Now although this was in London, England. Vancouver has done much of the same and the notion of investing in real estate seems just as sound an investment as all those years ago, if not more so now. We do live in an area known for expensive Real Estate, but it’s time to consider the recent market, as a….wait for it….. OPPORTUNITY!
Over the past decade, home prices have gone up 400% or more. Once you are able to get beyond this price point, that means if you would have invested those years ago, you would have seen an increase of 400% in your investments!! Nobody has a crystal ball so we cannot predict this is going to happen all over again. But if you look at the basics in terms of supply and demand, we have a constant supply of people in Vancouver, plus those who will be moving here in the future. We are blessed to be by the water and mountains, but that blessing also is a (Hor)crux (to all my Harry Potter fans out there) as we cannot build on water. Our only outcome being property within Vancouver becomes more and more sought after. Currently with the market having a higher inventory and low amount of sales (in comparison to previous years), we should be looking at the housing market as essentially on SALE.
We’ve noticed a lot of buyers we have worked with in the past have been reaching out to us to buy their first investment property. The rental market is still going strong so they are able to purchase, and almost immediately, have some passive income coming in. The majority of the time this income is higher than the mortgage on their new found investment!
The process for purchasing an investment property is also in your favour today. We have moved away from properties selling in a matter of days. Now as a buyer, you have the flexibility to view multiple homes, think about your purchase, include inspection conditions in your offer and on top of that, negotiate price. These elements added together make the current market a gold mine for investors.
Of course there is still the need to exercise caution in purchasing your investment. You still want to make sure the building is structurally sound, rain screened ideally and does not have bylaws restricting your intended use. That’s where your agents knowledge of the market and its product comes into effect. We can’t stress enough the importance of using an area specialist WHENEVER you buy a home.
To discuss what type of investment property is right for yourself, give us a call or e-mail on the below details. When looking at investments, your items of interest will differ from, say you were buying your own home. We at Mcinnes Marketing still believe today more than ever, investing in Real Estate is the key to long term financial freedom when done right.
Until next week!