calguy asked today at VREAA: “Can someone confirm a sale recently, last week in Dunbar. A bungalow at 4035 west 28th was listed at 1.9 million and sold for 2.6!!! I thought I saw it somewhere but can’t remember where. It was listed as a building lot. A shame as it looked like a nice home for a reno. I remember when these homes were 1 million and we thought that was expensive then!”
Near private schools. Fairly solid house, by Vancouver standards, but clearly bought as a tear-down. It was advertised as “An excellent holding property or build your dream home.” It’s hard to imagine anybody sinking $2.7M into RE so they could live in this modest house. More likely they will spend another $1M on top of that to rebuild. So, we could use this sales price as rough lot value for this area. And, arguably, as another example of misallocation of resources (a perfectly usable home is destroyed).
As frequent readers know, we often cite the possibility of 50% off in the crash. Here we’ll make an exception and say that we wouldn’t be at all surprised if lots this size change hands for a lot less than $1M in Dunbar in future years. That’d be a drop of more than 63%.
It would be interesting to know if this house was purchased by a SFH developer or end-user. Anybody know more? -vreaa