Mainland Chinese buyers driving up luxury home prices

[red-paladin]

How can rich people buying property be a problem? People who couldn't afford their mortgages were the big problem. Rich people are still buying something, feeding the construction industry. If they can't sell it for twice the price in 6 years, that's their problem. As long as everyone wants to live in Vancouver, no matter what is done with the supply, it will be expensive to live here.

[delboy]

It's about time that strict rules are put in place with respect to foreign ownership of real estate here, as is the case now in Sydney, such as putting restrictions on the purchases of new builds or requiring residency requirments. Vancouver is rapidly becoming a resort town- what of those of us who actually work and live here.

[nova9]

Originally Posted by delboy

It's about time that strict rules are put in place with respect to foreign ownership of real estate here, as is the case now in Sydney, such as putting restrictions on the purchases of new builds or requiring residency requirments. Vancouver is rapidly becoming a resort town- what of those of us who actually work and live here.

didn't someone (and I'm asking) already state that this isn't as dominant as it seems? i think it was in reference to 'dark arpartments' at night.

[Yume-sama]

Originally Posted by nova9

didn't someone (and I'm asking) already state that this isn't as dominant as it seems? i think it was in reference to 'dark arpartments' at night.

Well, the statistic is about 3% of actual foreign ownership in Vancouver.

Of course, then we can all argue about what being "foreign" means as we do every few weeks, here.

I also don't see much of a problem with the elusive wealthy foreigner driving up the price of multi-million dollar "luxury homes" (as is the basis of this thread) that you weren't going to buy anyways.

[Kwik-E-Mart]

Originally Posted by Yume-sama

Well, the statistic is about 3% of actual foreign ownership in Vancouver.

Of course, then we can all argue about what being "foreign" means as we do every few weeks, here.

I also don't see much of a problem with the elusive wealthy foreigner driving up the price of multi-million dollar "luxury homes" (as is the basis of this thread) that you weren't going to buy anyways.

But the problem is the trickling effect the selling prices will have on adjacent properties, which goes on to affect the prices of homes in adjacent neighbourhoods.

It's not the luxury homes one is buying into. It's also about the location in the neighborhood (ie. the land). It doesn't matter if the home right next to the mansion is a bungalow, because the owner of the bungalow can now sell it for a lot of $$$ just because it's right next to a mansion (which can also translate to the potential for redevelopment).

If they are truly settling in Vancouver, then I have nothing to complain against as people regardless of income have every right to move to here. However if they purchase property so they could spend three weeks in a year, that's a problem for a land-challenged region.

[Yume-sama]

So, you are saying... if every building built downtown was equivalent to Three Harbour Green, that would be troublesome? That is true.

But, that won't happen. If the fictional rich foreigner was purposely buying up projects like WoodWards, that would be more problematic, too.

Very rarely is a $22 million home in a ghetto beside a $400,000 home, which will then be worth say... $5 million, just because some rich guy moved in next door, thus pricing you out of the 'hood.

[Kwik-E-Mart]

Originally Posted by Yume-sama

So, you are saying... if every building built downtown was equivalent to Three Harbour Green, that would be troublesome? That is true.

But, that won't happen. If the fictional rich foreigner was purposely buying up projects like WoodWards, that would be more problematic, too.

Very rarely is a $22 million home in a ghetto beside a $400,000 home, which will then be worth say... $5 million, just because some rich guy moved in next door, thus pricing you out of the 'hood.

Unfortunately that is the case in former westside blue-collar neighbourhoods of Marpole and Oakridge.

[whatnext]

Exactly. One only has to go to crackshackormansion.com to see the inevitable result. And instead of that house being a liveable bungalow, it's become a Million Dollar building lot.

And then posters wonder why Vancouver suburbs have become so sprawling - the people who actually work in the City can no longer afford homes here.

[trofirhen]

The Domino Effect. Unfortunate, but ubiquitous in many contexts, including this one.