Toronto, Vancouver housing affordability deteriorates to ‘risky’ levels: RBC

Rising prices in Vancouver and Toronto pushed housing affordability closer to “risky levels” in the second quarter of 2015, according to a report from RBC.

Source: Toronto, Vancouver housing affordability deteriorates to ‘risky’ levels: RBC – Business – CBC News

and, staying with the theme of ‘insider’ warnings:

Calgary real estate board warns housing sales to plunge 22%

4 responses to “Toronto, Vancouver housing affordability deteriorates to ‘risky’ levels: RBC

  1. @Brian:
    BPOM – Best Place on Meth

    VCI used to be a pretty good blog but since BPOM gotten kicked off RET (a defunct RE Van forum) before Johnny Horton for posting nothing but hate and vitrol adn showed up at VCI unchecked, it’s gone downhill ever since. There are still some good posters on there but it’s look to be taken over more and more by the haters.

    So yeah, sometimes I do be a prick there as well, especially the anti-Chinese, hate filled posts. No one likes those rich bastards from China, but then that’s what? <0.01% of the population? Plus, it's easy to act all high and mighty when you are living in the land of plenty, unlike most of developing world population.

    heck, to me, a lot of griping and bitching about Van RE also shows that the loudest complainers are actually much worse than the people they are complaining. If the fact that they can't buy a single family house gets them this worked up, gosh I wonder what kind of things they would do if they have to live the life of an average peasant.

  2. @teaside – I don’t live in Shuanessey or even Shuanessey street in Marpole. I’m looking duplex for sale or rental along Marpole and South Cambie. Aside from the lack of inventory for either duplex or rental, the cost to buy or rent are also way too high.

    Yes, rent is cheaper than buying with say 25% down but relative to income, it is not cheap. I honestly don’t know/believe the kind of rental deals that bears on VCI like to boost about. They just sound to be way too good to be true.

  3. @real estate tsumani – If I have first hand knowledge/experience I probably wouldn’t be bitching about high RE cost or rent prices. Basically, the stuff I post is what we hear/circulates around on Chinese oriented blogs, forums, etc. Pretty standard stuff.

    Some of it is even news/shock to me when I first heard/see it first hand. Simple example, everyone is talking about how the rich immigrants, which accounts for less than 1% fo all immigrants, are driving local RE prices and pricing people out. Yet, what no one is talking about and actually happening on the ground is that a lot of economic/skilled immigrants (the non-millionaires) are actually have a much much bigger direct impact on local RE market segments that local average income family buys. These family from China usually having sold their Beijing, Shanghai, or GuangZhou condo or condos have anywhere from $300K CAD to $1M CAD to spend on a house here. So yes, while they will have to look for jobs and work here, often in low paying jobs, they can and do compete against locals for TH, duplex, and SFH with their RE haul from China, and they can out compete and out pay for those housing against locals. It is something very few is talking about but this is having a much bigger impact on local affordability than the super rich Chinese immigrants.

  4. @Brian – you are right in that different culture have different priorities and we Asians (and also Eastern Europeans I think) places much higher value on RE, almost to the point of priority number one over everything else. It is something most local North Americans can’t understand, and North Americans have this arrogant attitude that everyone must follow my view cuz only my view is right and you are wrong. So while the bears on VCI are crying poor me, i can’t afford a house while at the same time laughing at home owners, especially Chinese, who live in basement or take in renters to afford a house, they don’t seem to stop and think, hey, maybe just maybe I can’t impose my view on others and expect them to automatically follow my view. The amount of contradiction they have while appearing all self-righteous is quite unbelievable.

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