Chinese buyers are making a lead in the rise of Asian investment in the Vancouver real estate as properties in their country are being dampened to make room for doubling their residential land supply.
Vancouver’s Royal Pacific Realty Company went through such a run of business during the first two weeks of February that agents and assistants worked day and night shifts to find homes for Chinese buyers who were visiting during the Lunar New Year, which Royal Pacific Chief Executive Officer David Choi thought was unprecedented.
Because of the hustle of the Chinese buyers, the sales of detached homes, townhouses and condominiums in metropolitan Vancouver jumped from January this year to 70 percent in February, which is 3,097 units more from 1,819 and were up 25 percent from last year, according to the Real Estate Board of Greater Vancouver.
The rush also caused March sales to climb 32 percent from February, which is just off 4,371 transactions a record for the same month in 2004 and 80 percent better than 2009.
Probably as a result of the increase, Vancouver ranked 3rd in highest housing costs among English-speaking cities worldwide said Canada’s Frontier Centre for Public Policy, with only Hong Kong and Sydney, another destination of Asian immigration, being more expensive.
That is why there is no doubt Canada recently attained a 4.6 national multiple, making it “seriously unaffordable,” while the US at 3.3 was “moderately unaffordable.” If compared, Vancouver is more expensive than San Francisco, London and New York.
Accordingly, good schools, a marine climate and the large, established Asian community which was a result of Canada’s liberal immigration policy made Vancouver attractive to the Chinese.