Absurd Vancouver Property of the Week (June 13, 2012)
I think it’s (un)reasonable to assume that if you have less than $1 million to spend on a house in Vancouver, you are going to be dealing with an old timer/fixer-upper. Say you have just under $800K to invest in a home.
In Toronto, your fixer-upper would look like this:
This detached 3 Storey Victorian home on a 30 x 114 lot offers a private driveway plus lane access at the rear of the property, a converted 2 car garage ready for a studio or work at home situation. It was sold in “as is” condition and went for over asking price back in April. Definitely needs some elbow grease, but looks like there are good bones here.
In Montreal, for your $800K, your “old timer” would look something like this:
This large detached 4 bedroom home is located close to Concordia University. Lots of charm with woodwork and renovations include a kitchen addition and back mudroom, attic renovation, repositioning the stairs to the attic, among others. Could use some modern updates, but overall, a nice little project house. It sold earlier this year.
In nearby Seattle, there are loads of old, charming houses to choose from. Including this one is listed at $785,000 (USD)
With 4 bedrooms, 3 bathrooms the house has been somewhat updated throughout. There is still room for some improvement, but it is a cute home close to the city centre.
Last but not least, our Vancouver old-timer/fixer upper for $789,000:
You could restore this beauty (it is duplex zoned, yippee!) or build new.
Vancouver…are you f*%#ing kidding me??
Yes – it is amazing what little you can get for your money in Vancouver these days. I have a client with a $1M dollar property – old timer on West side and it needs a bunch of work – likely $200K- or more – will it be worth it? You really have to be clear on what you are buying – and why you are buying…
For the property posted in this article – maybe some nice drapes and some paint
What do you think a solution would be to make housing more affordable? i.e, does government need to scrutinise money coming into the country more aggressively? That’s one example.
I’m not sure…there are lots of factors…foreign money is certainly one. Other factors like lending rates, lack of prudence on the part of buyers and responsibility on the part of banks…and then, of course, there is greed. Some argue that the re-zoning and densification of Vancouver will make it more affordable (i.e. smaller, more affordable homes within city limits)…
The real problem is lack of ground. From the North Shore mountains to Marine Drive, and east/west from UBC to Boundary, there is none left. The rezoning is causing major greed, and developers will have massive costs, so I’m struggling to see how “more affordable” is going to work. The sad part is that the media ask opinions of people like Rennie, who is a salesman-what do they expect he is going to say?
This is what he says and what I have to say about it:
http://thethirtiesgrind.com/2012/05/18/rennie-says-boomers-will-sell-homes-and-help-their-kids-purchase-but-will-the-kids-still-be-in-vancouver-when-this-happens/
Perhaps a glimmer of hope?
http://www.realtor.ca/propertyDetails.aspx?propertyId=11988895&PidKey=311671320
The land is assessed at $653,000 so in my mind the deal is not great.
And you really need to be careful that you don’t over renovate.
People may find the posts, and comments, on this real estate blog food for thought. It has too much attitude for my liking, but it has lots of relevant information about house prices in Canada, whether you agree with it or not.
http://www.greaterfool.ca
What does too much attitude mean…exactly?
You’ll have to read it to find out. You’ll know what I mean when you do.
EH, I think that you’re confusing sarcasm for ‘attitude’. It’s meant to be humourous!
Well maybe it’s just me but I find the smugness and arrogance of the author and many posters a bit much, even though I agree with the overall premise if the blog (not mine – I just read it). I do know that to a point it’s supposed to be humorous. In any case, it doesn’t matter – the info in greaterfool.ca is valuable and I do believe that our inflated RE market is about to, or has already burst. I’m glad I sold last year. Renting now.
I love how the term “fixer-upper” has become agent speak for “bring your own wrecking ball.” Call me picky, but I like my $800,000 house to at least come with a front door….
Is that a cardboard box??? That doesn’t even look liveable!
OK, I see that fixer upper has RM4 zoning, which may make it a good deal. Also it’s right by Commercial, another good thing.
Sorry to sound obtuse EH, but I read your blog, and still don’t understand how this thread has too much attitude. Forgive me if I missed the obvious….Reasons mommy drinks kind of got me caught up in a bottle of wine.
The Vancouver old-timer… Why did someone decide to put a doorway on the top floor that leads to nowhere.
“Can I use your washroom?”
“Yes, just open that door and step through.”
#trolling.
Hey Melissa, I’m new to your blog, looks terrific. (I’m okay with smug.) The reason prices in Vancouver are so high is very straightforward: mountains to the North, ocean to the west, the US border to the South and possibly the only piece of of NDP legislation I ever grew to love, the Agricultural Land Reserve.
This house is in Foreclosure and being sold as-is where-is and has numerous realtor comments regarding the current condition and proccess this property is involved in. A family lives in this house and they are losing their home. It isnt right to make a spectacle of them on your blog resulting in numerous tweets and comments regarding their living conditions and poor fortune.
Thank you for your comment. It is certainly not the intention to make a spectacle of the people living in this home…just the price of housing in Vancouver. It is important to note that when real estate prices are inflated to the point there are here, many families run the risk of losing their homes. I am trying to shed light on that also.
thanks for the reply. this house didn’t fall into foreclosure due to prices increasing. in fact prices dropping 5% will result it far more foreclosures than a market on the rise. but I understand what you are saying.
$789,000 for a duplex zone. good deal. you can make some good money building 2 units on 1 plot of land.
Haha Sorry but I laughed hard at the sight of your last property picture.
I’ve been hearing a lot about the absurd real estate prices in Vancouver and you just reaffirmed it. Would it happen to be because a lot rich Asians are coming over and buying up all the houses?
That’s a large part of it IMO.
Agreed that the price is a little dear on that one… that being said (as someone mentioned above) that is a duplex lot. an investor would likely knock that down and build a duplex on that. Keeping that in mind, it would make the comparables that are used in this article null since its comparing apples to oranges… I personally prefer oranges, little more work but have more juice!
I find this blog entertaining with how its written but I feel that it is quite skewed and bitter for the most part. An example of this is the previous weeks R U F**** kidding me:
http://thethirtiesgrind.com/2012/06/07/absurd-vancouver-property-of-the-week-june-7-2012/
This property is asking 3.1 Million… Being that it has been on the market for AN ENTIRE YEAR, you could probably draw the conclusion that its over-priced severely. Another thing to take into fold is that we are looking at an asking price not a sale price so really the place in question for the June 7th post is speculation since it hasn’t sold and likely at that price isn’t going to…
Not bitter…just think it’s absurd (and like poking fun at it).
Heh granted that prices are definitely high, I think that the past couple weeks have been pretty in accurate portrayals of what is actually happening… The last sale was a couple of blocks away on the same street for 1.7m… (in reference to the one that is asking 3.1m).
I think people also need to stop and take a solid look at what it is they WANT compared to what they NEED. I personally am self employed and thus work from home… I think Downtown is great, but they reality is that I don’t NEED to live there. So I take the money that I would spend on a shoebox apartment and move the 30mins Skytrain ride out of there to afford a nice 2br apartment.
I believe that if a lot of people would take this into account the real estate scene wouldn’t look as bleak as our new papers and fear mongers would have us believe.
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