Westside SFHs At Less Than 2% Rental Yield – “I can easily and I mean easily rent a “today’s market price” $2 million dollar home for $3k per month.”

DaMann at vancouvercondo.info February 17th, 2011 at 4:37 pm“I agree with you full well on living on the westside, I love it here and really wouldn’t want to live anywhere else. I sold my place so I could move back to the westside and rent.
A “land value” house on the westside doesn’t go for $5k a month, not a chance. I could rent many a nice house on the westside for $2500 a month that I would love to own, although they would be old and rough. $3k I could easily and I mean easily rent a “today’s market price” $2 million dollar home. I have lived on the westside for 20 years with the exception of my 3 years of owning, I know the rental market very well.”

20 responses to “Westside SFHs At Less Than 2% Rental Yield – “I can easily and I mean easily rent a “today’s market price” $2 million dollar home for $3k per month.”

  1. DaMann I agree with you that West Side houses are overpriced and the rental yields (especially after taking into account all the real costs of ownership) are stupidly low. But I don’t think you can rent a $2mm house on the west side (that would be a nice house even on the west side) for $3,000, especially not easily. Lots of land value teardowns / old houses for rent in the $3,000 price range but I have never seen a new, nice house on the west side for $3,000, do you have any specific examples? Doesn’t help housing bear credibility if we make claims that don’t stand up to close examination.

    • This 2-yr new detached SFH is available commencing March 1st; rent is to be negotiated. $3k or less is possible imo. Other details:
      3 bedrooms, 2 bathrooms, 1 living, 1 kitchen, 1 car garrage
      Close to schools – Churchill, Laurier, Marpole Oakridge C Centers
      Direct buses to Langara College, YCA, Richmond, Airport, Downtown
      Contact flybird007 at 604-771-7918

    • Rent: $3500/month
      2418 sq ft living space
      4 bedrooms, 3 baths, newly renovated
      available for rent on March 6th, currently occupied by owner
      address: 4551 Belmont Ave, Vancouver West
      close to UBC and beach
      contact: Mr Lin (Lim) at 604-677-4320

  2. Here is a datapoint: V867324 lists at $1.388M, total rent for all suites and garage is $4310/month. It’s certainly not the prettiest place on the west side.

  3. Kitsilano, a 3-level detached house, each level with separate entrances
    location: W 10 Ave (near Balaclava St & Broadway/9th)

    Basement rent: $650/month (furnished)
    Bsmt Living Room 10’11 X 10’9
    Bsmt Kitchen 10’11 X 5’4
    Bsmt Bedroom 12’8 X 11’6
    Bsmt Bedroom 10’9 X 8’11
    1 bathroom

    3rd level rent: $1300/month (furnished)
    Above Living Room 17’3 X12’3
    Above Kitchen 10’4 X 9’6
    Above Bedroom 11’8 X 10’7
    Above Bedroom 10’10 X 9’3
    1 bathroom

    contact: jackrj_at_126.com at 778-889 2620

  4. I live in a beautifully renovated “garden suite” (very bright and not a basement) duplex on one of the prettiest and quietest streets in Kits and pay $1,600 plus utilities. I have lived here for several years without an increase in my rent. The suite is ~1,100 sq. ft with 2 br, 1 bath, in suite laundry, gas fireplace and hardwood floors and full access to the backyard. The house is in excellent shape and the upstairs suite is just as pretty as our suite and they pay $1,600 as well. The suites have separate meters, so we each pay our own utilities. The house has an “assessed” value on BC Assessment of $1.4M, but obviously would fetch upwards of $1.6M on the market. The owner is not interested in selling, so we intend to live here until we decide to buy.

  5. Well, V869100 is a sold 59 year old Dunbar bungalow for $2M (1.98: close enough). Lots of other $2M in Point Grey/Kerrisdale/Southlands that I would consider non-luxury SFH; some nice ones too. In fact, I’d say the pricing looks a bit strange out there. Price compression?

    And for rental, 4600 block Point Grey (8th and Alma) is going for $2900-
    A 5 bedroom in good condition at Crown & 24th for $3200 –
    And “luxury” at 19th and dunbar for $3300 –

    There’s not a lot of rental inventory that I can see available in the $2M home range, I think, but there are definitely options in the $3000 price range.

  6. $1.7 million dollar property, mostly property value, due to acreage (3 acres). Average house 1900 Square feet, updated. $1,900 per month. Older house, but updated nicely. Langley.

  7. McLovin over at VCI has another rental listing: http://vancouver.en.craigslist.ca/van/apa/2224831183.html
    Asking $4300/month, long-term lease requested. Don’t know what the property would sell for but it looks close to lot value only.

  8. http://postimage.org/image/782rwdpg/

    Craiglist rent: 4,300 x12 = $51,600
    MLS®V859209: $1,288,000
    Cap rate: 4%

  9. Okay guys, let me rephrase my question. There is no question that houses on bigger lots on the West Side are going for silly money, and that most of the rental property that there is out there on the West Side is old / crappy / tired looking houses that are still worth over close to $1.5mm or more. But that isn’t the sort of rental I’m talking about. $2mm bucks on the West Side still gets you a 2,500 square foot house that is brand new or close to it, with high end finishes. My only thought is that there is no way a house like that rents for $3,000 a month. I think that the price tag would be closer to $5-6 thousand if you could find one. Which is still a ridiculously low cap rate of 3% or so but my original question was one challenging this posts assertion that “$3k I could easily and I mean easily rent a “today’s market price” $2 million dollar home.” Once again teardowns on big (overpriced) lots do not qualify.

    • Why do teardowns on big lots not qualify? I took the above statement to mean that the poster doesn’t mind old and rough as long as it’s nice – I happen to agree. I don’t much like new builds – give me a shabby old-timer with great bones any day, and I know how to look after ’em. I think the new builds are ugly and unlivable, and am sick to death of all the lovely old buildings I’ve seen ripped down in my neighbourhood to put up these Walmart-esque Boom Boxes.

      I don’t see how the above statement demands finding new builds or close to it. Frankly, if I had to live with granite & stainless I might commit acts of random kitchen violence!

  10. I have been looking for months for a decent 5 bdrm home, Van westside. I’ve seen rat infested at $3500 and unlivable teardowns at $3300, just saw a beautiful house for $4800, but they want to keep a room for storage. Where are you finding these place?

    ps 24th and crown is a dump

    • The bungalow’s no great prize, either. 2M will buy you a dump in this crazy city. I’d rather rent one than buy one!

    • (All I see is the craigslist ad, but if based on that Crown & 24th is a dump, then you probably do have more expensive tastes on the Westside than $3000/month.)

  11. Pingback: Home Offered For Sale and For Rent Simultaneously | Vancouver Real Estate Anecdote Archive

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