The Vancouver real estate market has a reputation for sky-high prices and cutthroat competition, but a Port Coquitlam city councillor says it’s not just the big city where prices are out of control.
“It’s happening in the suburbs too,” says Coun. Brad West.
Earlier this week, a house in Point Grey sold for more than $1 million over its $7.8 million asking price. The 4,000 square-foot home was built in 1928 and last sold in 1986 for just $498,000. Every offer in the bidding war was made in cash.
“Over $9 million, cash, for a home in Vancouver? Who has that type of money?” West asked.
Homes aren’t quite that expensive in Port Coquitlam, but West told CTV News that bidding wars, cash offers, and foreign buyers are becoming increasingly common in that city.
He described an open house he visited recently for a “modest,” 2,400-square-foot home with a small backyard that was listed for $1.1 million. A price he said is unaffordable for most people who live in Port Coquitlam.
“The house will sell in under a week, it will go for over the list price, there will be multiple offers,” West said, summarizing a conversation he had with the real estate agent selling the home. “The overseas demand is making local demand irrelevant.”
It’s time for politicians to stop “hiding” from the issue of foreign ownership in Metro Vancouver, West said, arguing that the province needs to collect data on where buyers are from -- something it has started doing -- and consider implementing a tax on nonresident owners.
“It’s a complex issue, I understand that, but we need to start talking about it, and start looking at our options to address it, because the status quo is just not sustainable for most people in this province,” West said.
