“Last night I was listening to the following discussion about the Vancouver housing market. It went basically like this. Person one said that real estate is coming down in Vancouver. Person two said that the apparent downturn in sales and values in Vancouver is largely illusionary because it is only real estate at the top end of the spectrum that has slowed, which is artificially skewing the statistics in the mid-range, and that homes in the midrange and below are still selling well and have not slowed. Is this accurate? Personally, I was going to say that he was not correct but I did not have the exact statistics to back up my claim. Where are the statistics on each market price segment?”
– Mark W at greaterfool.ca on 18 Jan 2013 at 10:25 pm
Not so long ago we heard the reverse argument: that the high end market was special, and resilient to price drops.
Each sector of the market, whether categorized by price range or by geographical area, may take different price trajectories peak to trough. Condos or SFH, Richmond or West Vancouver, Central or Peripheral – price paths will have different shapes.
Regardless, in the end, each sector will have lost very similar large percentages. No subgroup will be spared.
We continue to anticipate 50%-66% drops in real prices peak to trough, across all property types.