Khalil\’s Blog on Pre-Sale Condos
After finally getting my blog registered (I have no idea why I didn’t work the first time), I had the privilege of reading a fellow classmates. I thought the topic Khalil discussed was very interesting. I have been following the Real Estate Market in Vancouver as I am looking to buy a property and pre-sale is how a lot of appartments are being purchased. I agree with a lot of what Khalil had to say, especially how marketing is VITAL in selling pre-sale condos. The agents/companies are selling consumers something that is not yet completed, by giving us something to imagine.
Turning to what Khalil stated near the end of his blog, the prices in Vancouver for real estate are surging and there is no telling when it will stop. However where are all of these buyers from? Who can afford to spend this type of money for average properties? The answer is foreign investors:
Chinese Spreading Wealth Make Vancouver Homes Pricier Than NYC
I am by no means saying that foreign investment in our country is negative, but it is creating a real estate bubble for local purchasers. Personally, I have two friends who work at pre-selling of condos and they have stated to me how a lot of Asian investors/purchasers do not even look at the appartment layout or graphics. They simply look at the location of the building, what floor it is on, and if there are schools nearby. I do agree with how Khalil discussed how many tools are being utilized to attract buyers of pre-sale condos, but is this really the case? Or are investors purchasing appartments that will be completed in 2015 blindly just so they can turn a quick dollar? The injection of dollar is good for our economy, especially after 2008, but at some point local/federal legislations must be passed to limit the amount of foreign investors in our real estate market.
(Yes the picture looks nice, but starting at $760,000 for 825 sq. foot= absurd. A UBC dorm room in Totem is almost bigger then that!!!)