Quote:
Originally Posted by photon
Ah ok I see what you mean, and in general I agree. There are things which will take a property and permanently alter it's long term market value (change of use, zoning changes, that sort of thing).
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I agree, and that is why i think a lot of downtown and area real estate is still a good buy.
What concerns me is when suburban property (condo's especially, but houses also) roughly matches city core property prices. There is ZERO long term scarcity in a city like Calgary for that type of property therefore its long term value is only for its use (as a dwelling).
I have no problem paying (close to?) current prices for Cresent Heights or Bankview, etc. It is when you are in a farmers field that i get nervous about inherient worth.
Putting it another way, few other cities in North America hold their prices from their core to their perifery as well as Calgary does. All of the comparative cities (or larger) have high downtown prices but none are like Calgary when standing in the middle of no where an hour from the core. That should tell people about something when paying $500,000 for one of those homes.
Claeren.