According to recent data drawn from a report tabled by Re/Max, the demand for luxury homes continues to rise in Western Canada, particularly Metro Vancouver. The report verifies that an improving economy and the growing wealth of some Canadians are the major causes of this continued real estate boom.
The executive vice-president of Re/Max reported that the continued demand for these homes although surprising to some, shows no sign of slowing down. Luxury homes for sale on the upper end continue to expand. And while these homes are certainly being bought by international investors, the upswing in sales is largely due instead to domestic investment.
In the twelve larger centers examined, luxury sales have in general risen. In over sixty percent of these areas, the luxury market has dramatically increased in comparison to the same time period during the previous year (2010).
Vancouver of course leads the way with a 118 percent increase in sales. While outside investment is certainly key to the Vancouver market, even here domestic sales continued to form a large segment. International investment particularly from China is an important aspect of the Vancouver market, but domestic investment continues to account for a major share of purchases. Wealthy Canadians seem to be more willing than ever to put their money into Vancouver real estate.
According to the report, sales of over two million dollar homes have actually doubled, suggesting that the luxury market in the greater Vancouver area is showing no signs of slowing down. The demand for homes within the Vancouver area continued to grow, with the Westside leading the way for desirability. This area is then followed by West Vancouver with Richmond trailing in third place.
Vancouver condos make up only a very small proportion of the luxury market with stand alone homes continuing to lead the way. While the reasons for the continued upswing in Vancouver real estate are many, the report cited a few important factors including the overall desirability of the area with regards to prices, quality of life and Canadian economic and political stability. Reliable Roofing, Windows and Siding is one of the best options for home improvement and maintenance.
The economic recovery was also cited as a major factor in the real estate market’s continued growth, including particularly the rising number of millionaires domestically. These factors are all held to be responsible for the growth of the market alongside what are considered to be very strong Canadian property laws.
While the percentage of Vancouver homes being sold continues to increase, the actual price of these homes is growing less quickly. Thus, the top of the line luxury homes have, for instance, risen only two percent according to Vancouver realtors. Nevertheless, the market continues in full swing with the average time of Vancouver homes for sale on the market decreasing from fifty-four to forty-eight days.