“Strange market with pockets not selling anything and others on fire.”

386 West 23rd Ave, Cambie area, Vancouver West
V854672; 3129sqft; 50×148 lot; Built 1943
Asking Price $1,649,000

This discussion regarding this property at RE Talks 19 Oct 2010:

thinktom (a Vancouver realtor) 9.28am – “This property at 386 W. 23rd had 4 offers Sunday. Firm deal Friday. Nice lot size. It had chickens in the backyard. … West side 50 ft lots are still selling like crazy, especially Dunbar, Point Grey, UBC-ish areas. Many multiple offer situations. Strange market with pockets not selling anything and others on fire.”

unicas 9:34am – “I have a client who does renovations, mostly on the West side. He told me when you call the listing agent, first thing they ask is how much over the listing price you want to bid. I guess Tom can varify if this is true or not. Lots of money coming in the market.”

vanpro 9:47am – “For the month of October so far (from REBGV stats published by realtors such as www.yattermatters.com), we are on track for near 2nd lowest sales for October in last 10 years – only October, 2008 was lower (during worst worlwide financial crisis since Great Depression). At best, maybe 3rd lowest (depending on how rest of month turns out).”

Austin 10:36am – “It doesn’t matter. Interest rates are low, inventory is not going up, MOI and prices are stable. The market is in pause mode right now.”

3 responses to ““Strange market with pockets not selling anything and others on fire.”

  1. A friend of mine listed his house on the Westside for $2.6 mill. First open house got offer of $2.45 and sold to new Asian buyer. There’s still lots of money flowing in from China.

  2. This isn’t that strange given that the Fed is on the verge of delivering QE2 Shock and Awe edition (followed by TARP 2, QE3 etc…). Those with bags of money to burn are becoming increasingly worried about runaway inflation and are simply reluctant to leave it stuck in their mattresses. Given the rapid and equally alarming increase in ag commodity prices (which will lead to much higher food costs very soon) along with the surge in purchases of precious metals etc, I don’t blame them the least bit. Not surprisingly, these folks are only shopping for the best and have no interest in all the other low to mid range, run of the mill product that will just sit there and collect dust for the foreseeable future. Unless the market in China completely melts down (which is not entirely out of the question), this trend should continue.

    At the other end of the spectrum are the millions of folks who are simply in “debt up to their eyeballs” (see http://www.youtube.com/watch?v=hn5EP9StlVA) and have no escape plan whatsoever (aside from winning the 6/49 or magically selling their home for twice what they paid – uh, good luck with that). No longer are these people day dreaming about buying a bigger and better house, a new BMW X5, a second 60″ flat screen TV for the bedroom and a $100k Martha Stewart inspired designer kitchen complete with every useless gadget you can think of, but will never use. Instead, countless hours are now being spent both waiting for their realtor and/or banker to call back and staring out the window, praying that everything will be ok and wondering what Mark Carney and the BOC will say and do next.

    I say they hold the line for as long as possible, but will have no choice but to crank rates up very quickly once the housing bubble catches fire (again). At this point, borrowing money and/or servicing existing debt will be even more difficult for the “have-nots”.

    Pretty soon there will be no middle class left and we will start to bear a very striking resemblance to the USA’s other neighbor to the south.

  3. I am currently renting in the adjacent block on 23rd, full house on equivalent lot for less than 1/3 of carrying cost of this place.

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