jungle drums…
The cost of owning a home rose to its highest level ever in B.C., with Vancouver topping a list of major Canadian cities ranked by how much it costs to own a home.
Owning a detached bungalow would suck up 74% of median household income in Vancouver. That compares with 47% in Toronto, 42% in Calgary, 37% in Montreal and 32% in Ottawa.
http://www.financialpost.com/story.html?id=375562
So, needless to say, we’re approaching our second year renting here in Vancouver. Things just get crazier and crazier…and we can’t believe people are still buying. Starting to see lots of stores going out of business and restaurants closed by the handful. Most claiming that they just can’t find the staff to work. Unemployment is at an all time low…and the Canadian dollar is soaring and BC had a *negative* saving rate last year. Things are starting to creep us out abit…and we’re starting to batten down the hatches for a storm.
http://langley-financial-planning.blogspot.com/2008/01/vancouver-real-estate-bubble-uberpost.html
March 14th, 2008 at 10:12 pm
As your quoted passage mentions, to live in Calgary only claims 42% of median household income…and there has already been about an 8 – 9 % correction in SFH prices here since July ‘07…Compare that with Van’s 74%, and bustling or not, Vancouver’s economy can not compare to the petro-pumped Alberta economy…batten down the hatches, indeed. This Langley Financial blog really is very good.
March 22nd, 2008 at 9:21 pm
There’s an old adage that goes, “there’s always one weirdo on the bus, and if you can’t find him, YOU are the weirdo.” We really are starting to feel like we must be the weirdo, since we’re the only people we know who think buying a house in Vancouver right now is a sucker’s bet. Everyone else either quietly disagrees, or repeats the “it’s-different-here”, “real-estate-never-goes-down” spin verbatim.
It’s gotten to the point I almost HOPE I’m wrong because the alternative is getting a bit scary.