Dan McCarthy, RE/MAX Central

Change of Blog

2009-02-08T17:19:00.000-08:00

I have recently updated my website and
all future blogs can be seen at my website:

http://www.danmccarthy.ca/

Thanks,
Dan McCarthy
RE/MAX Central

Market News

2009-01-31T10:05:00.000-08:00

B.C. home inspectors to be licensed.

Vancouver Sun.
January 31, 2009.

B.C. will become the first province in Canada to license home inspectors to protect buyers, Solicitor-General John van Dongen announced Friday in Vancouver.

"A home is the single biggest investment most British Columbians make but financial risk can be the result of an incorrect or misleading report from an unqualified inspector," van Dongen said in a news release. "Whether they're buying their first condo or starter home, dream or retirement home, consumers need to have confidence that the person who is doing the inspection has the qualifications to make a professional assessment."

Up until now, home inspection training has been voluntary, and consumers have had no way of knowing if the inspector they hired were adequately knowledgeable.

Federal Budget

2009-01-30T08:22:00.000-08:00

Federal budget offers good news for homebuyers and homeowners.

VANCOUVER, B.C. – January 29, 2009

Yesterday’s federal budget offered a number of initiatives to benefit homebuyers and homeowners in our communities.
“The housing measures tabled in yesterday’s budget will go a long way to addressing local economic uncertainties, consumer confidence and the quality of life in our neighbourhoods,” said REBGV president Dave Watt. “Home sales are so important to our economy. Each time a home changes hands, the transaction generates significant spin-offs and jobs because homebuyers also purchase furniture, appliances, carpeting, and numerous other goods and services related to their homes.”

The federal budget announced a new First-Time Home Buyers' Tax Credit of up to $750 to help homebuyers with closing costs such as land transfer taxes and legal fees, a new Home Renovation Tax Credit of up to $1,350 for homeowners who renovate, a new funding program for ecoENERGY retrofits that provides home and property owners up to $5,000 for energy improvements and a new social housing program.

The federal budget also announced an increase to the Home Buyers’ Plan withdrawal limit to $25,000 from $20,000. The Plan was first introduced in 1992 to help first-time homebuyers by allowing them to withdraw from their RRSPs to buy a home. The withdrawal limit had not been increased since then. Eligible couples can now withdraw up to $50,000.

The REBGV has advocated these changes for many years, and, in 2008 received support from Delta-Richmond East MP John Cummins who introduced a private members’ bill and personally raised the issue with colleagues from all parties, including the Minister of Finance.

“The federal budget demonstrates that the Government of Canada is listening to our concerns and paying attention to what we have to say,” said Watt. “As a result of the budget announcements, homeownership today is more accessible and more affordable for all Canadians.”

Market News

2009-01-26T13:03:00.000-08:00

Current property decline won't last long: Rennie

'Now is time to buy undervalued property as financial blowout will be done by next September'

By John Bermingham
The ProvinceJanuary 25, 2009

The city's most famous realtor is predicting that the current property slowdown in home sales won't last long, and that now is the time to buy undervalued property. Bob Rennie told The Province Friday that low mortgage rates, which have dipped below five per cent, make it a great time to buy.

"I think there's some really good buys out there," he said. "You've got to look at interest rates, and take advantage of them." The financial and corporate blowouts will be done by next September, he predicted, arguing that developers have reacted quickly to the downturn and are now eager for an upturn. "Supply is really going to quickly show that the tap's been turned off," said Rennie. "I think we'll come out of this in 2010."

For sellers, Rennie suggested that it's better to sit tight.

"If you don't have to sell, wait till the market stabilizes," he said. "If you want to give yours away and buy a good buy in this market, that's another decision." B.C.'s property developers remained optimistic Friday at the annual Urban Development Institute forecast lunch, predicting a market turnaround in the late fall. More than 1,100 of them packed into a Vancouver hotel to hear from the experts where the property market is headed in 2009.

Veteran property developer Michael Audain predicted the current lower prices won't remain so for long.
Sales volumes of homes will pick up in the spring, Audain suggested. Prices will rise, too, he said, although he couldn't say when. "Today, the Vancouver housing market is in a cyclical correction characterized by low volume and weak prices," said the founder of Polygon Homes. "I do not believe it is a housing recession. The problem we face in Vancouver is primarily a serious loss of consumer confidence." Audain stressed B.C.'s fundamental value as a desirable place to live in the world. "The year ahead will pose great challenges for us," he told developers. "But for homebuyers, it should be a year of remarkable pportunity."

Fellow Vancouver developer Rob Macdonald noted that the 2010 Winter Olympics will soon be advertised in the world's media. "We need to make the best of this Olympic opportunity," said Macdonald. "We want to be the place where people travel and invest." Prices should firm up from last year's declines, he said, and will start to go back up.
"We are going to see a pent-up demand forming over the next 12 months," he said.

B.C. residential sales fell 31 per cent last year, to their lowest level since 2000, and December sales were off 49 per cent.

"I expect that, while the economy is going to be weaker in 2009, real-estate sales will be higher than 2008," said Cameron Muir, chief economist with the B.C. Real Estate Association. "While we've seen prices decline, the rate of decline has been slowing. If that trend continues, home prices should firm up over the next couple of months." Muir said the oversupply of available homes is pushing prices downward, but that could redress in the spring, paving the way for higher home prices. "Homes today are more affordable than any time in the last two years, and affordability is a tremendous signal for potential homebuyers who've been sitting on the fence," he said.

CMHC regional economist Carol Frketich sees a slower economy in 2009, and she predicts Greater Vancouver home prices will fall about 10 per cent this year, with an average price of $535,000, compared with last year's $593,767.
"In 2009, the outlook is not rosy, but things will improve," said Frketich. "Things will improve in 2010, but the housing market could lag the economic growth."

Market Update

2009-01-12T19:23:00.000-08:00

BC Home Sales Decline by One - Third in 2008.

Vancouver, BC - January 12, 2009.

British Columbia Real Estate Association (BCREA) reports residential sales dollar volume on the Multiple Listing Service® (MLS®) in BC declined 31 per cent to $31.3 billion in 2008, compared to 2007. Residential unit sales declined 33 per cent to 68,923 units last year, the lowest level since 2000, when 54,179 transactions were recorded. The average MLS® residential price in 2008 was $454,599, up 3.5 per cent from 2007.

“The housing market came in like a lion and went out like a lamb in 2008,” said Cameron Muir, BCREA Chief Economist. “Home prices reached a record high in March, but edged lower during the balance of the year.” The average residential sales price hit $483,291 in March and ended the year at $429,210, an 11 per cent decline in nine months.

“The global financial crisis, a sharp correction in the equity markets and a recessionary environment in Canada has wreaked havoc on consumer confidence,” added Muir. “While it’s difficult to predict when consumer confidence will strengthen, home affordability is quietly improving as lower prices and mortgage interest rates increase the buying power of BC households.”

December MLS® residential sales dollar volume in the province declined 52 per cent to $1.05 billion, compared to December 2007. Provincial MLS® sales were down 49 per cent to 2,456 units, while the average residential price declined 6 per cent to $429,210 over the same period.

Market Review

2009-01-05T20:29:00.000-08:00

2008 brought improved housing affordability to Greater Vancouver.

VANCOUVER, B.C. – January 5, 2009

The record-breaking real estate market cycle in Greater Vancouver, longer than normal at seven consecutive years, ended in 2008 amidst global economic challenges. The change brought relief from rising prices that saw benchmark prices escalate from $357,770 for a single family detached home in December 2001 to $648,421 by December 2008.

The Real Estate Board of Greater Vancouver (REBGV) reports that sales of detached, attached and apartment properties decreased 35.3 per cent in 2008 to 24,626 sales compared to 38,050 sales in 2007. Property listings for the year increased 13.9 per cent to 62,561 compared to 2007 when 54,945 new properties were listed.

“Trends in the latter half of 2008 showed a consistent month-over-month decrease in residential housing prices, a departure from the rising home prices and record-breaking sales that were experienced in Greater Vancouver for much of this decade,” said REBGV president, Dave Watt.

“It’s also important to note that our December statistics show a third consecutive month of a decrease in active
property listings in Greater Vancouver. That means supply is coming down,” Watt said. “Last month was also the first
time in 27 years that Greater Vancouver homes sales for December were higher than November.”
Residential benchmark prices, as calculated by the MLSLink Housing Price Index®, declined 10.9 per cent between Decembers 2007 and 2008. Since May 2008, the overall residential benchmark price has declined 14.8 per cent in Greater Vancouver to $484,211 from $568,411.

“For buyers, lower prices haven’t been a concern as much as the perception that prices are falling. It’s difficult to
identify the ‘bottom’ of the market. The reality is that people tend to buy when prices are going up, not when they’re going down,” Watt said.

In December 2008, sales of detached, attached and apartment properties totalled 924, a decrease of 51.3 per cent compared to the 1,897 sales in December 2007.

New listings for detached, attached and apartment properties declined 8.6 per cent to 1,550 in December 2008 compared to December 2007 when 1,695 new units were listed. Total listings in December declined 17.2 per cent to 15,193 from the 18,348 total active listings in Greater Vancouver in November 2008.

Sales of detached properties in December 2008 declined 48.7 per cent to 348 from the 679 units sold during the same period in 2007. The benchmark price for detached properties declined 11.2 per cent from $730,399 in December 2007 to $648,421 in December 2008. Since May 2008, the benchmark price for a detached property in Greater Vancouver has declined 15.9 per cent.

Sales of apartment properties declined 53.7 per cent last month to 417 compared to 901 sales in December 2007. The benchmark price of an apartment property declined 11.7 per cent from $377,579 in December 2007 to $333,275 in December 2008. Since May 2008, the benchmark price for an apartment property in Greater Vancouver has declined 14.5 per cent.

Attached property sales in December 2008 decreased 49.8 per cent to 159, compared with the 317 sales in December 2007. The benchmark price of an attached unit declined 7.4 per cent from $456,941 in December 2007 to $423,338 in December 2008. Since May 2008, the benchmark price for an attached property in Greater Vancouver has declined 11.6 per cent.

Season's Greetings

2008-12-20T16:05:00.000-08:00

Market Update

2008-12-13T16:32:00.000-08:00

Homebuyers Benefit from Lower Prices

Vancouver, BC – December 12, 2008.

British Columbia Real Estate Association (BCREA) reports residential sales dollar volume on the Multiple Listing Service® (MLS®) in BC declined 67 per cent to $1.07 billion in November, compared to November 2007. Residential unit sales were down 62 per cent to 2,707 units during the same period. The average MLS® residential price in the province was $395,687, down 12.5 per cent from November 2007.

“The average sale price of a home in the province hit a 26-month low in November,” said Cameron Muir, BCREA Chief Economist. “The irony of markets is that there’s no shortage of buyers when prices are near a peak and a scarcity of buyers when prices are near a trough.” Home prices were 8 per cent lower in November 2008 nine months after the peak than they were nine months prior to the peak.

“Today’s homebuyers are benefiting from a greater selection of homes for sale, more time to thoroughly investigate their choices and the ability to negotiate attractive prices,” added Muir.

Year-to-date MLS® residential sales dollar volume in the province declined 30 per cent to $30.3 billion compared to the same period last year. Provincial MLS® sales declined 32 per cent to 66,467 units, while the average residential price increased 4 per cent to $455,537 over the same period.

Market Review

2008-12-02T16:12:00.000-08:00

Slow home sales create window of opportunity.

VANCOUVER, B.C. – December 2, 2008.

November reductions in home sales and prices have helped improve affordability in Greater Vancouver. However, November also saw a corresponding decrease in the number of new homes coming onto the market.

In its most recent statistics release, the Real Estate Board of Greater Vancouver (REBGV) reports that residential property sales in Greater Vancouver declined 69.7 per cent in November 2008 to 874 from the 2,883 sales recorded in November 2007.

Residential benchmark prices, as calculated by the MLSLink Housing Price Index®, declined 12.8 per cent between May and November 2008, amounting to an 8.3 per cent year-to-date price reduction for detached, attached and apartment properties in Greater Vancouver between November 2007 and 2008. In May 2008, the overall residential benchmark price was $568,411, compared to $495,704 in November 2008.

“Times of turmoil, from which we always emerge, offer excellent opportunities to buy quality real estate,” says REBGV president, Dave Watt.“For those whose personal finances allow them to get involved, there are opportunities in today’s housing market that have not been seen in many years.

“The local real estate market is not immune to the current economic challenges globally; however, Canada’s disciplined lending structure has kept the mortgage landscape steady in these uncertain times.”

New listings for detached, attached and apartment properties declined 10.8 per cent to 3,012 in November 2008 compared to November 2007, when 3,377 new units were listed. Active listings in November declined 4.7 per cent to 18,348 from the 19,257 active listings in Greater Vancouver in October 2008.

Sales of detached properties in November 2008 declined 69.8 per cent to 322 from the 1,067 units sold during the same period in 2007. The benchmark price for detached properties declined 8.6 per cent from November 2007 to $666,525. Since May 2008, the benchmark price for a detached property in Greater Vancouver has declined 13.6 per cent.

Sales of apartment properties declined 67.9 per cent last month to 410 compared to 1,276 sales in November 2007. The benchmark price of an apartment property declined 8.6 per cent from November 2007 to $342,315. Since May 2008, the benchmark price for an apartment property in Greater Vancouver has declined 12.2 per cent.

Attached property sales in November 2008 decreased 73.7 per cent to 142, compared with the 540 sales in November 2007. The benchmark price of an attached unit declined 6.4 per cent between November 2007 and 2008 to $426,287. Since May 2008, the benchmark price for an attached property in Greater Vancouver has declined 11 per cent.

Commercial Real Estate

2008-11-27T14:27:00.000-08:00

More Metro businesses take to subleasing to trim costs.
Amount of office space available increases rapidly.

Derrick Penner
Vancouver Sun
Wednesday, November 26, 2008.

More Metro Vancouver businesses are suddenly looking to sublet some of their office space as a way of cutting costs in tough economic times, recent reports from prominent commercial realtors indicate.

Resort company Intrawest is putting two of the floors that it holds in Waterfront Centre at 200 Burrard Street up for sublease. And companies ranging from Rocket Gaming and Intrynsic Software to Weyerhaeuser Canada Inc. and Lundin Mining are giving up some of their offices for others to use on a short-term basis.

Shawna Rogowski, director of research at Colliers International, said in an interview that many tenants are taking a cautious view given the uncertain state of the economy. She said these are companies that perhaps held extra office space with a view to expanding, but are now looking at consolidating and cutting costs, or even downsizing.
"Companies are really pinching every penny that they can," she said. On Tuesday, Rogowski put out an interim report acknowledging the rapid increase in the number of companies putting space up to rent.

Available sublease space rose to nearly 600,000 square feet, with some 150,000 square feet of put on the market in October alone, and another 135,000 square feet added in the first half of November, Rogowski said.
In its last quarterly report, Colliers counted 139,291 square feet of vacant sublease space across Metro Vancouver, with 63,442 square feet of that in downtown Vancouver. By the end of October, that had grown to 578,213 square feet of sublease space across Metro, with 274,396 downtown.

That is a mere blip in Metro Vancouver's 52-million-square-foot office market (by Colliers's count), but it is a telling trend, said Nicholas Westlake, senior analyst with CB Richard Ellis Ltd."The thing that's significant is the number and rate at which they're coming up," Westlake said.

The firms that are rationalizing their space, are "better positioning themselves for the long haul," he said.
On the upside, Westlake said the new circumstances open up some breathing room for tenants wanting to locate downtown. Subleased spaces will also carry the rents of their primary tenants, which will be lower than current rents, helping to moderate recent spikes in downtown rents.

However, demand for that new sublease space "is a tough measure to calculate," said Norm Taylor, an associate vice-president at Colliers.Taylor said many companies are touring the new space, but are wary of making deals in the current climate, especially if they have to appeal to a board of directors or the sentiments of shareholders.
"If they need to hire a moving truck that wasn't budgeted for in this year's capital, they're just not going ahead with it," Taylor said.

Market Update

2008-11-15T09:05:00.000-08:00

Financial/Equity Markets Impact October Home Sales.

Vancouver, BC – November 14, 2008.

British Columbia Real Estate Association (BCREA) reports residential sales dollar volume on the Multiple Listing Service® (MLS®) in BC declined 54 per cent to $1.69 billion in October, compared to October 2007. Residential unit sales were down 51 per cent to 4,018 units during the same period. The average MLS® residential price in the province was $420,259, down 6.5 per cent from October 2007.

“Housing demand was negatively affected by the global financial crisis and a sharp downturn in the equity markets,” said Cameron Muir, BCREA Chief Economist. “These events exacerbated an already low level of consumer confidence, keeping many potential homebuyers on the sidelines.”

Residential sales in October were the lowest since December 2000, on a seasonally adjusted basis. “Home sales are unlikely to fall much further,” added Muir. “While the provincial economy has weakened, the fundamentals support a higher level of home sales than experienced last month.” Year-to-date MLS® residential sales dollar volume in the province declined 27 per cent to $29.2 billion compared to the same period last year.

Provincial MLS® sales declined 30 per cent to 63,760 units, while the average residential price increased 5 per cent to $458,078 over the same period.

SOLD

2008-11-09T12:51:00.000-08:00

I am pleased to annouce the sale of 4321 Greta Street , Burnaby.

For further information please visit: www.danmccarthy.ca

Market Review

2008-11-04T09:39:00.000-08:00

Residential housing price decline creates buying opportunities.

VANCOUVER, B.C.
November 3, 2008

Housing price reductions across Greater Vancouver over the last six months have eliminated price gains witnessed in the first quarter of 2008. The Real Estate Board of Greater Vancouver (REBGV) reports that residential benchmark prices, as calculated by the MLSLink Housing Price Index®, declined 8.8 per cent between May and October 2008, resulting in a 3.9 per cent year-to-date price reduction for detached, attached and apartment properties in Greater Vancouver between Octobers 2007 and 2008.

In May 2008, the overall residential benchmark price was $568,411, compared to $518,668 in October 2008.

“Home sales are not keeping pace with the positive economic conditions in BC,” said REBGV president, Dave Watt. “That’s a direct result of a loss of consumer confidence in the overall market. Accordingly, today’s housing market is characterized by moderating home prices and wide selection. It’s definitely a buyer’s market.”

Residential property sales in Greater Vancouver declined 55 per cent in October 2008 to 1,364 from the 3,028 sales recorded in October 2007.

Active listings totalled 19,257 in October 2008, a three per cent decline from the 19,852 active listings reported in September 2008. New listings for detached, attached and apartment properties increased one per cent to 4,867 in October 2008 compared to October 2007, when 4,819 new units were listed.

Sales of detached properties in October 2008 declined 56.5 per cent to 493 from the 1,133 sales recorded during the same period in 2007. The benchmark price for detached properties declined 4.7 per cent from October 2007 to $695,962. Since May 2008, the benchmark price for a detached property in Greater Vancouver has declined 9.8 per cent.

Sales of apartment properties in October 2008 declined 52.7 per cent to 647, compared to 1,368 sales in October 2007. The benchmark price of an apartment property declined 3.5 per cent from October 2007 to $358,359. Since May 2008, the benchmark price for an apartment property in Greater Vancouver has declined eight per cent.

Attached property sales in October 2008 are down 57.5 per cent to 224, compared with the 527 sales in October 2007. The benchmark price of an attached unit declined 1.4 per cent in Greater Vancouver between October 2007 and 2008 to $448,152. Since May 2008, the benchmark price for an attached property in Greater Vancouver has declined 6.4 per cent.

Market Update

2008-10-29T10:51:00.000-07:00

Consumer Confidence Key to Housing Market Conditions.
BCREA Fall Housing Forecast

Vancouver, BC – October 29, 2008.
The British Columbia Real Estate Association (BCREA) released its fall 2008 Housing Forecast today.

BC Multiple Listing Service® (MLS®) residential sales are forecast to decline 28 per cent from 102,805 units in 2007 to 73,700 units this year. A modest 4 per cent increase to 76,500 units is forecast for 2009.

“The erosion of consumer confidence that began with rising fuel prices earlier in the year is continuing, as BC MLS® Residential Sales the global financial crisis and volatile equity markets have BC households concerned about their own finances,” said Cameron Muir, Chief Economist.

A weaker provincial economy is expected to increase the jobless rate from 4.4 per cent this year to 4.9 per cent in 2009. “While some job losses will occur next year, BC households will remain on a relatively solid financial footing,” added Muir.

The average MLS® residential price is forecast to increase 3 per cent to $453,000 this year. However, home prices peaked in the first quarter and have been edging lower for several months. For 2009, the average price is forecast to decline 9 per cent to $413,000, with most of the decrease having already occurred by the end this year.

Downward pressure on home prices is expected to ease by the second quarter of 2009, as an increase in affordability and consumer confidence induces a modest growth in sales. The inventory of homes for sale is also expected to decline in the coming months as potential home sellers delay putting their homes on the market until conditions improve.

The full BCREA Housing Forecast is available here: www.bcrea.bc.ca/economics/HousingForecast.pdf.

SOLD

2008-10-22T10:33:00.000-07:00

I am pleased to announce the sale of # 802 - 4380 Halifax Street, Burnaby , B.C.

For further information, please vist: http://www.danmccarthy.ca/

Market Update

2008-10-16T10:31:00.000-07:00

Home Prices Down; Affordability Improves.

Vancouver, BC – October 15, 2008.

British Columbia Real Estate Association (BCREA) reports residential sales dollar volume on the Multiple Listing Service® (MLS®) in BC declined 39 per cent to $2.1 billion in September, compared to September 2007. Residential unit sales were down 34 per cent to 5,107 units during the same period. The average MLS® residential price in the province was $412,149, down 7 per cent from September 2007.

“Weaker consumer demand and a large number of homes for sale are having an impact on home prices in the province,” said Cameron Muir, BCREA Chief Economist. “Despite relatively strong fundamentals, consumer confidence is low. The global liquidity crisis and volatile equity markets are intensifying this sentiment, causing many households to pull back spending on major purchases.”

“However, affordability is improving,” added Muir. “The carrying cost of the average home in the province is now lower than at any time since the end of 2006.”

Year-to-date MLS® residential sales dollar volume in the province declined 24 per cent to $27.5 billion compared to the same period last year. Provincial MLS® sales declined 28 per cent to 59,742 units, while the average residential price increased 6 per cent to $460,621 over the same period.

Quest For Excellence

2008-10-11T11:36:00.001-07:00

RE/MAX is pleased to announce the Quest for Excellence Bursary program for 2009 program is now open for submissions!

Students are able to apply on-line at http://www.remax-western.ca/ and complete the on-line entry form from September 15, 2008 to March 6, 2009.

Winners will be posted on the RE/MAX website on May 4th, 2009. Grade 12 students in Western Canada, graduating in the 2008/2009 school year, are eligible to win one of 24 cash bursaries of $500. from RE/MAX of Western Canada.

Details can be found on http://www.remax-western.ca/ under the Quest logo or click here for the 2009 Quest for Excellence Bursary Program information flyer.

RE/MAX Anniversary

2008-10-06T16:05:00.000-07:00

RE/MAX Global Balloon Day Marks
30 Years of Flight.

RE/MAX of Western Canada Joins Worldwide
Celebration of Anniversary.

(Kelowna, BC Oct. 6, 2008)

RE/MAX of Western Canada will join RE/MAX offices around the globe in commemorating the 30th anniversary of the renowned RE/MAX Hot Air Balloon. Eight RE/MAX hot air balloons are scheduled to fly in Edmonton, Calgary, the Fraser Valley (of Vancouver), Winnipeg, Saskatoon, Regina and Grande Prairie to commemorate the first flight of a RE/MAX balloon, in 1978.

“It’s an excellent opportunity to celebrate our company’s heritage,” said Elton Ash, Regional Executive Vice President, RE/MAX of Western Canada. “The RE/MAX brand, including the balloon, is a big part of what’s made our brand so successful – it’s a symbol of our commitment to rise above the crowd and provide the most professional real estate services to real estate customers and clients in Western Canada.”

These flights will be held in conjunction with RE/MAX Hot Air Balloon flights at locations around the world.
RE/MAX balloons will fly in a kaleidoscope of more than 700 colourful hot air balloons in the “Flight of the Nations Mass Ascension” during the Albuquerque International Balloon Fiesta, October 4-12, 2008. In Oregon, RE/MAX pilot Darren Kling, will attempt a crossing of the Cascade Mountains, taking off in the Willamette Valley, passing by Mt. Jefferson and landing near Bend.

The RE/MAX Hot Air Balloon Fleet is one of the largest in the world, with over 100 balloons located on six continents. The distinctive red, white and blue balloon, which represents the international real estate network, has become one of the most recognized corporate images in the world.

Because of the strong brand awareness it creates, the RE/MAX balloon has helped take the international franchisor to the top of several national and international brand rankings including Advertising Age’s Top 200 US Megabrands and Entrepreneur Magazine’s Franchise 500 Survey. In these two surveys, RE/MAX was the highest ranked real estate franchisor. In the Entrepreneur Franchise 500, RE/MAX has been the highest ranked real estate franchisor for eight of the last ten years.

Information about the RE/MAX Hot Air Balloon program can be found at www.remax.com.

About RE/MAX of Western Canada

RE/MAX is Canada's leading real estate organization with over 6,000 sales associates, situated throughout its more than 234 independently owned and operated offices across Western Canada. The RE/MAX franchise network, now in its 34th year, is a global real estate system with member sales associates who lead the industry in professional designations, experience and production while providing real estate services in residential, commercial, referral and asset management. For more information, visit: www.remax-western.ca.

Market Review

2008-10-02T15:59:00.001-07:00

Home prices adapt to affordability demands.

Vancouver, B.C.
October 2, 2008

The Real Estate Board of Greater Vancouver (REBGV) reports that residential property sales in Greater Vancouver declined 42.9 per cent in September 2008 to 1,585 from the 2,776 sales recorded in September 2007.

New listings for detached, attached and apartment properties increased 28.8 per cent to 6,142 in September 2008 compared to September 2007, when 4,770 new units were listed.

“After five years of unprecedented increases, housing prices are beginning to realign,” REBGV president, Dave Watt said. “Although the economic situation in the United States has affected consumer confidence globally, the consensus view remains that our local housing market is underpinned by solid economic fundamentals.”

Sales of detached properties in September 2008 declined 50.3 per cent to 546 from the 1,099 units sold during the same period in 2007. The benchmark price, as calculated by the MLSLink Housing Price Index®, for detached properties declined 1.6 per cent from September 2007 to $726,331. Since May 2008, the benchmark price for a detached property in Greater Vancouver has declined 5.8 per cent.

Sales of apartment properties declined 35.1 per cent last month to 764, compared to 1,177 sales in September 2007. The benchmark price of an apartment property declined 0.7 per cent from September 2007 to $369,062. Since May 2008, the benchmark price for an apartment property in Greater Vancouver has declined 5.2 per cent.

Attached property sales in September 2008 decreased 41.9 per cent to 450, compared with the 775 sales in June 2007. The benchmark price of an attached unit increased 7.6 per cent between June 2007 and 2008 to $476,585. Since May 2008, the benchmark price for an attached property in Greater Vancouver has declined 3 per cent.

Market News

2008-09-25T11:55:00.000-07:00

Luxury home sales hold steady in most major markets across the country, says RE/MAX.

Two-thirds of markets surveyed report upswing in the number of upper-end homes sold in 2008.

Kelowna, BC (September 25, 2008)

Luxury home sales have outperformed virtually all other residential price points this year, but activity in the top-end is expected to taper in most major Canadian centres in coming months, according to a report released today by RE/MAX. The RE/MAX Upper-End Report, which highlights trends and developments in 15 housing markets across the country for the first seven months of 2008 found Vancouver, Victoria, Regina, Saskatoon, Winnipeg, London, Kitchener-Waterloo, Ottawa, Halifax-Dartmouth, and St. John’s all experienced an upswing in sales activity, while declines were noted in Kelowna, Calgary, Edmonton, Hamilton-Burlington, and Toronto.

Also significant is in all but two markets, percentage increases in sales were greatest in the upper-end when compared to the overall residential marketplace in 2008. “In two-thirds of the markets we surveyed, demand for upscale homes surpassed peak levels reported last year,” says Elton Ash, Regional Executive Vice President, RE/MAX of Western Canada. “However, with supply edging higher in most major centres and few markets reporting tight inventory levels, we are seeing a return to more balanced conditions.

This situation is expected to have an impact on high-end values in coming months, especially in areas that have experienced consistent double-digit growth.” Although the top-end of the market represents less than five per cent of total sales, activity is generally a gauge of overall market conditions. Leading the country in terms of percentage increase in luxury home sales are Regina (up 306 per cent); Winnipeg (up 89 per cent); St. John’s (up 78 per cent); Saskatoon (up 72 per cent); Kitchener-Waterloo (up 47 per cent); Ottawa (up 36 per cent); Halifax-Dartmouth (up 20 per cent); London (up 14 per cent); Greater Vancouver (up five per cent); and Victoria (up four per cent).

Solid performance is likely a result of consumer confidence, particularly in provinces like Saskatchewan, Manitoba, Newfoundland, Nova Scotia, and parts of Ontario where solid economic fundamentals helped to bolster the number of homes sold in the upper-end. “Given the transition occurring in most residential real estate markets, upper-end sales remain exceptionally strong,” says Michael Polzler, Executive Vice President and Regional Director, RE/MAX Ontario-Atlantic Canada. “The market for luxury homes is usually the first to show pressure cracks, but the reverse is actually true this year, with pent-up demand (due to trade-up activity), less speculation, and job transfers all factors contributing to stability in this segment. That being said, we feel uncertainty in financial markets both here and abroad will give purchasers cause for concern in the immediate future.”

The RE/MAX Upper-End Report also notes serious appreciation in housing values in recent years has pushed upper-end price points to new levels. This is especially so in Western Canada where $2 million is now merely a starting price in Greater Vancouver, while in the tony Westside, that figure is closer to $4 million. Calgary is steady at $1 million this year, but is pushing closer to the $1.5 million benchmark. In Ottawa, where the upper-end price point is currently pegged at $750,000, sales are increasingly occurring over the $1 million mark. Other highlights include:
The most expensive MLS sale in Canada in 2008 occurred in Greater Vancouver with a sticker price of $11.5 million. A property priced at $9 million in Greater Toronto sold in a multiple offer situation for more than $11 million as well. The priciest condominium currently listed for sale on MLS is priced at $14.8 million in Greater Vancouver – reduced from $18 million earlier this year.

The Four Seasons Hotel, currently under construction in Greater Toronto’s Yorkville area, has the most expensive list price in the country - $30 million for a penthouse suite on the 55th floor.

RE/MAX is Canada's leading real estate organization with over 18,000 sales associates situated throughout its more than 640 independently owned and operated offices across the country. The RE/MAX franchise network, now in its 34th year, is a global real estate system operating in over 65 countries. More than 7,000 independently owned offices engage more than 100,000 member sales associates who lead the industry in professional designations, experience and production while providing real estate services in residential, commercial, referral and asset management.

The Childrens Charity Grand Prix

2008-09-23T14:03:00.000-07:00

The 2008 Children’s Charities Grand Prix at the River’s Edge Road Course, Mission Raceway Park. September 20/21, 2008.
Post Race Press Release.
Sept 22nd – Mission, B.C.

The first ever Children’s Charities Grand Prix benefitting the BC Children’s Hospital and The Children’s Wish Foundation took place at the 1.33 mile newly-improved 9 turn River’s Edge Road Course Sunday and what a race it was! The entire weekend was like a game of weather-roulette for the 26 P1 and P2 teams and drivers. The competitive spirits were quite obvious with many of the CCGP drivers and teams out testing on the Friday the 19th in preparation for the ½ hour, $10,000 feature race.

Many ‘unofficial’ very fast times were recorded by a variety of stop watches and on-board timers. Saturday saw the entire CCGP field in action. The skies threatened, but the track stayed dry for both morning practice and afternoon qualifying sessions.

Qualifying saw Andy Pearson (Specialty Engineering/GT1 Camaro) setting the fastest time at a 1:09.527 with Glenn Nixon (Bullet Racing/Porsche 911 TT) posting a very impressive 1:09.778 to round out the front row. Andy was the proud recipient of the ‘Centaur Awards’ Pole Position Plaque. Row two was made up P2 Pole-Winner Collin Jackson (Specialty Engineering/GT3 Nissan 240 SX) with a blazing fast time of 1:10.129 along with P1 driver Dave Cormier in his VI Fitness Centres Porsche 911 GT2 RSR at a 1:10.578.

Before the feature race Sunday, the fans were informed that Steve Paquette (Bullet Racing/Porsche 911 GT3) who had qualified an impressive 6th overall had to pull out due to shoulder problems. In his place, ex-Indy Car/Sports Car Ace Ross Bentley was brought in to substitute. Ross was required to start from the back of the field in the same car that was campaigned by Bullet Racing at this year’s Daytona 24 Hours, stay tuned!

Once the driver introductions were complete, 10 year-old Chloe Howlett and her cousins gave the ‘Gentlemen Start your Engines’ command and the field went off on it’s two pace laps. As CCGP Honorary Starter, Drew Hellevang dropped the green, the first ever Children’s Charities Grand Prix was under way with field of cars never seen together charging into turn 1.

Andy Pearson took the early lead as Glenn Nixon chased about a second back in his Twin Turbo Porsche. The race featured lots of great racing throughout. The front pack included Dave Humphries (Specialty Engineering/ GT3 Nissan 240 SX) Tim Brown in his beautifully prepared Brown Bros. Ford/Lincoln, Mustang Cobra R, Rocky Elli (All West Insurance/GT1 Monte Carlo), Wouter Bowman (RX7 Turbo), Tony Morris Jr (Proformance Racing/Monte Carlo), Gerald Paetz (Nixon Prosports/Monte Carlo) and Simon Parker (Lamplighter Bar & Grill/ Monte Carlo). This also included legendary Porsche Driver, Kees Nierop who was battling hard in his Proformance Racing Chevy Monte Carlo and David Saville-Peck who put on a show in his small-but-mighty Super 7 Cars Inc., Caterham Super 7.

Unfortunately, as the cars had circulated during the pace laps, the wind picked up creating a fall wonderland of leaves from turn 3 right through to turn 7. This caused a variety of overheating problems which saw Tim Brown out of the race on lap 2 and both Collin Jackson and Dave Humphrey’s to visit the pits to have leaves removed. Tim was unfortunately-fortunate to receive the Riddleworks Helmet Paint Job ‘Hard Luck Award’. Kudos to the corner volunteers who had worked feverishly before the race to make sure the track was leaf-free.

The Corvette contingent was out in force with cars in both the P1 and P2 classes. Marty Knoll finished 9th overall driving the ex-Frank Allers/Speed GT Tom Johnston Racing Corvette C5. Finishing 4th and 5th respectively in P2 were Bryan Holyk (Bishop Sales/Corvette C5) and Chris Chamberlain (Davenport Motorsports/ Corvette C5) (CCGP Cont’d) Rounding out the top 6 positions in both P1 and P2 were Peter Weedon (Kenwood/Kool Coat GT1) and Dr. Carlos Tesler-Mabe (Carmen and Camille/Porsche 911). Peter had an impressive race charging from 22nd on the grid and Carlos gave up racing at the Miller Motorsports Park, Utah Grand Am finally to join us with his entire family for this groundbreaking event. Harry Watson (Metro Testing/Turbocharged Miata) battled hard throughout the race in his Specialty Engineering-prepared Mazda coming home 7th overall in P2. Larry Bell (ReEntry Racing/Pontiac Trans Am) and Michael Stevenson (Porscon Construction/Monte Carlo) drove great races to end up 10th and 11th in the P1 class. Lou Gruzelier (Bullet Racing/Porsche 911) drove a fantastic race to finish 8th overall in P2. Now back to Ross Bentley (Bullet Racing/Porsche GT3).

Ross put on an unbelievable demonstration of controlled aggression, coming through the field to finish 2nd overall. Of the 26 cars entered, only 24 took the green flag as both Jeff Lowe (Anducci’s/RE/MAX Panoz GTS) and Doug Yip (Engines of Interest/Ford Mustang) did not start due to mechanical difficulties. Ryan Ennis (West Coast Hot Rods/Mazda RX7) battled transmission woes all weekend and retired very early in the race.

The final standings in P1 had Andy Pearson in 1st place with Dave Cormier and Rocky Elli rounding out the podium. In P2, Ross Bentley took the victory with Dave Humphrey and Collin Jackson rounding out the top three.

The weekend also included Hot Laps for Kids which featured an amazing group of cars giving fans the opportunity to go for rides around the track with a donation to the charities. The silent auction featured many great items and was well supported by the great crowd in attendance.

The Children’s Charities Grand Prix was called the biggest race in BC since the Vancouver Molson Indy by Tony Parson’s of Global Television. If the 1st edition is an indicator, the future is bright for Western Canadian Motorsports.

1) Andy Pearson: Chevy Camaro
2) Ross Bentley: Porsche 996 GT3
3) Dave Cormier: Porsche 996 GT2 RSR
4) Rocky Elli: Chevy Monte Carlo
5) Gerald Paetz: Pontiac Grand Prix
6) Tony Morris Jr: Chevy Monte Carlo
7) Dave Humphrey: Nissan 240 SX
8) Collin Jackson: Nissan 240 SX
9) Peter Weedon: Trans Am (Nightfighter)
10) Simon Parker: Chevy Monte Carlo
11) Chris Chamberlain: Chevy Corvette
12) Bryan Holyk: Chevy Corvette
13) Kees Nierop: Chevy Monte Carlo
14) Carlos Tesler-Mabe: Porsche 996
15) Marty Knoll: Chevy Corvette
16) Harry Watson: Turbocharged Miata
17) Michael Stevenson: Chevy Monte Carlo
18) Lou Gruzelier: Porsche 996
19) David Saville Peck: Super 7
20) Larry Bell: Pontiac Trans Am
DNF) Glenn Nixon: Porsche 911 TT
DNF) Wouter Bowman: Mazda RX7 Turbo
DNF) Tim Brown: Mustang Cobra R
DNF) Ryan Ennis: Mazda RX7
DNS) Jeff Lowe: Panoz GTS
DNS) Doug Yip: Mustang Cobra

Luxury Homes

2008-09-15T16:20:00.000-07:00

High-end homes set records this year, but still experience some
effects of the housing market slowdown.

Derrick Penner
Vancouver Sun
September 13, 2008

At first blush, the top end of British Columbia's real estate market seems to follow that old observation about the rich being different from the rest of us. Agents recorded 30 sales of mansions over the $5-million mark during the first seven months of this year, according to research by Landcor Data Corp.

The January sale of 3330 Radcliffe Ave. in West Vancouver for $28.2 million set a record for the highest sale price in the province, and the April sale of 6715 Crabapple Dr. in Whistler at $17.5 million marked a new high for the resort community.

That's not to say that high-end properties aren't experiencing some of the slowdown that has hit the overall real estate market.

The number of ultra-high-end sales this year, according to the Landcor count, fell short of the 38 sales over $5 million recorded in the first seven months of 2007. And several of this year's top property sales closed well below the original asking prices.

"There's no doubt that there's been a slowdown," said Grant Connell, an agent with Sotheby's International Realty Canada, who has Metro Vancouver's highest-priced current listing, the Ray Loewen family's Twin Cedars estate in Burnaby, with a $25-million price tag. So far, however, Connell has seen it more as a hesitation on the part of buyers. Buyers may be lacking confidence about which direction the market will go, or are bargain-hunting as inventory builds in the middle segment of the upper end of the market. "[Buyers] are there," Connell said. "Since Labour Day, my phone has been ringing tons, and I'm showing more things," including the Loewen property.

Connell has seen a bit of pressure on prices, but only in some segments, such as the $3.5-million to $5-million segment of West Vancouver, where a lot of houses have been built and there is lots of inventory.
"There is a sense [among buyers] that there is time enough ... to get a deal," he said. "And some people [are looking] for a deal based on what's happening in the market and what they're reading."

Among top-end sales, 3479 Point Grey Rd., on Kitsilano's tony waterfront, sold in June for $10.5 million, four per cent below its original asking price of just under $11 million.

In the leafy enclave of Shaughnessy, the home at 1688 37th Ave. sold at the end of August for almost $6.9 million, almost 11 per cent below its $7.7-million original asking price.

The listing price for Casa Mia, the stately 1930s-era Mediterranean-style villa at 1920 SW Marine Dr., has been reduced to $10.5 million from the $12 million it was listed for last fall. However, Manyee Lui, Casa Mia's listing agent and one of Vancouver's top high-end agents, said the price reduction wasn't due to a lack of interest in the property.
"We have continued interest [in Casa Mia]," said Lui, with Macdonald Realty. "The price reduction is to encourage people to write offers. It's not that we don't have interest." Generally, Lui said that while top-end buyers might be showing a bit of hesitation, she has been busier this year with top-end sales than with mid-range sales.
"I don't think [top-end buyers] are worried about market ups and downs," she added. "In this price range, people are looking for something very special and unique. They're not bound by the economy and all these kinds of things."

The penthouse at 1000 Beach Ave., now on the market for $14.8 million, was listed last September for $18 million.
The current broker for the property, Malcolm Hasman of Angell & Hasman, another of Vancouver's most prominent realtors, said his top-end listings remain active. Hasman noted he has three listings in the $6-million to $10-million range that are "continually being shown, even with the market slowing." "So, where the overall numbers in the mid-range of the market have slowed down, there still seems to be interest in high-end properties in Vancouver."

High-end markets are hard to read, explains Tsur Somerville, director of the centre for urban economics and real estate at the Sauder School of Business at the University of B.C. Somerville added that he hasn't looked specifically at B.C., but typically top-end markets are what economists refer to as "thin markets," with fewer properties and participants than the general market.

For condominiums, for example, there are many similar properties on the market and lots of information to guide buyers on what prices should be, Somerville said.

However, in the mansion market, where each house is unique and there aren't as many offerings, there are fewer comparables. "There is just not a lot of information about what a property is worth," Somerville said. "So you tend to see more variation in the possible prices that a property can get." He added that "the negotiation between what a buyer is willing to pay and what a seller is willing to take is a very different dynamic, because there's not a lot of information that says a property is worth [a particular amount]."

Even if there is a slowing in the overall B.C. market, just as price is less of an object for top-end buyers, top-end sellers don't face the same pressures to sell at prices they don't like. "You're not seeing enormous drops or anything," Connell said of Vancouver. He said sellers of unique homes, such as waterfront properties in West Vancouver, tend to hold out for the value they want to see. Owners put them on the market at high prices because they know there is very little waterfront left.

TOP-20 PRICIEST

Most expensive B.C. residential sales to the end of August:

1. 3330 Radcliffe Ave., West Vancouver, Jan. 8 $28,166,390
2. 12751 Rice Mill Rd., Richmond, April 17 $18,000,000
3. 6715 Crabapple Dr., Whistler, April 30 $17,500,000
4. 3233 Celtic Ave., Vancouver, July 21 $11,500,000
5. 17912 Old Yale Rd., Surrey, April 8 $11,250,000
6. 3479 Point Grey Rd., Vancouver, June2 $10,500,000
7. 5515 Kingston Rd., UBC Endowment Lands, Aug. 27 $9,980,000
8. 1818 Drummond Dr., Vancouver, May 28 $9,000,000
9. 1383 Marinaside Cres. (condo), Vancouver, March 25 $8,500,000
10. 3321 Point Grey Rd., Vancouver, April 9 $8,500,000
11. 5347 Kew Cliff Rd., West Vancouver, Jan. 28 $8,100,000
12. 1757 40th Ave., Vancouver, Jan. 29 $7,900,000
13. 1499 Pritchard Dr., Westside (Kelowna), May 29, $7,412,500
14. 1411 Connaught Dr., Vancouver, Feb. 28 $7,150,000
15. 3061 Mathers Ave., West Vancouver, May 29 $6,900,000
16. 1688 37th Ave., Vancouver, Aug. 27 $6,880,000
17. 4669 Blackcomb Way, Whistler, April 28 $6,700,000
18. 3311 Mt. Lehman Rd., Abbotsford, June 9 $6,520,000
19. 1784 Drummond Dr., Vancouver, April 25 $6,280,000
20. 1437 Minto Cres., Vancouver, Jan. 25 $6,200,000

Market Update

2008-09-12T20:29:00.000-07:00

Fewer Homes Being Added to the Market.

Vancouver, BC – September 12, 2008.

British Columbia Real Estate Association (BCREA) reports residential sales dollar volume on the Multiple Listing Service® (MLS®) in BC declined 49 per cent to $2.2 billion in August, compared to August 2007. Residential unit sales were down 47 per cent to 5,175 units during the same period. The average MLS® residential price in the province was $421,685, down 4.1 per cent from August 2007.

“Fewer home sales and larger inventories have tilted most BC housing markets in favour of homebuyers,” said Cameron Muir, BCREA Chief Economist. “However, a significant decline in new listings last month may be a signal that potential home sellers are now taking a wait and see approach.”

New MLS® residential listings in August fell 22 per cent from July on a seasonally adjusted basis, the second largest month-over-month decline in 25 years.

Compared to July, nearly 2,000 fewer active MLS® residential listings were available in the province, a decline of 3 per cent. “Home seller fatigue is now a possibility, as slower demand and competition among sellers lessen the chance of a timely sale,” added Muir.

Year-to-date MLS® residential sales dollar volume in the province declined 22 per cent to $25.4 billion compared to the same period last year. Transactions declined 27 per cent to 54,635 units, while the average residential price increased 7 per cent to $465,132 over the same period.

Market Review

2008-09-03T16:06:00.000-07:00

Summer lull sees properties stay on market.

VANCOUVER, B.C.
September 3, 2008

The Real Estate Board of Greater Vancouver (REBGV) reports that residential property sales in Greater Vancouver totalled 1,568 in August 2008, a decline of 53.7 per cent from the 3,384 sales in August 2007, and a 47.7 per cent reduction from the 2,998 sales recorded in August 2006. New listings for detached, attached and apartment properties declined 1.7 per cent to 4,331 in August 2008 compared to August 2007, when 4,408 new units were listed.

“In August, properties on average remained on the market longer than we’ve seen in recent years,” REBGV president, Dave Watt said. “As the market heads into the traditionally more active fall season, we have begun to see property listings recede and prices moderate.”

Sales of detached properties declined 58.5 per cent to 535 in August 2008 from the 1,288 detached sales recorded during the same period in 2007. The benchmark price, as calculated by the MLSLink Housing Price Index®, for detached properties rose 1.6 per cent from August 2007 to $737,985. Since May 2008, the benchmark price for a detached property in Greater Vancouver has declined 4.3 per cent.

Sales of apartment properties in August 2008 declined 50.8 per cent to 740, compared to 1,504 sales in August 2007. The benchmark price of an apartment property increased 1.7 per cent from August 2007 to $374,366. Since May 2008, the benchmark price for an apartment property in Greater Vancouver has declined 3.9 per cent.

Attached property sales in August 2008 are down 50.5 per cent to 293, compared with the 592 sales in August 2007. The benchmark price of an attached unit increased 3.8 per cent in Greater Vancouver between August 2007 and 2008 to $463,433. Since May 2008, the benchmark price for an attached property in Greater Vancouver has declined 3.2 per cent.

As of August 31, 2008, active residential listings totalled 17,950 in Greater Vancouver, a 6.2 per cent decline from the 19,138 active listings seen on July 31, 2008.

Market News

2008-09-02T12:18:00.000-07:00

MLS® Home Sales Generate $2 Billion in GDP and 28,800 Jobs.

Vancouver, BC
September 2, 2008.

British Columbia Real Estate Association (BCREA) released today a report on the economic impact of Multiple Listing Service® (MLS®) residential sales to the provincial economy in 2007.

A typical MLS® residential sale generated nearly $42,000 in economic output, $20,000 in Gross Domestic Product (GDP) and $13,000 in household income. Tax revenues to federal, provincial and municipal governments exceeded $9,800. A typical MLS® residential sale also generated 0.28 full time equivalent jobs (FTE).

“MLS® residential sales provide a significant contribution to BC economy,” said Cameron Muir, BCREA chief economist. Every 100 transactions in 2007 generated nearly $4.2 million in economic output and $2 million in GDP.

“While a single home sale has a relatively small impact, the cumulative effect of thousands of transactions is noteworthy,” added Muir.

The province recorded 102,892 MLS® residential sales last year, contributing $4.3 billion to economic output and $2 billion to provincial GDP. Home sales also create employment. For every 100 MLS® residential sales, 28 full-time equivalent (FTE) jobs were generated in 2007. This means 28,800 FTE jobs were needed to service the total number of MLS® residential sales last year.

100 typical MLS® residential transactions added nearly $1.3 million to household income. Total MLS® residential sales in 2007 contributed to more than $1.3 billion in BC household income.

Residential transactions generate significant tax revenue. Every 100 MLS® residential sales in 2007 accounted for nearly $300,000 in federal taxes, $660,000 in provincial taxes and $32,000 in municipal taxes. Total MLS® residential sales in 2007 generated approximately $300 million in federal taxes, $680 million in provincial taxes and $33 million in municipal taxes.

In total, MLS® residential transactions contributed more than $1 billion to government coffers.

For Sale

2008-08-21T17:18:00.000-07:00

I am pleased to announce the listing of
# 802 - 4380 Halifax Street.

The Buchanan North. This beautiful 2 bedroom, 2 bath unit's many outstanding features include: maple kitchen cabinets and granite kitchen countertops, large master bedroom and ensuite featuring a large soaker tub, gas fireplace, insuite laundry and a large south-facing balcony. This unit has 1 parking stall and an extra large storage locker. This building has many outstanding amenities including an exercise centre, whirlpool, steam room, sauna and a beautiful outdoor courtyard. The Buchanan North is centrally located within walking distance to Brentwood Mall, Save-On Foods, restaurants, day-care, banking and Skytrain & transit.

For further information please visit: http://www.danmccarthy.ca/

Market Update

2008-08-15T19:46:00.000-07:00

Swollen Inventories Favour Homebuyers.

Vancouver, BC – August 15, 2008.

British Columbia Real Estate Association (BCREA) reports residential sales dollar volume on the Multiple Listing Service® (MLS®) in BC declined 38 per cent to $2.9 billion in July, compared to July 2007. Residential unit sales fell 37 per cent to 6,541 units during the same period. The average MLS® residential price in the province was $444,358, down 0.5 per cent from July 2007.

“Home sales have slowed to a level not seen since the beginning of the decade,” said Cameron Muir, BCREA Chief Economist. “BC households are now cautious about making major purchases in light of uncertainty around fuel prices and other inflationary pressures.”

“The slowdown in housing demand has swollen the inventory of homes for sale, putting downward pressure on home prices in some markets,” added Muir. A total of 60,008 homes were for sale on the MLS® in July, an increase of 63 per cent from the previous year.

“While this inventory is expected to decline in the coming months, most BC regions will remain in buyers’ market territory for the remainder of 2008.”

Year-to-date MLS® residential sales dollar volume in the province declined 18 per cent to $23.2 billion compared to the same period last year. Sales transactions fell 24 per cent to 49,448 units, while the average residential price increased 8.2 per cent to $469,676 over the same period.

Market News

2008-08-11T11:27:00.000-07:00

Metro housing starts up, Canada down.

Derrick Penner
Vancouver Sun
Monday, August 11, 2008

To the end of July, Metro Vancouver starts of 12,082 outpaces the building that took place in 2007 by 11 per cent. The biggest jumps were in Vancouver and Surrey. Housing starts across Metro Vancouver took a big jump in July as builders continued banging up new homes at a faster clip than in 2007, Canada Mortgage and Housing Corp. reported Monday.

Builders started work on 1,904 new homes in Metro Vancouver in July, a 25-per-cent increase from the same month a year ago. The gain was entirely in multi-family projects, which offset a three-per-cent decline in single-family-home starts. To the end of July, Metro Vancouver starts of 12,082 outpaces the building that took place in 2007 by 11 per cent. The biggest jumps were in Vancouver and Surrey.

"Despite more homes being available on the resale market throughout the year, developers have moved forward and begun construction on projects that have been in the planning stage," Richard Sam, a Canada Mortgage and Housing Corp. analyst said in a press release. "With a number of multiple family-projects still in the pending stage, expect housing starts to be at high levels for the rest of the year."

Housing starts in Abbotsford, however, plummeted 55 per cent in July compared with the same month a year ago to 38 units. The biggest part of the drop was in multi-family projects where builders started on just six units compared with 36 in July 2007.

The July dip softened Abbotsford's results for the year to date, which saw builders start work on 953 units to the end of last month, up 24 per cent from the year previous.

Annualized housing starts plunged 13.6 per cent in July, dropping to 186,500 units from 215,900 units in June, the Canada Mortgage and Housing Corp. reported Monday.

Urban starts fell 14.8 per cent in July compared to June. Multiple housing starts dropped 20.2 per cent to 91,600 units while single starts cooled 6.6 per cent to 69,800 units.

The Children’s Charities Grand Prix

2008-08-06T09:07:00.000-07:00

Since the departure of the immensely popular Vancouver Molson Indy, local race fans have been starving for a Professional-style event providing them with the sights, sounds and thrills that go along with Motorsport Entertainment.

The Children’s Charities Grand Prix is the most exciting Motorsport news in British Columbia since the Champ Cars last graced the streets of Downtown Vancouver in 2004.

The first CCGP will take place September 20th and 21st at the new and improved, River’s Edge Raceway. The CCGP concept was derived from the ultra-successful fan-favorite SCCBC Invitational that ran along with the Vancouver Indy from 1990 through 2004.

The SCCBC Invitational thrilled the Vancouver Indy crowds with its wheel-towheel racing action and fan-friendly format. Huge grids of up to 60 cars kept fans on the edge of their seats with lots of passing, close calls and diverse grids.

The CCGP will continue to feed the fans need-for-speed by featuring a vast array of beautiful P1 and P2 class, big-horsepower cars and amazing driving talent from all over Western Canada and the Pacific Northwest racing for a $10,000 prize purse.

The CCGP race will take place during round 4 of the Pacific Region CACC Championship. The weekend will also feature a variety of exciting classes from Open Wheel Formula Cars right through to Vintage and everything in between.

The Children’s Charities Grand Prix will benefit the BC Children’s Hospital and Children’s Wish Foundation. Partial proceeds from gate will go to both charities as well as funds raised from a silent auction and the infamous ‘Hot Laps 4 Kidz’. This unique offering will give fans the opportunity to go for a ride on the newly configured 9-turn 1.3 mile race track in a variety of Supercars and Race cars with Professional Drivers at the wheel.

This concept offers a fantastic opportunity to all those involved in Motorsports (and beyond) to come together to benefit sick children and demonstrate on a grand scale that great road racing action is alive and well in BC.

I am pleased to annouce that the Anduccis/RE/MAX racing car # 49, Panoz GTS will be competing in this event.

For further information please visit: http://www.sccbc.net/

Market Review

2008-08-05T20:01:00.000-07:00

Month-over-month housing prices retreat from record highs.

VANCOUVER, B.C.
August 5, 2008

As property listings continue to outpace sales, Greater Vancouver housing prices have drawn back, the last two months, from the record highs experienced in early 2008.

Since May 2008, housing prices, as calculated by the MLSLink Housing Price Index®, across each residential category have declined. Detached properties in Greater Vancouver declined 2.3 per cent through June and July 2008, while attached were down 1 per cent and apartment properties 2 per cent over the same period.

The overall benchmark price for all residential properties in Greater Vancouver has declined 2.1 per cent since the end of May 2008, from $568,411 to $556,605 in July 2008. “We’re seeing more price reductions in properties listed on the market, which is having a levelling impact on the housing price increases experienced at the end of last year and into the first quarter of 2008,”said Real Estate Board of Greater Vancouver (REBGV) president, Dave Watt. “There was a slight decline in the total active listings on the market in July compared to June, which is a welcomed departure
from recent trends.”

Residential property sales in Greater Vancouver declined 43.9 per cent in July 2008 to 2,174 from the 3,873 sales recorded in July 2007. New listings for detached, attached and apartment properties increased 24 per cent to 6,104 in July 2008 compared to July 2007, when 4,924 new units were listed.

Sales of detached properties in July 2008 declined 44.2 per cent to 827 from the 1,483 units sold during the same period in 20070. The benchmark price for detached properties is up 5.4 per cent from July 2007 to $753,165.

Sales of apartment properties declined 42.3 per cent last month to 966, compared to 1,674 sales in July 2007. The benchmark price of an apartment property increased 4.7 per cent from July 2007 to $381,687.

Attached property sales in July 2008 decreased 46.8 per cent to 381, compared with the 716 sales in July 2007. The benchmark price of an attached unit increased 5.7 per cent between July 2007 and 2008 to $473,953.

Commercial Real Estate

2008-07-23T11:36:00.000-07:00

Vancouver office space at premium. Vacancy rate lowest in
Canada with market that's going to get tighter.

Wendy McLellan
The Province
Wednesday, July 23, 2008

Vancouver's short supply of downtown office space means companies have to make longer-range plans if they want to expand.

Downtown office space is easier to rent in Tokyo than Vancouver.

It's also easier to find vacant office space in 84 other big cities in the world, according to a new real-estate report showing downtown Vancouver has the twelfth tightest office-vacancy rate in the the world. At 2.3 per cent, the city has the lowest downtown office-vacancy rate in Canada. Toronto has the second-tightest downtown office space with a 3.8-per-cent vacancy rate. Among big U.S. cities, Boston has the lowest rate at 6.6 per cent.

"If a company needs office space in Vancouver, they will have trouble finding options," said Pierre Bergevin, president and CEO of global real-estate firm Cushman and Wakefield LePage. "There is clearly not enough supply to meet demand." The company released the report on office-vacancy rates in the core areas of 97 cities worldwide, based on first-quarter statistics. Vancouver's short supply of desirable downtown office space means companies have to make longer-range plans if they want to expand, Bergevin said.

"Anybody who has space and needs to do something about it in the next three to five years will have to start looking now," he said. "This is a challenge for businesses that are expanding - they don't have a lot of options right now."
Tony Astles, executive vice-president of Bentall Real Estate Services, said a normal vacancy rate would be in the range of five to nine per cent. Rents for prime office space have been rising for more than two years and hit an all-time high late last year. "What most people haven't come to grips with is that even at this level, the rents aren't enough to induce new building construction. Construction costs are still higher," Astles said.

Residential towers are more profitable, and since building a new office tower takes about five years, developers are reluctant to take a risk on an uncertain future market. Instead, they are turning to the suburbs and building lower-rise office buildings on cheaper land near public transit.

"If tenants can't grow in Vancouver, they will move to other areas to achieve that growth, and that is already beginning," Astles said. "They are moving to more suburban areas of Vancouver, Burnaby, Richmond because there's no room."

Currently, there are no new office buildings under construction in the downtown core and only a couple projects in the discussion stage at city hall, Astles said. "If it was economically viable to build office buildings, they would be built," he said. "In the next five years, there will be few new buildings constructed and that means an even tighter market."

Market Update

2008-07-16T10:40:00.001-07:00

Fewer Sales and Large Inventory Cool Housing Market.

Vancouver, BC – July 16, 2008.

British Columbia Real Estate Association (BCREA) reports residential sales dollar volume on the Multiple Listing Service® (MLS®) in BC declined 34 per cent to $3.31 billion in June, compared to June 2007. Residential unit sales fell 36 per cent to 7,133 units during the same period. The average MLS® residential price in the province was $463,458, up 4 per cent from June 2007.

“Weaker consumer confidence and eroded affordability are slowing home sales in the province,” said Cameron Muir, BCREA Chief Economist.

Seasonally adjusted MLS® residential unit sales in June were near 2002 levels. During the first half of the year, BC MLS® residential sales were down 22 per cent to 42,907 units, when compared to the same period last year. The average residential price rose 9.6 per cent to $473,536 over the same period.

“The combination of a larger inventory of homes for sale and fewer home sales have tilted most BC markets in favour of homebuyers,” added Muir. “This means little upward pressure on home prices in many markets.” Victoria was in balanced conditions, while Northern Lights remained a sellers’ market in June. “Despite a dip in home sales, inventories could soon edge lower as home sellers adjust their asking prices to reflect market conditions.”

Mortgage News

2008-07-10T08:38:00.000-07:00

New government rules put a crimp on mortgage borrowing.

Garry Marr
Canwest News Service
Thursday, July 10, 2008

TORONTO - The federal government has cracked down on the mortgage industry with new rules that will make it more difficult for consumers to borrow.

One of the key measures the government has introduced is a stipulation that insured mortgage products not have an amortization period that is longer than 35 years.In the past two years, the amortization period has stretched from 25 years to as much as 40 with some people suggesting a 50-year amortization was soon to come.

Any consumer with less than a 20-per-cent down payment on a home is required to get mortgage insurance if they are borrowing money from a financial institution covered by the Bank Act. The new rules affect those mortgages.
Another key measure being introduced is a requirement that all mortgages have at least a five-per-cent down payment. Competition in the mortgage industry has allowed consumers to put zero money down on a home and still get a competitive rate.

Canadian consumers have actually been borrowing more than 100 per cent of the value of their home. Many financial institutions allow consumers to put closing costs, which include land-transfer fees and legal bills, on their loan. It has led to mortgages that are about 103 per cent of the value of a home.

The government will also require anybody with an insured mortgage product to have a minimum credit score. It is also introducing new loan-documentation standards.

The mortgage-insurance industry is dominated by Canada Mortgage and Housing Corp., a Crown corporation that controls 70 per cent of the market. The other 30 per cent of the market is controlled by Genworth Financial Canada.

New entrants like AIG United Guaranty, a subsidiary of American International Group Inc. or AIG, and PMI Mortgage Insurance Co. have been trying to crack the market.

Market Review

2008-07-03T18:39:00.000-07:00

Market activity offers awaited relief for homebuyers.

Vancouver, B.C. – July 3, 2008

Increased property listings and moderating home prices have eased the Greater Vancouver housing market into a buyer’s phase. The Real Estate Board of Greater Vancouver (REBGV) reports that residential property sales in Greater Vancouver declined 42.9 per cent in June 2008 to 2,425 from the 4,244 sales recorded in June 2007.

New listings for detached, attached and apartment properties increased 18.3 per cent to 6,546 in June 2008 compared to June 2007, when 5,533 new units were listed.

“Although housing prices, on a year-over-year comparison, continue to show single-digit percentage increases, we are beginning to see more price reductions in properties listed on the market today,” said REBGV president, Dave Watt. “Homes priced at a competitive level continue to sell quickly, but it is important for people to accurately identify their home’s value when putting it on the market.”

Sales of detached properties in June 2008 declined 43.4 per cent to 918 from the 1,623 units sold during the same period in 2007. The benchmark price, as calculated by the MLSLink Housing Price Index®, for detached properties rose 7 per cent from June 2007 to $765,654.

Sales of apartment properties declined 42.7 per cent last month to 1,057, compared to 1,846 sales in June 2007. The benchmark price of an apartment property increased 7.8 per cent from June 2007 to $388,722.

Attached property sales in June 2008 decreased 41.9 per cent to 450, compared with the 775 sales in June 2007. The benchmark price of an attached unit increased 7.6 per cent between June 2007 and 2008 to $476,585.

Bright spots in Greater Vancouver in June 2008 compared to June 2007:

Apartments:

New Westminster up 46.2 per cent (19 units sold from 13)

For Sale

2008-06-25T21:24:00.000-07:00

I am pleased to announce the listing of 4321 Greta Street, Burnaby.

This is a rare opportunity to purchase a quality home located on a private cul-de-sac in South Burnaby. This 2 level, 5 bedroom home has many quality features including: bright large rooms, original hardwood floors, cedar lined closets,a finished basement with a large recreation room and plenty of storage, This home features attractive landscaping, a private back yard and a detached 2 car garage with lane access.

For further information please visit: http://www.danmccarthy.ca/

Market Update

2008-06-16T16:58:00.000-07:00

Vancouver, BC – June 16, 2008.

British Columbia Real Estate Association (BCREA) reports residential sales dollar volume on the Multiple Listing Service® (MLS®) in BC declined 27 per cent to $3.85 billion in May, compared to May 2007. Residential unit sales fell 31 per cent to 8,101 units during the same period. The average MLS® residential price in the province reached $475,656, up 6 per cent from May 2007.

“Rising fuel and food prices are impacting the housing market, as many potential homebuyers take a wait and see approach out of concern for their household budgets,” said Cameron Muir, BCREA Chief Economist.

While BC has one of the best performing economies in the country, slower economic growth and a spate of bad news stemming from the US housing recession is also eroding consumer confidence, causing some consumers to delay major purchases.

“Despite strong demographic fundamentals, amenity markets in the province are bearing the brunt of reduced demand as second home purchases by recreation and investor buyers are more easily delayed,” added Muir. “However, higher inventory levels may soon edge lower as homes priced in relation to the accelerating conditions of the past are either pulled off the market or re-priced and sold according to today’s market realities.”

Recreational Property

2008-06-11T12:51:00.000-07:00

Balance returns to recreational property markets across Canada this year, says RE/MAX.

Kelowna, BC
June 10, 2008

After an extended period of extraordinary growth, more balanced market conditions have emerged in recreational property markets across the country, according to a report released today by RE/MAX. The RE/MAX Recreational Property Report found that a substantial increase in the supply of recreational properties listed for sale, combined with fewer buyers overall, characterized most recreational markets this year.

Of the 45 markets surveyed, 91 per cent (or 41 markets) were in the transition stage, moving from strong sellers into balanced market conditions. The only exceptions were Salt Spring Island, two markets in Saskatchewan - Last Mountain Lake and Qu’Appelle Lakes and Lakes Candle, Emma, and Waskesiu - and Newfoundland’s East Coastwhere inventory levels were relatively low.

Affordability was a primary factor in 35 per cent of markets surveyed, given serious upward pressure on recreational values in recent years. “We’re coming off the longest period of economic expansion since World War II,” says Elton Ash, Regional Executive Vice President, RE/MAX of Western Canada. “Recreational property values have appreciated beyond our wildest dreams across the country. More balanced market conditions are a welcome change for purchasers.”

Adverse winter weather conditions during the first four months of the year hindered recreational activity. Sixty-seven per cent of markets reported softening in the number of sales year-to-date, while average prices remained stable or experienced moderate increases over 2007 levels for the same period. Economic concerns, fueled by negative GDP growth in the first quarter and soaring energy costs, have also played a role in the transitioning market.

“Market conditions have shifted, but don’t expect to see bargain basement prices or fire sales,” says Michael Polzler, Executive Vice President and Regional Director, RE/MAX Ontario-Atlantic Canada. “The recreational market continues to experience solid demand - a trend that is expected to continue throughout 2008. The influx of new listings has yet to translate into downward pressure on recreational property prices. Prime waterfront properties, while more plentiful than in year’s past, will still command top dollar.” For the first time in many years, in fact, a good selection of entry-level waterfront is available in markets across the country.

Eighteen per cent of those surveyed offer properties under the $200,000 price point, including; Central South Cariboo in British Columbia; Parry Sound, East Kawarthas and Kingston in Ontario; Summerside, PEI; South Shore, Nova Scotia; Shediac, New Brunswick; and the East Coast of Newfoundland. Recreational property buyers also found themselves divided between two borders this year. The housing market meltdown in the US combined with a Canadian dollar at par created serious investment opportunities for secondary properties in Florida, Arizona, Texas, and California. Some of those very same factors have spurred American recreational property owners in Canada to list their properties for sale, with many looking to take advantage of ideal market conditions here. “Many Canadians are capitalizing on market conditions in major American centres,” says Polzler.

“For some purchasers, the move is strictly a short-term investment strategy with a pay-off at the end of the day, while for others, retirement is the main objective.” The report also found that younger buyers were a factor in 40 per cent of recreational markets surveyed. “Baby boomers are clearly not the only purchasers that appreciate the recreational lifestyle,” says Ash. “Generation X is quickly becoming a force in the marketplace, spurring demand for condominium product on ski hills, oceanfront properties in good surf locales, and water frontage on trendy lakes with celebrity residents.”

Other highlights: Alberta’s red-hot economy has helped boost recreational property markets in British Columbia, Atlantic Canada, and some parts of Ontario. Affordability is prompting buyers to consider back lots, riverfront, condominiums, hobby farms and leased land. -Some purchasers looking to secure an exit strategy are buying recreational properties or secondary homes in residential neighbourhoods in close proximity to the water’s edge.

Commercial Real Estate

2008-06-06T12:20:00.000-07:00

Vancouver's commercial downtown goes up and out to create job space. City planners are proposing that residential development be banned from an expanded area.

Frances Bula
Vancouver Sun
June 06, 2008

Vancouver is about to radically reshape its downtown business core to create new commercial office space and keep condos at bay.

City planners are proposing that residential development be banned from an expanded new commerical district, that office towers automatically be granted 20 to 40 per cent more density, and that developers be encouraged to build as high as possible without blocking the city's designated view corridors. "When you look at the capacity for job space in the city, there's a problem, particularly in the downtown," said planner Kevin McNaney, who is in charge of the city's massive metro-core jobs study that has been examining what kinds of occupations and locations the city will need in the future. "And it really has nowhere to go but up. There's heritage on one side, strata condos on the others and then the port."

The city is also proposing that all conversions from office to residential in buildings over 50,000 square feet will be discouraged through the new central business district, which will now stretch from Bute to Beatty and Robson to Cordova. Similarly, conversions of buildings over 30,000 square feet in Yaletown, Chinatown and Gastown will also be discouraged.

That change is being welcomed by the business community, which has been raising the alarm for a couple of years about the way office development has been losing the battle to more profitable condo development.
"It's all good to walk and bike to work, but if you don't have offices for people to go to, that makes things rather difficult," said Bernie Magnan, the chief economist for the Vancouver Board of Trade. "You won't have the business and the jobs that you're asking people to move down here for."

Condominium development in the downtown core has been escalating for 20 years, ever since the city started promoting a "Living First" policy of encouraging people to move downtown. It took off in the late 1980s, after the office market collapsed in Vancouver and elsewhere and developers were looking for new opportunities to build. Since then, the size of the downtown population has more than doubled to about 90,000.

As it became clear that condo projects were selling at phenomenal rates and available sites became less and less available, residential developers started pushing into the central business district or converting former office buildings. The famous one-time Westcoast Transmission building on Georgia became the Qube condos, while prime sites, one at Georgia and Thurlow and one at Dunsmuir at Granville, were developed as the Shangri-La and Hudson, which were all or partly condos.

The city put a moratorium on that kind of conversion and development almost four years ago, because of increasing concern about the effect it was having on the price of the remaining commercial land. In the meantime, the office vacancy rate downtown has dropped to a record low.

City planners have estimated that the downtown needs about six million square feet more of office space to accommodate an increase from the 120,000 jobs that now exist downtown.

McNaney said the city will also be making changes in other parts of what it calls the metro core - everything north of 16th Avenue from Clark to Arbutus - to create more job space. He said that it's unlikely that Vancouver will see exceptionally high office towers because the business market in Vancouver isn't strong enough for that. Vancouver has no head offices and much of its office space goes to companies leasing relatively small amounts of space.
"Most will be around 400 to 450 feet. That's enough for the kind of office towers built here," said NcNaney.

Market Review

2008-06-03T18:35:00.000-07:00

Growing supply helps stabilize market conditions

VANCOUVER, B.C. – June 3, 2008
The Greater Vancouver housing market continued its re-balance between sales and listings last month. The Real Estate Board of Greater Vancouver (REBGV) reports that residential property sales in Greater Vancouver declined 30.7 per cent in May 2008 to 3,002 from the 4,331 sales recorded in May 2007.
New listings for detached, attached and apartment properties increased 20.2 per cent to 7,390 in May 2008 compared to May 2007, when 6,149 new units were listed.

“With more property listings and a decline in the number of sales, prices are not increasing as rapidly, now down to single digits overall, which is good news from an affordability standpoint,” said REBGV president, Dave Watt. “The housing market is at a balanced state, sellers have more competition and buyers have more selection to choose from."

Sales of detached properties in May 2008 declined 33.4 per cent to 1,203 from the 1,805 sales recorded during the same period in 2007. The benchmark price, as calculated by the MLSLink Housing Price Index®, for detached properties rose 8.4 per cent from May 2007 to $771,250.

Sales of apartment properties declined 30.5 per cent last month to 1,244, compared to 1,789 sales in May 2007. The benchmark price of an apartment property increased 8.7 per cent from May 2007 to $389,668.

Attached property sales in May 2008 decreased 24.7 per cent to 555, compared with the 737 sales in May 2007. The benchmark price of an attached unit increased 9 per cent between May 2007 and 2008 to $478,931.

Bright spots in Greater Vancouver in May 2008 compared to May 2007:
Attached:
Coquitlam up 45.2 per cent (45 units sold from 31)
Apartments:
New Westminster up 13.6 per cent (100 units sold from 88)

Renovations

2008-05-26T15:55:00.000-07:00

How to avoid home reno disaster.
There are enough snags without creating any of your own.

Paul Luke
The Province
May 25, 2008

Contractor Robert Capar oversees a complete condominium renovation. Here he talks with Darren Reidel as he installs a header. Capar suggests homeowners be wary of contractors whose quote is dramatically lower than the rest.

Here's some fail-safe advice for smart homeowners who want to do a renovation fast and cheap.

1) Strike a verbal deal with the lowest-cost builder who comes along.
2) Pay cash under the table.
3) Keep your plans loose so you can improvise as you go along.
4) Better yet, do all the renovating yourself. You can cover your tracks at the office if the job pulls you away a few hours a week.
5) Don't worry about permits and inspections from your municipality - they're for fools.

Congratulations - you've just turned your dream project into a nightmare.

Earlier this month, speakers at a seminar organized by the Greater Vancouver Home Builders' Association outlined disasters that await careless or ethically relaxed households. "Renovations are notorious for growing and changing as the project keeps moving along," renovator and Kelrek Services boss Alvin Epp told those at the seminar.

"There's always something in a renovation that doesn't seem to work quite the way you want." Looking to turn hiccups into screwups? Here's some guidance from professionals at the seminar.

Support underground economy. Cash deals that lack liability insurance and WorkSafe B.C. coverage put homeowners at enormous risk, home builders association CEO Peter Simpson said.
"Without a building permit and the requisite inspections, you're really exposing yourself," Simpson said. "If anything goes to court, you, as the homeowner, are deemed to be the contractor."

Dan Moseley, a lawyer with Surrey-based McQuarrie Hunter, said all agreements should be in writing. Key elements to anticipate are delays and disputes. "There should always be a term in the contract or agreement which sets out a very simple process for dealing with extras, additions or changes," Moseley said. "Alternative dispute resolution, mediation and arbitration should be considered."

Always choose the lowball price. Contractor Robert Capar, president of maison d'etre construction, said homeowners should be wary of a contractor whose quote is drastically lower than the rest. "Make sure you're getting a price for the same job - the same look, the same quality, the same materials," Capar says.

CCI Renovations president John Friswell said homeowners should not base the cost of an item on a price they see in a store. A builder's markups include indispensables such as planning, delivery and installation. These may translate into markups of 25-50 per cent, depending on the job. "If you get a contractor quoting you 10 per cent, be very careful," Friswell warned. "Because that contractor is not adequately covering his costs if he has a legitimate business." Friswell tells clients to build a cushion of 10 to 20 per cent into their budget to cover changes and unforeseen costs.

Don't bother with a professional. Homeowners able to handle the practical parts of doing a big reno must also be prepared to cope with the demands on their time, Capar said. "When you're running a project, it's not uncommon to find that it's taking two to three hours a day. You can do it yourself, but you'll take on all the risk, all the liability.
"So trying to hold down a full-time job and run a project at home is not necessarily going to be the easiest thing to do."

Keep cards close to your vest. Homeowners should be upfront during initial talks with builders about how much they can spend on a project, Capar said. "Give them a sense of the budget," he said. "That's going to tell me the kind of finishing you're thinking about, what kinds of details you're probably going to be putting into that project."
Homeowners also need to be clear about their timelines. Pregnancies are one of the single greatest triggers for renovations in Vancouver, Capar said. "If the baby's due in three months, make sure that's clear," he said. "Because if [a builder's] schedule is eight months out, you should know that so you can eliminate each other."

Fly by the seat of your pants. Interior designer Daine Halley said people must do their homework and build up enough knowledge to survive the blizzard of design decisions. "Make a plan and stick to it to keep a project from becoming a reno horror story," the owner of Comet Interior Design said.

For further information on renovations please visit:
http://www.remax-western.ca/3012_advice_ideas_tips.html

Market Update

2008-05-15T12:49:00.000-07:00

More Homes for Sale - Welcome News for Homebuyers.
Vancouver, BC - May 14, 2008.

British Columbia Real Estate Association (BCREA) reports residential sales dollar volume on the Multiple Listing Service® (MLS®) in BC dipped 1.4 per cent to $4.1 billion in April, compared to April 2007. Residential unit sales declined 11 per cent to 8,623 units during the same period. The average MLS® residential price in the province reached $478,044, up 11 per cent from April 2007.

“Rising inventories are providing more choice for consumers and exerting less upward pressure on home prices,” said Cameron Muir, BCREA Chief Economist. Active MLS® residential listings in the province were up 37 per cent to 47,923 units in April. “The combination of a slower pace of home sales and some profit taking by investors is contributing to a balance between housing demand and the supply of homes for sale.”

“While homebuyers now face less competition for the homes available for sale,” added Muir, “competition among home sellers means curb appeal, interior condition and prudent pricing are necessary for faster sale.”

In the first four months of the year, MLS® residential sales volume in the province fell 1.8 per cent to $13.2 billion compared to the same period in 2007. Residential unit sales declined 13 per cent to 27,730 units, while the average MLS® residential price increased 13 per cent to $474,993.

Residential Construction

2008-05-13T14:59:00.000-07:00

Builders strongly back Victoria's plan to raise the maximum height of wood-frame apartments.
Aim is to encourage more use of timber by allowing buildings up to six storeys.

Gordon Hamilton
Vancouver Sun
Tuesday, May 13, 2008

A plan by the province to raise the maximum height for wood-framed apartment buildings to encourage more use of the province's timber is receiving strong support from builders.

Premier Gordon Campbell told mayors attending a Whistler convention last week that he wants to support the province's forest industry by allowing the construction of wood-framed condominiums higher than the current four-storey limit.

And Housing Minister Rich Coleman told the Canadian Home Builders' Association two weeks ago that he wants to see wood-framed building up to six storeys high. "We want to be responsive to market changes," he said April 30. "One of the initiatives is we want to build a higher building out of wood. We want to go to six storeys." Coleman said the necessary building code changes could be accomplished through regulatory change and could be in place by September.

B.C. is already pushing the limit under the National Building Code by going as high a four-storeys in wood, said architect Richard Kadulski, but going higher, is do-able, he said. "The construction industry here is very comfortable with wood," he said. However, higher condominiums could bump up against municipal zoning regulations that govern building heights, he said.

Neil Chrystal, president of Polygon Homes, said if the limit were raised, Polygon would go for more height in wood. It could lead to new, more varied building designs, he said. Polygon builds with both concrete and wood. "It could lead to increased densities where it makes sense and typically wood-framed buildings are somewhat more affordable to build, so you are addressing the affordability issue also. It's a double win," he said
.
Wood-framed construction has been limited to three storeys under the National Building Code - B.C pushed it to four storeys - for technical reasons. Specifically any shrinkage in the thickness of floor joists tends to compound with each additional storey. But new technologies, such as engineered wood, can resolve those issues, said Victoria builder Herman Rebneris of Cottage Grove Contracting. Rebneris is an advocate of going beyond four storeys. He said both Seattle and Portland allow five-storey wood-framed condos, going to six if the first floor is concrete. In Europe, wood-framed condos can be up to eight storeys tall, he said. "I think there is an opportunity here. Wood-framed buildings are cheaper and they are made from sustainable products."

Peter Simpson, chief executive officer of the Greater Vancouver Home Builders' Association, said he has travelled to Asia promoting wood-framed construction. It makes sense to promote greater use of wood in B.C. construction because it's a local resource, he said.

SOLD

2008-05-09T19:36:00.001-07:00

I am pleased to announce the sale of # 106 - 1169, 8th Avenue, New Westminster, for further information please visit:

www.danmccarthy.ca

Market News

2008-05-08T16:10:00.000-07:00

Vancouver residents love their condos.
But only as an investment rather than a primary residence, TD Canada Trust says.

Bruce Constantineau
Vancouver Sun; with Canwest News Service
Thursday, May 08, 2008

More than half of Vancouver residents surveyed would buy a condo as an investment rather than as a primary residence - the highest level in Canada, according to a TD Canada Trust online survey.

The survey found that 52 per cent of Vancouverites would make a condo investment, compared with 38 per cent of 1,200 residents polled in six Canadian urban centres - Vancouver, Calgary, Toronto, Ottawa, Montreal and Halifax.

Vancouver residents are also the most likely among urban Canadians to pay between $400,000 and $600,000 for a two-bedroom condo - with 24 per cent saying they would pay that much, compared with just 13 per cent of urban Canadians in general.

The survey found that 48 per cent of Vancouver residents are willing to raise a family in a condo, up from 34 per cent who said they would consider it last year. Condos are increasingly becoming urban Canadians' residences of choice, as the lure of low maintenance and affordability boosts the number of potential buyers.

Forty-eight per cent of city - dwelling Canadians said they would consider buying a condominium as their primary residence, up significantly from the 39 per cent recorded a year ago.Reasons for that interest vary widely across the country, as do the prices buyers are willing to pay.

"While affordability is still the main driver for many first-timers, the condo market today offers so many options and amenities - including highly energy efficient buildings that it is commanding the attention of a much wider range of potential buyers," said TD Canada Trust representative Joan Dal Bianco.Less maintenance than a house was a key factor for 34 per cent of respondents, while 23 per cent said a cheaper price would be their main reason to make such a purchase.

Energy efficiency is also a growing attraction for condo buyers, 96 per cent of whom said it would be a top amenity they seek, equalled in popularity by only good building security. Low condo fees were another top priority for 94 per cent of those polled. Almost half of respondents said they were willing to pay no more than $400 a month in fees, while 36 per cent said they would pay no more than $200.

Nationally, 52 per cent said they want to spend less than $400,000 to buy a two-bedroom condo, and 28 per cent said they want to spend less than $200,000. All of which reveals a large gap between people's expectations and the prices they'll encounter when they go shopping.

"There are still locations where you can a $150,000 condo," Dal Bianco contends, while adding such properties may be older buildings that lack amenities. She concedes that "in the large major cities, in particular Calgary, Toronto and Vancouver chances of finding something under $200,000 are probably pretty slim."
The online survey was conducted by Angus Reid Strategies between March 20 and March 25 and the national sample is considered accurate to within 2.9 percentage points, 19 times out of 20. The Vancouver sample is considered accurate to within 6.9 percentage points.

Market Update

2008-05-07T15:29:00.000-07:00

BC Housing Markets to Moderate
BCREA Releases Spring 2008 Housing Forecast Vancouver, BC – May 6, 2008.

BC home sales are retreating from historically high levels, according to the British Columbia Real Estate Association’s (BCREA) spring Housing Forecast, released today. The report analyzes the British Columbia economy and housing markets, including detailed forecasts by home type of the province’s 12 real estate board areas.

“Some weakness on the export side of the economy and eroding affordability will have an impact on housing demand over the next two years,” said Cameron Muir, BCREA Chief Economist.

Residential sales on the Multiple Listing Service® (MLS®) are expected to decline 9 per cent to 93,800 units in the province in 2008, and a further 2 per cent to 92,000 units in 2009. “Most housing markets in the province are exhibiting balance between demand and supply,” added Muir. Home sales were down 14 per cent in the first quarter of 2008, while active listings were up 24 per cent. “More balance between demand and supply means less upward pressure on home prices. It also reduces the chance of multiple bids on the same home, giving homebuyers more time to investigate properties thoroughly before purchasing.”

The average MLS® residential price in the province climbed 12 per cent to $438,975 in 2007. This year, the average MLS® residential price is forecast to increase 9 per cent to $479,000, and a more modest 4 per cent to $499,000 in 2009. “While a weak US economy is negatively impacting the forest industry and tourism, the BC economy is forecast to grow 2.5 per cent this year and 2.7 per cent in 2009, a higher rate of growth than most other provinces. Consumer spending, employment growth and net migration in the province are expected to remain robust and will continue to underpin housing demand through 2009,” noted Muir.

RE/MAX Quest for Exellence

2008-05-05T15:30:00.000-07:00

RE/MAX Awards $12,000 in Bursaries to High School Graduates

Kelowna, BC (May 5, 2008) – Twenty four students from Western Canada were recently notified that they will be individually presented with a RE/MAX 2008 ‘Quest for Excellence’ bursary, valued at $500, during their school commencement ceremonies.

The annual RE/MAX Quest for Excellence program encourages graduating students from British Columbia, Alberta, Saskatchewan, Manitoba, and the North West and Yukon Territories to write an essay based on their personal experience in one of six topics – Leadership, Sports, Technology & Trades, Performing Arts, Fine Arts and Community Service.

“A record breaking 1568 entries were received from students across Western Canada,” says Marie Sheppy, Senior Coordinator, Corporate Affairs, RE/MAX of Western Canada. “Each year, the caliber of essays we receive far exceed our expectations. These young adults are sure to succeed in their chosen field and we are pleased that we can help fuel their achievements.”

“In the spirit of giving back to our communities, we take pride in knowing that RE/MAX can help students reach their education goals”, says Elton Ash, Regional Executive Vice President, RE/MAX of Western Canada. “We hope that the bursary program encourages the applicants to continue to strive in their Quest for Excellence”

Quest for Excellence Award Winners are as follows:

Leadership Category – Alyssa Anderson, Lloydminster, SK, Carmen Danyluk, Kamsack, SK, Matthew Roy, Victoria, BC, Gladys Yeung, Winnipeg, MB

Sports Category – Taylor Gordon, Kamloops, BC, Kieran Halliday, Parksville, BC, Gabrielle Hodgson, Vancouver, BC, Kait Serafin, Vernon, BC

Technology & Trades Category – Joshua Craig, Westbank, BC, Dallas Hale, Delta, BC, Donna Shuman, Victoria, BC, Brittany Wall, Brandon, MB

Performing Arts Category – Jing Cheng, Delta, BC, Michelle Huie, Calgary, AB, Bernice Pui, Edmonton, AB, Matthew Zimmerman, Steinbach, MB

Fine Arts Category – Denay Amaral, Kitimat, BC, Callan Field, Calgary, AB, Natasha Ivanovic, Surrey, BC, Janyne Laing, Gallivan, SK

Community Service Category – Salina Haramsi, Vancouver, BC, Neil Kalra, Saskatoon, SK, Kelsey Phillips, Edmonton, AB, Celia White, Nanaimo, BC

RE/MAX is Canada’s leading real estate organization with over 17,800 sales associates situated throughout its more than 638 independently owned and operated offices across the country. The RE/MAX franchise network, now in its 35th year, is a global real estate system operating in over 65 countries. More than 7,000 independently owned offices engage over 110,000 member sales associates who lead the industry in professional designations, experience and production while providing real estate services in residential, commercial, referral and asset management. For more information, visit: www.remax.ca

Market Review

2008-05-03T15:40:00.000-07:00

New listings outpace sales to start the spring cycle.
VANCOUVER, B.C. – May 2, 2008

An influx of new listings entered the Greater Vancouver housing market in April 2008, while residential sales reduced slightly compared to the same period a year ago. The Real Estate Board of Greater Vancouver (REBGV) reports that residential property sales in Greater Vancouver totalled 3,218 in April 2008, a decline of five per cent from the 3,387 sales recorded in April 2007, and a 3.8 per cent drop from the 3,345 sales in April 2006. New listings for detached, attached and apartment properties increased 25.6 per cent to 7,010 in April 2008 compared to April 2007, when 5,580 new units were listed.

“Residential sales continue to be strong, but there is a lot more choice on the market today. This is good news for a market that has been defined by record-breaking activity for most of this decade,” said REBGV president, Dave Watt. “Despite this seeming re-balance between sales and listings, it took, on average, six fewer days to sell a home in Greater Vancouver compared to the previous year, with a days on market average of 33 in April this year,” said Watt.

Sales of detached properties declined 7.8 per cent to 1,293 from the 1,403 detached sales recorded during the same period in 2007. The benchmark price, as calculated by the MLSLink Housing Price Index®, for detached properties rose 11 per cent from April 2007 to $771,321. Sales of apartment properties in April 2008 declined 2.4 per cent to 1,317, compared to 1,350 sales in April 2007. The benchmark price of an apartment property increased 9.6 per cent from April 2007 to $389,070. Attached property sales in April 2008 are down 4.1 per cent to 608, compared with the 634 sales in April 2007.

The benchmark price of an attached unit increased 10.5 per cent between April 2007 and 2008 to $477,900.

Bright spots in Greater Vancouver in April 2008 compared to April 2007:

ATTACHED:
Squamish...................................... up 84.6 per cent (24 units sold from 13)
Vancouver East ............................... up 50 per cent (51 units sold from 34)
Sunshine Coast................... up 157.1 per cent (18 units sold from 7)

APARTMENTS:
Maple Ridge/Pitt Meadows ......... up 32.3 per cent (41 units sold from 31)
New Westminster .................... up 33.8 per cent (95 units sold up from 71)
Port Moody/Belcarra............... up 23.7 per cent (47 units sold up from 38)
Richmond...................................up 7.8 per cent (179 units sold from 166)

Commercial Real Estate

2008-04-25T11:52:00.000-07:00

Planned city office tower on hold.
Aquilini Investment Group says there's no market for its proposed 23-storey building.

Frances Bula
Vancouver Sun
Friday, April 25, 2008

One of two planned office towers for downtown Vancouver is on indefinite hold because the developer says there's no market for it, a troubling sign for the city's commercial future. David Negrin of Aquilini Investment Group said the company had planned to build a 23-storey tower on land it owns near GM Place. But he said commercial brokers weren't able to find any tenants willing to pay the $40-45 a square foot the company needed to make the project which had been planned as a cutting-edge carbon-neutral building designed by well-known architect Peter Busby work financially.

Negrin acknowledged that businesses might be willing to pay the higher prices right in the central business district, but not for something on the edge of the peninsula like the GM Place site. "Once you're outside of that downtown core, people will say, 'If we're paying this much here, we might as well go to the suburbs."

The brokers might have been able to find customers willing to pay the $30-32 a square foot that is the going price in suburban locations, said Negrin, but that amount wouldn't even have covered construction costs for the tower. That's in spite of the fact the company already owned the land and wouldn't have had to provide parking, since parking is available around GM Place.

Negrin said the company also offered to build boxes in GM Place that corporate clients could have as part of their lease, but even that wasn't enough of an enticement. He said the company got only one nibble, a small law firm that indicated some interest but never actually came through. Negrin said that means if the city wants to create commercial space to ensure that the downtown continues to have space for jobs and not just condos, city planners will have to allow buildings that are a mix of condos and offices. That way, the profit from the condos can help subsidize offices and allow them to be rented at rates that businesses are willing to pay.

"If you had residential, then you could sell the office for $30 to $32 and then you attract the businesses back in from Richmond and Burnaby," said Negrin. He said construction costs currently are running at almost $300 a square foot.

For the past two years, city planners and others have been debating the whole issue of how the downtown is developing. Critics have said that condos are squeezing out commercial building in the downtown and turning the entire peninsula into a resort where people live and entertain themselves, but don't work. City planners have undertaken a massive study of where people work in the city and imposed a moratorium on condo building in certain parts of the downtown, in an effort to preserve job space for the future.

The downtown hasn't had a new office-only tower built since 2003.
The only other office tower currently being planned is a new Bentall tower on Thurlow Street, although other inquiries have been made at Vancouver city hall.

SOLD

2008-04-19T13:59:00.000-07:00

I am pleased to anounce the sale of 3349 Archimedes Street, Vancouver.

For further information please visit:

www.danmccarthy.ca

Market Update

2008-04-18T09:51:00.000-07:00

BC Home Sales Down in First Quarter.
Vancouver, BC – April 18, 2008.

British Columbia Real Estate Association (BCREA) reports residential sales dollar volume on the Multiple Listing Service® (MLS®) in BC dipped 1.8 per cent to $8.9 billion during the first quarter, compared to the same period in 2007. Residential unit sales declined 13.5 per cent to 18,635 units during the same period. The average MLS® residential price in the province reached $478,423, up 13.5 per cent from the first quarter of 2007.

“The housing market lost some steam during the first quarter,” said Cameron Muir, BCREA Chief Economist. “Eroding affordability has squeezed some potential buyers out of the market, while uncertainty about the duration and impact of a weak US economy and housing recession likely has some consumers sitting on the sidelines.”

“Despite weakness in the forest sector, economic fundamentals in the province remain strong and continue to underpin housing demand,” added Muir. “A 25 per cent increase in the number of homes for sale is providing home buyers with more selection and reducing the chances of competing bids on the same property.”
March MLS® residential sales volume fell 12.4 per cent to $3.48 billion compared to March 2007. Residential unit sales declined 22 per cent to 7,128 units in March, while the average MLS® residential price increased 12.3 per cent to $488,796 compared to March 2007.

Market Review

2008-04-08T09:51:00.000-07:00

Sector reaching for sky, Building permits leap by $130 million in B.C.

The Province; With CanWest News Service files
Tuesday, April 08, 2008

B.C.'s construction industry looks set to continue its winning ways, based on a 16.1-per-cent jump in building permits issued in February.

The value of permits in B.C. in February rose to $944.9 million from $814.1 million in January, Statistics Canada said yesterday. The province posted the country's second-largest gains in dollar terms after Alberta, where building permits climbed 11.8 per cent to $1.3 billion, StatsCan said.

Residential permits in B.C. climbed 15.1 per cent, it said. Non-residential, which includes institutional, commercial and industrial, rose 19.9 per cent. In Vancouver, building permits rose by 5.3 per cent to $447.5 million while Victoria's soared 37.3 per cent to $74.3 million.

Building permits are regarded as a leading indicator for construction activity.

Nationally, Canadian building permits declined unexpectedly in February for a fourth consecutive month, led by a sharp drop in non-residential construction plans in Ontario. Municipalities across the country issued $5.8 billion worth of building permits in February, down one per cent from January, the federal agency said. The value of non-residential permits fell 25.6 per cent to $1.9 billion - the lowest level in more than a year due to declines in institutional, commercial and industrial sectors, it said.

The institutional sector dropped 35.7 per cent to $452 million, the commercial component lost 16.2 per cent to $1.2 billion and the industrial sector fell 39.4 per cent to $265 million. In the residential sector, building permit values were up 18.2 per cent to $3.9 billion, with multi and single-family permits accounting for much of the gain in February.

"Nationally, a marked increase in residential intentions was not enough to offset a decline in intentions in the non-residential sector,"StatsCan said. "February's decline resulted from much lower non-residential construction intentions in Ontario. If the province were excluded, the total value of building permits nationally would have increased 9.8 per cent, instead of declining one per cent."

Most analysts had expected the value of building permits to rise by more than one per cent in February. Values fell 3.5 per cent in January. "Despite the weak headline number, the housing sector remains on solid footing in Canada," said Jacqui Douglas, economics strategist at TD Securities.

Market Update

2008-04-05T09:41:00.000-07:00

New listings outpace sales to start the spring cycle.

VANCOUVER, B.C. – May 2, 2008.
An influx of new listings entered the Greater Vancouver housing market in April 2008, while residential sales reduced slightly compared to the same period a year ago.

The Real Estate Board of Greater Vancouver (REBGV) reports that residential property sales in Greater Vancouver totalled 3,218 in April 2008, a decline of five per cent from the 3,387 sales recorded in April 2007, and a 3.8 per cent drop from the 3,345 sales in April 2006.

New listings for detached, attached and apartment properties increased 25.6 per cent to 7,010 in April 2008 compared to April 2007, when 5,580 new units were listed.

“Residential sales continue to be strong, but there is a lot more choice on the market today. This is good news for a market that has been defined by record-breaking activity for most of this decade,” said REBGV president, Dave Watt.
“Despite this seeming re-balance between sales and listings, it took, on average, six fewer days to sell a home in Greater Vancouver compared to the previous year, with a days on market average of 33 in April this year,” said Watt.
Sales of detached properties declined 7.8 per cent to 1,293 from the 1,403 detached sales recorded during the same period in 2007. The benchmark price, as calculated by the MLSLink Housing Price Index®, for detached properties rose 11 per cent from April 2007 to $771,321.

Sales of apartment properties in April 2008 declined 2.4 per cent to 1,317, compared to 1,350 sales in April 2007. The benchmark price of an apartment property increased 9.6 per cent from April 2007 to $389,070.
Attached property sales in April 2008 are down 4.1 per cent to 608, compared with the 634 sales in April 2007. The benchmark price of an attached unit increased 10.5 per cent between April 2007 and 2008 to $477,900.

Bright spots in Greater Vancouver in April 2008 compared to April 2007:
Attached:
Squamish: up 84.6 per cent (24 units sold from 13)
Vancouver East: up 50 per cent (51 units sold from 34)
Sunshine Coast: up 157.1 per cent (18 units sold from 7)

Apartments:
Maple Ridge/Pitt Meadows: up 32.3 per cent (41 units sold from 31)
New Westminster up: 33.8 per cent (95 units sold up from 71)
Port Moody/Belcarra: up 23.7 per cent (47 units sold up from 38)
Richmond up 7.8 per cent: (179 units sold from 166)

For Sale

2008-04-03T16:06:00.000-07:00

I am pleased to announce the listing of 3349 Archimedes Street, Vancouver.

This 2 level home is located in a popular Collingwood area of East Vancouver and is close to skytrain, transit, schools, shopping & all amenities. This home's features include: 2 bdrms upstairs & 1 bdrm suite downstairs with its own entrance. Recent updates include a new roof & boiler. Live here now & build your dream house in the future.

For further information please visit:

http://www.danmccarthy.ca/

Market Update

2008-04-02T09:17:00.000-07:00

Housing market moderates for spring-time buyers.

VANCOUVER, B.C. – April 2, 2008

The Real Estate Board of Greater Vancouver (REBGV) reports that while there were fewer housing sales in March 2008 compared to last year, residential prices continued to climb.

Residential property sales in Greater Vancouver totalled 2,997 in March 2008, a decline of 16.3 per cent from the 3,582 residential sales recorded in March 2007, and a decline of 25.7 per cent compared to the 4,033 sales in March 2006. New listings for detached, attached and apartment properties increased four per cent to 5,674 in March 2008 compared with March 2007, when 5,456 new units were listed.

“The market is continuing to balance, with sales and listings beginning to re-align with our 10-year averages,” says REBGV president, Dave Watt. “The selection of inventory hitting the market is wider than we have seen in the past few years, which gives prospective buyers more choices.”

Sales of detached properties declined 20.2 per cent to 1,116 from the 1,399 detached sales recorded during the same period in 2007. The benchmark price, as calculated by the MLSLink Housing Price Index®, for detached properties rose 12.1 per cent from March 2007 to $764,616.

Sales of apartment properties in March 2008 declined 10.6 per cent to 1,370, compared to 1,532 sales in March 2007. The benchmark price of an apartment property increased 11.5 per cent from March 2007 to $389,609.
Attached property sales in March 2008 are down 21.5 per cent to 511, compared with the 651 sales in March 2007. The benchmark price of an attached unit increased 10.6 per cent between March 2007 and 2008 to $473,543.

Bright spots in Greater Vancouver in March 2008 compared to March 2007:

Attached:
New Westminster........................up 142.9 per cent (17 units sold up from 7)

Apartments:
Port Moody/Belcarra....................up 31.6 per cent (50 units sold up from 38)
Maple Ridge/Pitt Meadows...........up 48.5 per cent (49 units sold up from 33)

SOLD

2008-03-28T16:51:00.000-07:00

I am pleased to announce the sale of 3361 Wingrove Place,
Port Coquitlam, B.C.

For further information please visit:

www.danmccarthy.ca

Market Review

2008-03-18T10:23:00.000-07:00

Vancouver, BC - March 17, 2008.

The British Columbia Real Estate Association (BCREA) reports residential sales dollar volume on the Multiple Listing Service® (MLS®) in BC rose 4.5 per cent to $3.26 billion in February, compared to the same month in 2007. Residential unit sales dipped 9.8 per cent to 6,822 units during the same period.

The average MLS® residential price in the province reached $478,172 in January, up 15.8 per cent from February 2007. “BC home sales fell for the second consecutive month, marking the slowest start to a year since 2003,” said Cameron Muir, BCREA Chief Economist. “While it’s still too early to call a trend, fewer home sales and an increase in active listings may be pulling the BC housing market toward balanced conditions.” “Strong employment and wage gains over the last year continue to underpin housing demand,” said Muir.

The number of unit sales recorded in the month was 13 per cent above the February average from 1998 to 2007. “However, continued erosion in housing affordability may be taking a toll on the ability-to-pay for some buyers.” Additionally, a weak US economy and lower demand for BC lumber is negatively impacting BC’s forestry industries and local resource communities, while current economic volatility may also be impacting the confidence for some would-be buyers.

For Sale

2008-03-12T18:30:00.000-07:00

I am pleased to announce the listing of 3361 Wingrove Place, Port Coquitlam.

ATTENTION FIRST TIME HOME BUYERS!!

This is a great opportunity to purchase a 4 bedroom home located on a private cul-de-sac in Port Coquitlam. This spacious home's features include: 3 bedrooms upstairs, oak cabinet kitchen, hardwood floors, gas fireplace and a large sundeck. Downstairs there is a bedroom, living room with a wood burning fireplace and kitchen, the downstairs can be entered through a separate entrance. There is a large private back yard and patio and there is extra parking for a RV or boat. This home is centrally located and is close to schools, transit, shopping and all amenities.

For further information please visit:

http://www.danmccarthy.ca/properties.php?catfilter=0&nolist

Market Review

2008-03-10T16:25:00.000-07:00

Housing Starts Move Higher in February.

OTTAWA, March 10, 2008 - The seasonally adjusted annual rate1 of housing starts was 256,900 units in February, up from 222,700 units in January, according to Canada Mortgage and Housing Corporation (CMHC).

“New home construction in February was boosted by the significant rise in multiple-family starts,” said Bob Dugan, Chief Economist at CMHC’s Market Analysis Centre. “The robust results achieved this month are mainly attributed to increased condominium starts, which reflect strong condominium sales over the past year or two. Despite this sizeable growth in February, we continue to expect that the trend in housing starts will decrease gradually between now and the end of 2008.”

In February the seasonally adjusted annual rate of urban starts increased 18.0 per cent to 223,700 units compared to January. Urban multiples jumped 30.3 per cent to 140,700 units in February, while singles rose 1.8 per cent to 83,000 units.

The seasonally adjusted annual rate of urban starts increased in four of Canada’s five regions in February. Urban starts registered an increase of 45.2 per cent in British Columbia, 26.2 per cent in Quebec, 16.9 per cent in the Atlantic region and 16.4 per cent in Ontario. The Prairies bucked the trend and registered a decline of 9.6 per cent in February. Urban multiple starts were up in all regions except in the Atlantic and the Prairies. Urban singles were up in all regions except British Columbia and the Prairies. Rural starts were estimated at a seasonally adjusted annual rate of 33,200 units in February.

Actual starts, in rural and urban areas combined, were up an estimated 8.1 per cent in the first two months of 2008 compared to the same period in 2007. In urban areas, actual total starts increased by an estimated 10.4 per cent year-to-date. Actual urban single starts from January to February 2008 were down 11.0 per cent compared to the same period in 2007, while multiple starts grew by approximately 25.9 per cent over the same period.

1. All starts figures in this release, other than actual starts, are seasonally adjusted annual rates (SAAR) - that is, monthly figures adjusted to remove normal seasonal variation and multiplied by 12 to reflect annual levels.

As Canada’s national housing agency, CMHC draws on over 60 years of experience to help Canadians access a variety of quality, environmentally sustainable, and affordable homes - homes that will continue to create vibrant and healthy communities and cities across the country.

Market Update

2008-03-05T09:36:00.000-08:00

Housing options broaden for buyers in February.

VANCOUVER, B.C. - March 4, 2008.

The Real Estate Board of Greater Vancouver (REBGV) reports that residential attached, detached and apartment property sales totalled 2,676 in February 2008, a decline of 6.4 per cent from the 2,859 residential sales recorded in February 2007, and a decline of 9 per cent compared to the 2, 941 sales in February 2006.

New listings for detached, attached and apartment properties rose 26.2 per cent to 5,260 in February 2008 compared with February 2007, which had 4,167 units listed. New listings this February rose 21.2 per cent over new listings figures from February 2006.

“We continue to see the market rebalance, particularly with detached properties, where listings climb and sales either hold or decline slightly,” says REBGV president Brian Naphtali. “This shift increases buyer options and allows people more time to make decisions when purchasing a home.”

Sales of detached properties declined 11.2 per cent to 995 from the 1,121 detached sales totalled over the same period in 2007. The benchmark price, as calculated by the MLSLink Housing Price Index®, for detached properties rose 14.1 per cent from February 2007 to $761,342. Sales of apartment properties in February 2008 declined 5.7 per cent to 1,197, compared to 1,269 sales in February 2007. The benchmark price of an apartment property increased 12.7 per cent from February 2007 to $387,032.

Attached property sales in February 2008 increased 3.2 per cent to 484, compared with the 469 sales in February 2007. The benchmark price of an attached unit increased 12.9 per cent between February 2007 and 2008 to 472,147.

Bright spots in Greater Vancouver in January 2008 compared to January 2007:

Detached:
West Vancouver/Howe Sound .... up 16.7 per cent (56 units sold up from 48)
Whistler/Pemberton....................up 100 per cent (10 units sold up from 5)
Port Moody/Belcarra ..................up 22.7 per cent (27 units sold up from 22)

Attached:
New Westminster...................... up 216.7 per cent (19 units sold up from 6)
Port Coquitlam ..........................up 68.4 per cent (32 units sold up from 19)

Apartments:
Burnaby ....................................up 9.5 per cent (150 units sold up from 137)
Whistler/Pemberton....................up 62.5 per cent (13 units sold up from 8)
Port Moody/Belcarra ..................up 27.6 per cent (37 units sold up from 29)

Residential Construction

2008-03-04T15:25:00.000-08:00

Residential construction gaining
Total value in Canada increases 8.5% in 2007

Canwest News Service
Tuesday, March 04, 2008

OTTAWA - The total value of residential construction investment in Canada for 2007 reached $88.7 billion, an increase of 8.5 per cent compared with 2006.

Monday's report from Statistics Canada showed that there were gains across all types of residential construction - new housing, renovation and acquisition costs. All provinces and territories saw an increase in residential construction investment year-on-year from 2006 to 2007. Statistics for the fourth quarter of 2007 showed a marginal fall in Quebec and Yukon when compared to the same quarter in 2006.

In dollars the largest yearly increases were in Alberta rising 18.9 per cent to $14.8 billion and Quebec where investment stood at $19.1 billion an increase of eight per cent. The greatest percentage climb was 37.4 per cent in Saskatchewan. Investment in new housing made up the largest dollar contribution, according to Statistics Canada, with an increase of 8.5 per cent to $44.2 billion. The report said the main driver behind this increase was investment in single-family homes, which rose 7.2 per cent to $27.4 billion, and in apartment and condominium construction, which increased 9.7 per cent to $10.3 billion.

Strong economic indicators in Western Canada - favourable job situation, growth in disposable income, attractive financing options and the strength of the economy - continued to support the demand for housing.
The Statistics Canada report said the increase in the price of houses also contributed to the rise in investments.
The New Housing Price Index (house-only component) increased by 7.4 per cent in 2007 compared with the previous year.In 2007, renovations rose 9.5 per cent to $36.8 billion, which made up 41.5 per cent of all residential construction investments. The Statistics Canada report showed that acquisition costs were 8.6 per cent of total investments, or $7.7 billion, a rise of 4.1 per cent compared with 2006.

Figures for the fourth quarter of 2007, indicated that construction investment rose 10.6 per cent to $23.1 billion compared with the same quarter in 2006. The report said that the increase came from new housing, renovations and acquisition costs

Condo Pre-Sales

2008-02-29T09:12:00.001-08:00

Sophia condo project falls into receivership.

Developer cites municipal strike, labour costs, contractors who abandoned job.

Derrick Penner, Vancouver Sun: February 29, 2008

Bill Eden, head of the company developing the upscale Sophia condominium project in Mount Pleasant, said municipal strike delays, labour costs and contractors who abandoned the job contributed to about $4 million in cost overruns that pushed the development into receivership.

Eden, in an interview Thursday, said that while construction has halted on the 81-unit, eight-storey building, pre-sale buyers "are not at risk at all" of losing their units.

They do, however, face some uncertainty over whether they might be asked to shoulder some of the additional costs to bring the project to completion. The court-appointed receiver, David Bowra of the Bowra Group, said he has just begun his assessment of the Sophia project and it is premature to speculate on whether pre-sale buyers will be asked to shoulder any additional costs.

He added that his intent is to convince the project's financiers that it makes more sense to bring the project which is 85 per cent built to completion rather than liquidating it as is. However if here's a gap between the financing and sales revenue, "We're going to have to find [the money] somewhere."

"My advice to purchasers would be to sit tight for the next week or so," Bowra said. He is due to make his recommendations to B.C. Supreme Court in the next week to 10 days.

Eden said he is cooperating with Bowra and hopes to come up with a proposal that "meets everybody's needs.
"[Buyers] can either get their deposit back or work with the ruling of the court." Eden said advance sales on the Sophia project started in the fall of 2005, and 78 were sold relatively quickly at prices of about $400 to $425 per square foot.

Since then, Eden said market prices in the neighbourhood around Main St. and Sophia St. have risen, and on paper at least, the value of the units is up between $100,000 and $200,000. "Everybody's made a lot of money on these units," he added.

As far as the Sophia's costs go, Eden said the problems started last October when he was hit with cost overruns totalling $2.2 million. He put up additional securities then, which he believed would get the project to the end of April.
However, within 60 days Eden said the project was hit with another $2 million in additional costs "we just couldn't handle. That's what put us into receivership."

A "variety of issues" pushed costs up, he added. Last summer's municipal strike caused delays that added to his interest costs on financing. In September, he told The Sun that interest was racking up at a rate of $300,000 per month. He also faced extra inspection fees during the strike, lost a couple of his trade contractors, and had difficulty securing skilled workers. In November, Eden blamed strike delays for cancelling two other condo projects before construction started.

The Sophia situation follows from another developer, Chandler Development Group Inc., being pushed into receivership on two high-profile projects, the 192-unit H+H project in Yaletown and the 108-unit Garden City building in Richmond.
Bowra is also the receiver in those cases, and said that while they faced some cost overruns, the receivership had more to do with the project financiers losing confidence in management of the development.

In his most recent report to B.C. Supreme Court, Bowra said the lenders on both buildings have agreed to finance completion of the projects, and the pre-sale buyers will be able to complete the purchases of their units at contract prices. "Given the market conditions and the fact these people are in the money, I suspect the majority, if not all, will want to complete those transactions," he added.

However, in an interview Thursday, Bowra said about 22 units appear to have been pre-sold at prices significantly below prevailing market prices at the time, and he is seeking some direction from the court on how to handle those. He said some of the buyers were "related parties" to the developer.

Bowra was also the receiver appointed to last spring's high-profile failure of the Riverbend condominium project in Coquitlam, where the developer attempted to cancel pre-sale contracts to re-sell them at higher prices when construction costs exceeded the revenue from the contract prices. But Bowra doesn't see a trend developing, noting that "there haven't been too many [failures]."

Peter Simpson, CEO of the Greater Vancouver Home Builders' Association, added that while the industry has strained under labour shortages and inflation of costs, the failures are still isolated cases.
"Over the last four years, there were 78,000 new homes and condominiums delivered a the price agreed upon without incident," he said.

CONDO CONCERNS
Project: Sophia, Mount Pleasant,
Vancouver
Units: 81
Developer: Eden Group of Companies
Status: Being evaluated by the receiver.

Project: H+H Yaletown
Units: 192
Developer: Chandler Development Group Inc.
Status: Financing committed to complete, new disclosure statement being finalized.
Project: Garden City, Richmond
Developer: Chandler Development Group Inc.
Status: Financing committed to complete, new disclosure statement being finalized.
Source: Bowra Group receiver manager

Children’s Miracle Network

2008-02-25T07:57:00.000-08:00

RE/MAX Agents Raise $67,000 for
the Children’s Miracle Network
At Conference.

Kelowna, BC (February 25, 2008)
RE/MAX associates once again showed their generosity and compassion, raising $67,000 with the silent and live auctions at the annual “Breakfast of Champions” in support of the Children’s Miracle Network and its affiliated hospitals. The event was held on February 9th during the RE/MAX of Western Canada 25th Annual Conference in Vancouver, BC, February 7-9, 2008.

“In coming together to celebrate our accomplishments from the previous year, we take advantage of the synergy and enthusiasm that a conference creates to accomplish a different, more rewarding goal that is dear to our hearts; saving the lives of sick and injured children in our communities”, said Marie Sheppy, Senior Coordinator, Corporate Affairs (Children’s Miracle Network liaison). Stories of children recovering and receiving successful treatment were shared with the over 700 RE/MAX delegates in attendance at the breakfast fundraiser. “Many of us in attendance have been touched by a child requiring treatment at one of the Children’s Miracle Network affiliated hospitals or foundations in our region. We take pride in knowing that we can give back so substantially to such a worthy cause.”

Many items were donated by RE/MAX affiliates, including a RE/MAX-Children’s Miracle Network dual balloon stained glass piece, vacation packages, gold and diamond jewellery, sports memorabilia and a myriad of other valuable items.

RE/MAX sales associates have helped raise more than $4 million for the Children’s Miracle Network 14 member hospitals and foundations across Canada in 2007, helping the 2.5 million children who are treated each year. Since 1992, Canadian RE/MAX associates have raised over $30 million towards this worthy cause.

The Children’s Miracle Network is an international non-profit organization dedicated to raising funds and awareness programs for the benefit of children served by its associated hospitals, health centres, and foundations.

RE/MAX is Canada’s leading real estate organization with over 17,000 Sales Associates in 679 independently-owned and operated offices. The RE/MAX franchise network is a global real estate system operating in over 65 countries. More than 7,000 independently-owned offices engage nearly 115,000 Sales Associates who lead the industry in professional designations, experience and production while providing real estate services in residential, commercial, referral and asset management. For more information, visit: www.remax.ca.

First Time Home Buyer's

2008-02-24T09:13:00.000-08:00

The threshold for the First Time Home Buyer's program - which exempts those buying their first home from paying the property transfer tax - was increased to $425,000 from $375,000.

In addition, buyers will no longer be required to have a mortgage of at least 70 per cent of the purchase price to qualify. As an added bonus, owners who leave home for up to two taxation years for travel, work or schooling will still be eligible for the homeowner grant or low-income grant supplement.

Market Review

2008-02-21T14:56:00.000-08:00

Residential real estate markets across Canada post solid gains over past decade, says RE/MAX.

Kelowna, BC (February 21, 2008)

Pent-up demand, population growth, tight inventory levels, and the longest economic expansion since World War II collectively fueled one of the best decades on record for residential real estate in Canada, according to a report released today by RE/MAX.

RE/MAX Decade in Review 1997 - 2007 found that major housing centres across the country experienced strong consecutive growth between 1997 and 2007. Average price spiraled upward while unit sales climbed in tandem as more and more Canadians bought into homeownership. Nationally, average price almost doubled in the 10-year period, rising from $154,606 in 1997 to $307,265 in 2007, for a 7.1 per cent annually compounded rate of return.

Home sales across the country increased just over 57 per cent from 331,092 units in 1997 to more than half a million sales last year. Edmonton led the country in terms of percentage increase in average price. The city saw a 203 per cent upswing in housing values - or an 11.7 per cent increase annually - with average price rising from $111,587 a decade ago to $338,636 in 2007. Prince Edward Island experienced the highest percentage increase in unit sales, with the number of homes sold up 119 per cent in the 10-year period.

“Immigration and in-migration have played a serious role in jumpstarting residential housing markets, particularly in British Columbia, Alberta, and to some extent, Saskatchewan over the past decade,” says Elton Ash, Executive Regional Vice President, RE/MAX of Western Canada. “At first, there was an influx of American buyers, especially in Canada’s coastal regions and recreational hot spots, as our southern neighbours took advantage of the almighty US greenback. Then the European and Middle Eastern purchasers flooded the market, buying up real estate considered ‘cheap’ by international standards. In recent years, there have been a growing number of purchasers from Mainland China. From a global perspective, there’s no question that Canadian real estate brings good value to the table.”

Percentage increases in home sales varied across the country, with Prince Edward Island experiencing the greatest upswing over the past decade, followed by St. John’s at 106 per cent, Kelowna at 84 per cent, and Saint John at 77 per cent. Most markets (12 of the 19 surveyed) reported increases between 40 and 60 per cent. Average price has also seen substantial escalation over the 10-year period, with posted gains ranging from a low of 54.4 per cent in London-St.Thomas to a high of 203 per cent in Edmonton. Appreciation in Western Canadian markets surpassed all others between 1997 and 2007, with Calgary ranking second in terms of price appreciation at 189 per cent, Kelowna at 179 per cent, Saskatoon at 137 per cent, Winnipeg at 118 per cent, Victoria at 114 per cent and Greater Vancouver at 99 per cent.

In 2006, homeownership rates in the country were the highest on record at 68.4 per cent. Population growth has contributed to heated market conditions – especially in Calgary (+31.4 per cent), Edmonton (+20 per cent), Toronto (+20 per cent), and Vancouver (+15 per cent) where percentage increases have hovered in the double-digit range. Overall, Canada’s population rose to almost 33 million in the 2006 census, up approximately 10 per cent from 1996 figures.

“The non-cyclical nature of the decade comes as some surprise,” says Michael Polzler, Executive Vice President and Regional Director, RE/MAX Ontario-Atlantic Canada. “Never before have we seen such a continuous run up in Canadian real estate. Clearly, strength in all markets has been directly linked to solid growth in local, provincial and national economies. Low interest rates, job security, and consumer confidence have all served to further bolster home-buying activity across the nation.”

Robust economic performance in Western Canada has also drawn job seekers from across the country, looking to capitalize on employment opportunities.

As demand for housing increased across the country, the supply of homes listed for sale began to contract. Multiple offers were commonplace in many areas, some with sales-to-listings ratios as tight as 80 to 90 per cent. Nationally, 1997 marked the first year since 1988 that the sales-to-listings ratio hit 50 per cent. The sales-to-listings ratio would remain above 60 per cent from 2001 onward – rising to as high as 68 per cent in 2002.

The decade was not without its obstacles – the high-tech meltdown, a US recession, 9/11, SARS, Mad Cow, a blackout that affected the entire Northeastern seaboard, natural disasters such as ice storms, hurricanes, and forest fires and more recently, the credit crunch south of the border. Given the continuation of sound economic fundamentals, it’s expected that residential real estate markets across the country will continue to experience healthy activity, albeit at a more moderate pace.

RE/MAX is Canada's leading real estate organization with over 17,600 sales associates in more than 650 independently-owned and operated offices. The RE/MAX franchise network is a global real estate system operating in over 65 countries. More than 7,000 independently-owned offices engage nearly 115,000 member sales associates who lead the industry in professional designations, experience and production while providing real estate services in residential, commercial, referral and asset management. For more information, visit: http://www.remax.ca/

Market Review

2008-02-18T09:51:00.000-08:00

February 18, 2008.

British Columbia Real Estate Association (BCREA) reports residential sales dollar volume on the Multiple Listing Service® (MLS®) in BC climbed 8.8 per cent to $2.25 billion in January, compared to the same month last year.

Residential unit sales dipped 5 per cent to 4,949 units during the same period. The average MLS® residential price in the province reached $453,648 in January, up 14.5 per cent from January 2007.

“BC home sales edged down in January for the first time in nine months,” said Cameron Muir, BCREA Chief Economist. “The combination of fewer home sales and an increase in active listings is pulling the BC housing market toward balanced conditions. This means upward pressure on home prices is less severe than a year ago.”

“While unit sales are no longer breaking records,” added Muir, “they still reflect strong consumer demand for housing.” The 4,949 units sold last month in the province were well above the ten-year average of 4,230 units for the month of January. “The provincial economy is continuing its expansionary phase,” noted Muir. “While weak demand for BC lumber and exchange rate parity with the US is negatively impacting some resource-dependent communities, strong employment growth and rising wages in other sectors are helping to underpin housing demand in the province.”

Market Review

2008-02-07T07:33:00.000-08:00

Metro Vancouver records $7 billion in building permits in 2007
Record amount driven partly by new activity and partly by rising costs to build

Derrick Penner
Vancouver Sun
Thursday, February 07, 2008

Metro Vancouver set a record in 2007 for the value of new construction started in the region, driven partly by new activity and partly by costs to build new buildings that simply kept rising, according to Statistics Canada's latest report on building permits.
The agency reported Wednesday that builders took out permits worth just over $7 billion in 2007, six per cent more than the previous year.

"Obviously, there is an inflation component built into [the numbers]," said Keith Sashaw, president of the Vancouver Regional Construction Association. "But I can tell you our guys are busy. Their order books continue to be full, and there's still strong optimism in the Metro Vancouver area."

Sashaw said builders started work on a higher number of housing units in 2007 than during the previous year, and 2007 was the fifth year in a row that the amount of commercial construction increased.
The Vancouver Regional Construction Association compiles its own report on building activity using the Statistics Canada figures that encompass a wider area than Metro Vancouver. Within that wider region, the association counted permits issued worth $7.8 billion. Within that, institutional and industrial construction dipped a bit, but was more than made up for by substantial increases in commercial construction and residential permit values.
Peter Simpson, CEO of the Greater Vancouver Home Builders' Association, said that the cost to build new housing increased in 2007 on continually inflating prices for land and labour. However, he said builders are trying to control unit costs by designing smaller housing units."Maybe more homes are at the lower end [of the price scale]," he added.

The City of Vancouver issued 5,087 permits in 2007, which is almost 1,000 fewer than those issued in 2006. However, the 2007 permits still added up to a record $2.6 billion, despite a three-month municipal strike.
David McLellan, Vancouver's deputy general manager of community services, said the development of southeast False Creek was the biggest generator of permits, and that some 5,400 dwelling units were covered by the permits issued in 2007. In 2006, McLellan said, the higher number of permits covered only 3,600 new dwelling units.

Provincewide, municipalities issued $12.5 billion worth of building permits, a 13-per-cent increase from 2006 and a new record for B.C.

Residential permits worth $8.6 billion, up 13 per cent from the previous year, accounted for most of the activity.
And nationally, permit values were up 12 per cent to a record $74.3 billion, Statistics Canada said in its report, with the gain spread more or less evenly across the country.

In 2006, the report said, the increase in permits was fuelled mostly by "the tremendous demand in Western Canada."
Records were set for both the value of residential and non-residential construction.
New homes, with permits valued at $45.6 billion, accounted for most of the building activity, Statistics Canada said.
"Higher construction prices for new dwellings contributed significantly to the gain," the report added, as permit values in 2007 increased by 11 per cent while the number of dwelling units increased by only two per cent.

TOTAL VALUE OF BUILDING PERMITS BY CENSUS METROPOLITAN AREAS:
Area / 2006 / 2007 / %change
Kelowna / $618 million / $900.1 million / +45.6%
Abbotsford / $354 million / $306.5 million / -13.5%
Vancouver / $6.6 billion / $7.0 billion / +6%
Victoria / $776 million / $914 million / +17.8%
All B.C. / $11.5 billion / $12.5 billion / +8.7%
Residential / $7.6 billion / $8.6 billion / +13%
Non-residential / $3.9 billion / $3.9 billion / 0%
Source: Statistics Canada

TOTAL VALUE OF BUILDING PERMITS IN THE CITY OF VANCOUVER:
2002 $1.31 billion
2003 $1.06 billion
2004 $1.73 billion
2005 $1.6 billion
2006 $2.04 billion
2007 $2.57 billion
Source: City of Vancouver

Miracle Home Program

2008-02-06T14:47:00.000-08:00

RE/MAX Agents raise over
$4 million.

Kelowna, BC - February 5, 2008.

Housing sales and average price weren’t the only records being shattered across Canada in 2007. RE/MAX agents also set a new benchmark in charitable giving, raising over $4 million for the Children’s Miracle Network. The 2007 donation surpassed the agents’ 2006 contributions by more than 14 per cent. Since 1992, RE/MAX sales associates nationwide have contributed close to $30 million to the cause.

The 2007 break-down of contributions saw over $654,000 donated to the BC Children’s Hospital Foundation in Vancouver, over $322,000 raised for the Alberta Children’s Hospital Foundation in Calgary, over $327,000 contributed to the Stollery Children’s Hospital Foundation in Edmonton, over $65,000 towards the Children’s Health and Hospital Foundation of Saskatchewan in Saskatoon and over $150,000 given to the Children’s Hospital Foundation of Manitoba in Winnipeg. "What many don’t realize is that the corporate and private sectors play a vital role in making miracles possible,” says Marie Sheppy, Senior Coordinator, Corporate Affairs, RE/MAX of Western Canada.

“With public coffers stretched to the limit, it’s a fact that organizations like RE/MAX fund a significant portion of the required cost to treat sick and injured children in pediatric facilities across Canada. We work so hard because we know our donations mean more than dollars and cents - it's an opportunity for healthy, happy childhoods and hope for promising futures. There really is nothing more rewarding than watching kids just be kids.” RE/MAX realtors generate donations through the RE/MAX Miracle Home Program®, whereby a portion of their commission earned on the purchase or sale of each home is given to Children's Miracle Network affiliated hospitals.

Children's Miracle Network supports 14 children's hospitals and foundations across Canada. Donations are often maximized through additional fundraising events including golf tournaments, gala evenings with silent auctions, casual Fridays and much more. Funds raised in each community stay in that community to be invested in the local Children's Miracle Network hospital. “It’s amazing what can be accomplished when people work toward a meaningful cause,” says Christine Martysiewicz, Director of Internal and Public Relations, RE/MAX Ontario-Atlantic Canada. “The synergy, commitment and enthusiasm of the RE/MAX network are truly phenomenal. However, what’s more amazing is that the charitable efforts undertaken by our realtors are 100 per cent voluntary. Supporting Children’s Miracle Network is a chance to make a real difference in the lives of local children and families in their own communities. That type of involvement is something that’s been woven into the fabric of the RE/MAX organization since its inception. The way we see it, we don’t just serve and work in these communities, we truly are a part of them, and we care—it’s that simple.”

In Canada, the funds raised on behalf of Children’s Miracle Network help support outreach programs and fund advancements in critical research, as well as upgrades to medical facilities and equipment. “The outstanding generosity of RE/MAX Associates has helped more than 2.5 million Canadian children in 2007 alone – that’s 1 in 4 kids nationally,” says John Hartman, Chief Operating Officer – Canada, Children’s Miracle Network. “RE/MAX has made Children’s Miracle Network hospitals a vital part of what they do and continue to put giving back at the top of their agenda. Since 1992, RE/MAX has been a strong supporter of Children’s Miracle Network. Their dedication, passion and enthusiasm for the kids and families in their communities across Canada is outstanding. They continue to give and give more. We are very proud to be affiliated with RE/MAX. The progress being made thanks to contributions, like that from RE/MAX, has been nothing short of astonishing. While care and outcomes have improved significantly, it also remains a reality that the need has never been greater.”

In Canada, the children's hospitals/foundations receiving funding from Children’s Miracle Network are: BC Children's Hospital Foundation in Vancouver, Alberta Children's Hospital Foundation in Calgary, Stollery Children’s Hospital Foundation in Edmonton, Children’s Health and Hospital Foundation of Saskatchewan in Saskatoon, The Children's Hospital Foundation of Manitoba in Winnipeg, SickKids Foundation in Toronto, Children's Health Foundation in London, McMaster Children’s Hospital in Hamilton, Children's Hospital of Eastern Ontario Foundation in Ottawa, Operation Enfant Soleil (St. Justine’s Children’s Hospital, Montreal Children’s Hospital, Centre hospitalier universitaire de Québec (CHUQ) , IWK Health Centre in Halifax, and Janeway Children's Hospital Foundation in St. John's.

As a supporter of the Children's Miracle Network, I am pleased to make a donation to the B.C. Children's Hospital in the name of my client's for each home they purchase or sell.

For more information, visit: http://www.childrensmiraclenetwork.ca/.

RE/MAX is Canada's leading real estate organization with over 17,600 sales associates in more than 650 independently-owned and operated offices. The RE/MAX franchise network is a global real estate system operating in over 65 countries. More than 7,000 independently-owned offices engage nearly 115,000 member sales associates who lead the industry in professional designations, experience and production while providing real estate services in residential, commercial, referral and asset management. For more information, visit: http://www.remax.ca/.

Market Update

2008-02-05T20:31:00.000-08:00

New listings rise to start the New Year

Vancouver, B.C. - February 4, 2008

The Real Estate Board of Greater Vancouver (REBGV) reports that residential attached, detached and apartment property sales totalled 1,819 in January 2008, an increase of 0.7 per cent over the 1,806 total residential sales in January 2007 and a 5.5 per cent decline from the 1, 924 sales recorded in January 2006.

New listings for detached, attached and apartment properties climbed 14.9 per cent in January 2008, compared to the 4,067 units listed in January 2007. In contrast to January 2006, new listings from this January rose more dramatically, up 34.7 per cent.

“With new listings outpacing sales increases to start the year, it appears the market is heading toward more balance,” says REBGV president Brian Naphtali. “The result will be welcome for consumers looking for more time to undertake due diligence before making a buying or selling decision.”

Sales of apartment properties in January 2008 rose 11.7 per cent to 860, compared to 695 sales in January 2007. The benchmark price, as calculated by the MLSLink Housing Price Index®, of an apartment property increased 13.8 per cent from January 2007 to $378,336.

“It was clearly on the strength of apartment sales that overall residential sales figures increased in January,” says Naphtali. “There’s clearly been a trend over the past decade toward growth in the high density condo market. Townhome sales have continued to be steady, and detached homes remain a popular choice. But more and more consumers are purchasing apartments.”

Attached property sales in January 2008 declined 6.7 per cent to 318, compared with the 341 sales from January 2007. The benchmark price of an attached unit increased 12.4 per cent from January 2007 to $462,627.
January 2008 sales for detached properties decreased 7.8 per cent to 641, from the 695 detached units sold over the same period in 2007. The January benchmark price for detached properties rose 15.7 per cent from January 2007 to $742,490.

Bright spots in Greater Vancouver in January 2008 compared to January 2007:

DETACHED:
South Delta .............up 57.8 per cent (30 units sold up from 19)
Port Moody/Belcarra .. up 70 per cent (17 units sold up from 10)

ATTACHED:
New Westminster......up 200 per cent (12 units sold up from 4)
Port Coquitlam........up 53.8 per cent (20 units sold up from 13)

APARTMENTS:
Burnaby ...................up 14 per cent (98 units sold, up from 86)
Coquitlam ..............up 72.7 per cent (57 units sold, up from 33)
North Vancouver ..... up 21.2 per cent (63 units sold up from 52)
Richmond............. up 30.1 per cent (121 units sold up from 93)
New Westminster ...up 17.4 per cent (54 units sold up from 46)

CMHC Housing Market Outlook

2008-02-04T20:50:00.000-08:00

Housing Starts to Fall Slightly in 2008

OTTAWA, February 4, 2008.

Housing starts reached 228,343 units in 2007, an increase of 0.4 per cent from 227,395 in 2006, according to Canada Mortgage and Housing Corporation's (CMHC) first quarter Housing Market Outlook, Canada Edition report. In 2008, residential construction will decline to about 211,700 units, given higher mortgage carrying costs. Nevertheless, Canada's housing market remains strong and 2008 will mark the seventh consecutive year in which housing starts exceed 200,000 units.

“Despite some global financial instability with regards to the U.S. housing market, Canada continues to experience robust employment levels, ongoing income gains and low mortgage rates,” said Bob Dugan, Chief Economist for CMHC. “This has strongly supported Canada's housing markets. However, housing starts are expected to decrease in 2008 mainly due to recent increases in house prices, which will push mortgage carrying costs higher for home buyers.”

Existing home sales, as measured by the Multiple Listing Service (MLS®)1, are poised to experience a very strong year with about 520,000 units in 2007, a 7.6 per cent increase over 2006. In 2008 the level of MLS® sales is expected to fall by 3.9 per cent to 499,650 units, while 2009 will see an additional decrease to 488,300. Growth in the average MLS® price has remained high at 10.6 per cent in 2007, mainly because of continued strong price pressures in Canada's western provinces. However, as most resale markets move toward more balanced conditions, growth in average MLS® price is forecast to slow to 5.2 per cent in 2008 and 3.8 per cent in 2009.

At the provincial level, British Columbia's housing starts, which have been above historical averages, are expected to decline in 2008. It is anticipated that a continuing tight labour market, robust income growth and high levels of consumer confidence will help to offset the dampening effect of rising mortgage carrying costs on the demand for new and existing homes in British Columbia. Housing starts should decline from 39,195 units in 2007 to 33,250 in 2008 and 31,700 in 2009.

The average MLS® price in British Columbia will grow by 12.1 per cent in 2007, 6.0 per cent in 2008 and 5.0 per cent in 2009. This moderation is due to increased listings and fewer resales bringing more balanced supply and demand conditions to existing homes.

Alberta continues to experience very low unemployment and continuing overall prosperity. Despite these positives, the province is expected to face a drop in net migrants between now and the end of 2008 due to the growing difference in provincial house prices and improved labour market conditions in other provinces. These factors will combine to reduce housing starts from 48,336 units in 2007 to 39,500 in 2008 and 37,750 in 2009. Following an unprecedented 30.7 per cent gain in 2006, and a forecasted strong 24.4 per cent rise in 2007, the average MLS® price is expected to climb by 3.9 per cent in 2008 and 5.4 per cent in 2009.

During 2007, Saskatchewan experienced steady economic growth, a healthy employment situation and gains in net migration. This contributed to strong housing demand. Total housing starts reached 6,007 units in 2007, the highest level in 24 years. However, escalating costs will push housing starts down to 5,600 units in 2008 and 5,300 in 2009. The average MLS® price in Saskatchewan will rise by 31.7 per cent during 2007, 26.4 per cent in 2008 and 8.2 per cent in 2009.

Manitoba is one of five provinces whose economic growth is expected to exceed the national average for 2007. This success has contributed to a five-year high in job creation, which has increased net migration to levels not seen since 1982. These factors will contribute to healthy levels of new home construction through 2008. Total housing starts reached 5,738 units in 2007, the best performance in 20 years. Starts will edge up slightly to 5,800 units in 2008 and 5,900 in 2009. The average MLS® price in Manitoba will rise by 12.5 per cent in 2007, 9.8 per cent in 2008 and 5.7 per cent in 2009.

The Ontario economy is expected to improve slightly during 2008 and this will help sustain housing demand across the province. New home construction activity will be moderate between now and the end of 2008. Housing starts are expected to move up from 68,123 units in 2007 to 69,150 units in 2008, while a more modest economy in 2009 will push starts down somewhat to 67,150 units. The average MLS® price in Ontario will rise by 7.6 per cent in 2007, while 2008 and 2009 should see increases of 6.2 per cent and 2.9 per cent, respectively.

Solid job creation and steady economic growth in Quebec during 2007 pushed housing starts up by 1.4 per cent to 48,553 units. A moderation of the economy will cause a slight shift downwards in 2008 to 46,500 units and 45,375 in 2009. A reasonably healthy resale market will also fuel average MLS® price growth in Quebec; 6.6 per cent in 2007, 3.8 per cent in 2008 and 3.0 per cent in 2009.

In New Brunswick, rising mortgage carrying costs, a slower economy and more choice in the resale market will result in lower levels of new home construction. Housing starts are forecast to decline from 4,242 units in 2007 to 3,925 in 2008, a decrease of 7.5 per cent. Moving into 2009, starts are expected to fall to 3,650 units. The average MLS® price in New Brunswick should rise by 8.1 per cent during 2007, 3.6 per cent during 2008 and 2.8 per cent during 2009.

Nova Scotia will experience slower employment and population growth during 2008, causing new home construction activity to be more restrained. Housing starts are forecast to stabilize from 4,750 units in 2007 to 4,550 in 2008 and 4,500 in 2009. The average MLS® price in Nova Scotia is expected to rise by 7.5 per cent for 2007, while 2008 and 2009 will see growth of 4.4 per cent and 2.6 per cent, respectively.

Prince Edward Island's economy is expected to undergo modest economic growth through 2008. As a result, housing starts will slowly decline from 750 units in 2007 to 700 in 2008 and 675 in 2009. The average MLS® price in Prince Edward Island will rise by 6.0 per cent in 2007, 3.4 per cent in 2008 and 3.3 per cent in 2009.

In Newfoundland, a strong export-driven economy has pushed housing demand up. However, it is expected that higher homeownership and construction costs and lower employment growth will dampen housing demand in 2008. Housing starts for 2007 were up 18.6 per cent to 2,649 units. For 2008, minimal change is expected at 2,650 units.

Meanwhile, 2009 will see an additional increase of 0.9 per cent to 2,675 units. The average MLS® price in Newfoundland will rise by 7.0 per cent in 2007, 7.2 per cent in 2008 and 6.3 per cent in 2009.

SOLD

2008-02-01T08:41:00.000-08:00

I am pleased to announce the sale of # 511 - 2988 Silver Springs
Boulevard, Coquitlam, B.C.

For further information please visit:

www.danmcarthy.ca

Market Update

2008-01-25T09:23:00.001-08:00

False Creek condo developments
pitched to fund renovations to
BC Place.

Staff Reporter
The Province
Friday, January 25, 2008

Will BC Place live to see more Grey Cups like this one in 2005? Its prospects looked grim after a roof collapse a year ago, but a new development proposal could keep it going well into the future.

VANCOUVER - The Crown corporation that operates BC Place is hoping the city will let it build condo and commercial towers on vacant lands surrounding the deteriorating facility so it can keep it going for "25 to 30 years." David Podmore, who chairs the BC Pavilion Corporation, has asked the City of Vancouver to consider a proposal for major developments with proceeds going to fix up BC Place.

He said in a phone interview Friday that he foresees getting another 25 to 30 years of use out of the facility if it gets the refurbishing it needs. "We want to make improvements to BC Place, including replacing the roof, and we want to pay for that work by allowing development on our land," said Podmore in a release.

"BC Place is a major community asset that generates $58 million in annual economic impact. But, after 25 years and more than 24 million visitors, it certainly needs refurbishing." He noted Friday that the projected lifespan of the roof when BC Place was built in 1983 was about 20 to 25 years, so he says it's actually given "good value."

Podmore said it was too early to speculate on the scale of the project or how many towers it would include.The developments on about 6.5 hectares of vacant land around the big dome would require an amendment to the official development plan for False Creek North. He said the Crown corporation realizes the city can't make a long-term decision on the idea until after that amendment has been approved or rejected through a public process. But he's hoping to get direction on whether it is worthwhile to get some upgrading done on the stadium prior to 2010.

The roof of BC Place collapsed a year ago under the weight of a heavy snowfall, and the building requires other significant renovations if it is to continue operating in the long term. Podmore said aside from a new roof using more modern technology, a renovation would include upgrades to washrooms, common areas and concessions. He'd also like to see the plaza areas around the building changed "to make them more interesting and inviting."

Podmore took over the corporation last April. It also oversees the operation and expansion of the Vancouver Convention and Exhibition Centre.

2008 Market Forecast

2008-01-16T09:27:00.000-08:00

Slow and steady growth forecast for residential real estate in
major Canadian markets in 2008, says RE/MAX.

Canadian home sales to top 500,000 in 2007.

After posting extraordinary gains in 2007, housing market performance will moderate in most major Canadian centres in 2008, according to a report released by RE/MAX.

The RE/MAX Housing Market Outlook 2008 examined residential real estate trends in 18 markets across the country. The report found that while economic prospects will continue to improve next year, few major markets are expected to exceed record sales levels set in 2007. Winnipeg, Hamilton-Burlington, Kitchener-Waterloo, London-St. Thomas, Ottawa, Sudbury, Saint John, Halifax-Dartmouth, and St. John’s are all predicted to buck the trend in 2008, with appreciation ranging from one to seven per cent. Average price is forecast to increase in 78 per cent of markets surveyed next year, with the lowest price increase expected in Edmonton and the highest in St. John’s.

Nationally, the number of homes sold is expected to break through the half-million threshold in 2007, climbing 13 per cent to an estimated 545,400 units, up from 483,770 units one year ago. Average price is projected to appreciate nine per cent to $303,000, up about $25,000 over 2006 levels. In 2008, home sales are expected to retreat to 500,000 units while Canadian housing values are forecast to continue their ascent, rising six per cent to $321,000.

“Clearly, economic prosperity has translated into increased housing sales and upward pressure on prices across the board,” says Elton Ash, Regional Executive Vice President, RE/MAX of Western Canada. “The country’s economic engine fired on all cylinders throughout the year, despite dire conditions south of the border. As in 2007, inventory will be the major wildcard next year—the ultimate variable most expected to influence housing market conditions and performance. A return to tight market conditions could mean all bets are off as buyers are forced to compete, creating increased market pressure.”

Major market frontrunners for price appreciation in 2008 include St. John’s (12 per cent), Regina and Kelowna – Central Okanagan (nine per cent), Hamilton-Burlington and Saint John (eight per cent) and Greater Vancouver (seven per cent). Leading the country in sales growth next year will be Kitchener-Waterloo (seven per cent), followed by Hamilton-Burlington, London-St. Thomas, Sudbury and Halifax-Dartmouth, each forecasting a five per cent gain. Higher mortgage rates and increased inventory levels failed to materialize in most major centres, making 2007 a record year for real estate activity in Canada. By year-end, housing values across the country are expected to shatter existing records. Serious double-digit increases in average price are forecasted for Saskatoon (49), Edmonton (31.5), Regina (21), Calgary (20), Sudbury (20), Kelowna (19.5) Saint John (17), St. John’s (12), and Greater Vancouver (10). Saskatchewan dominated real estate news in 2007, reporting some of the highest percentage increases in unit sales. The number of homes sold in Regina by year-end is expected to top 35 per cent, bringing sales to an estimated 4,000 units. Neighbouring Saskatoon is forecast to climb 28 per cent to 4,400 units in 2007.

Other centres expected to post double-digit gains in activity include Saint John (19 per cent) Kitchener-Waterloo (13 per cent), Halifax-Dartmouth (12 per cent), St. John’s (11 per cent), and Toronto (10 per cent). “Western markets were first out of the gate in 2007, but those in the East followed suit,” says Michael Polzler, Executive Vice President and Regional Director, RE/MAX Ontario-Atlantic Canada. “By yearend, some of the most impressive gains in home sales will be realized in Ontario and Atlantic Canada. Solid economic fundamentals, including billions of dollars in capital projects, a positive unemployment outlook, and solid consumer confidence levels will propel markets forward. A slow and steady growth trajectory, minus the peaks and valleys experienced in 2007, is forecast for next year.”

Greater Vancouver Area
Strong economic fundamentals have once again served to bolster residential real estate activity in the Greater Vancouver Area. By year-end, home sales are expected to rise three percent to an estimated 37,680 units, up from 36,479 one year ago. Average price, already the highest in the country, is forecast to appreciate 10 per cent to $560,000, up approximately $50,000 over 2006 levels. Solid consumer confidence and unemployment levels under four per cent prompted many ﬁrst-time and move-up buyers to enter the housing market this year.

Low interest rates and new mortgage products, oﬀering longer amortization periods, made it possible for many to realize homeownership. Affordability continues to be an issue in Vancouver, especially for inexperienced buyers who have to compete with builders and investors for choice product in older, established neighbourhoods. Single-detached homes now start at $700,000 in Vancouver East. Resale condominiums remain most affordable, with entry-level prices starting from $200,000 to $300,000. Increased inventory levels in the downtown core should keep condominium prices in check for the remainder of the year.

At the other end of the spectrum, luxury home sales, starting at $2 million, have been incredibly robust. Although overall inventory levels have improved, premium properties are still hard to come by in coveted areas such as West Vancouver, Vancouver Westside, and Vancouver East. As such, purchasers are more than willing to ante-up, as illustrated by a recent sale of a $2.32 million property originally listed at $1.698 million and bid up by 17 offers.

Local buyers are leading the charge for real estate in Vancouver, followed by purchasers from Mainland China and other countries, as well as Alberta. The strength of the Canadian dollar has deterred American buyers traditionally active in area. New home construction has also had its challenges over the past year, as a civic strike has held up building permits. Rising costs due to labour and land shortages have also contributed to the decline in building activity.

Housing Market Outlook 2008
In an effort to recoup costs, the False Creek South condominium development is selling units at future prices - a move that will protect them from any increases in the future. The Greater Vancouver Area’s diverse economic make-up has contributed to solid GDP growth in 2007. The city has strong biotechnology, environmental, ﬁlm/TV, new media, telecom, and wireless sectors. A solid employment outlook, increased disposable income, and greater retail spending is expected to take real GDP growth to 3.4 per cent in 2008 and beyond.

Concerns over the housing meltdown in the U.S. may have some impact on residential housing in the Greater Vancouver Area in 2008. Sales activity is expected to moderate somewhat, with unit sales matching 2007 levels. Average price will continue to climb, breaking through the $600,000 price point by year-end 2008.

The complete RE/MAX market forecast for 2008 can be viewed at:

http://www.remax-western.ca/resources/housing08.pdf

Market Review

2008-01-14T20:53:00.001-08:00

BC Home Sales Smash
Record Book
Vancouver, BC – January 11, 2008.

British Columbia Real Estate Association (BCREA) reports residential sales volume on the Multiple Listing Service® (MLS®) in BC climbed 19.5 per cent to $45.1 billion in 2007, the highest level ever recorded.

Residential unit sales increased 6.4 per cent to 102,811 units in 2007, only the second time BC home sales have exceeded the 100,000 unit mark (a total of 106,310 homes traded hands in 2005). The average MLS® residential price in the province reached a record $439,121 in 2007, up 12.3 per cent from 2006.

“Strong consumer demand buoyed by employment growth, rising wages and migration was a significant factor in BC’s housing markets last year,” said Cameron Muir, BCREA Chief Economist. “In the province’s major urban centres, sales activity reflected increasing demand for condominium apartments and townhouses. The largest gains in home prices occurred in the Kamloops, Okanagan and Kootenay markets where a legion of recreation, retiree and investment buyers put pressure on existing home inventories.”

“BC housing markets will experience less frenetic activity in 2008,” noted Muir. “Eroding affordability, rising new home completions adding to inventories and weaker economic growth are expected to provide a moderating influence this year.”

MLS® residential sales volume in December increased 24.2 per cent to $2.19 billion compared to the same period last year. Residential unit sales climbed 8.8 per cent to 4,791 units over the same period. The average residential sales price rose 14.2 per cent to $457,825 in December compared to December 2006.

Market Review

2008-01-10T11:19:00.001-08:00

Condos lead housing starts. About 80 per cent of new construction is multifamily, says CMHC.

Paul Luke
The Province
Thursday, January 10, 2008

The Vancouver area finished 2007 with the third-highest number of housing starts in a half-century and the pace of home building is expected to remain brisk this year.

Fuelled by a strong condo market, the overall number of housing starts hit 20,736 in 2007, up 11 per cent from 2006, Canada Mortgage and Housing Corp. said yesterday. Multifamily homes comprised about 80 per cent of housing starts in the Vancouver area last year, according to CMHC's preliminary figures for the year.

Single-detached housing starts fell by one-quarter from 2006, CMHC market analyst Richard Sam said. "With the overall average MLS price of a single-detached house over $800,000 in Greater Vancouver, buyers have shifted their expectations toward more affordable, higher-density-style housing," Sam said. "Developers have honed in on this demand and increased the number of new multiple-family projects being built." Last year brought mixed results to areas in the eastern part of the Lower Mainland.

Overall starts in the Abbotsford area fell 10 per cent in 2007 despite a 23-per-cent rise in single-detached starts. In the Chilliwack area, a 50-per-cent surge in multifamily starts drove an 11-per-cent increase in overall starts.

Peter Simpson, CEO of the Greater Vancouver Home Builders Association, said residential construction should remain strong in 2008, thanks to the healthy regional economy and robust job market.

The region will likely notch about 19,000 starts this year - little changed from the average for the past four years, he said. "We're optimistic," Simpson said. "We're seeing a lot of confidence in the industry that the market will still be there." Rising land and labour costs, as well as growing municipal development charges, may yield a six-to-eight-per-cent price increase this year, he said. The region's land constraints mean multifamily projects will continue to dominate in 2008.

"Among this generation of first-time homebuyers, there will be those who live their entire lives in some form of multiple-family housing, whether it's townhouses or apartment condominiums," Simpson said. "Initially, the reason is affordability but over time they may find that condominiums more appropriately match their lifestyle and they don't want to do anything else."

Across B.C., overall housing starts in urban areas rose by 5.5 per cent last year, CMHC said.

Urban multifamily starts rose to a 14-year high in 2007, accounting for more than two-thirds of B.C. housing starts, CMHC said. Nationally, housing starts rose one per cent last year to 229,600, the second-highest level in almost two decades.

CREDIT: Source: CMHC. Graphic, The Province
Change in Lower Mainland housing starts, 2006-07

Market Update

2008-01-07T09:36:00.000-08:00

2007 Residential housing sales rank second all-time.

VANCOUVER, B.C. - January 3, 2008

Residential housing sales for 2007 are the second highest ever recorded by the Real Estate Board of Greater Vancouver (REBGV). The REBGV reports that residential attached, detached and apartment property sales totalled 38,050 between January 1 and December 31, 2007. This marks a 7.2 per cent increase from 2006 and a 6.1 per cent decrease from 2005, the record-setting year with 40,530 sales.

“The continued strength of the real estate market is a reflection of the economic vitality seen throughout the province. With overall wages on the rise and unemployment in decline, buyers and sellers are left with a healthy and strong climate in which to operate,” says REBGV president Brian Naphtali.

Sales of apartment properties in 2007 increased 9.1 per cent to 16,456, compared with 15,088 sales in 2006, according to data from the Multiple Listings Service® (MLS®). Sales of attached units climbed 7.7 per cent to 6,799, compared with 6,310 sales in 2006. Detached property sales increased 4.9 per cent in 2007 to 14,795, compared with sales of 14,108 in 2006.

Overall, new listings for detached, attached and apartment properties increased 4 per cent in 2007 to 54,945 units, compared to the 52,818 listed in 2006. The aggregate residential sales in December 2007 climbed to 1,897, a 12.5 per cent increase over the 1,686 December sales in 2006. These numbers are in contrast to each of the first five years of the decade where December sales exceeded 2,000.

Sales of apartment properties in December 2007 rose 21.6 per cent to 901, compared to 741 sales in December 2006. The benchmark price, as calculated by the MLSLink Housing Price Index®, of an apartment property increased 14.4 per cent from December 2006 to $377,579.

Attached property sales in December 2007 rose 1.6 per cent to 317, compared with 312 sales in December 2006. The benchmark price of an attached unit increased 11.4 per cent from December 2006 to $456,941.

December’s sales for detached properties increased 7.3 per cent to 679 in 2007, up from the 633 detached units sold in the same period of 2006. The December benchmark price for detached properties increased 13.5 per cent from December 2006 to $730,399.

Bright spots in Greater Vancouver in December 2007 compared to December 2006:

DETACHED:
Richmond .......................... up 57.4 per cent (107 units sold up from 68)
Sunshine Coast....................up 51.9 per cent (41 units sold up from 27)

ATTACHED:
Burnaby...............................up 61.1 per cent (58 units sold up from 36)

APARTMENTS:
Burnaby.............................up 17.5 per cent (114 units sold up from 97)
North Vancouver..................... up 50 per cent (66 units sold up from 44)
Port Moody/Belcarra ........... up 91.7 per cent (23 units sold up from 12)
Vancouver East..................up 72.6 per cent (107 units sold up from 62)

Season's Greetings

2007-12-23T14:21:00.000-08:00

I would like to take this opportunity to wish everyone all the best

over the holiday season and for 2008.

Dan McCarthy

RE/MAX Central

Market Update

2007-12-18T12:48:00.000-08:00

BC Home Sales Surpass 2006 Total in 11 Months.

Vancouver, BC – December 18, 2007. British Columbia Real Estate Association (BCREA) reports residential sales volume on the Multiple Listing Service® (MLS®) in BC climbed 26.4 per cent to $3.21 billion in November, compared to the same month last year. Residential unit sales increased 11.9 per cent to 7,088 units during the same period. The average MLS® residential price reached $452,755, up 12.9 per cent from November 2006.

“BC home sales have already surpassed the annual total for every year except 2005, and there’s still one month to go,” said Cameron Muir, BCREA Chief Economist. A total of 98,014 homes were sold through MLS® during the first 11 months of 2007, exceeding the 2006 total of 96,671. “While home sales in the province are unlikely to break the record 106,310 units established in 2005, they are on track to exceed 100,000 units this year, the second highest ever recorded,” noted Muir.

“Despite eroding affordability, consumer demand remains strong,” added Muir. “Employment growth, rising wages and salaries and population growth buoyed by migration continue to underpin housing demand. Access to home ownership is also being bolstered by an increasing proportion of relatively affordable condominiums in the housing stock, and many consumers are taking advantage of longer mortgage amortizations which lower their monthly carrying costs.”

Year to date, MLS® residential sales volume increased 19.2 per cent to $42.95 billion compared to the same period last year. Residential sales climbed 6.2 per cent to 98,014 units over the same period. The average residential sales price rose 12.2 per cent to $438,189 January through November.

Market Review

2007-12-17T17:55:00.000-08:00

Greater Vancouver housing sales rebound in November.

Derrick Penner
Vancouver Sun
Monday, December 17, 2007

A significant November rebound in Greater Vancouver housing re-sales helped push overall activity above 2006 levels, the Canadian Real Estate Association reported. The association registered 2,952 sales through the Multiple Listing Service, a 22 per cent increase from the same month a year ago.

As of the end of November, Greater Vancouver saw 37,021 units change hands, which is 6.6 per cent more than the number of units that were sold up to the same point in 2006.

The average unit price topped $577,000 in November, up 11.2 per cent from the same month a year ago.

Across Canada's major markets, housing MLS sales surged to a new annual re-sale record of 345,577, up 2.5 per cent from the previous high of 336,646 reached in 2005. "Demand remains strong due to continuing job and income growth and upbeat consumer confidence," Gregory Klump, association chief economist said in a press release.
However, in an interview, added that pending tax changes in Ontario likely spurred some Ontario buyers to rush their decisions to buy.

Construction Update

2007-12-11T13:27:00.000-08:00

Metro Vancouver boasting the most housing starts in 30 years.

Vancouver Sun
Monday, December 10, 2007

VANCOUVER - Builders in Metro Vancouver started hammering up more homes in November than in any month in the last 30 years, Canada Mortgage and Housing Corp. reported Monday.

However, more and more of those homes are condominiums and townhouses. Up to the end of November, the growth in housing starts was driven by a 30-per-cent surge in multi-family-housing construction. "Construction of single-family homes has declined in all communities except North Vancouver, where infill building has this district bucking the trend," Robyn Adamache, a market analyst with CMHC said in a news release.

Builders started work on 2,704 homes in Metro Vancouver in November, compared with 1,405 in the same month a year ago. For the first 11 months, Metro Vancouver contractors started on 19,491 units, and only 3,826 of them single-family homes. In the first 11 months of 2006, builders had started on 17,398 new homes, with 5,386 of them single-family homes.

Peter Simpson, CEO of the Greater Vancouver Home Builders' Association said the results to date already make 2007 the most active year for residential construction in more than a decade. Province-wide, November housing starts reached 3,718 in November. Nationally, the pace of new-housing construction reached an seasonally adjusted average of 227,900 units for the year.

"Housing starts remained strong in November and are consistent with our new-home construction forecast for 2007," Bob Dugan, CMHC's chief economist. However, unlike Vancouver, Dugan said housing strength in the rest of Canada "is attributable to the good performance of single-detached home starts, which reached their highest level since March, 2006."

Commercial Real Estate

2007-12-06T20:19:00.000-08:00

Vancouver has lowest office vacancy rate in Canada.

Financial Post

Wednesday, December 05, 2007

VANCOUVER - Vancouver has the lowest office space vacancy rate in the country, according to a new report from Cushman and Wakefield LePage.
The city has a forecast vacancy rate of 2.1 per cent for the end of 2008. Much of the tightening is due to no new supply coming on line. Only 80,000 square feet of new construction is expected to be finished next year.

Downtown Toronto is also suffering from a lack of office space, the study says. The real estate company said Wednesday that vacancies in Toronto's central office market will reach a "tight" 3.8 per cent in late 2008. That's way down from the 6.2 per cent vacancy rate at the end of 2006. "We are now at the point where demand will have to slow in the central market, simply due to the lack of available space," said Paul Morse, Cushman & Wakefield LePage's senior managing director of office leasing. "Those expanding or entering the market are now considering space in mid-town or further into the 905 regions to meet their space needs."

The Toronto office space crunch is clearly influencing the national vacancy rate which is expected to drop to 5.6 per cent in urban centres in the fourth quarter of 2008, down from the current 6.2 per cent.Toronto is home to 40 per cent of all of the country's office space. Cushman & Wakefield surveyed five cities across the country and found vacancy rates dropping in every city but Calgary.

However, the oilpatch continues to be a relatively tight market to rent in with the downtown vacancy rate projected to rise to 3.6 per cent by the end of next year. Suburban vacancies in Calgary are forecast to rise to 6.3 per cent. Part of the reason for the increase in vacancies is a jump in supply that will see almost four millions square feet of new office space completed next year.

"Calgary has had a wild ride over the past few years," said Morse. "We've seen space incredibly tight - down to 0.4 per cent vacancy in the core - and now we're seeing a healthy rebound to more manageable levels."
The real estate company predicts tenants are going to be forced to consider alternative options for space next year, including moving into less desirable Class B and Class C buildings.

Even the moribund Montreal office market is showing some signs of recovery. Cushman & Wakefield LePage said Montreal is forecast to have vacancy levels not seen since 1989-1990. After years of being stuck in double digits, Montreal's overall vacancy rate will hit 8.9 per cent next year and the downtown core will see a vacancy rate of 7.6 per cent. "There is a great deal of optimism in Montreal with rental rates increasing, vacancy dropping and absorption levels remaining positive," said Morse.

Financial Post

Market Review

2007-12-06T20:12:00.000-08:00

This autumn, when a downtown Vancouver condominium was listed for $18.2 million, It caught the attention of The New York Times. In a feature on Vancouver real estate, Vancouver was described as an appealing multicultural city with a cosmopolitan feel, a vibrant urban lifestyle and a temperate climate, surrounded by mountains and water.

With this level of international exposure, can we expect prices to go up?
In the Real Estate Board area, our market has been on an upswing since
2002. Annual growth in sales has run about 5.5 per cent and home prices
have increased about 14 per cent per year.

Will this market continue?

To find out, we asked BC Real Estate Association Chief Economist Cameron Muir.

Muir explains that the fundamentals are in place for the market to continue.“ The Lower Mainland’s economy is expanding at 3.5 per cent per year. There is a record low unemployment rate of 4.1 per cent and a tight labour
market (more jobs than employees) which puts upward pressure on wages and salaries.”

Muir notes that despite eroding affordability, there is a wide mix of home types available. A look at listings indicates that in October there were 250 condominiums in the Real Estate Board area priced less than $200,000.
If we go up to $250,000, there were 672 condominiums and 44 townhomes. If a potential buyer had $300,000 to spend they could have chosen from 1,250 condominiums and 147 townhomes Board-wide.

“By year end 2007, 60 per cent of home sales in the Greater Vancouver Area will be either attached units or apartments, and 77 per cent of housing starts are expected to be multi-family,” say Muir. “Vancouver will also continue to be at the forefront of high density residential development.”

Where is the market headed?

Muir forecasts that MLS® home sales in the Board area will increase five per cent to 38,100 units in 2007, from 35,507 units in 2006. A lack of affordability will continue to be a barrier for some home buyers and will have an impact on consumer demand in 2008, leading to a decline in homes sales of 36,100 units. Home prices will also climb less
rapidly.

If we build it, will they come?

Muir forecasts that housing starts will decrease about three per cent overall in 2007, to 18,100 from 18,705 in 2006, a reflection of the Vancouver civic strike which halted construction and inspection permits. Starts will again rise in 2008 to 18,300 units with multi-family construction leading the way.

Muir cautions that while affordability is deteriorating, market conditions continue to be favourable. “Population in the region is forecast to increase five per cent between now and 2010. Employment and salaries are on the rise. Mortgage rates will remain low.
This is all good news.

Cameron Muir, Chief Economist, BCREA

Market Update

2007-12-06T20:07:00.000-08:00

Housing sales continue to rise in November.

Vancouver, B.C. December 4, 2007.

The Real Estate Board of Greater Vancouver (REBGV) reports that total residential sales reached 2,883 units in November 2007, an increase of 22.2 per cent compared to 2,358 sales in November 2006, and a 1.9 per cent decrease compared to the 2,938 units sold in November 2005. Property listings increased 6.6 per cent compared to last year’s levels, with 3,377 active listings at November month-end, compared to 3,168 during the same period last year.

“The housing market continues to be strong,” says REBGV president Brian Naphtali. “November figures show strong growth compared to last year, are basically on par with figures from 2005, and are 16 per cent higher than the same period in 2004.

“Affordability is a key question,” Naphtali says. “Our data indicates that about 60 per cent of residential homes purchased in November were multi-family, which includes condos and townhomes. The benchmark price for a condo in Greater Vancouver is about $375,000. However, there are units available for considerably less than this price. For example, the benchmark for condos in Port Coquitlam in November was $243,624; in Maple Ridge, $254,703; and in Coquitlam, $283,830.”

According to Multiple Listings Service® (MLS®) data, sales of apartment properties increased by 21.5 per cent to 1,276 sales in November 2007 compared to 1,050 sales in November 2006. The benchmark price of an apartment property in Greater Vancouver, calculated by the MLSLink® Housing Price Index, is $374,393, up 13.6 per cent from one year ago.

Sales of attached properties increased by 33.7 per cent in November 2007 to 540 sales, compared to 404 sales in November 2006. The benchmark price of an attached unit is $455,332, up 11 per cent from a year ago.
Sales of detached properties increased by 18 per cent in November 2007 to 1,067 sales, compared to 904 sales in November 2006. The benchmark price of a detached unit is $729,011, up 12.6 per cent from last year.

Bright spots in Greater Vancouver in October 2007 compared to October 2006:

DETACHED:
Burnaby up 47.4% ............................. (115 units sold, up from 78)
Coquitlam up 21.1%............................. (92 units sold, up from 76)
Maple Ridge/P. Meadows up 12.1% ... (111 units sold, up from 99)
North Vancouver up 24.3%................... (87 units sold, up from 70)
Port Coquitlam up 30.6%...................... (47 units sold, up from 36)
Richmond up 17.4%............................ (108 units sold, up from 92)
Squamish up 75%.................................(28 units sold, up from 16)
Sunshine Coast up 30.2%..................... (56 units sold, up from 43)
Vancouver East up 20%.................... (150 units sold, up from 125)

APARTMENTS:
Burnaby up 11.1%............................(160 units sold, up from 144)
Coquitlam up 40.4%............................. (73 units sold, up from 52)
North Vancouver up 39.4%................... (99 units sold, up from 71)
Port Moody/Belcarra up 227.3%........... (36 units sold, up from 11)
Richmond up 23.3% ......................... (159 units sold, up from 129)
Squamish up 125%................................ (18 units sold, up from 8)
Vancouver West up 29.3%............... (433 units sold, up from 335)

ATTACHED:
Burnaby up 16.9%................................(76 units sold, up from 65)
Maple Ridge/P. Meadows up 32.4%......(49 units sold, up from 37)
New Westminster up 128.6% ................. (16 units sold, up from 7)
Port Coquitlam up 45.8%...................... (35 units sold, up from 24)
Richmond up 94.5%............................ (107 units sold, up from 55)
Squamish up 107.7%............................ (27 units sold, up from 13)
Whistler/Pemberton up 110%............... (21 units sold, up from 10)

SOLD

2007-12-01T11:08:00.000-08:00

I am pleased to announce the sale of 230 Blackman Street, New Westminster.

For further information please visit:

http://www.danmccarthy.ca

Commercial Real Estate

2007-11-24T14:13:00.000-08:00

Office rents rise only slightly in Vancouver. They're not even the most expensive in Canada

Marke Andrews
Vancouver Sun
Friday, November 23, 2007

The cost of renting office space in downtown Vancouver climbed slightly during the past six months, and rose at a greater rate outside the downtown core. But the city still looks like a deal when compared with London, Moscow or Mumbai.

In a new report from CB Richard Ellis, the world's largest real estate services company, Vancouver was ranked the 52nd-most expensive city in the world to rent office space, and the third most expensive Canadian city, at $49.98 per square foot per year. This is up slightly from May, the last time the survey was done, when Vancouver ranked 57th at $49.46 per square foot.

The cost of doing business in Vancouver's suburbs, which includes areas within the city but outside the downtown core, rose at a higher rate. Vancouver suburbs ranked 99th on the list with a rental cost of $33.46 per square foot, up significantly from the May ranking of 119th and $28.86. (The numbers represent gross rents, and include net rents, taxes and operating costs.)

Chris Clibbon, senior research analyst at CB Richard Ellis's Vancouver office, said developments in the Broadway corridor and new office buildings opening in Vancouver's suburbs are the reasons for the spike.
"Rents on the Broadway corridor have increased quite a bit because the vacancy rate is even lower than downtown," said Clibbon, citing a 2.6-per-cent vacancy rate in the Broadway corridor, compared with Vancouver's record-low three-per-cent vacancy rate in the downtown core. "And in terms of new supply, there's nothing that will change the vacancy rate [in the Broadway corridor]."

Clibbon said that new office developments in Vancouver's outlying areas have raised the suburban costs, because new buildings generally have higher rents than older ones.

The most expensive place in the world to rent office space is the West End of London, England, at $326.67 psf, followed by Mumbai, India ($188.22), the City of London ($179.57) and Moscow ($179.55).

The most expensive Canadian city remains Calgary, ranked 34th in the world at $64 - virtually unchanged from May's 33rd ranking at $64.12 - followed by Toronto, 35th at $63.35. Other Canadian cities on the list of 170 are Edmonton (57th, $46), Ottawa (64th, $44.25), Calgary's suburbs (89th, $37.11), Montreal (94th, $35.84), Halifax (111th, $30.23), Toronto's suburbs (116th, $29.50), Montreal's suburbs (130th, $25.27), London, Ont. (135th, $24.53) and Waterloo (138th, $24.32).

Market Review

2007-11-21T08:37:00.000-08:00

Home Prices Rise Modestly in Vancouver and Victoria.

Vancouver, BC – November 21, 2007.

British Columbia Real Estate Association (BCREA) reports residential sales volume on the Multiple Listing Service® (MLS®) in BC climbed 23.5 per cent to $3.40 billion in October, compared to the same month last year. Residential unit sales increased 12.8 per cent to 7,358 units during the same period. The average MLS® residential price hit $462,912, up 9.5 per cent from October 2006.

“While home sales continue at a brisk pace, prices in Vancouver and Victoria are climbing at a more moderate rate,” said Cameron Muir, BCREA Chief Economist. Compared to October 2006, the average sales price increased 7.8 per cent in both markets. Fraser Valley and Chilliwack prices climbed 6.2 and 6.3 per cent, respectively, during the same period. “Eroding affordability is providing less upward pressure on home prices in both Victoria and the Lower Mainland, as many first-time buyers no longer have the financial wherewithal to bid up prices,” added Muir.

In contrast to the South Coast’s major urban areas, home prices in the interior and northern markets continue a rapid ascent. “The Okanagan, Kamloops and Kootenay markets are benefiting from strong demand from retiree, investor and recreation buyers,” noted Muir. “Abundant natural amenities and relatively low prices are drawing considerable attention from empty nesters around the province and across the country.”

“Housing markets in the north that are receiving new investment in resource extraction and transportation are performing well,” added Muir. “However, sluggish US demand for softwood lumber is impacting housing demand in many communities.” The average sales price of a home in the BC Northern Real Estate Board area rose 11.3 per cent last month compared to October 2006. In the Northern Lights Real Estate Board area, the average home sales price climbed 18.5 per cent during the same period.

Construction Update

2007-11-12T09:56:00.000-08:00

Major projects keep on growing, B.C.'s large construction plans increase for the 17th straight quarter.

Derrick Penner
Vancouver Sun
Wednesday, November 07, 2007

Builders and developers piled another $3.3 billion worth of planned large construction projects onto British Columbia's Major Projects Inventory between June and the end of September ballooning the list to $135.1 billion, the province said Tuesday.

There are now 843 projects on the list, which is compiled quarterly by the Ministry of Economic Development. Some 417 projects valued at $53.4 billion are already under construction. It is the 17th straight quarter the inventory has increased. The third-quarter list, for the three months ending Sept. 30, includes projects that have been announced but have since been put on hold, which stood at 33, the same number on hiatus at the end of the second quarter.
That compares with $40 billion worth of work underway from a list that totalled $109 billion at the same period a year ago.

Minister of Economic Development Colin Hansen said the inventory "is the best indicator of real, tangible [economic] activity for the years ahead." Hansen added that the size and time span of the inventory offers hope for the B.C. economy after the 2010 Olympics, although some economists predict a softening following the Games.
"Most of these projects take us well into the next decade," Hansen said.

Vancouver's Ritz Carlton Hotel and residential development on Georgia Street, at a $500 million value, was the biggest new project to start construction in the third quarter. Cloudworks Energy's $263-million run-of-river hydroelectric development is the next biggest piece of work to get underway.

Manley McLachlan, president of the B.C. Construction Association said the breadth of work available on the project list is comforting. The inventory isn't dominated by either residential building or industrial projects.
The fact it is growing, rather than shrinking "supports the observation that we've had for quite some time. To call this a boom now is almost a redundant comment."

However, while the inventory is evidence that high levels of construction are likely to continue for some time, which helps the skills-starved construction industry recruit new workers, its ballooning size provides its own problems.
"The real challenge though, is are we going to continue to be able to manage that growth over the long term," McLachlan said. "And I think the verdict is still out."

Some of the rising dollar value in the inventory list reflects the inflation in construction costs, McLachlan added, as high demand for buildings - and not jus in B.C. - drives up the prices for materials such as steel and concrete as well as labour. The fact that project developers continue to make plans for new buildings, McLachlan said, is hopeful evidence "that we haven't perhaps reached the breaking point where owners are saying 'this is way too much, we're going to delay our project until something changes.' "We haven't reached that point, and I don't know where that point is," although McLachlan said shortages of skilled workers have extended the schedules of some projects.

Hansen said he believes the growth in construction in B.C. is manageable. While construction costs are increasing, that growth hasn't had too deep an impact on B.C.'s overall inflation rate, which would be a bigger concern.
"Companies are reaching out and are finding workers," Hansen said, "and I see very few projects cancelled or delayed because of skill shortages."

The value of projects on hold dropped $1.9 billion in the third quarter to $9.6 billion.
The inventory compiles the list from public sources and tracks capital projects worth more than $20 million or more in the Lower Mainland south west region and $15 million or more elsewhere in the province.

PUTTIN' UP THE RITZ

At a projected cost of $500 million, the Ritz Carlton Hotel and Residential Development in downtown Vancouver is by far the largest project by dollar value started in B.C. in the July-September period. Here are the other new projects started that have costs estimated at $100 million or more:

Aquattro Residential Development, Vancouver Island: $350 million
NEPTUNE Canada Project, Vancouver Island: $300 million
Upper Harrison Hydroelectric Project: $263 million
Delsom Estates Residential Development, Delta: $250 million
Morgan Crossing Residential Village: $200 million
Canoe Mountain Resort Developments: $100 million
All other new projects: $370 million

Total $ value of all 18 new projects started in the July-September period: $2.333 billion

Source: B.C. Major Projects Inventory

Market Update

2007-11-06T10:59:00.000-08:00

October housing sales consistent with record highs.

Vancouver, B.C. November 5, 2007.

The Real Estate Board of Greater Vancouver (REBGV) reports that total residential sales reached 3028 units in October 2007, an increase of 11.2 per cent compared to 2,722 sales in October 2006, and a 2.3 per cent decrease compared to the 3,099 units sold in October 2005.

Property listings remain relatively unchanged compared to last year’s levels, with 4,819 active listings at October month-end, compared to 4,862 last year.

“This is only the fourth time in 25 years that sales have surpassed the 3,000 mark in the month of October,” says REBGV president Brian Naphtali. “What we’re seeing is a buoyant market fueled by strong demand from both first-time and repeat buyers. “The economy is healthy,” Naphtali says. “There’s virtually no unemployment. Interest rates are steady. These are all factors affecting the continued strong demand for housing.”

According to Multiple Listings Service® (MLS®) data, sales of apartment properties increased by 17.4 per cent to 1,368 sales in October 2007 compared to 1,165 sales in October 2006. The benchmark price of an apartment property in Greater Vancouver, calculated by the MLSLink® Housing Price Index, is $371,418, up 11.4 per cent from one year ago.

Sales of attached properties increased by 11.7 per cent in October 2007 to 527 sales, compared to 472 sales in October 2006. The benchmark price of an attached unit is $454,645, up 10.8 per cent from a year ago. Sales of detached properties increased by 4.4 per cent in October 2007 to 1,133 sales, compared to 1,085 sales in October 2006. The benchmark price of a detached unit is $730,022, up 12.2 per cent from last year.

Bright spots in Greater Vancouver in October 2007 compared to October 2006:
DETACHED:
Burnaby up 14.5% .........................(95 units sold, up from 83)

Coquitlam up 31.9%....................... (124 units sold, up from 94)

Richmond up 20.4%....................... (136 units sold, up from 113)

Vancouver East up 11.6%................163 units sold, up from 146)

Vancouver West up 11.4% ............. (156 units sold, up from 140)

ATTACHED:

Burnaby up 24.1% ............................. (67 units sold, up from54)

Port Coquitlam up 62.5%.................... (26 units sold, up from 16)

Whistler/Pemberton up 100%.............. (22 units sold, up from 11)

APARTMENTS:
Burnaby up 25.4% ............................. (168 units sold, up from 134)

Coquitlam up 20.3%........................... (77 units sold, up from 64)

Maple Ridge/Pitt Meadows up 80% ..... (36 units sold, up from 20)

New Westminster up 21.1% ............... (92 units sold, up from 76)

Richmond up 47.1% .......................... (175 units sold, up from 119)
Vancouver West up 19.8%...................(479 units sold, up from 400)

Luxury Sales

2007-10-26T15:06:00.000-07:00

Vancouver condo sells for record $18 million.

Bruce Constantineau
Vancouver Sun
Wednesday, October 24, 2007

An unnamed Portland, Ore. businessman has paid a record $18 million for a 48th-floor penthouse suite in downtown Vancouver.
The 7,400-square-foot unit in the Private Residences at Hotel Georgia won't be ready for occupancy until 2011, when the $400-million development near Georgia and Howe is completed.

Sotheby's International Realty Canada president Ross McCredie said the buyer wants to remain anonymous, but the Vancouver property will be one of several he owns throughout the world. "It's not the first time he's bought a penthouse suite in a big city," he said. McCredie said the unit will feature an "incredible" rooftop deck and custom finishings throughout the suite. Owners of the 155 condos in the development will also have access to services and amenities provided by a restored Hotel Georgia, including round-the-clock concierge and valet services.

McCredie said Vancouver billionaire Jim Pattison bought a unit in the project, as did former prime minister Kim Campbell. He wasn't certain what Pattison bought, but Campbell paid just under $2.5 million for a two-bedroom unit.

The $18-million price for the penthouse suite exceeds the amount paid recently for a 6,500-square-foot, two-level penthouse in the Fairmont Pacific Rim Vancouver. That unit is believed to have sold for well in excess of its $12-million asking price.

Potential buyers are mulling over a $17.6-million suite on the 60th floor of the Shangri-La development and an $18.2-million price tag for a 6,900-square-foot condo on the 26th floor of 1000 Beach Avenue. Three units on the 60th floor of the Ritz-Carlton project on Georgia Street have asking prices ranging from $10.8 million to $12.8 million while actor Jean-Claude Van Damme is believed to have listed his 7,500-square-foot suite on the 41st floor of the Shaw Tower for a whopping $19.8 million.

McCredie said more than half of the 155 units for sale in the Hotel Georgia project have been sold since sales began last Friday. More than $200 million in sales took place on opening day, with most being in the $2.5-million-to-$3-million range. "A lot of local buyers just gulp at those prices but international buyers are not as fazed," he said. "We constantly hear from international buyers that this price point is relatively cheap in their minds." McCredie plans to market more of the units next month during a sales trip to Abu Dhabi, Dubai and Moscow.

Vancouver condo marketer Bob Rennie said penthouse buyers constitute a market unto themselves. "They're high-net-worth individuals with a lot of discretionary money who want the absolute best," he said. "It's often a second, third or fourth residence for them."I know people hate these terms but as Vancouver becomes more of a world-class city and resort city, the take-up of these units is becoming stronger".

Market Review

2007-10-18T10:50:00.000-07:00

BC Home Sales Increase in September.
Vancouver, BC – October 18, 2007.

British Columbia Real Estate Association (BCREA) reports residential sales volume on the Multiple Listing Service® (MLS®) in BC climbed 20 per cent to $3.42 billion in September, compared to the same month last year. Residential unit sales increased 6.8 per cent to 7,687 units during the same period. The average MLS® residential price reached $445,205, up 12.3 per cent from September 2006.

“Housing demand hasn’t let up after a record-breaking summer,” said Cameron Muir, BCREA Chief Economist. “While the number of homes for sale has increased since last year, the sales-toactive-listings ratio has remained unchanged. This means homebuyers are snapping up additional inventory at the same pace, and upward pressure on home prices is continuing.”

“Strong economic conditions are underpinning BC home sales,” noted Muir. “Robust job growth, low unemployment and rising wages and salaries are bolstering consumer demand.” More than 70,000 jobs have been created in the province over the last year, while the unemployment rate hovers near an historic low. The average weekly wage in BC climbed 3.3 per cent in September, compared to the same month last year.

Year to date, MLS® dollar volume increased 18 per cent to $36 billion compared to the same period last year. Residential sales rose 4.9 per cent to 82,627 units, while the average residential price climbed 12.5 per cent to $436,062.

Market Update

2007-10-17T09:19:00.001-07:00

Slow and steady growth forecast for residential real estate Canadian home sales to top 500,000 in 2007.

Kelowna, BC (October 17, 2007)

After posting extraordinary gains in 2007, housing market performance will moderate in most major Canadian centres in 2008, according to a report released today by RE/MAX.

The RE/MAX Housing Market Outlook 2008 examined residential real estate trends in 18 markets across the country. The report found that while economic prospects will continue to improve next year, few major markets are expected to exceed record sales levels set in 2007. Winnipeg, Hamilton-Burlington, Kitchener-Waterloo, London-St. Thomas, Ottawa, Sudbury, Saint John, Halifax-Dartmouth, and St. John’s are all predicted to buck the trend in 2008, with appreciation ranging from one to seven per cent. Average price is forecast to increase in 78 per cent of markets surveyed next year, with the lowest price increase expected in Edmonton and the highest in St. John’s.

Nationally, the number of homes sold is expected to break through the half-million threshold in 2007, climbing 13 per cent to an estimated 545,400 units, up from 483,770 units one year ago. Average price is projected to appreciate nine per cent to $303,000, up about $25,000 over 2006 levels. In 2008, home sales are expected to retreat to 500,000 units while Canadian housing values are forecast to continue their ascent, rising six per cent to $321,000.

“Clearly, economic prosperity has translated into increased housing sales and upward pressure on prices across the board,” says Elton Ash, Regional Executive Vice President, RE/MAX of Western Canada. “The country’s economic engine fired on all cylinders throughout the year, despite dire conditions south of the border. As in 2007, inventory will be the major wildcard next year—the ultimate variable most expected to influence housing market conditions and performance. A return to tight market conditions could mean all bets are off as buyers are forced to compete, creating increased market pressure.” Major market frontrunners for price appreciation in 2008 include St. John’s (12 per cent), Regina and Kelowna – Central Okanagan (nine per cent), Hamilton-Burlington and Saint John (eight per cent) and Greater Vancouver (seven per cent). Leading the country in sales growth next year will be Kitchener-Waterloo (seven per cent), followed by Hamilton-Burlington, London-St. Thomas, Sudbury and Halifax-Dartmouth, each forecasting a five per cent gain. Higher mortgage rates and increased inventory levels failed to materialize in most major centres, making 2007 a record year for real estate activity in Canada.

By year-end, housing values across the country are expected to shatter existing records. Serious double-digit increases in average price are forecasted for Saskatoon (49), Edmonton (31.5), Regina (21), Calgary (20), Sudbury (20), Kelowna (19.5) Saint John (17), St. John’s (12), and Greater Vancouver (10). Saskatchewan dominated real estate news in 2007, reporting some of the highest percentage increases in unit sales. The number of homes sold in Regina by year-end is expected to top 35 per cent, bringing sales to an estimated 4,000 units. Neighbouring Saskatoon is forecast to climb 28 per cent to 4,400 units in 2007. Other centres expected to post double-digit gains in activity include Saint John (19 per cent) Kitchener-Waterloo (13 per cent), Halifax-Dartmouth (12 per cent), St. John’s (11 per cent), and Toronto (10 per cent).

“Western markets were first out of the gate in 2007, but those in the East followed suit,” says Michael Polzler, Executive Vice President and Regional Director, RE/MAX Ontario-Atlantic Canada. “By year-end, some of the most impressive gains in home sales will be realized in Ontario and Atlantic Canada. Solid economic fundamentals, including billions of dollars in capital projects, a positive unemployment outlook, and solid consumer confidence levels will propel markets forward. A slow and steady growth trajectory, minus the peaks and valleys experienced in 2007, is forecast for next year.”

RE/MAX is Canada's leading real estate organization with over 17,500 sales associates situated throughout its more than 640 independently owned and operated offices across the country. The RE/MAX franchise network, now in its 34th year of consecutive growth, is a global real estate system operating in over 65 countries. More than 7,000 independently owned offices engage 120,000 member sales associates who lead the industry in professional designations, experience and production while providing real estate services in residential, commercial, referral and asset management. For more information, visit: www.remax.ca.

Luxury Sales

2007-10-16T08:38:00.000-07:00

Demand for luxury homes through roof. 123 houses sell for more than $3 million in Vancouver area alone.

Frank Luba
The Province
Tuesday, October 16, 2007.

Sales of luxury homes in B.C. are hot.
So far this year 59 homes have sold for more than $3 million in West Vancouver, and 64 on Vancouver's west side. In all of 2006, just 50 sold for more than $3million in West Vancouver, and 64 on the west side.
There's more demand than supply, top-end realtor Allan Mark Angell, who usually has 35 to 50 luxury listings, said yesterday. "I have 17 to 18 right now," said Angell, who specializes in luxury sales in West Vancouver and the west side. "I'm knocking on doors to find expensive houses. "The reason it's kept going is lack of product. If you want oceanfront in close, good luck in trying to find one. After one that's $14.8 million, that's it."

B.C. leads Canada in asking prices, with 124 properties listed on MLS.ca at $5 million or more. Ontario has 45 properties at that level and Alberta 22.

Topping the list of B.C.'s most expensive homes is a $28.5-million waterfront home in the Uplands neighbourhood of Oak Bay. Others among Canada's top 10 include a $25-million Shaughnessy estate in Vancouver; an oceanfront home in Metchosin for $24 million; two Whistler homes valued at $22 million and $20 million; and one in Saanich at $18.5 million.

Angell said he knows a property in West Vancouver that closed in March for $5.3 million. Two months later he brought the owner an offer for $7.2 million that he rejected.

In Whistler, Ann Chiasson of Sea to Sky Premier Properties said: "The big picture on the luxury market is it's good."
Angell, a realtor when prices crashed in 1981, saw lots of product and interest rates at 18 per cent.
"Now our rates are still good and we don't have a big increase in product," he said. "So what's going to change the market?

"I don't see anything on the horizon that's going to change it. Yet everybody is saying it's about to."
Senior market analyst Robyn Adamache of the Canadian Housing and Mortgage Corp. said population growth and jobs are driving B.C.'s strong housing market. "We're still seeing very high demand for housing and that's being fuelled mainly by strong levels of migration coming into the region, as well as a vibrant economy that's creating a lot of jobs," said Adamache.

Disclosure ordered for 'pre-sale' developers.

2007-10-10T19:29:00.000-07:00

Disclosure ordered for 'pre-sale' developers. Rules call for buyers to get more information on agreement provisions.

Bruce Constantineau
Vancouver Sun

The B.C. Financial Institutions Commission has ordered developers to provide increased disclosure to buyers of "pre-sale" condominiums which have yet to be built.

The new measures, to take effect Nov. 1, follow the controversial cancelling of 32 pre-sale contracts this year on the Riverbend project in Coquitlam. The developer - CB Development 2000 Ltd. - claimed rising construction costs outstripped sale prices and would have forced massive losses if the sales were completed. The disclosure rules force developers to explain any provisions for terminating, extending or assigning purchase agreements. Buyers will be required to initial the cover page of disclosure statements to confirm the provisions were drawn to their attention.

Pertinent information must also appear in "conspicuous type" on the statement's cover page.

THE RULES ALSO PROVIDE FOR MORE DISCLOSURE OF DEVELOPERS' BACKGROUND, INCLUDING:
- Their experience in the development industry.
- Whether they have been bankrupt in the past five years or been disciplined in the past 10 years for matters relating
to real estate, mortgages of land, securities, theft or fraud.
- Whether any conflict of interest exists that could affect a buyer's purchase decision.

Failure to comply with the disclosure requirements could result in the issuance of cease-marketing orders or "administrative penalties" of up to $50,000.

Greater Vancouver Home Builders chief executive officer Peter Simpson welcomes the new disclosure rules.
"If there's something in a developer's background -- like he went bankrupt or committed fraud in the past - what's wrong with making that public?" he said in an interview. "It just makes more information available to home buyers so they can make an informed decision ... . It's important they know there's a slight potential for something to go wrong."
But Simpson said home buyers also have to take responsibility for their own actions, noting many buyers never even read the details of long purchase contracts. He said condo buyers in lineups often get caught up in the excitement of the moment and can feel pressured to buy on the spot. "Once that excitement and emotion passes, you need to step back and take that purchase contract to a lawyer to have them review it," Simpson said. "If there's anything that appears to be problematic, you can deal with it or just walk away from the contract if you're not satisfied."

Home buyers in B.C. have a seven-day right of recision, which allows them to rescind a purchase agreement for any reason within seven days. Vancouver lawyer Brian MacKay said giving buyers more information about pre-sale projects is probably the best solution available now. "Inexperienced developers will have more trouble selling to knowledgeable purchasers because they'll be wary of prices that seem too low or too good a deal," said MacKay, with Davis LLP. "Purchasers will know there's a substantial risk in today's climate that the product might not be delivered."

Market Review

2007-10-09T16:51:00.000-07:00

Housing Starts Move Higher in September.

OTTAWA, October 9, 2007 — The seasonally adjusted annual rate1 of housing starts was 278,200 units in September, up 19.6 per cent from 232,700 units in August, according to Canada Mortgage and Housing Corporation (CMHC).

“The rise in September housing starts reflects a strong multiple starts segment,” said Bob Dugan, Chief Economist at CMHC’s Market Analysis Centre. “In particular, the robust results achieved this month can be mostly attributed to increased condominium starts, which reflect strong condo sales over the past 12 to 24 months. Despite this sizeable growth in September, we continue to expect that housing starts will decrease gradually between now and the end of 2008.”

The seasonally adjusted annual rate of urban starts increased 22.9 per cent to 244,400 in September, compared to August. Urban singles were down 4.3 per cent to 90,300 units in September, while multiple starts increased 47.5 per cent to 154,100 units.

In September, the seasonally adjusted annual rate of urban starts increased in all five regions. Urban starts registered an increase of 3.0 per cent in the Atlantic region, 46.0 per cent in Quebec, 23.6 per cent in Ontario, 11.1 per cent in the Prairies, and 15.8 per cent in British Columbia. Urban single starts were down in all regions except Quebec, where single starts were unchanged at 16,400 units. All regions saw double-digit increases in urban multiple starts with Quebec leading the way with a 75.2 per cent increase.

Rural starts were estimated at a seasonally adjusted annual rate of 33,800 units in September.
Actual starts, in rural and urban areas combined, were up an estimated 0.2 per cent in the first nine months of 2007 compared to the same period in 2006. In urban areas, actual total starts grew by an estimated 1.2 per cent year-to-date. Single starts growth was -4.7 per cent while multiple starts grew by approximately 7.0 per cent.

1 All starts figures in this release, other than actual starts, are seasonally adjusted annual rates (SAAR) — that is, monthly figures adjusted to remove normal seasonal variation and multiplied by 12 to reflect annual levels.

As Canada’s national housing agency, Canada Mortgage and Housing Corporation (CMHC) draws on over 60 years of experience to help Canadians access a variety of quality, environmentally sustainable, and affordable homes — homes that will continue to create vibrant and healthy communities and cities across the country.

Commercial Real Estate

2007-10-05T14:23:00.000-07:00

Korean developer adds to Infinity.
Two new Sky Towers will go up across the street from highrise Surrey condos.

By Michael Kane
Vancouver Sun
Thursday, October 04, 2007

Surrey's Central City area will get the two tallest towers between Vancouver and Calgary under plans unveiled Thursday by a Korean businessman.

The 36-storey and 40-storey residential Sky Towers will be directly across the street from the five Infinity highrises being built at the King George SkyTrain station in the formerly run-down Whalley neighbourhood.
With the first Infinity tower ready for occupancy in January, and four more towers on the way, the addition of the Sky Towers enhances the city's goal of turning Central City into Surrey's downtown community, Mayor Dianne Watts said in an interview.

"This really fits into our vision for our city centre," Watts said. "The seven towers here are going to be just the cornerstone for the whole entrance into city centre." She said applications are being processed for several more towers, both residential and commercial, over the next five years.

Hee Yong 'Edmond' Yang, who operates a 2,000-outlet fried chicken franchise in South Korea, took over the Infinity project after the previous developer, also Korean, faltered under a heavy debt load.
Designed by Patrick Cotter Architects, Sky Towers will contain 900 one and two-bedroom suites, as well as 56 townhouses, with studios starting at $179,900.Each tower will include a 1,000-square-foot rooftop solarium with 50-foot glass atriums, along with a 4,000 square foot rooftop patio offering unrestricted views.

The 36-storey Sky Tower is scheduled for completion in 2010, followed by the 40-storey tower.

"With Sky Towers and the Infinity project, we're looking to build a dense urban mecca," said Cameron McNeill of MAC Real Estate Marketing Solutions. At its heart is the Surrey campus of Simon Fraser University, along with shops, restaurants, and recreational facilities, all within walking distance of SkyTrain."If we look ahead five or 10 years, Central City is going to be one of the most significant urban centres in Western Canada," McNeill said in an interview.

"Surrey is one of Canada's fastest growing cities and this is their downtown core." Unlike Burnaby's Metrotown, which he likened to a mall surrounded by residential highrises, McNeill said Central City will become "a fully-integrated urban centre in a most modern sense, a mini downtown Vancouver." With 150 homes priced at less than $250,000 - almost half the cost of similar units in Vancouver - he said it will also be highly affordable.

By "trying to deliver high-quality residences at affordable prices," Yang, 46, is living up to the three principles that have governed his life, said his spokesperson, lawyer Byron Lee. "First of all you have to be a good person with a good heart. Secondly, whatever you do, you should try to do things righteously and honestly. Thirdly, you shouldn't be in business only to make money but you should aim at benefitting others."

Lee said Yang, who immigrated to Canada with his wife and three children in 2002, is looking for opportunities to build additional homes in the area."He thinks Central City will become a vibrant downtown community. It's very livable with a lot of amenities."

Market Update

2007-10-03T08:27:00.000-07:00

Buyers fuel continued growth in Greater Vancouver housing market.

Vancouver, B.C. October 2, 2007 – The Real Estate Board of Greater Vancouver (REBGV) reports that total residential sales of detached, attached and apartment properties reached 2,776 units in September 2007, an increase of 10.2 per cent compared to 2,519 sales in September 2006.

The inventory of residential properties listed for sale remains stable, with an overall year-to-date increase of 4.1 per cent to 45,054 residential units listed between January and September 2007, from 43,264 for the same period in 2006. The number of new listings increased 8.2 per cent to 4770 in September from 4408 in August of this year.

“There is no single demographic of buyers. They include first-time buyers, people choosing to take advantage of current home equity to ‘move up’ in the market, as well as people coming into Greater Vancouver from other areas. Our data indicates that the majority are purchasing a principal residence,” says REBGV president Brian Naphtali.
“There’s a great deal of choice in the market for a range of consumers today,” explains Naphtali. “While 45 per cent of homes for sale are priced at below $500,000, there are also a significant number - 37 per cent - listed in the $500,000 to $1-million range. Of the active listing inventory of more than 11,000 residential properties, approximately 18 per cent are priced above $1-million.”

According to Multiple Listings Service® (MLS®) data, sales of apartment properties increased by 7.7 per cent to 1,177 sales in September 2007 compared to 1,093 sales in September 2006. The benchmark price of an apartment property in Greater Vancouver, calculated by the MLSLink® Housing Price Index, is $371,718 up 11.1 per cent from one year ago.

Sales of attached properties increased by 27.6 per cent in September 2007 to 500 sales, compared to 392 sales in September 2006. The benchmark price of an attached unit is $452,944, up 10 per cent from a year ago.
Sales of detached properties increased by 6.3 per cent in September 2007 to 1,099 sales, compared to 1,034 sales in September 2006. The benchmark price of a detached unit is $737,927 up 11.9 per cent from last year.

Bright spots in Greater Vancouver in September 2007 compared to September 2006:

DETACHED:
Maple Ridge/Pitt Meadows up 11.8% .......(133 units sold, up from 119)
Richmond up 29% ..................................(147 units sold, up from 114)
Vancouver East up 22.9%........................(172 units sold, up from 140)

New Westminster up 38.1%.....................(29 units sold, up from 21)

ATTACHED:
Burnaby up 38% .........................................(69 units sold, up from 50)
Port Moody/Belcarra up 142.9%....................(34 units sold, up from 14)
Richmond up 38.6% ....................................(115 units sold, up from 83)
Vancouver West up 70.7%............................(70 units sold, up from 41)

APARTMENTS:
New Westminster up 17.4% .........................(81 units sold, up from 69)
Port Moody/Belcarra up 39.1%......................(32 units sold, up from 23)
Whistler/Pemberton up 188.9%.....................(26 units sold, up from 9)

BC Home Sales to Surpass 100,000.

2007-09-27T15:54:00.000-07:00

BCREA Fall Housing Forecast.

Vancouver, BC – September 27, 2007.

The British Columbia Real Estate Association (BCREA) released its fall 2007 Housing Forecast today.

BC Multiple Listing Service® (MLS®) home sales are forecast to break the 100,000 unit mark for only the second time in history. BCREA forecasts that BC MLS® residential sales will hit 101,000 units this year, up 4 per cent from 2006. The highest number of MLS® sales in the province was recorded in 2005, when a total of 106,310 homes were sold. The ten-year average is just under 78,000 units.

“Exceptionally strong consumer demand over the summer months has changed the outlook for this year from declining home sales to the second highest on record,” said Cameron Muir, Chief Economist. “While eroding affordability is squeezing some potential buyers out of the market, the housing stock is increasingly diverse, providing a mix of home types that appeal to a wide consumer market.”

BC home prices are also on the rise. The average MLS® residential price is forecast to climb 12 per cent to $437,000 this year. “While home prices continue to face upward pressure, the rate of growth is expected to moderate,” added Muir. The BC average MLS® price increased 18 per cent last year, and is forecast to rise at a more modest 8 per cent in 2008.

BC housing starts are forecast to decline 7 per cent to 33,900 units in this year and a further 4 per cent to 33,000 units in 2008. While single detached housing starts are trending down, multiple housing starts are holding firm at 21,000 units this year. Multiple housing starts now comprise 62 per cent of all new residential construction activity in the province.

The BCREA Housing Forecast is a semi-annual publication produced in the spring and fall of each year. The report contains forecasts and analysis of the BC economy and housing markets, including detailed forecasts by home type of the province’s 12 real estate board areas.

Commercial Real Estate

2007-09-25T14:51:00.000-07:00

'Manhattaning' Vancouver
Ritz-Carlton brings its luxury brand to world-class city.

Ashley Ford
The Province
Tuesday, September 25, 2007

Photo illustration offers a look at the Vancouver skyline of 2011, one that includes the 60-storey Vancouver Turn at 1153 W. Georgia St.

You could call it the "Manhattaning" of West Georgia Street.
Construction has begun on the 60-storey Vancouver Turn, which includes the Ritz-Carlton Hotel and private residences in the same tower at 1153 West Georgia St.

Within spitting distance, the city's tallest-tower-to-be, the Living Shangri-La, now halfway on its way to 62 storeys, giving downtown Vancouver a bit of a New York look that few would have predicted several years ago.
The two spectacular buildings will dominate the city skyline. Pedestrians are already craning their necks as they walk by and gawk at the Shangri-La. They could get whiplash when The Residences is completed in 2011.

Marketing both projects is Bob Rennie, of Rennie Marketing Systems, who says the towers are architectural signatures that will emphasize Vancouver's arrival as a world-class city. "When you attract two international luxury brands like this, you realize the city, our little baby, has finally grown up," he said. "Luxury brands are always in limited supply and there may be few other opportunities for projects like these in the central business district in the future."

The city is already in a protective stance to keep more office space downtown.
The Ritz-Carlton, an icon in the global luxury hotel world, is being developed by Holborn Developments, a private Vancouver-based company. Ritz-Carlton's operating creed is that it will provide any service for its clients, as long as it is legal, moral and ethical. The project will fill in the last blighted spot along West Georgia. The shell of a previous building that stood empty for years has been demolished.

The 180-metre twisting glass tower atop a glass podium will feature 123 luxurious private residents on floors 27 to 60 with the hotel taking up 130 rooms on the lower floors. The tower has been designed by Arthur Erickson in collaboration with Musson Cattell Mackey Partnership and DYSarchitecture.

The majority of residences are roomy, ranging from 926 square feet up to 4,145 square feet for a penthouse and carry equally impressive price tags starting at $1.4 million up to $12.8 million. Rennie said there is already considerable interest from potential buyers. "We are getting attention from owners of significant properties in Vancouver who value service that goes along with the Ritz-Carlton brand," he said.

"When you are building a quality project such as this you have to think three years ahead of where design and function will be when it is completed in 2011. "For instance, the developers flew me to New York just to look at various kitchen designs," Rennie said. "That is the sort of stringent planning and design that is going into this building."

Market Update

2007-09-20T18:44:00.000-07:00

Home Sales Continue at Torrid Pace

September 18, 2007.

The British Columbia Real Estate Association (BCREA) reports residential sales volume on the Multiple Listing Service® (MLS®) in BC climbed 25.9 per cent to $4.33 billion in August, compared to the same month last year. Residential unit sales increased 12.6 per cent to 9,833 units during the same period. The average MLS® residential price hit $439,931, up 11.8 per cent from August 2006.

BC home sales rebounded over the summer months, climbing 14 per cent June through August, compared to the same period last year. Year to date, BC home sales are up 4.7 per cent to 74,939 units.

“Despite eroding affordability, home sales are on a near record pace,” said Cameron Muir, BCREA Chief Economist. “Preferred retirement locations, such as Vancouver Island, the Okanagan and Kootenays, have experienced the largest increases in home sales this year.” Muir noted that, while home sales are up, the average home price across the province is climbing at a year-over-year rate of 12 per cent, down from a high of 21 per cent in June 2006.

“Barring any unforeseen shock in the market, such as rapidly rising interest rates or a meltdown of the BC economy, less upward pressure on home prices is expected over the next 24 months,” added Muir.

Office Update

2007-09-20T18:35:00.001-07:00

Core office space is at record premium.
At 3%, downtown Vancouver has tighter market than booming Calgary.

Derrick Penner
Vancouver Sun; with a file from CanWest News Service
Wednesday, September 19, 2007

Vancouver's downtown office vacancy rate shrunk to a new low of three per cent, inching past Calgary as the tightest central office market in the country, according to commercial realtor CB Richard Ellis.
Only 645,008 square feet of Vancouver's 21.6 million square feet of offices downtown sit vacant, according to CB Richard Ellis' third-quarter report.

CB Richard Ellis analyst Chris Clibbon added that downtown's vacancy "is probably one of the lowest in North America," when it comes to downtown office availability.
Clibbon added that the opening of the 11-storey, 238,000-square-foot expansion of the Bentall Five building on Burrard Street will create some flex in the market.
"There are tenants giving back some large chunks of space," he said.

"Some will be moving into Bentall Five . . . and there will be some tenant shifts creating some options here and there, but nothing substantial."
Jeffrey Rank, managing director of commercial realtor Cushman & Wakefield LePage, said the subleasing market has provided some relief for the downtown market, providing room for tenants as companies change locations.

Catalyst Paper Corp.'s planned move from the PricewaterhouseCoopers building at 250 Howe St. to a suburban headquarters that will empty three floors in the downtown building is one example of office space opening up.
However, that space in the PricewaterhouseCoopers building was almost immediately leased by existing tenants in the building.
"In some markets, one of which I think we're in right now, looking at purely the percentage numbers doesn't always tell you the whole story," Rank said.
"Still, we're in a tight market. There's no question [about that]."

Cushman & Wakefield's assessment of downtown's vacancy is slightly higher than its competitor at 3.9 per cent.
Clibbon said Catalyst's decision to move out of downtown is indicative of another trend market analysts expect to see as vacancy remains tight.

Suburban office vacancy, according to CB Richard Ellis, was 10.9 per cent across all markets, although the total office space in the remainder of Metro Vancouver is only 17.3 million square feet. By community, vacancy ranged from 8.1 per cent in Burnaby to 22.4 per cent in Surrey.
Meanwhile, half of all new office buildings -- some five-million square feet -- being built in Canada are going up in Calgary, which will dramatically change its vacancy picture. That city's vacancy rate crept up to 3.1 per cent in the third quarter compared with 2.8 per cent in the second quarter.

Nationally, the vacancy rate for Class A space in the third quarter dipped to an "extremely low" 4.7 per cent, with rents climbing to an average $21.99 per square foot compared with $20.84 a quarter ago, according to CB Richard Ellis.
Montreal was the only market with falling prices. Asking rents dropped to $18.09 per square foot per year from $18.83.
"Even with the addition of a sizable amount of new Class A office space, the Calgary market will still be relatively tight market for some tenants because much of the new space coming to the market has already been leased," said CB Richard Ellis president Blake Hutcheson.

OFFICE SPACE SQUEEZE

Surrey looks like the best bet for finding office space in the Lower Mainland, according to CB Richard Ellis.

Office vacancy rates, Q3
Broadway corridor: 2.6%
Downtown Vancouver: 3.0%
North Shore: 5.0%
Burnaby: 8.1%
Richmond: 13.7%
New Westminster: 20.0%
Surrey: 22.4%
Total: 6.4%

Source: CB Richard Ellis

The RE/MAX Quest for Excellance Awards

2007-09-19T22:13:00.000-07:00

RE/MAX 2008 “Quest For Excellence” Bursary Program.

RE/MAX is pleased to offer Grade 12 students the opportunity to earn a $500 bursary to be used towards further education.

Starting September 17th, 2007 and running through until March 7th, 2008, Grade 12 students in Western Canada can apply for one of twenty-four $500 bursaries to be presented at their awards ceremonies. In order to qualify, the student must demonstrate their passion and dedication by writing a short essay on one of the following chosen topics.

Leadership
Sports
Performing Arts
Technology or Trades
Fine Arts
Community/Volunteer Service

Click here for further information on the program: 2008 Quest Information

Submission Instructions
Complete the on-line application form. Click on link to enter now.Deadline for entry is March 7th, 2008. A maximum of one on-line essay per student. 2008 Application Form

We are proud to note past recipients of the Quest for Excellence Awards:
2007 winners· 2006 winners· 2005 winners

If you have any questions regarding this program, please email Marie Sheppy, msheppy@remax.net at RE/MAX of Western Canada.