The State Of The Housing And Condo Market In Vancouver, BC

There are some interesting trends in the housing and condo markets in the Vancouver, BC metro area. Within the past year or so, the average home price in Vancouver rose 14 percent and now sits at around $1 million. This price reflects a rather steep climb over the last 35 years, wherein prices have effectively doubled, even when adjusted for inflation.

One of the more interesting developments in the Vancouver, BC condo market has been the recent availability of residences that are located in what was the Olympic Village during the most recent winter games. The complex was converted into just over a thousand high-end condos, and nearly half of them have been pre-sold. The sudden availability and popularity of these units has some folks wondering if the housing bubble - which seemed to skip Vancouver and BC the first time - is about to come bouncing in.

The Village was rechristened Millennium Water and tours of the grounds are bringing in around a hundred visitors per day. The condos themselves were created with some impressive energy-saving features, such as green roofs and shades that automatically help regulate the temperature inside. The price for an 815-square-foot, 1-bedroom unit is C$879,000 - meaning these units are about $12 pricier per square foot than the average square foot in Manhattan.

Also worth noting about the British Colombia housing market outlook for 2010 is that, after experiencing a rise of a little over 2 percent in the year 2009, residential prices on average are expected to go up by over 6 percent in 2010 and another 1 percent in 2011.

To the outsider, it may seem like Vancouver's chief industry is the buying and selling of real estate. As soon as you step off the plane in this beautiful city, you are inundated with advertisements for planned condo communities, many of which aim to be little worlds in themselves with schools, shops and resort-level luxuries.

The market appears to have shifted from one that was more favorable to sellers to one that is more balanced. There has been an increase of supply, both in existing houses and in new construction, which is expected to contribute to the increasing equilibrium in the market.

However, mortgage rates are on the rise; in fact, they were just recently bumped up considerably. It is believed that this could dampen the enthusiasm for buying houses and condos and bring more moderation to the price increases.

All in all, the house and condo market in Vancouver, and in all of BC, appears set for some interesting times with buyers and sellers battling it out for the more favorable vantage point.