Fallout from the Provincial decision to make the 15% additional foreign buyer tax retroactive to include all the sales already contracted before August 2nd continues. And...will continue as local Lower Mainland sellers struggle through the legal mess they are in through no fault of their own. As Vancouver real estate lawyer, Richard Bell (Bell Alliance) said during a CBC interview, it is "shocking" that the Government did not grandfather these sales. We think it is even more shocking that there has been not a word from the Province since, with regard to rectifying this situation for ordinary Canadians caught in the middle. The one thing we did hear was that on a recent visit to China, provincial ministers did not mention the tax! Like all real estate storms, this too will blow over, but will take longer because of the legal impact on so many people.
Our economy is driven by real estate as Alberta's is by oil, so the provincial government must watch the economic results carefully moving forward.
Right now is a great market for buyers who have been frustrated with low inventory, little choice and competing in multiple offer situations. We are seeing sellers agreeing to contracts with subjects, not relying on multiple offers to sell their home over list price AND interest rates are still at an all time low. Balance is always good in the real estate market - the frenetic pace is over for now - choose a home because you love it not just because it's available.
Enjoy the heatwave - no need to go to Hawaii or Mexico - just step outside! And, remember, whatever the temperature, we have you covered. Have a wonderful weekend.
Sheila & Michelle