Market Still Driven By Foreign Money

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.

VancouverAverageApr2016

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’.

April2016Scatter

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