Investing in the Vancouver has reportedly been relatively safe. But even the most secure place to put money in are not 100 percent bulletproof.
Executive Vice-President Darren Kwiatkowski of Shape Properties said that many agree that when it comes to real estate, "Vancouver is a bright, shining star on many levels." The Vancouver property market reportedly expects to see more people renting and more foreign investments coming in. In addition, Senior VP Jon Ramscar of Jones Lang LaSalle Real Estate said that Vancouver is a "low-risk" market where investments are secure.
A more recent report may contradict what many believe. According to The Huffington Post, diversifying investments is a good strategy for managing wealth and adding a Vancouver property to your portfolio may seem to be a sound decision. Investment adviser Ludovic Siouffi warns though, that it is a fact that people have lost money even in a "low-risk" market like Vancouver.
According to The Vancouver Sun, Real Estate Board of Greater Vancouver (REBGV) broadcasted in January that in 2015 "home sales were the highest annual total in REBGV history." In a previous real estate conference, it was commonly agreed that the market has been overheated for two years already but no one is expecting prices to moderate in the near future.
But Siouffi reminds that prices in Vancouver were not always in a straight line then he said that in 2008, REBGV had reported that home price index for Greater Vancouver dropped by 10.1 percent while units dropped by 11 percent. Siouffi's point is that even red hot markets cannot guarantee investments by 100 percent. That is why the saying that in Vancouver people don't buy homes with their own income makes sense.
So, if the investor already has properties in the Vancouver area, Siouffi suggests, via Vancity Buzz, to steer away from real estate investment for now and further diversity portfolio instead to cut down on risks.
