Soaring sales of Canadian luxury homes in first quarter of 2010

The RE/MAX Upper End 2010 report notes a serious upswing in sales of luxury homes in Canada. The report highlights sales and trends in 13 major Canadian centres and 5 sub-markets. It ascribes the double and triple digit - depending on area - 12 month increase in sales to improved economic performance, increased personal wealth, immigration and foreign investment and forecasts a continuation of this trend.
High end homes start at $2 mil in Greater Vancouver, at $1.5 mil in Greater Toronto and Montreal Island and at lower prices in other areas down to $400K in St. John's.

Vancouver prices and number of sales keep increasing

The Real Estate Board of Greater Vancouver reports that in March 10 compared to March 09
- the benchmark price of a residential properties is 20.3% higher and 2.8% above the previous high point of May 2008.
- the number of listings is 7.6% lower but 19% higher than in February 2010 (my comment: this was very much influenced by the Olympics)
- the number of sales was 38.5% higher but only 4.7% higher than in March 08 and 12.4% lower than in March 07.

HST and new homes

HST is set to be implemented on 1 July 2010 and would increase the price of new homes by 7% minus a maximum of $26,250. It would also increase the tax on many other items by the same percentage: second hand cars, all services, restaurant meals, hairdressers, gym memberships, etc. This evening the anti HST campaign of Bill vander Zalm was officially launched in Kitsilano, the riding of Premier Gordon Campbell who introduced the HST.

The market for some entry level houses is hot

The market for entry level Eastside houses is hot. Listing Realtors will often advertise a one hour opportunity to view the house shortly after listing and frequently prospective Buyers and their Realtors will line up before the advertised time followed by a mass walk through. Houses in the $550K to $700K price range - if realistically priced - will often sell within a few days around asking price.
Two issues to investigate before lining up: height of ceiling in lower level and size of usable lot (lot minus right of way, covenant or other restriction).

Increased interest rates for fixed rate mortgages

TD, RBC and Laurentian bank have increased their rates for fixed rate mortgages by up to .8% and the other financial institutions will without a doubt follow. The increase of the bond yield is quoted as justification. The entry level market will be effected by this increase, higher priced homes will most likely continue to sell without change.
Variable rate mortgage rates are unchanged.

Stunning brand-new view home in West Vancouver

Just sold the most wonderful home in Chippendale Road, West Vancouver to the most wonderful Buyers. The view is unbelievable, the floor plan fantastic and the finishes and workmanship exceptional. The Seller and builder did an outstanding job and were a pleasure to work with. Compliments to all involved.
The recovery has definitely reached the higher price ranges - properties in all price ranges are selling well. If you are looking to buy a brand-new home, now is the time before the introduction of the new tax HST on 1 July 2010. The Seller of the beautiful home in Chippendale Road has another brand-new home for sale and I know of several other great homes in the area that are not listed on MLS. Contact me if you like further information - tel 604 926 3936 or christinelouw@shaw.ca, http://www.christinelouw.com/

Strong sales during and after Olympics

During the Olympics the CAD 22.3 mil penthouse of Three Harbour Green in Coal Harbour sold and so did many other properties. The Vancouver real Estate Board reports that in February '10 compared to February '09
- the number of sales increased by 67.1%
- new listings increased by 17.6%
- total listings declined by 21%
- the benchmark price for all residential properties in the Greater Vancouver area increased 19.7%

Vancouver's fabulous big party - the Olympics - ended with a bang.

******************************************************************Congratulations to John Furlong, other members of VANOC, volunteers and all who organized this wonderful event. It was so fantastic, so much fun for all! The organization it took to stage the Olympics was huge and must sometimes have been daunting but you did it and you did it so well. No doubt the Paralympics will be equilly well organized.

The Olympics created a positive happy atmosphere in Vancouver and made people so much more friendly, co-operative and tolerant. And the last day with Canada's hockey gold medal, a stunning closing ceremony and fireworks made a great end.

Time will tell how many of our Olympic visitors came to like Vancouver so much that they want to return and buy a home.

West Vancouver "user fee" (read: tax) on home fire alarm systems

In 2009 West Vancouver introduced a new tax levied on monitored home fire alarm systems.

Instead of the municipality rewarding home owners for paying an alarm company in an effort to prevent or reduce fire damage and as a result the use of services of the fire department - as insurance companies do - the West Vancouver municipality sees alarm systems as an opportunity to get more money out of the residents. The municipality calls this tax a "user fee" - the only problem is that the "user" does not use anything.
Homeowners also get fined for false alarms. Even if one agrees that this tax is a user fee, how can there be a user fee and a fine for the same service?

If the fire department has to attend to a fire in a home without a fire alarm system, the homeowner does not get charged a user fee even if the fire could have been wholly or partly prevented with an alarm system. So there is no tax/user fee for preventable use of the fire department but there is a tax/user fee for trying to prevent or minimize their use.

What is next? A tax on hardwood floors, showers? Kitchens would be a good source of revenue because every home is sure to have one. Let's think how that can be interpreted as a user fee.

Stunning well priced condo in Two Harbour Green, recent sold condo in Fairmont Pacific Rim

SOLD

2509-1011 W Cordova, Coal Harbour (Fairmont Pacific Rim Estates) sold on 14 Febr 2010 not far below the asking price of CAD 5,488,000. This condo faces North West, is 2,669 sq ft with 2 bedrooms, 3 bathrooms, a den and 2 parking.

ACTIVE listing
I have a great listing at 1139 W Cordova, Coal Harbour (Two Harbour Green): NW facing as well, slightly higher floor, 3,363 sq ft with 3 bedrooms, 4 bathrooms, 3 parking and CAD 400,000 spent on upgrades. Asking price of this impressive condo is CAD 6.6mil. See the listing details of the condo at 1139 W Cordova.
Other condos for sale at the Fairmont Pacific Rim Estates
Please contact me at 604 926 3936 or at christinelouw@shaw.ca for further information or to make an appointment to view these or any other condos.