One year ago, I made the case Vancouver’s housing market was being driven by foreign money. My evidence was the fact high-end properties were appreciating more than low-end properties. This doesn’t happen when local buyers are fueling large price gains with borrowed money.
Over this past year, the real estate market in Vancouver has gone to a whole new level of insanity.
The question is, are we still seeing higher-priced properties appreciating faster than entry-level homes. If so, that would demonstrate that the Vancouver market is still being primarily driven by foreign capital. The answer is an obvious ‘yes’.
Just Sold: 101-1168 Richards Street
Last Sale: March 2015 – $975,000
Sold in 5 days for 54% more than previous sale 14 months earlier. There were some renovations, but nothing major. Here are the before and after pictures:
101-1168 Richards – Before
101-1168 Richards – After
Just Sold: 1501-428 Beach Crescent
Last Sale: December 2012 – $1,950,000
Selling price 68% higher than previous sale 3 years and 5 months ago, 44% higher than assessed value. Sold in 2 days, no pictures provided in listing. Why bother?
Just Sold: 2003-918 Cooperage Way
This one actually went for less than asking, but still 51% higher than assessed value. Sold in 13 days.
Just Sold: 1000-1675 Hornby Street
Selling price 54% higher than assessed value.
Just Sold: 2806-583 Beach Crescent
Selling price 69% higher than assessed value. Lots of eights in those numbers, I wonder where the buyer is from…
Two “02” floor plans at 939 Homer Street
2702 – Sold January 25, 2016 for $561,000
602 – Sold May 9, 2016 for $685,000
In less than four months, the same floor plan (771 sq. ft. 2 bed/1 bath) on a much lower (no view) floor sold for 22% more than the previous unit. Assessed value on #602 is $404,000 — sales price was 69% higher.