Winter Olympis Over!

[yvrslammer]

What's going to happen now, Vancouver has been riding this high for years... property boom, tourism hype, amenity developement, massive public spending to accomodate infrastructure improvement all over. Will the cost be felt for some time to come especially with
the world econimic crisis still in full swing.
I have property interests there and would like know what anyone may think about potential economic reflex and property adjustment.

Thoughts, thanks.

 

[Biblo]

yvrslammer,
You need to understand the geographical reasons behind the hike. Vancouver is surrounded by mountains on one side, water on other and is restricted for expansion thus making the existing development expensive. There are tough regulations in place for approval of new developments. In addition there are economical factors, which you already mentioned in your query and the service industry it is serving.

Definitely for short time the property adjustment may take place but remember the demand and supply factor supported by the reason people move to Vancouver (weather, jobs, industry, tourism etc). It is my personal assessment that Vancouver property will remain expansive untill a year, then adjustment may start and carry on for another two years.But any upcoming adjustments will not have any adverse effect on prices for more than 8-10% range. Overall Vancouver ill remain an expansive city.

 

[yvrslammer]

Worth hanging on to my West Van location then for the time being. I wish I had more chance to utilise the condo myself but work pressures dictate I am unable to spend more than three months of the year there, but there is some reasonable gain from the short term rental market.... at least enough to ensure that it just about remains self financing at the moment. That's really the reason for concern, whether or not the equity will remain in property for continued viability.

Thanks For Your Reply.