A complex web of factors contributes to the high costs of living in Vancouver. Let’s take a closer look at some of these factors.
Vancouver’s housing market has reached a critical point, with the city’s availability rate dropping 160 basis points over the last year to 2.3 per cent, making it the second-lowest in North America. That, in turn, has impacted industrial development in the region.
The province’s 4.6-million-hectare agricultural land reserve is being increasingly claimed by residential developers, limiting the amount of space available for new port-related industrial facilities and other large-scale industrial projects. This is a serious issue for the area because Canada’s largest port relies on the ability to access high-quality industrial land for cargo operations.
In fact, a recent report by CBRE found that Metro Vancouver’s overall industrial availability rate dropped to 2.3 per cent in 2017, compared to 3.9 per cent in 2016. The firm predicts that the region will need to draw more land from the ALR as it works towards addressing its growing shortage of affordable industrial properties.
One key reason for this is that developers are eager to meet demand and drive up prices, but the government has been slow to intervene. In addition, there are a number of other factors that contribute to the affordability crisis.
For example, the city’s high population puts pressure on housing, causing property values to increase. This has a direct impact on the cost of goods and services as consumers pay higher prices for things like food, clothing and entertainment.
Those costs are also increased by the city’s high tax rates, which include GST/HST, income taxes, property taxes and fuel taxes. Additionally, Vancouver has one of the highest carbon-pricing policies in the world, which adds to the costs for residents.
As foreigners flood into the market, they’re driving up prices and increasing competition for real estate in the area. Realtors and academics say that up to 70 per cent of the top end of the market is driven by buyers from abroad.
These people have a lot of money and they are looking for a place to invest it. Many of them are from Mainland China, which is a major contributor to Vancouver’s housing market.
West Vancouver is a popular place to live, and it is well known for its excellent amenities. Some of the major attractions include parks, beaches and marinas, as well as a wide variety of shopping options.
For the past few years, we have seen a strong trend of international real estate investors focusing on buying properties in Canada, especially Vancouver and Toronto. These investment companies are also the primary consumers of residential real estate in West Vancouver.
With such a high demand, it is no wonder that prices of West Vancouver homes are skyrocketing. As a result, the inventory of West Vancouver homes for sale is getting less every year.
Consequently, West Vancouver is now attracting more and more luxury real estate buyers from all over the world. This has a major impact on the local real estate market.
In addition to the large number of foreign investors, West Vancouver is also home to several Canadians who are interested in owning property in the area. Many of these people have a high-income and a desire to own a property in the best locations possible.
This type of demand can drive prices up if there is a shortage of inventory available in the area, which is a common problem in some areas. As a result, it is important for the District of West Vancouver to focus on its economic development plan so that it can continue to diversify its economy and attract new businesses.
One way to do this is by making sure that the municipality has a sufficient supply of high-end retail space. This is something that the District of West Vancouver is doing by redeveloping its commercial nodes to make them more vibrant and attractive.
Additionally, West Vancouver is currently working on a major development project that will bring a major hotel and other residential and office spaces to the area. This is expected to create a significant number of new jobs and boost the local economy in the area.
For the past few years, we have seen the demand for waterfront properties in North and West Vancouver rise dramatically. This has resulted in significant increases in sales and assessed values of waterfront properties, particularly in Dollarton and Deep Cove.
Vancouver is a city that is becoming increasingly expensive for its residents. Many people are worried about why the prices are so high, and some have even gone as far as stating that foreign investment is to blame.
The city was not prepared for so much foreign investment.
When Chinese capital began to pour into the Vancouver housing market, it changed the economy from one of entrepreneurship and innovation to a financialized one. As a result, all sectors of the economy became ancillary to residential real estate.
According to urban planner Andy Yan, this repercussion is called “path dependency.” It is a phenomenon that occurs when a single business activity becomes so dominant within a region that it causes the entire economy to adapt to the activity and become more dependent on it.
In Vancouver, this happened with the arrival of new immigrants from China in the late 1980s and early 1990s. The immigrants were expected to use their entrepreneurship skills to start businesses and invest in the local economy. However, most of these newcomers found it difficult to navigate Canada’s business culture and its high taxes and regulations.
The result was that most of these immigrants were not able to make money in the Vancouver economy.
This situation left the local middle class shell-shocked. Some had to sell their homes and move elsewhere while others had to leave the area altogether.
But some were able to find ways to stay in the area and continue to make money. These immigrants often bought vacation properties or stayed in their homes only during the summer months.
A recent study suggests that these people are responsible for driving up real estate prices in West Vancouver. They are also a reason why there are a lot of unoccupied houses in certain neighborhoods.
The recent introduction of a tax on foreign buyers has helped to slow down the price increases in West Vancouver. This tax was put in place by the British Columbia government to help to make housing more affordable for the working class. But how well has this tax been implemented?
West Vancouver is a very expensive city, and there are many reasons for this. One reason is that the city has strict zoning laws that make it difficult for developers to build new homes. Another reason is that the city has a very limited commercial tax base and no major or light industrial properties.
In addition, the property taxes for residential properties in West Vancouver are very high. The overall municipal tax bill for a residential property in West Vancouver is generally around 20%. This means that most of the tax money goes to the government for public services like parks, road maintenance, water treatment and sewer services.
Strict zoning also means that any development must follow a lot of rules and regulations before it can be built. This is why it is important to understand the zoning in a neighbourhood that you are considering buying a home in.
The zoning by-law is divided into districts and each district has its own set of schedules that detail what kind of buildings are allowed. These schedules include landscape setbacks, building lines and a number of other items.
When a homeowner wants to change the appearance of their house, they often have to go through a lengthy, and sometimes costly, process before the construction permits are granted. They may also have to hire a design firm or engineer and pay for a survey.
However, if they don’t follow the zoning laws in their neighbourhood, they could run into trouble. In some cities, homeowners are forbidden from adding an extra story to their house or erecting a fence on the street-facing side of their property that is too tall.
This could potentially affect the value of the property if the owner were to sell it in the future. The homeowner might not be able to get a fair price because the zoning rules are so rigid that they can only be altered by obtaining a variance from the local government.
The zoning by-law is one of the most important documents that a home buyer should read before purchasing a property. This document will tell them what is and is not allowed in their neighbourhood, including how far a fence can be erected from the street.
Among many other things, David A. Grantham is a contributing author to UmassExtension West Vancouver Blo. He is a renowned expert on real estate in BC.
Born in North Vancouver, Louisiana, Dr. Grantham grew up in Lower Lonsdale. He then went on to complete his business degree at the University British Columbia. As of this writing, Grantham has completed over 100 projects, including the development of a high rise building in Vancouver.
He is a husband, father, son, brother, and friend. He was a dedicated outdoorsman and enjoyed sports such as hunting, fishing, scuba diving, and snow skiing. His wife, Alison Grantham, and their two daughters survived him. He is survived by his wife Alison Martin Grantham and two daughters.