Any comments on the story from the G & M on the Vancouver realestate market? Here is the link.
Well after reading that it sounds to me that one should conclude that Vancouver will be a little island unto itself inhabited by wealthy Chinese and not part of Canada. I don't know that I buy all the arguments that money will just keep flowing. And certainly, the article eludes to the question of what can happen if China's real estate market suffers a set back.
The point of the article which is disconcerting is that it suggests one conclude the following: local fundamentals and supply/demand of end users is not relevant in this market because the high end and increasing the middle market can only be afforded by wealthy immigrant investors/end users. Great but better hope that that continues indefinately because if that underpinning is removed, the only conclusion is that Vancouver would suffer a drop making the worst hit markets in the US look good.
I realize they say it won't happen. I just think this is a shakey foundation to base the local real estate upon.
That said, the article is anectdotal in nature but is interesting for how it portrays the Vancouver market. Certainly this would make Vancouver unique as far as markets go for the rest of Canada and even unique comparing it to most major US markets.