Vancouver's real estate market is expected to continue to heat up through 2016.
According to News 1130, a new report from Royal Lepage suggests that prices will continue to soar this year. On the other hand, the growth rate is slow, which could actually be an advantage. Royal Lepage CEO Phil Soper then reportedly said, "The frenetic pace of our country's largest housing markets should moderate throughout the year ahead.
While most of the country will continue to see house value appreciation in 2016, we expect that the pace of price increases in Greater Vancouver and the Greater Toronto Area - where real estate appreciation has significantly outpaced job and wage growth - will settle to a more sustainable, single-digit price increase trajectory."
In addition, Alan Stewart with Royal Lepage said that the future cannot yet be predicted. He said, "The indicators now are for more price increases so the longer you wait, the more it will cost you until there's a correction of some kind." He noted that the indicators today lean toward price increases as time goes by. Indicators are all pointing north and there doesn't seem to be any indicator that the increase would slow down even if the increases don't look sustainable.
All of us are expecting some kind of a softening in terms of the amount of increases. Effectively the rate at which prices are going up doesn't seem to be sustainable but we just can't see any indicator of things slowing down," News 1130 quotes Alan Stewart.
Steward has also added even the affordable condos in areas within half hour of Vancouver such as New Westminster and Burnaby will see skyrocketing prices that eventually those units are speculated to catch up to the rest of the markets. Stewart also notes that the low dollar will keep attracting foreign investors to high-end real estate sectors