New B.C. foreign buyers tax pushes down Greater Vancouver property prices

Prices for detached houses and townhomes in Greater Vancouver slumped in October but remained steady in the Fraser Valley.

Government actions such as B.C.’s new foreign buyers tax put more downward pressure on property prices in Greater Vancouver.

The Real Estate Board of Greater Vancouver showed a 1.4 per cent decrease in the benchmark price of detached homes compared to October of last year, down to $1,545,800 from $1,567,500. Townhome prices in the GVRD also showed a slump – down to $669,200 from $676,300.

(story continues below photo)

Cheaper properties didn’t help shift houses either. New listings for detached, attached and apartment properties in Metro Vancouver totalled just 3,981 in October— a 17 per cent decrease compared to September when 4,799 properties were listed.

“Changing market conditions compounded by a series of government interventions this year have put home buyers and sellers in a holding pattern,” said REBGV president Dan Morrison.

The provincial government introduced a 15 per cent tax on property purchased by foreign buyers in Metro Vancouver on Aug. 2, in a bid to discourage investment by non-resident foreign nationals or corporations they control.

However, real estate prices are still up compared to October last year. Detached homes are up 28.9 per cent in the REBGV area, which covers much of Metro Vancouver but excludes Surrey, White Rock, Langley and North Delta. Townhomes are up 25.7 per cent and apartments are up 20.5 per cent.

The same slump wasn’t reported by the Fraser Valley Real Estate Board, which covers areas not subject to the foreign buyers tax such as Abbotsford and Mission, as well as parts of eastern Metro Vancouver where it does apply, such as Surrey.

Detached homes showed a 0.7 per cent decrease in price from $878,100 to $872,100 but townhomes showed a 0.5 per cent increase (from $419,300 to $421,300) and apartment prices rose by 1.7 per cent (from $250,00 to $254,300) as well.

Compared to last year, FVREB benchmark prices are up 34.3 per cent for detached homes and townhomes while it was up 25.2 per cent for apartments.

Sale numbers in the Fraser Valley peaked slightly above the 10 year historical average for October.

“Sales activity was healthy in October, especially in the townhome and apartment categories. With prices beginning to level-off, it appears that buyers are becoming more motivated to explore the Valley’s available inventory,” said Fraser Valley Real Estate Board president Charles Wiebe.

 

@katslepian

katya.slepian@bpdigital.ca

Like us on Facebook and follow us on Twitter.

 

Just Posted

Surrey wants BNSF to slow Crescent trains

Mayor Linda Hepner said ‘it’s the least we can do’

Rail-safety forum planned for White Rock this Friday

Event to include municipal, federal, provincial governments

White Rock open house to discuss city’s aquifer protection plan

Examination of potential hazards includes increased population, climate change

‘Connecting Threads’ and more in Surrey Art Gallery’s fall shows

Free admission at opening reception and panel discussion Sunday afternoon

SFU unveils new lab at Surrey Memorial Hospital

Combination of MRI, MEG allows for ‘best possible windows’ intro brain function

B.C. RCMP turn to Const. Scarecrow to shock speeders into slowing down

New addition will watch over drivers from a Coquitlam median for first-of-its-kind pilot in Canada

B.C. home to 1/3 of Canada’s overdose deaths in first 3 months of the year

There were 1,036 overdose deaths in the first three months of the year, with 94 per cent accidental

B.C. candidate moves from hospice care to council race

He beat terminal cancer twice and entered hospice when he decided to run for council.

Canadian tobacco exec pushes back against vaping health concerns

A warning from Interior Health about the unknown health risks of vaping is getting a partial rebuke

New ‘meowyoral’ race featuring felines announced by B.C. animal shelter

Organizers hope the cat election will generate attention for shelter and local municipal election

Ministry of Agriculture commits $300,000 to help B.C. farmers obtain land

B.C. Land Matching Program supports access to affordable farmland for young farmers

Canadian air force short 275 pilots

Attrition outpaces recruitment and training claims Air Force

Teacher suspended after physically shushing, saying ‘shut up’ to student

Grade 5 student reported feeling ‘confused and a little scared’

Most Read