Vancouver debt crisis - Your home is a liability!

[Anonymous]

Vancouverites are being lied to! Perhaps not intentionally, but the media has everyone convinced that Vancouver is only in for a "soft landing," or that perhaps "this" is the bottom! We have already fallen off the cliff, and this is simply our "dead cat bounce." The Vancouver market is purely speculative, and absolutely no underlying fundamentals truly justify our home values. Our incomes have technically gone DOWN the past 30 years, while home prices have increased twenty-fold! It is a given that most of this demand comes from China, but when things cool off there, Vancouver is going to take a hit. Combined with interest rate hikes and stricter lending policy, Vancouver is in for a financial tsunami. As soon as we realize our homes are liabilities and not, in fact, assets, everybody is going to flood out of the market.

 

[Thomas Beyer]

[quote user=PatrickGunville]Vancouver is going to take a hit.
yeah yeah yeah .. I heard this 30 years ago.



have you noted that Vancouver has no more land ? Not a single new subdivision is possible in Vancouver, only brown field higher density re-developments. US to the south, ocean to the west, mountains on the north and another city (Burnaby) to the east. I was told 30 year ago a $250,000 Burnaby bungalow was unaffordable, it has to drop .. and gues what today it is worth $800,000.



It is a great place to live, with beaches, mountains, sea, opera, museum, universities, downtown action, shopping.



Where in the world can you go skiing in the morning, sailing in the afternoon and listening to the opera in the eveing ? Maybe Zurich. Maybe Singapore. Maybe Sydney. ALL more expensive than Vancouver.



Top notch cities are expensive: London, Vienna, Munich, New York, Toronto, Hongkong, Rio, Sydney ..



Average incomes don't matter. The money comes from elsewhere. "Avergae" folks rent in Vancouver, or they by a small place or live in Richmond, Burnaby or N-Van and commute.