TGIF: Happy Chinese New Year – Good Fortune to All This Year!

This article was published on: 02/7/19 3:38 PM

Gung hay fat choy! Hope all our clients and friends celebrating Chinese New Year this week have been enjoying getting together with family and friends, great food and are ready for a round of parades, parties etc this weekend. Good fortune to all this year.

Absorption rate is always a great measure of where our real estate market is at. The Greater Vancouver Real Estate Board just gave us the January statistics on that very measure. The sales to active listings ratio for detached was 6.8%, townhomes 11.9% and condos 13.6%. The Board reported that analysts say that that pressure on home prices occurs when the ratio dips below 12% for a sustained period. “Home prices have edged down across all home types in the region over the past 7 months” commented Board President, Phil Moore.

This is no lull – it is the new reality where sellers need to be competitive with price in order to get into that small percentage of inventory selling. This is the opportunity for buyers moving up with lots of choice and wiggle room for offers. As realtors in the field, we are seeing a lot more buyers out looking and right priced homes selling, so we can hope for a return to market balance. The Spring numbers will tell the final tale.

With as much construction happening as we have right now, we need to be really careful when buying a presale. Is your view going stay the same? Is the green space going to stay green or will construction be happening? And when views are critical, how are the balconies configured? So much to consider and developers leave themselves leeway for changes. If your suite is in a building to be finished 2 years from now and then you find it was a mistake, you may not be able to flip it for the same price you paid depending on market conditions 2 years from now. Caution and research are key to really feeling confident that you know exactly what you are getting. When everything around is built out, it is so much easier but still not foolproof. Do not rely on the official community plan – this can change quickly as it is a guideline. Take us with you – another set of eyes help and there will be some negotiation to be had as the market changes.

Lots of talk around town about our tax assessments which are now sadly outdated as they are an average at best of sales which took place in 2017. They are completely irrelevant in today’s market where certified appraisers as well as realtors are bound by recent sales data as, of course, are buyers and banks. As the daffodils were popping up and we were messaging photos to our family and friends back east, Mother Nature put paid to our boasting! Could we even remember where the outside water shut offs were? This is a reminder of how lucky we are – if we want snow we can go up Grouse Mountain or drive to Whistler, we don’t have to live with it through long winters. Let’s live in gratitude and spare some sympathy for our Eastern friends!

Whatever the temperature, we always have you covered – continuing in that tradition of trust and caring.

We remain your Generations Real Estate Partners – Michelle, Scott, Sheila, Ray and Shane.

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