Metro Vancouver Real Estate

Owning a Home in Your Lifetime?

Fri, 17 Feb 2012 22:23:00 GMT

With the price of real estate continuing to rise year over year more than the rate of inflation, will you ever be able to get into the market? Over the last 20+ years, we have gone through several cycles with peaks and troughs. Each correction was followed by an increase which exceeded the previous high. First time buyers need to understand that the first purchase will not be the dream home. Remember when you bought your first car in high school? Expectations need to be realistic and sacrifices need to be made. Saving for the down payment may mean foregoing the daily mocha or lunches out. It may mean getting a used vehicle instead of financing or leasing a new sports car that depreciates and is not tax deductible. It may mean not replacing your smart phone every time the latest model is released. It’s a matter of controlling or determining the spending as necessary or not really required. We have helped many buyers get their financial affairs together to buy their first home and they have never looked back. They also thought that they could never afford it. It is never too late if you plan ahead. If you are tired of renting and would like a place to call home, you need to act on it today.

--Arthur Ng

Canada Grows Especially the West

Fri, 10 Feb 2012 16:30:00 GMT

As per my previous blogs and what I have been advising our clients, the local real estate market is unique. The economic and political stability, quality of life, the natural beauty and the sound social and education system is desirable world-wide. This is confirmed by the latest 2011 census report from Statistics Canada shows that our population is growing faster than any G8 nation, fuelled primarily by immigration and the bulk landing in Western Canada. For Metro Vancouver with its’ limited land base, it just means that prices can only head one way overall. This explains why Surrey and Port Moody is experiencing 19.9% and 18.6% growth respectively when compared to 2006. More than 200,000 new residents came to Metro Vancouver since 2006. This and more is expected to continue for the next 20+ years by 1.6 million. Vancouver has been quoted for many years as one of the best places to live in the world by many sources including the Economist, the Conde Nast, Mercer, and others. If you are in the market to buy your first home, I would suggest that you act sooner than later.

--Arthur Ng

An Income Tax Deduction for Your 1st Home Purchase?

Tue, 07 Feb 2012 17:00:00 GMT

Did you know that you could be saving up to $750 in income tax if you recently bought your first home? Many have forgotten about the Federal program that was introduced under Canada’s Economic Action Plan Budget 2009. The Home Buyers’ Tax Credit (HBTC) is a non-refundable tax credit based on the amount of $5,000 that you claim in your personal income tax return on line 369. You would claim this amount in the year you completed on your home. So if you bought your first home last year, you could have up to a $750 surprise bonus this April! For more details about this program, please click here: HBTC

--Arthur Ng

Housing Affordability in Greater Vancouver

Tue, 31 Jan 2012 17:45:00 GMT

Many reports suggest that we have the most expensive real estate in the world. How then do the residents cope? The studies generally compare the ratios of average or median family income with the ability to finance a detached home. With the average price over CDN $1 million, many cannot afford to buy a house, but they do have other options.

Family dynamics have changed over the last 20 years. Couples are getting married later in life, having less children, and needing less space. While a detached house may be desirable, a townhouse or an apartment may be more practical where prices are less and the upkeep of the exterior and common areas is maintained by monthly fees. In fact, according to the REBGV MLS® statistics, more than 50% of all sales are from town homes and apartment units.

Many Buyers are also having family help with the down payments and as guarantors for the mortgage, or finding homes with rental suites to offset some of the monthly debt. Those who already have bought can make the easier transition to move up with equity built up over the years and whose values also appreciated. First time buyers have more realistic expectations on what they can buy for their money. Buyers can sacrifice land and opt for less living space for proximity to the city or move to the suburbs and accept the commute.

The reality is that we are live in a beautiful place and everyone wants to be here. BC Stats projects in their PEOPLE 36 report that our province will gain another 1.6 million people in 25 years, by 2036. Real estate here is not going to get any more affordable.

--Arthur Ng

Sitting on the Fence

Fri, 27 Jan 2012 16:00:00 GMT

“I’m going to wait until prices drop.”

“I want to save enough for a large down payment.”

“The prices are too high.”

“A better house might come up.”

“My friends/media told me not to buy.”

We hear these comments on a regular basis. I will say that the right time to buy is when the conditions work for you regardless of the market. If you can afford the mortgage and the property is in the right location and meets most of your needs, why wait? What happens if the prices don’t come down? If the prices do come down, would you and the others sitting on fence jump in at the same time to compete for the same property? When you find the near perfect house but wait to see if another better one comes up and doesn’t, and meanwhile the house that you liked has sold, what do you do then? A home is where you live. And we happen to live in the Lower Mainland where the population continues to grow from international immigration and the rest of Canada at a record pace. Prices are based on supply and demand. Have you wished that you had bought earlier but didn’t because you thought prices were going to fall? Ask some of your friends that did. I am not suggesting that you jump in blindly. Consult with one of our experienced agents and they can guide you in the right direction.

-- Arthur Ng