Sheesh at vancouvercondo.info May 28th, 2011 at 10:23 am-
“In the past few weeks, the number of our friends who have either moved away, taken steps toward moving or expressed interest in leaving Vancouver has been truly alarming. They are all highly educated professionals and the ridiculous cost of living in Vancouver relative to the professional salaries and opportunities available have them suddenly running for the hills.
I don’t know if it is coincidence or if this is a sign of a larger trend, but I feel like we have all waited a really long time for things to get better here and now, in our 30s to early 40s, we are tired of sitting around waiting for a piece of the pie to come our way.
One couple both have MBAs but have had trouble finding work here that lives up to their potential. A corporate recruiter told them staying in Vancouver will kill their careers; one has already found work in Toronto so we expect both to be gone in a few months.
Another couple, both with Masters degrees, is moving to Edmonton. The husband found a job there and they have just put in an offer on a house. They can buy a beautiful house for grown-ups there for the same monthly costs as renting a dark, dank one-bedroom in the West End.
Another couple have met with an immigration lawyer about moving to the States. They can sell their place here and, with the equity, buy a sweet little house in a trendy neigbourhood in Portland for $300,000.
We also know a Canadian/English couple that were going to move here after living in Japan for many years but, after a real estate tour of each city, chose London, England, as the more affordable option!
The last couple that wants to leave is us! Unfortunately, our jobs are keeping us in Vancouver for now. But we have a young son and just don’t see Vancouver as a place where we can raise a family, save for retirement and have anything left over to buy a place.
All of us, by the way, would pick Vancouver as their first choice. It just seems like the city doesn’t want us. At this rate I really have to wonder what kind of place this will be in five or ten years. Can money launderers, speculators and offshore investors really make Vancouver “The Best Place on Earth?”
There are lots of nice places to live in this world; looks like a lot of us that didn’t get in on the ground floor are setting off to find another one.”
We share this poster’s concerns. Speculative manias in real estate cause misallocation of human capital, and our city is going to be poorer for it. – vreaa
Posted in 03. Changed my Life, 07. Avoiding Vancouver
Tagged Anecdotes, British Columbia, Bubble, Canada, Capitulation, Economy, Employment, Housing, Real Estate, Sentiment, Vancouver
grant at vancouvercondo.info January 14th, 2011 at 9:36 am – “I’ve been a bear since 2004 but these constant articles promising a crash is imminent (“we mean it this time! honest!”) for the last 3-4 years is getting a bit ridiculous.”
[Tell us about it! The articles and naysaying will continue to look 'ridiculous' to many observers, until the crash comes. That's one feature of bubbles. Savour the moment... we're watching history being written. -vreaa]
This Toronto anecdote could very well be a story from Vancouver. -vreaa
An article from the National Post by Paul Vieria 10 Dec 2009 quotes Graham Withers, a film and TV editor in Toronto, who with his wife Heather Harding just bought a house. He described nearly a half-dozen failed bids in the prior month in which properties sold for at least 20% over asking price -
“It was kind of disappointing in the beginning because we were careful not to stretch ourselves further than we could handle. Our search felt really irrational, at times, in terms of bidding. Just because money was available to people, it seemed that was artificially inflating the price of houses.”
From Benjamin Tal, an economist at CIBC World Markets, earlier in the same article -
“What the Bank of Canada is saying is that there might be too much of a good thing going on. And I think the issue here is to what extent are extremely low interest rates blinding Canadians, and giving them a false sense of confidence to buy a bigger house.”