Real estate is a game of numbers, and the Vancouver real estate market has been facing a constant struggle in this game of numbers.
August is usually considered to be the driest summer month in Vancouver, and this dryness was swiftly spread across the housing market of Vancouver as the property prices sky-rocketed and the market was on the verge of a massive bubble, in the words of a former Lehman Brothers trader.
The introduction of 15 percent foreign-buyer tax, high housing prices, drop in sales by 39 percent, a ‘red’ warning by the Canadian Mortgage and Housing Corporation, and a continued effort to make the real estate prices hit the balance of normalcy, has been the journey so far. But the journey hasn’t stopped as yet; there is a new update that a developer has offered to pay $1800 to line up for the new condo development.
A few days ago, a job ad on Vancouver Jobs Facebook group was posted, that offered successful candidates $1800 for almost a week for standing in a line for the pre-sale condo development in the Lougheed region, dated from November 28th to December 3rd. According to a few realtors, this advertisement is nothing but a marketing strategy, which will eventually make selling easier.
Further, it was founded that the "condo resale absorption is currently sitting at 68 percent, which places it, a full 48 percentage points into sellers’ market".
It was also discovered that 10 percent of homes in Vancouver, which are getting resold have never been inhabited according to the sales listing. Moreover, these houses are being purchased at a much higher price than the actual average market price.
Hence, this job advertisement has said a lot about the Vancouver housing market. The developers have easily persuaded the speculators to believe that Vancouver condo market is still hot, and there is ample space for an average person to make extra pocket money by overturning condos to regular people.
Even the downshift in property sales in Vancouver does not affect the desire amongst the people for a new housing property. The proof to validate this is a massive queue outside a condo presentation center.
The condos, being resold are part of the first phase of the redevelopment of Lougheed Town Centre shopping mall project, which is being developed under the instructions of developer and builder, Shape Properties. The costs for the condos in this Lougheed project start at $329,000, for one bedroom apartment, which is approximately 520 square feet in size. Moreover, in the first phase of the sale of this 55-floor project, 500 units will be made available to the folks.
On the second day of the lineup, 50 people queued outside the presentation center for The City of Lougheed.
Though this was the second day of the condo sale, people started to gather around the venue at 11 am on the first day, all equipped with tents, folding chairs and sleeping bags for the prolonged waiting time in the chilly weather.
To conclude, there could be various procedures to manage this process, for example, the email-in system, where all the potential buyers can email their top five selected suites, and they would be further informed if they will receive any of their selected suites.
Though the demand is high for condos, and the Vancouver real estate market is constantly going through ups and downs; in such a scenario if you are planning to buy a condo, our realtors at Sutton Centre Realty can guide you and can help you ease the buying process.