Rocket high home prices in Vancouver are pushing middle-class out of the market
Being one of the most expensive Canadian real estate markets for a long time already, Vancouver keeps pushing middle-class and potential homebuyers out of its market, even in spite of the sharp decline in sales and price growth.
Although Vancouver is Canada’s leader in case of job creation and economic fundamentals, the number of vacant or temporary occupied properties here is twice larger these days than in 2001, reaching the mark of 66,719 units.
Most of them can cost at least one million dollars.
The recent report by Statistics Canada says the Canadian unemployment level went down to 6.8% in January, as there were 48,000 new jobs added.
Following strong December results, such numbers crashed the economists' forecasts of losing 10,000 positions.
It means that Canada’s economy has created about 100,000 jobs since the end of November with an average monthly result of more than 40,000 new jobs since August. It’s the largest six months number in more than 15 years.
Last month, Canada showed a rise in housing starts with Ontario reporting significant growth and pointing to a strong year beginning.
According to the Canadian Mortgage and Housing Corporation (CMHC), the seasonally adjusted annualized rate of housing starts was up to 207,408 units in January, following December’s downwardly revised 206,305 starts. Meanwhile, specialists predicted a drop to 200,000.
The gain was caused by a 4.2% increase in the sector of multiples, including condos. In the same time, single-detached houses saw a decease by 4.6%.
A strong gain by 25.1% was reported in Ontario, and the weather could be one of the reasons for such a number.