living – while designing condos, which is why it has a floor of retail and three floors of official space reserved from its twenty-six storeys of spotless and elegant boutique property living.
All in all, condo property in Yaletown focuses on bringing a new sort of urban living into this new heart of Vancouver, one blending sophisticated private living with active community lifestyles.
This is also due in no small part to its new immersion in condominium culture. With many new condo projects like, 1335 How (Onni), The Charleston(Onni) and 8X On The Park, both pre-sale condos, the emphasis is on uber-urban living spaces that provide proximity to social watering holes, new-age entertainment and recreational facilities, while also granting aesthetics of residence as high a priority as luxury. Yaletown, in other words, wants to live beautifully and busily, nudging its social spaces to rise up to the challenge.
This emphasis on aesthetics is by no means superficial and transient. Yaletown has always been a district careful of appearances and the impressions they generate. Real estate developments just prior to the current phase would focus on maintaining the old logic of stepping, adhering to the natural slope of the region and aligning heritage cornices with newer structures. For instance, Amacon’s project, the 118-150 Robson, proposes to rework the Northern Electric Company Building, a structure from Yaletown’s ‘heritage’ period as a warehouse district, into a new high-end structure offering above four thousand acres of commercial space, apart from 125 condominiums and a hotel.
Rise in Price/Square Feet
As for hard figures, the average cost for condos in Yaletown was last recorded in the range of $800 to $ 1000 per square foot, with one bedroom condos starting at $340,000, while the price of the average condo hovers around $555,000. After reaching an April ’17 peak of $890.000 in median price for condos, recent figures have stabilized in the sub-$830,000 region. And the fact of the neighborhood’s immersion is reflected in the fact that these figures are only slightly higher than the median figures for all housing in the same period.
A boom-buyer shift is imminent in Vancouver in general, and in sites such as the condo-rich Yaletown in particular, with millennial residents likely to stay while most of the residents who are older are planning moving out into smaller, even rural, areas, so long as they offer certain securities, such as focus on healthcare. Again, the millennial urge to stay on in Yaletown is down to its thriving youth culture, centered around new enterprises and the choicest varieties of recreational services. All of this, nonetheless, is leading to an alarming gap between sky-rocketing estate costs and relatively sluggish incomes.
But none of this stops the average millennial from either retaining condominium property in the area or purchasing new condo estate: listings for one- and two-bedroom condos dropped between April and June, while new listings for three bedroom condos increased by more than 50%. indicating both the relish with which customers lapped up relatively affordable condos, depleting demand, as well as the aspirational tendency for higher buys speculated by home-owners and property agents. All of which leads to a number of new pre-sale condos all with unique features: 1121 Seymour Residences, the Arc Vancouver, and 498 Drake Street, among others.
The condo wave, in other words, is still riding high.
At some coffee shop, you will find out from the tables around you, students discussing the sky-high costs of the city’s rent, girlfriends searching for ketchup to go with their cheese and ham croissants, and a trio of briefcase-toting experts comparing caterers for their office party. Yes! This is Yaletown life. You’ve got things to do, places to go, and people to know around Yaletown, Vancouver. It offers a very active lifestyle, beautiful condos, and the people here are really kind. Despite being a big city, it gives a great neighbourhood feel. Placed in between some of the city’s busiest lanes, Yaletown is small but crowded. Among the most patios in all over Vancouver, Yaletown is perfect for people – watching, eating, and travelling around some remarkable boutiques that aren’t found in another place. Here, you will feel like a Vancouver inhabitant. This little corner is one of the best places to live in the world.
Get a Look at a Few of the Great Things Yaletown Life Offers:
The waterfront parks in Yaletown are a big attraction. The biggest green spaces: David Lam Park and George Wainborn Park get connected through the city’s Seawall, which runs right along the water. From walking and jogging to biking and inline skating along the Seawall, you can enjoy to the core; along with the excellent public art sprinkled along the waterfront. The neighbourhood’s chronological roots are also apparent in the form of Engine 374, pulled the foremost transcontinental traveller train into the city in 1887, on show at the Roundhouse Community Centre.
The platforms of old redbrick warehouses, which were once built to allow for simple loading of textiles onto trains to be sent back east are now redesigned as luminous, metropolitan patios for the ideal brunch, afternoon drinks, and great dinners. Yaletown is a wonderful place for a festive seafood dinner, a tranquil bistro meal or a comfortable family feast. You can stroll the area to choose from a bunch of dining options to have sumptuous food in Yaletown. You just need some time to discover the area’s cocktail scene and nightlife after that – with elegant lounges, sparkling and vivacious neighbourhood pubs, and clubs with lively dance floor-filling. Now, you must be craving to get the flight to spend the evening in this amazing and sparkling place!
Yaletown has worth mentioning local shopping options for shopaholics as well as window shoppers. You will definitely love the stylish boutiques, gracious service, and exclusive items that the typically locally-owned shops offer. From fashionable to designer home-wares, the stores in this vicinity are peculiar, trendy, modish, and a lot of fun. You can explore Yaletown’s chic dog clothing, contemporary bathtubs, and historic chapeaus. No doubt it is the one place for the entire expert and sophisticated shopping, the most professional beauty services, and the on-trend fashions.
To conclude, let us tell you that Rogers Arena, BC Place, and QE Theatre are only a short walk away from Yaletown. Just get the tickets to experience the best concerts and sporting events there!
Yaletown, once an unknown land has now become as vital as the fluffiness of a cake to the city of Vancouver. It is now a high-end district with a combination of richness, beauty, art galleries, classy restaurants, cafes, expensive boutiques, high-rise commercial buildings, and latest residential developments.
Today, Yaletown is the warehouse district of Vancouver. It is vibrant, lively and walkable, making the gleaming residential buildings some of the most coveted in the Vancouver city.
This is the present of Yaletown, but for every present, there is a past.
During the early 80s, Yaletown was a flourishing industrial heart of the city of Vancouver. Also, in the year 1886, Yaletown was a western terminus of the Canadian Pacific Railway. Yaletown has been named after the town of Yale that moved its settlement as the Canadian Pacific Railway established its works yards alongside the Northern edge of False Creek.
Though Yaletown may look small on the map, it is surely a denser and important part of the Vancouver city. The perfect region for indulging in food, exploring beautiful sights and enjoying a night life.
When heritage dated modern, a historic district called Yaletown was born. Yaletown is a stylish district that is an incredible combination of a sophisticated and cosmopolitan atmosphere and the friendly attitude found at boutique stores and local restaurants.
Yaletown life has lots in store for everyone. Whether you are a traveller, wanderer or looking for a family getaway or romantic evening, Yaletown allows all articulate their lives in the best forms.
The tranquillity of an oceanfront seawall, sidewalk cafes, trendy and fashionable patios, out of the box shopping options and green leafy parks have made Yaletown and the life in the district the chicest place to hang out in Vancouver.
This is not all, if one wants to get lost in a maze, explore the much-admired restaurants and eclectic shops set along heritage brick walkways. Yaletown is believed to be Vancouver’s premier dining district. Would you believe us if we say, it is home to almost 80 food and beverage eating joints within a 3-block radius?
If the next destination on your itinerary is Yaletown, here are some of the things that you should know to experience the best of Yaletown life:
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The list is infinite!
There’s an old saying: “When in Rome be like a Roman.” The saying implies if you want to enjoy the very essence of a place, you have to be in sync with its style. We’ll say, if you want to relish the Yaletown life – do how the people in Yaletown do. After all, this is one place that allows you to actually live like a Vancouverite.
The month of February has limited days and so was the housing supply and home sales across Vancouver in the month – Limited! What a coincidence!
The residential sales in Vancouver dropped dramatically in February 2017 juxtaposed to last year’s record-breaking leap. According to The Real Estate Board of Greater Vancouver, the reason for such a low housing sale is a limitation in the supply of listings and an abnormally snowy start to the year that had an effect on the Vancouver housing market.
There were 3,666 new listings in the February month; this is an almost 37 % fall from February 2016 and an 11 percent decline from the month of January. According to the board, this is the lowest number of new listings registered in February since 2003.
The Board mentioned that the housing sales amounted to 2,425 in February, which is approximately a 42% drop from the same month last year. Nevertheless, the residential sales went up an almost 59%, compared to the month of January 2017.
The board further shared more information about the market drop in February. It said that the number of housing properties that got transferred in the month was 7.7%, which is just below the 10-year sales average for February.
The President of the Board, Dan Morrison remarked, “If you go to the store and there’s no bread on the shelf, you don’t buy it.” He further said, “While home sales are not happening at the pace we experienced last year, home seller supply is still struggling to keep up with today’s demand. This is why we’ve seen little downward pressure on home prices, particularly in the condominium and townhome markets.”
Morrison indicated that for months individuals had held a “wait and see” approach towards the housing market that had already begin to cool off before the foreign buyer’s tax was announced by the British Columbia government in Metro Vancouver in August 2016.
Although, Morrison has hope for he mentioned that the signs indicating the return of confidence in the Vancouver real estate market have surfaced. The sales-to-active listings ratio in February was 31.9%, a 10 percentage point surge from the first month of 2017.
The price of condos and townhouses in Greater Vancouver is rising despite of the sinking sales. As discussed above, the sales fell to a considerable extent as compared to last year.
The MLS® Home Price Index composite benchmark price is a representation of the cost of a typical property in the city. The present benchmark price in Metro Vancouver is $906,700, low by 2.8% over the previous six months.
The Real Estate Board said that the benchmark price for detached housing properties is $1.47 million. This figure showcases a 6.5 percent drop over the preceding six months, and there has been no change in the numbers compared to January 2017. On the other hand, the benchmark price for condominiums was $526,300. The price has taken a 2.3 jump over the previous six months.
Let’s sign off by using a statement by Tom Davidoff regarding the matter, “Certainly; I don’t think we’re done with the downward pressures. They still exist.”
Now, let’s see how the coming months for Metro Vancouver’s real estate market unfurl.