Wait a minute didn't I say that average prices don't matter. Ah shucks..party delayed
Guess we will just have to wait for the HPI.
Lots of listings tonight.
BTW seeing some 20% price reductions in the stupidly priced houses ($2-3+ range)
What makes something as slow moving as RE worth $3.7+ Million one day and $3.1 the next?? It just shows that there is no clear metric to value these properties. They are of course well past rental return, replacement cost and all other normal parameters of valuation. They are into ..wishful valuation.
Victoria looks like it's party is coming to an end, with a probable drop in median home prices year on year, of as much as 5%.
While we all agree our market is long overdue for a signficant correction, I personally cannot stress how this will not be a 'yippee' period. Vancouver will be ground zero for a huge crash, but too many are blind to the collateral damage this is going to create. As people prepare for what is coming, don't forget to prepare for that collateral damage as well.
ReplyDeleteI agree 100% Whisperer. I almost hope it doesn't happen. The bubble has got soo big that any bursting (and I mean on a national level) will endanger the economy, credit unions, banks and our social systems.
ReplyDeleteLeaving a boil to get bigger is not a good thing. There were many opportunity to lance the boil, but in fact they (banks, Bof C, Flaherty) just made it grow larger.
End of year is typically soft. If people start leaving the city due to high prices and/or no jobs then you can be sure a crash is on. Housing starts are down and the workforce is overweight construction, but you never know what other options people have.
ReplyDeleteThought this supply & demand age curve was interesting enough to share.
ReplyDeletehttps://sites.google.com/site/bchousingmarketshift