Rent or buy a house in BC?
#31
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Joined: Sep 2003
Location: Christina Lake. BC
Posts: 674
Re: Rent or buy a house in BC?
as far as the US is concerned I'd say all bets are off. Not only is there a lot of government debt (14Tr or so), unfunded liabilities (that's government worker pensions, welfare and medicare) amount to $70 trillion. This will never be paid, therefore any reliance on federal jobs or incomes to prop up house prices in the medium to long term is misguided in real terms. Nominally, prices could easily rise significantly, but only an idiot would see this as wealth creation.
Although some areas in the US probably wont fall much further because house prices now are under build cost (but look at Detroit) I have been waiting to buy several properties in the Phoenix area and do not think they will drop much more than another 10/15% but its a gamble trying to call the bottom of the market.
Watch gold sore as investors try and find a safe base for there money
#32
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Joined: Sep 2010
Location: Maryland (via Belfast, Manchester, Toronto and London)
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Re: Rent or buy a house in BC?
In 2006, the median sales price for a DC area home peaked at around $450,000. By 2009, that had dropped to $300,000, a 33% drop.
Perhaps homes in desirable central DC neighborhoods didn't change much, but the DC area as a whole got significantly cheaper.
Housing Bubble Graph: Washington, DC inflation-adjusted housing prices
http://mysite.verizon.net/vzeqrguz/h...ashington.html
Perhaps homes in desirable central DC neighborhoods didn't change much, but the DC area as a whole got significantly cheaper.
Housing Bubble Graph: Washington, DC inflation-adjusted housing prices
http://mysite.verizon.net/vzeqrguz/h...ashington.html
However, everything is relative and depends on many factors. Is my house now worth what I could have sold it for in 2006? No - about 25% less. Is it worth more than I paid for it in 2001? Yes - about 50% more. In hindsight I should have sold in 2006, rented for a few years and bought again this year. If it was easy to know when to buy and when to rent, I'd be rich now. I do know that I'm now paying less in mortgage and property taxes than I would be for rent in my area - plus my mortgage interest is tax deductible.
I suspect the Vancouver market is overpriced but it's hard to know for sure. Waiting for prices to fall could be offset by higher interest rates. Renting might be better than buying for one person - while the opposite is true for someone else. There are no absolutes in real estate.
Last edited by MarylandNed; Dec 18th 2010 at 6:35 pm.
#34
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#35
Joined: Aug 2005
Posts: 14,227
Re: Rent or buy a house in BC?
Tangible goods is where it's at; I suspect the missus thinks I'm turning into a nutter.
Last edited by Alan2005; Dec 19th 2010 at 4:59 am.
#36
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Joined: Feb 2009
Posts: 268
Re: Rent or buy a house in BC?
Trying to revive the topic. My gut feeling is house prices will eventually go down but not crash. As to when who knows? RE market correction maybe more appropriate but I'm no expert by any means.
We are considering visiting the bank to know how much we can borrow or would it be better to see a mortgage broker? If the latter would they be able to find better interest compared to banks? How about fees, is it a one off fee for their services? Would like to know the process to those who gone thru same process. Many thanks.
We are considering visiting the bank to know how much we can borrow or would it be better to see a mortgage broker? If the latter would they be able to find better interest compared to banks? How about fees, is it a one off fee for their services? Would like to know the process to those who gone thru same process. Many thanks.
#38
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Joined: Aug 2010
Location: US
Posts: 4,224
Re: Rent or buy a house in BC?
Buying vs renting
There is a stack of homeowners who can't sell their homes and its the only thing stopping them from moving back to the UK. If they had rented they would have gone back long ago.
My point is renting is a lot more flexible.. Incidently I know a few people who have lived in their homes for donkies years and never had their rent increased.
There is a stack of homeowners who can't sell their homes and its the only thing stopping them from moving back to the UK. If they had rented they would have gone back long ago.
My point is renting is a lot more flexible.. Incidently I know a few people who have lived in their homes for donkies years and never had their rent increased.
#39
Joined: Dec 2008
Posts: 3,054
Re: Rent or buy a house in BC?
Buying vs renting
There is a stack of homeowners who can't sell their homes and its the only thing stopping them from moving back to the UK. If they had rented they would have gone back long ago.
My point is renting is a lot more flexible.. Incidently I know a few people who have lived in their homes for donkies years and never had their rent increased.
There is a stack of homeowners who can't sell their homes and its the only thing stopping them from moving back to the UK. If they had rented they would have gone back long ago.
My point is renting is a lot more flexible.. Incidently I know a few people who have lived in their homes for donkies years and never had their rent increased.
#40
slanderer of the innocent
Joined: Dec 2008
Location: Vancouver, BC
Posts: 6,695
Re: Rent or buy a house in BC?
Buying vs renting
There is a stack of homeowners who can't sell their homes and its the only thing stopping them from moving back to the UK. If they had rented they would have gone back long ago.
My point is renting is a lot more flexible.. Incidently I know a few people who have lived in their homes for donkies years and never had their rent increased.
There is a stack of homeowners who can't sell their homes and its the only thing stopping them from moving back to the UK. If they had rented they would have gone back long ago.
My point is renting is a lot more flexible.. Incidently I know a few people who have lived in their homes for donkies years and never had their rent increased.
#41
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Re: Rent or buy a house in BC?
Anyone could recommend a good mortgage broker?
#43
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Joined: Sep 2008
Posts: 63
Re: Rent or buy a house in BC?
Hi all. After arriving in 2009 we have been renting a 3 BR suite for $1500 all inclusive. We are happy at the place that we are renting at the moment as it is in a quiet area in North Burnaby with good nearby schools for our kids. We have been longing to have our own place but I'm not sure if it's the right time to buy. Luckily we both have full time jobs. Should we continue to rent or it is the ideal time to buy?
$1500 is a good deal and you can sleep at night I'll bet! We rented for 5 years and I have no regrets.
I would save as much as poss for a good down payment for when you decide to purchase.
No real value for money property right now- prices are too high for whats on offer
#44
Re: Rent or buy a house in BC?
Keep renting ,without question. Prices are way too high for a decent property in BC.
$1500 is a good deal and you can sleep at night I'll bet! We rented for 5 years and I have no regrets.
I would save as much as poss for a good down payment for when you decide to purchase.
No real value for money property right now- prices are too high for whats on offer
$1500 is a good deal and you can sleep at night I'll bet! We rented for 5 years and I have no regrets.
I would save as much as poss for a good down payment for when you decide to purchase.
No real value for money property right now- prices are too high for whats on offer
#45
Re: Rent or buy a house in BC?
I picked up a property last month for 35% less than it was valued for taxation purposes, and 30% less than it was on the market for 18 months ago - there are some great deals out there if you look carefully.