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The Canadian Housing Boom Fueled by China’s Billionaires

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Re: The Canadian Housing Boom Fueled by China’s Billionaires

#101

Post by [deleted] »

jackcosgrove wrote: post #9
happyslobro wrote: post #8

I think that the real problem is that so many people are trying to concentrate into the densest areas. That creates huge pressures, which are reflected in the price of space. Take a look at the cities with populations below 100K. You will find lots of people who live great lives, despite not being rich. For those of us who grew up in these little island towns, living in a place like Vancouver is downright depressing,…

I used to think you had to live in an "it" city to make it. Then I realized that I could make my life whatever I wanted to be more easily in a less expensive place. The chains were in my head.

[deleted]

Re: The Canadian Housing Boom Fueled by China’s Billionaires

#102

Post by seanmcdirmid »

mastazi wrote: post #98
Apocryphon wrote: post #31

Earlier quoted context omitted.

Perhaps Montreal can do the same, if the city finds some way to sidestep the provincial language laws.

Learning a second language is a great thing - your mind becomes more flexible and you get access to movies, books and songs which you wouldn't be able to enjoy otherwise - having to cope with language laws, though, sucks big time.

Yes, I know mandarin and English. Wait, I have to learn French also? Pass.

I had the same problem in Lausanne, though French wasn't required for my job. I just couldn't completely devote myself to my research AND learn another language concurrently.

Re: The Canadian Housing Boom Fueled by China’s Billionaires

#103

Post by bb101 »

ido wrote: post #22
FreedomToCreate wrote: post #13

A running joke in Canada is that BC stands for "Bring Cash". This is what happens in a completely unregulated market. Good in the short term, disastrous in the long.

Isn't BC vast and mostly empty though? Last I looked purchase prices in Vancouver island (aside from Victoria maybe) were about the same as or lower than rural areas in Germany.

95% of BC is Crown Land though - either reserved by the government, covered by fresh water or designated agricultural-use only (ALR). Only 5% is available as private land.

A useful overview map: http://40.media.tumblr.com/2410fe72393357ea0b00f50272065562/...

Re: The Canadian Housing Boom Fueled by China’s Billionaires

#104

Post by celerystock »

Apocryphon wrote: post #31
lpaone wrote: post #30

What isn't talked about in this article is the effect this is having on the other industries in the city aside from real estate. I believe that Vancouver has potential to be THE tech hub in Canada. Unfortunately, wages are very low compared to the cost of housing, and so the cost of living is super high. Combine that with extremely low vacancy rates, and it is very hard to attract talent from out of town. In fact, ma…

Perhaps Montreal can do the same, if the city finds some way to sidestep the provincial language laws.

Unfortunately the software industry in Montreal has decided that developers are not valuable. Salaries are hilariously low compared to american counterparts.

Re: The Canadian Housing Boom Fueled by China’s Billionaires

#105

Post by aminok »

lpaone wrote: post #30

What isn't talked about in this article is the effect this is having on the other industries in the city aside from real estate. I believe that Vancouver has potential to be THE tech hub in Canada. Unfortunately, wages are very low compared to the cost of housing, and so the cost of living is super high. Combine that with extremely low vacancy rates, and it is very hard to attract talent from out of town. In fact, ma…

Billionaires buying houses does not increase housing costs. You do not need to purchase a Single Family House in Vancouver to have housing. You can buy a condo, the prices of which are totally uncoupled from SFHs, or rent. If foreign investors were leaving the houses they buy empty, and thus removing units from the housing stock, you might be able to make a case for foreign investment negatively impacting Vancouver housing costs, but that's not what's happening. The percentage of homes in the Vancouver West Side, where foreign investors are exceptionally active, (edit to add: 'that are unoccupied') is only 3 percent, which is below the typical rate for major cities.

What this means is that foreigners are not leaving houses that they buy in Vancouver empty. They are being rented out. The rental cost in Vancouver are below Seattle's when you compare it to the median wage so then couver housing as far as rentals is actually more affordable than neighbouring Seattle.

Re: The Canadian Housing Boom Fueled by China’s Billionaires

#106

Post by seanmcdirmid »

aminok wrote: post #105
lpaone wrote: post #30

What isn't talked about in this article is the effect this is having on the other industries in the city aside from real estate. I believe that Vancouver has potential to be THE tech hub in Canada. Unfortunately, wages are very low compared to the cost of housing, and so the cost of living is super high. Combine that with extremely low vacancy rates, and it is very hard to attract talent from out of town. In fact, ma…

Billionaires buying houses does not increase housing costs. You do not need to purchase a Single Family House in Vancouver to have housing. You can buy a condo, the prices of which are totally uncoupled from SFHs, or rent. If foreign investors were leaving the houses they buy empty, and thus removing units from the housing stock, you might be able to make a case for foreign investment negatively impacting Vancouver h…

Are they renting them out? I've heard speculators buying housing and then just sitting on them are turning some Vancouver neighborhoods into host towns. Is there anywhere we can get occupancy numbers? Also, aren't Vancouver rents higher than Seattle?

Re: The Canadian Housing Boom Fueled by China’s Billionaires

#107

Post by aminok »

seanmcdirmid wrote: post #106
aminok wrote: post #105

Earlier quoted context omitted.

Billionaires buying houses does not increase housing costs. You do not need to purchase a Single Family House in Vancouver to have housing. You can buy a condo, the prices of which are totally uncoupled from SFHs, or rent. If foreign investors were leaving the houses they buy empty, and thus removing units from the housing stock, you might be able to make a case for foreign investment negatively impacting Vancouver h…

Are they renting them out? I've heard speculators buying housing and then just sitting on them are turning some Vancouver neighborhoods into host towns. Is there anywhere we can get occupancy numbers? Also, aren't Vancouver rents higher than Seattle?

The city of Vancouver did a very rigorous study, and found unoccupancy in the West Side, where much of the foreign investment has been going, at only 3 percent:

http://vancouver.ca/news-calendar/city-releases-comprehensiv...

Which is below the average for other major cities.

Re: The Canadian Housing Boom Fueled by China’s Billionaires

#108

Post by MarchHare »

Hondor wrote: post #81

Are there examples of very lightly regulated housing markets in developed countries? Does that really lead to bad things like people say? I know it can cause slums in poor countries. But would California or Vancouver somehow fail if they allowed unlimited high density construction and development in what's currently undeveloped land? Are there examples of that happening before?

My understanding is the Vancouver has light regulation in some aspects, hence the term Vancouverism: https://en.wikipedia.org/wiki/Vancouverism

Re: The Canadian Housing Boom Fueled by China’s Billionaires

#109

Post by bb101 »

throwaway201607 wrote: post #73

There are some simple fixes to people's issues. 1) Charge more for everything 2) If you cannot get a good deal, then leave. 3) Stop playing games where you sacrifice yourself trying to compete against people who sacrifice very little but have much. These billionaires are flippant about these things because it cost them nothing (personally) to get the wealth. When you make $64M a year, a $4M condo is nothing. But when…

The governments of most western countries have betrayed their citizens with globalisation and loose regulation. Freedom to transfer money across borders, access to markets with little responsibility or accountability.

Some make a fortune during the turbulence, others suffer poverty or virtual slavery. The peaks become higher and the troughs lower.

I have trouble believing that this is the world foreseen by the original proponents of neoliberalism. Freedom is a wonderful thing, but not when it facilitates and entrenches unfairness.

My grandfather, who lived through a similar period of financial disparity in the 1930s refers to it as "wild capitalism". No need for a crystal ball to predict what may happen next.

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