I think I'm the only Vancouver Realtor on CP, so I guess I'll weigh in.
Vancouver Real Estate is crazy. Everytime I think it might come down, it goes up more. Richmond has gone up about 20% in the last year.
The demand for certain locations is always high.
When I sell new developments here, we are disappointed if it's not sold out in the first few months.
The Chinese buyer (and some others to a lesser extent) is carrying this market, and yes it is very difficult to afford for the rest of us.
Having said that, I'm not sure that means it will pop. It could just become one of those cities (like London for example) where your average local just can't afford to live in the high demand inner city area, but world influence carries prices regardless of affordability.
The stats about affordability talk about Vancouver detached home prices vs average wages; but people need to remember that is just municipal Vancouver. Not Burnaby, Richmond, Coquitlam, Surrey etc. which would lower the ratios to slightly less ridiculous levels.
So while average home prices of 800,000 something is very high, we're talking about a relatively small geographic area, with huge demand, and water, mountains or other municipalities on all sides. Also ignoring that most people here live in condos.
Vancouver can not grow land like Calgary does, and people here actually like living close to the inner city (strange to most of you, i know
)
I don't claim to have the crystal ball, and am very careful not to tell my clients prices will always go up; but the factors that influence Vancouver are very unique from cities like Calgary and very hard to predict. Neither more boom or some bust would surprise me at this point.
If anyone wants any specifics on Vancouver MLS sales, stats, Vancouver developments, etc. feel free to PM.