The big change of the valuation of the Canadian dollar with respect to the US dollar is encourage US investors in BC real estate to consider cashing out.
A combination of the increase in property values in BC plus a big change in the exchange rate is motivating US investors to consider selling their Canadian properties.
Downtown Vancouver condo’s are being listed in order for their owners to repatriate their dollars. It is now much less attractive for US investors to purchase in Canada relative to the increasingly cheaper US properties that are available. Real estate agents have said that their US investors have dried up.
The BC property registry has documented that US buyers are selling faster then they are buying. A mass exodus is unlikely due to the forthcoming Olympics. The opportunity to attend the Olympics is a big attractive for the US owners, but after the Olympics who knows.
Duncan Seward is a mortgage broker in BC who focuses on the hard to place business. Duncan business fills in the gaps where the banks do not want to lend.
Thursday, November 29, 2007
Wednesday, November 28, 2007
Will Insanity Prevail? | Has The Market Turned in BC
Condo sales have slumped in Vancouver according to Price Waterhouse Coopers. 50% of all activity in downtown Vancouver is due to speculators. Condo sales have dipped by 33% from the previous quarter states PWC.
Unsold inventory in Burnaby/New Westminster grew from 315 units in early July to 825 units at the end of September, while sales in the Downtown/West End area kept pace with new product coming on the market.
As well, low-rise condo sales plummeted by almost 60 per cent to 620 units from 1,480 in the second quarter, reflecting slowing demand in south-east suburban markets.
The decline in sales has been reflected in the asking prices for low-rise condos.
And finally, the Sales of townhouses also dropped 45 per cent to 370 units. PWC does not expect to see major change in these third-quarter trends.
Has the bloom gone off the rose. If you are in the market it would be wise to check current pricing. This decline in the market may signal a return to more reasonable pricing for home buyers with poor credit.
Duncan Seward is a mortgage broker in BC whose focus in on the second mortgage loan clients with bad credit in BC.
Unsold inventory in Burnaby/New Westminster grew from 315 units in early July to 825 units at the end of September, while sales in the Downtown/West End area kept pace with new product coming on the market.
As well, low-rise condo sales plummeted by almost 60 per cent to 620 units from 1,480 in the second quarter, reflecting slowing demand in south-east suburban markets.
The decline in sales has been reflected in the asking prices for low-rise condos.
And finally, the Sales of townhouses also dropped 45 per cent to 370 units. PWC does not expect to see major change in these third-quarter trends.
Has the bloom gone off the rose. If you are in the market it would be wise to check current pricing. This decline in the market may signal a return to more reasonable pricing for home buyers with poor credit.
Duncan Seward is a mortgage broker in BC whose focus in on the second mortgage loan clients with bad credit in BC.
Tuesday, November 27, 2007
The Lighter Side of the Subprime Mess
A video concerning the implications of the subprime mortgage mess. While the humor is black, the video provides an interesting overview of how the market stepped into the mess.
40 Year Mortgages | Lower Payments But At What Cost?
Do not pay until 2047. It has a nice ring to it for Canadians who are committed to home ownership but unable to afford the price tag that comes with buying property. No wonder with the price of houses in the Vancouver market.
The reality is the level of speculation in the market has impacted home buyers significantly. Add up the development fees required by the municipalities, transfer fee grabs by the provincial government and the GST for the feds, it is no wonder there is no money for a down payment and even less cash to make monthly payments?
If the Canadian real estate industry hadn’t introduced the 40 year amortization, the robust BC economy that is based on residential construction would come to a screeching halt.
Duncan Seward is a mortgage broker in BC. He helps worthy people who don't fit in the banker's box get the mortgage they want. Quickly, painlessly and at highly competitive rates.
The reality is the level of speculation in the market has impacted home buyers significantly. Add up the development fees required by the municipalities, transfer fee grabs by the provincial government and the GST for the feds, it is no wonder there is no money for a down payment and even less cash to make monthly payments?
If the Canadian real estate industry hadn’t introduced the 40 year amortization, the robust BC economy that is based on residential construction would come to a screeching halt.
Duncan Seward is a mortgage broker in BC. He helps worthy people who don't fit in the banker's box get the mortgage they want. Quickly, painlessly and at highly competitive rates.
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