In Vancouver, a lot of money doesn’t mean a lot of house. However consumer confidence is strengthening and homeowners seem to be in the mood buy, which could send prices soaring even higher. In fact, prices are expected to increase by two percent this year. It’s great news for homeowners, but not so great for people trying to get into the market for the first time.
The Average Price for a Detached House
According to the recently released Re/Max Spring Market Trends Report, the growth is spurred by the domestic market, including first time buyers and those trading up. However, taking into account that housing prices have risen nearly 35% since 2009 and the average price for a detached house is now $1.2 million, it’s no surprise these would-be homeowners are looking towards the more affordable pockets of the city.
There are buckets of people looking for anything under $1 million, and East Vancouver is where they’re heading. While there’s no denying that pockets of the East side are still developing, this artistic community boasts a diverse restaurant scene and plenty of mom and pop shops that are sure to appeal to couples and families.
East Side Houses
An east side house home listed for $599,000 recently made headlines because of the “affordable” sticker price. It sold for $643,000, even though it has no front yard and faces noisy Clark Drive. While this obviously isn’t the answer for everyone, a one million dollar property means something you can easily renovate while a larger investment offers comfort and style. “For around $1.5 million you get something you want to go home to,” says Sotheby agent Gregg Close. “It’s like the way Kitsilano used to be. I know builders who tell me they’re looking for a 33-foot lot on the west side, and I ask, ‘Why?’”
Vancouver’s geography means inventory will always be limited. Throw in an increasingly stable economy and low interest rate, and it’s no surprise that consumers are in the mood to buy once again. And this time they’re looking east as a relatively affordable entry point into one of the most expensive housing markets in the world.