Sold Units in 4255 Sardis Street, Burnaby

#103 – 598 sq ft. Sold price: $515,000, Sold Date: 11/6/2017, $861.20/sq ft, * 2 Parking
#102 – 621 sq ft, Sold price: $495,000, Sold Date: 7/23/2017, $797.10/sq ft,
#117 – 660 sq ft, Sold price: $499,00, Sold Date: 8/31/2017, $756.06/sq ft
#110 – 681 sq ft, Sold Price: $489,000, Sold Date: 10/7/2017, $718.06
Avg. Sold price/sq ft: $783.00
For more information, please contact Mick Lo @ 604-430-2986

BC Home Sales Above 100,000 for Third Consecutive Year

Vancouver, BC – January 12, 2017. The British Columbia Real Estate Association (BCREA) reports that a total of 103,763 residential unit sales were recorded by the Multiple Listing Service® (MLS®) across the province in 2017, a decline of 7.5 per cent from a record 112,211 unit sales in 2016. The average MLS® residential price in BC was $709,579 in 2017, up 2.7 per cent from the previous year. Total sales dollar volume was $73.63 billion, down 5.1 per cent from 2016.

“Robust housing demand in 2017 was underpinned by a strong economy, employment growth and rising wages,” said Cameron Muir, BCREA Chief Economist. “Above trend migration, both international and interprovincial, also bolstered housing demand, while broader demographic fundamentals added fuel to condominium sales in urban centres and to all home types in retirement-oriented communities.”
The BC housing market ended the year with a strong December. Home sales increased 4 per cent from November, on a seasonally adjusted basis. However, the year-end results were likely pushed higher by some homebuyers advancing their purchases to avoid tougher mortgage qualification rules in the new year.
In December, a total of 5,738 residential unit sales were recorded by the MLS® across the province, an increase of 21.5 per cent from the same period last year. Total sales dollar volume was $4.2 billion, up 36.3 per cent from December 2016. The average MLS® residential price in the province was $734,108, up 12.1 per cent from the same month last year.

For more information, please contact Mick Lo at 604-430-2986

Essential down payment information for newcomers

When it comes to buying a home, most Canadians don’t pay for the full cost of their home all at once. Generally, the money to finance the purchase of a new home comes from two sources:

1. Your mortgage
This is the money you will borrow from a lender, such as a bank.

2. Your down payment
This is a lump sum of your own money you will put against the cost of your home. The more money you put down, the less you need to borrow, and the lower your overall interest costs will be.

 

Depending on your employment history and immigration status, here’s how much down payment you’ll need to buy your first home in Canada.

Down payment with two years’ employment history
Generally speaking, if you can show that you have been working for two years and if you can afford to put down at least 20% of the purchase price, you may qualify for a “conventional” mortgage. The benefit of a conventional mortgage is that you don’t need to purchase default insurance. If you don’t have 20% to put down, you may qualify for a mortgage but it will need to be insured against default.

 

Down payment without two years’ employment history
If you have a substantial down payment (35% or more), and you are not able to provide the usual confirmation of employment / income to qualify for a mortgage, you may be able to be qualified to obtain a mortgage.

If you don’t have the 35% down payment, then you may still qualify to get a mortgage, but it will need to be insured against default. The following are some guidelines for this situation:

  • You must have immigrated to Canada within 5 years.
  • You must have permanent residence status.
  • You must have a minimum of three months’ full time employment in Canada.
  • You may be required to obtain a letter of reference from your bank in your home country.

 

Saving for a down payment isn’t always easy, and everyone’s mortgage needs are different. Fortunately there is a wide range of mortgage options to suit your budget, circumstances and goals. There are also some effective ways to accelerate your savings – such as automatic transfers to a savings or investment account – that can help you buy your first home faster.

For more information, please contact Mick Lo at 604-430-2986

Steady sales and diminished listings characterize 2017 for the Metro Vancouver housing market

After reaching record levels in 2015 and 2016, Metro Vancouver home sales returned to more historically normal levels in 2017. Home listings, on the other hand, came in several thousand units below typical activity.

The Real Estate Board of Greater Vancouver (REBGV) reports that sales of detached, attached and apartment properties reached 35,993 on the Multiple Listing Service® (MLS®) in 2017, a 9.9 per cent decrease from the 39,943 sales recorded in 2016, and a 15 per cent decrease over the 42,326 residential sales in 2015.

Last year’s sales total was, however, 9.7 per cent above the 10-year sales average.

“It was a steady year for home sales across the region, led by condominium and townhome activity, and a quieter year for home listings,” Jill Oudil, REBGV president said. “Metro Vancouver home sales were the third highest we’ve seen in the past ten years while the home listings total was the second lowest on record for the same period.”

Home listings in Metro Vancouver reached 54,655 in 2017. This is a 5.1 per cent decrease compared to the 57,596 homes listed in 2016 and a 4.5 per cent decrease compared to the 57,249 homes listed in 2015.

Last year’s listings total was 4.4 per cent below the 10-year listings average.

“Market activity differed considerably this year based on property type,” Oudil said. “Competition was intense in the condominium and townhome markets, with multiple offer situations becoming commonplace. The detached home market operated in a more balanced state, giving home buyers more selection to choose from and more time to make decisions.”

The MLS® HPI composite benchmark price for all residential properties in Metro Vancouver ends the year at $1,050,300. This is up 15.9 per cent compared to December 2016.

The benchmark price of condominiums increased 25.9 per cent in the region last year. Townhomes increased 18.5 per cent and detached homes increased 7.9 per cent.

“Strong economic growth, low interest rates, declining unemployment, increasing wages and a growing population all helped boost home buyer demand in our region last year,” Oudil said.

December summary

Sales of detached, attached, and apartment properties totalled 2,016 in the region in December 2017, a 17.6 per cent increase from the 1,714 sales recorded in December 2016 and a 27.9 per cent decrease compared to November 2017 when 2,795 homes sold.

Last month’s sales were 7.5 per cent above the 10-year sales average for the month.

“As we move into 2018, REALTORS® are working with their clients to help them understand how changing interest rates and the federal government’s new mortgage qualifications could affect their purchasing power,” Oudil said. “Only time will tell what impact these rules will have on the market.

“Home buyers today should get pre-approved before making an offer to ensure that your home buying goals align with your financial situation,” Oudil said.

There were 1,891 residential homes newly listed for sale in December 2017. This represents a 44.1 per cent increase compared to the 1,312 homes listed in December 2016 and a 54 per cent decrease compared to November 2017 when 4,109 properties were listed.

The total number of homes currently listed for sale on the MLS® in Metro Vancouver is 6,958, a 9.7 per cent increase compared to December 2016 (6,345) and a 20.5 per cent decrease compared to November 2017 (8,747).

The sales-to-active listings ratio for December 2017 is 29 per cent. By property type, the ratio is 14.4 per cent for detached homes, 38.8 per cent for townhomes, and 59.6 per cent for condominiums.

Generally, analysts say that downward pressure on home prices occurs when the ratio dips below the 12 per cent mark for a sustained period, while home prices often experience upward pressure when it surpasses 20 per cent over several months.

Sales of detached properties in December 2017 reached 617, a 14 per cent increase from the 541 detached sales recorded in December 2016. The benchmark price for a detached home in the region is $1,605,800. This represents a 7.9 per cent increase compared to December 2016.

Sales of apartment homes reached 1,028 in December 2017, a 12.3 per cent increase compared to the 915 sales in December 2016.The benchmark price of an apartment in the region is $655,400. This represents a 25.9 per cent increase compared to December 2016.

Attached (or townhome) property sales in December 2017 totalled 371, a 43.8 per cent increase compared to the 258 sales in December 2016. The benchmark price of an attached home in the region is $803,700. This represents an 18.5 per cent increase compared to December 2016.

For more information please contact Mick Lo at 604-430-2986

Lowest Priced Single Detached in Richmond

Steveston North
10470 HOLLYMOUNT DRIVE
Asking: $1,450,000
Lot Area (sq.ft.):4,002.00
Approx. Year Built: 1978

Broadmoor
7337 WILLIAMS ROAD
Asking: $1,748,800
Lot Area (sq.ft.):3,829.00
Approx. Year Built:2017

Garden City
9860 ASHWOOD DRIVE
Asking: $1,278,000
Lot Area (sq.ft.):5,303.00
Approx. Year Built:1979

Terra Nova
3671 LAM DRIVE
Asking: $1,648,000
Lot Area (sq.ft.):4,316.00
Approx. Year Built:2003

Steveston South
11740 YOSHIDA COURT
Asking: $1,289,000
Lot Area (sq.ft.):4,340.00
Approx. Year Built:1979

For more information please contact Mick Lo at 604-430-2986.

5 Hottest Real Estate News Stories of 2017

In a year of market uncertainty, various government interventions and a provincial election, REW’s News + Trends category saw more clicks than ever before. But what were the hottest of all those hot topics? Here’s our countdown of our five most-clicked News + Trends stories of the year…

5. “Stress Test” for All Mortgages to Launch in New Year

The fifth most-read news story of 2017 was the announcement of the dreaded “stress test” qualification rules being extended to all new mortgage applicants. The test had already been applied to applicants for insured mortgages (less than 20% down payment) in the fall of 2016, but fears that even those buyers with 20% down payment or more were overstretching themselves – and putting banks at risk – led to the much-anticipated announcement in October 2017. There was a lot of pushback, with some decrying the decision as likely to make things worse.

4. NDP Plans 2% Yearly Tax for Non-Resident Home Owners

The only provincial election story to hit our top five most-clicked is this pre-election piece about a key NDP housing promise. The eventually victorious party pledged that if it were to gain power, it would impose a 2% tax on owners of Vancouver homes who do not pay Canadian income taxes (with many exemptions for non-taxpaying locals). As of December 2017, there’s no sign of any such tax so far, but it’s still early days.

3. New Mortgage Rules Set to Further Cool Markets Up To 10%

The second of two stories on the new stress test, this one anticipates the October confirmation about the new policy, with TD Bank predicting that it could cool the housing market. The reduction in buyers’ purchasing power could be as much as 20%, and with some markets already seeing a slowdown, the new rules could exacerbate any price corrections, said the bank. We’ll see in the first part of 2018 whether TD’s number-crunchers were right…

2. Vancouver Housing Market “Ain’t Seen Nothing Yet”

One of two prediction stories about Vancouver’s housing market in these rankings, this piece was more of a warning than an optimistic outlook. At an industry event, leading real estate marketer Cameron McNeill from MLA Canada warned that the relatively slow rate of new home construction combined with increased demand and population growth meant that Vancouver was “dancing on the edges of a massive problem” in housing supply. What does this mean for market activity and home prices? “We ain’t seen nothin’ yet,” McNeill warned. The article that covered his comments obviously rang our users’ alarm bells, as it was the year’s second most-read News + Trends story.

1. 2017 Vancouver and BC Real Estate Market Outlook

Our top story of the year was also our first story of the year. This January 3, 2017 article was a round-up of market predictions from various industry groups and Big Banks – some of them bullish, some less so. Most predicted a drop in home sales compared with the frenzy of early 2016 – correctly, as it turns out. But the overall consensus that Vancouver and BC home prices would lose ground turned out to be inaccurate – only Central 1 was correct, in that home prices in fall of 2017 would be higher than a year previously. This story was popular right off the bat in January, but readers also kept coming back to it throughout the year – perhaps to see whose predictions had been right…