nsp

Just wanted to point out to all would be immigrants that while there are lots of discussions on this forum regarding the pros and cons of moving to Vancouver, I rarely see a frank discussion on what I believe to be the biggest disappointment in our move here four years ago, namely, the crappy housing market.

House prices more than doubled in Vancouver over the last 10 years but salaries did not increase to match.

This means that we scraped into our current neighborhood in Burnaby and paid over 600K two years ago for a very mediocre home, and live alongside neighbours who earn a lot less than us but can easily afford their mortgages because they bought 10 years ago when the house cost $250. We are surrounded by people in this situation who can go on regular vacations to Hawaii and admit to having no money problems while we on the other hand pay over $3000 in mortgage payments a month, even though we easily out earn our neighbours salary wise.

If you want to live within 30-40 mins from downtown expect to pay at least $600 and more likely $700K to 800K for a two storey house, one "storey" of which is often an unfinished basement, with a very small garden. Over and over again, we were shocked to find that we were outbid on houses which were listed as 4 bedrooms even though two of those "bedrooms" were in the "unfinished" basement and often didn't even have windows.

I often wonder if all the expats on this forum bring a lot of equity with them, we didn't as we were in our late twenties and were renting before we moved and we certainly felt the pinch when it came to house hunting.

If I knew that my husband and I would have to both work full time to pay for a house we can barely afford and certainly don't love, I would have thought twice about choosing Vancouver as a destination.

The bottom line is, unless you can bring a huge chunk of change to put towards a down payment, or unless you are ok with a long commuteto downtown, you may end up as disillusioned with the housing market as we have become.

So a note of caution - Vancouver is very, very expensive without the salaries to match.

el_richo

No offence intended but didn't your research before you moved there flag this?

I'd have thought renting in Vancouver would be a palatable option since rental costs are reasonable compared to property prices if you lack equity. Owning certainly is a nice luxury but when you struggle to "live" and don't enjoy the property, i feel for you.

So in short, i would hope people looking to up sticks and move to another part of the world would research enough to understand the pros and cons of their chosen country. I'd also hope people would understand their financial limit and the impact living to it may have on their life for the benefit of owning property.

I hope things improve for you in this instance

Yelkcub

Sorry to hear about your problems but I must say that this would apply if you moved to any major cosmopolitan city - house prices have increased over the last ten years in most instances with a drop in the last three years due to the credit crunch - ten years ago in London (UK) a two bed flat in North London suburb within the North Circular cost @£70K and had increased to @£300K in early 2007 with a subsequent decrease to @£250K currently - I am sure that those who bought in 1997 are rubbing their hands with glee whilst any one who bought in 2006 is worrying about negative equity. I am sure that this applies about most major cities.

At least in Vancouver you have incredible scenery and other perks which is why you probably chose to relocate there in the first instance.

Samsara

I live in Rome, Italy and it is the same story here. Housing prices have quadrupled since I arrived in 1997 and it has been impossible to buy even a tiny studio apartment 40 km from the city centre.

I'm moving to Vancouver in March and I'm looking for a reliable mover with reasonable prices. Any advice?

spankysparkle

Hi Samsara
you'll get more responses if you post this as a new thread under canada immigration. there should also be older threads regarding this if you do a search for movers.
good luck

paolosmythe

With all things considered, and i admit to having been here for only a few months....... this housing market situation is not only a Vancouver based issue (as already said).

For me personally, I pay less rent now for a much bigger place than what i endured in London, in a much more beautiful city, with an infinitely higher quality of life.

If 'my world' could only be measured in property prospects then perhaps too i should be feeling glum. However, it is not and as such, I am (currently at least) a very happy camper.

iaink

Isnt it much the same in any large city?

Certainly in the UK property costs have outstripped salaries, mortgages for 6 times annual income are not uncommon I understand?

In LA its the same, people who bought or inherited years ago just remortgage to access the increasing equity and spend on bling cars etc that their salary certainly isnt covering, while new arrivals have to fork out 7 figures prices.

I dont see Vancouver as exceptional in this respect, although its probably the worst for it in Canada, with Toronto and Calgary not a million miles behind, But I doubt that anyone moving from the SE of the UK would be surprised.

So your neighbours get to go on nice holidays? So what. If its a financial stretch for you then sell up and move somewhere cheaper, its simply a question of balancing priorities isnt it

Almost Canadian

Did this not occur to you when you bought the house?

You sound more pissed off by the fact that your "poorer" neighbours appear able to live the life you wish you could despite having a higher salary. Do you actually know what their salaries are?

I bet they love having you as their neighbour

You can always sell and move

Danny B

No shit Sherlock.

You sound very jealous of your neighbours, it isn't their fault they bought a cheap house, it's your fault for buying in the peak.

el_richo

That's a bit harsh. It's nobody's fault for buying during peak times. It IS their fault for buying property that requires a huge % of salary to pay for it, limiting their ability to live as they would like.

ExKiwilass

Why couldn't you buy a condo? There's plenty of those in Burnaby too, that they're more first time buyer territory anyway, and they're MUCH cheaper than houses a lot of the time. Why would you max out to get a house? I don't get it. What's wrong with condos? THat's how most locals start out, even 10 years ago.

It sounds to me like your expectations were unrealistic in the first place. That's not Vancouver's fault.

Aviator

The prices have been pushing Vanouverites out into the Valley for years, even before prices jumped to where they are today. House price increases have rarely if ever kept up with house prices. If salaries kept up with house prices, the economy would calapse what happens when prices go down, do you take a salary cut

Why do prices go up - because people are willing to pay it. I suspect in 10 years when your house may be worth four times today's value you won't be complaining.

I'll wager most first time buyers have been in the same position, I know we were. It's nothing unique about Vancouver or to immigrants. When we came over we looked at waterfront in West Van for $400k, wished I had it now!

Juliew

I'm a little surprised by your comments seeing that you are coming from the UK. I spent 4 years in the South East of the UK and was surprised by property prices there. We moved to Greater Vancouver in 2007 and purchased a lovely three bed townhouse in the valley for just over $300K. The same money would have got us a one bed apartment in the Southeast of England. Eventhough the prices in greater Vancouver have doubled they are nowhere near as high as some places. We are also earning more money in Canada (that's at an exchange rate of 2) and have better working conditions. We are both Canadian trained so I think that makes a difference.

If you are looking for a more affordable lifestyle move out of Burnaby - go to Coquitlam, Poco, Langley or Surrey. People that did not purchase before 2003 have been effectively priced out of the detached housing market of Burnaby. You can get a beautiful house in a great neighbour in Greater Vancouver for $550 to 600 if you are willing to move out a bit. If that is too pricey start in a townhouse! You can get some with small backyards for about (300 to 350).

Greater Vancouver is expensive especially compared to Calgary or Toronto, but it is nowhere as pricey as London.


Good Luck

nsp

Interesting to get so may view points.

The purpose of my post was simply to point out that when people immigrate it is usually in order to (i) experience a different kind of lifestyle and (ii) usually also to improve your current quality of living. In Vancouver, because housing is so expensive you may not be better off at all post immigration. Naturally, financial gain should not be the main motive in the move and it certainly wasn’t for us. But at the end of the day, most immigrants want to make sure that they leave their old life behind for an overall improved quality of life, which in Vancouver can be seriously compromised because of the overpriced market.

When we were moving to Vancouver we did indeed do our research, including house prices, but this can’t compare to what you will learn after 4 years living here. Our goal was to avoid having a long commute and also to own our own home large enough for 2 kids, (and it isn’t large at all), and this brings families like us into the minimum $600K price range for a “nothing special” house, which is a lot of money. Compare this to other Canadian cities, in Toronto you earn more than in Vancouver and housing costs less but then in Vancouver you get a nicer city and better weather. It is all a toss up.

Of course when living in big cities like London or Rome, you don’t expect to be able to afford a house. But for an off the beaten track city like Vancouver with a small commercial downtown core, the housing market is just as bad.

Maybe I’ll just move to the Fraser Valley and commute 2 and a half hours a day……..I'll just have to somehow persuade hubby.....

Danny B

Yes your right, I was a bit grumpy this morning.

But they could have spent $36k on rent over 2 years (for an apartment) and potentially bought the same house now for $100k less.