Amenity-packed Ariva project overlooking Okanagan Lake aimed at active downsizers

Kathleen Freimond
The Vancouver Sun

“If you were busy before, you’ll be even busier and have more fun at Ariva,” says developer Barry Johnson of Barry and Kevin Johnson-Ariva Properties.

Johnson says some baby boomers don’t downsize from large homes because a small condo or townhouse in an urban environment isn’t sufficiently attractive to encourage them to make the move.

“Ariva is not competing with other developments, we’re competing against people staying in their own homes – those people are not looking because want they want doesn’t exist,” he says.

Johnson is aiming to change that outlook with Ariva. He has been pondering the perfect empty-nesters’ development for about seven years with his son Kevin.

“For the ideal place, we narrowed it down to three key components. There must be great real estate with [spacious] condos, a sense of community and [it must enable] a physically and socially active lifestyle,” he says.

Situated on 12 and a half acres on Old Ferry Wharf Road, Ariva will be on the crest of the hill just above the old west side ferry terminal, says Johnson.

While the completed development will comprise 204 condos, the recently launched first phase includes 37 one-, two- and three-bedroom units with a range of amenities. This first building is five storeys with one level of underground parking with a parking stall for each unit. (Additional stalls can be purchased.)

“When people of the same demographic are going through the same stage of life, it offers an incredible opportunity to build community,” says Johnson.

The amenities, including a bistro, wine bar, residents’ lounges with fireplaces, amphitheatre and lake-view terrace with barbecue facilities, are all intended to enhance that community spirit.

But great amenities need to be complemented with programming, Johnson says, adding that he would rather have a barn and great programming than the finest amenities in the world with no programming.

He envisages a lifestyle concierge who will arrange activities ranging from community barbecues to inviting guest lecturers and organizing yoga, aqua size and stretching classes.

There will also be a range of excursions made possible by Ariva’s Mercedes-Benz Sprinter van, which will transport people to local venues such as wine farms or golf courses.

“One of the motivating factors for people who look to move downtown is having restaurants within walking distance,” he says. “With the Sprinter, people will be able to go to whichever restaurant they choose. And it’s more fun to go with a group. We could shuttle more than one group to more than one restaurant, so no one has to worry about drinking and driving.”

With the focus on lake views, the condos were designed from the outside to the inside.

“We believe the most important room in the Okanagan is the outside room,” Johnson says. “To take advantage of the views, all condos, even the one-bedrooms, have at least 300 square feet of outside space. A glass wall between the interior great room and the deck will fold open to create a space of as much as 1,000 square feet.”

The deck will have an outdoor living area, barbecue and space for a dining table to seat eight people.

The interiors are designed to be elegant, understated and timeless, says interior designer Carly Norris of LNG Studios.

Using the region’s lakes as inspiration, prospective buyers can choose from three colour palettes: Okanagan, the darker option with darker floors and tiles in the bathrooms; Skaha, the lightest of three; and Kalamalka, the medium choice, featuring a mix of lighter colours with a medium-tone floor and darker countertops.

The sales centre features the Kalamalka scheme. In the kitchen, over-sized (four by eight-feet) ceramic slabs will ensure the backsplash is a standout feature as the darker quartz countertop complements the grey veining in the marble-look slabs. The cabinet doors and drawer fronts are flat panel in a warm grey, says Norris, while the hardware will be brushed nickel.

The standard major appliance package is by KitchenAid with a five-burner gas range, but buyers can upgrade to include some Blomberg appliances or even choose the ‘executive chef’ option with a Miele range.

While all homes include a beverage centre in the kitchen island, oenophiles can also opt for the sommelier package that includes a wine fridge and wine bar on the feature wall in the dining room.

Engineered hardwood floors – a brushed oak in the Kalamalka scheme – run throughout the living area, with carpet in the bedrooms and tiles in the bathrooms.

The ensuites feature a tub and shower with double sinks (in most units). To enhance design continuity in each colour scheme, the bathroom vanity features the same countertop as the kitchen. Underfloor heating keeps things cosy in cooler seasons.

In the larger homes, a separate laundry room includes a side-by-side washer and dryer, while the smaller units will have stacked appliances in a laundry closet, Norris says.

Ariva, built on Westbank First Nations land (Johnson has pre-paid a 125-year lease), is attracting attention from potential buyers from the Okanagan, Lower Mainland, Calgary and even Toronto, Johnson says.

Construction is expected to start in spring 2020.

Project: Ariva

Project address: 1770 Old Ferry Wharf Road, Westbank

Developer: Barry & Kevin Johnson-Ariva Resorts

Architect: M&M Architects

Interior designer: LNG Studios

Project size: Phase 1: 37 homes

Bedrooms: One + den; Two + den. Penthouses: Two + den; Three + den

Unit size: 1,040 – 2,319 square feet interior space only

Price: From $484,900 to +$1,799,900 million

Sales centre: 529 Bernard Avenue, Kelowna

Sales centre hours: noon — 4 p.m. or by appointment

Phone: 236-420-0693

Website: ArivaKelowna.ca

© 2019 Postmedia Network Inc.

Ebb & Flow takes a location near urban amenities, minutes from North Shore?s natural draws

Simon Briault
The Vancouver Sun

Easy access to nature has always been one of Metro Vancouver’s most appealing traits. For as long as anyone can remember, homebuilders have touted the ability of residents to live and work in a modern, cosmopolitan setting and within minutes find themselves hiking on a nature trail, sunning themselves on a beach or playing in the snow on top of a mountain.

It’s in this context that Jamie Howard, president and principal of Woodbridge Homes, believes he’s on to a real winner with Ebb & Flow, a 109-home development from Woodbridge and Citimark at Lions Gate Village in North Vancouver.

“The community is on the Capilano River and all the trails that go up and down the river will be seconds from your front door,” said Howard. “They link all the way up to the salmon hatchery, the Cleveland Dam and Grouse Mountain – if you’re feeling energetic enough! On the west side of the river, you’ve got easy trail access to Park Royal, Ambleside Park and the West Vancouver seawall.”

“You can get very quickly into downtown – if you work there, for example – and very quickly back home again and into the natural beauty and recreational opportunities that the North Shore is famous for,” Howard added. “With this location, the value we’re offering here is pretty hard to beat.”

But location is not the only thing that the development has going for it, according to Paul Riches, a resident of North Vancouver who has bought a three-bedroom, two-bathroom townhome with his family at Ebb & Flow.

“The modern, contemporary style of the homes is very attractive,” said Riches. “They’re spacious, well laid-out, well-designed and they’re using good building materials. If you add everything up – lifestyle, location and amenities – there are very few boxes left unticked.”

Ebb & Flow offers three distinct types of homes: single-level garden homes, two-storey city homes and three-story townhomes. The homes have one to three bedrooms, range in size from 506 to 1,610 square feet and are priced from $479,900. Howard expects the homes to be move-in ready from the end of 2021 or early 2022.

“We pride ourselves on being very diligent professionals,” said Howard. “We spend a lot of time on design so that by the time the homeowner moves in they know that everything is going to work, that the rooms are going to be adequate sizes and they’re not going to have any nasty surprises. It’s pretty simple really, but it does take a lot of effort and professionalism to ensure the homeowner is left with highly functional spaces.”

“Our tagline is ‘feel right at home’ because it has a double meaning of feeling content at home and also that the home itself is built right. We focus a lot on old school quality and integrity.”

Kitchens at Ebb & Flow feature Bosch appliance packages, including gas cooktops, convection wall ovens, integrated refrigerators, stainless steel dishwashers and slide-out hood fans. There are Panasonic microwaves with trim kits, wood-tone cabinetry with soft-close mechanisms and easy-to-clean polished quartz countertops with tile backsplashes.

Bathrooms have polished quartz countertops on ‘floating’ vanities, equipped with deep drawers for ample storage. There are mirrored medicine cabinets with integrated lighting above the vanities in master ensuites, as well as porcelain tiled floors and herringbone accent walls in the showers. Secondary bathrooms have soaker tubs with backrests.

“The biggest attraction for many of the homes are the rooftop decks,” said Howard. “All the two- and three-level homes have them and it allows people to significantly expand their living spaces.”

Many of those roof decks will overlook the river and Howard said this tidal waterway is part of the reason why the development is called Ebb & Flow.

“But it’s also about growing up on the North Shore, leaving at some point to go to university or to live downtown, and then coming back a bit later in life when you want to raise a family,” Howard added. “A lot of people end up doing that. I know I did and we’re expecting many of our buyers to be following that pattern. Although we know Ebb & Flow will be very attractive for downsizers, if I had to pick a target market it would be the 20-somethings and the 30-somethings who are moving into a new stage of their lives.”

As for Riches, the townhome he’s bought at Ebb & Flow represents the continuation of a love affair with North Vancouver that began when he visited the city from the UK with his family 12 years ago and decided to make it his home.

“I remember looking across from the city to North Vancouver and you could see this wonderful scene of the mountains,” he said. “I could not believe I was in a city – that mountain view across the water, just a few minutes away.”

Ebb & Flow

Project location: Lions Gate Village (at Glenaire Drive & Fullerton Avenue)

Project size: 109 homes with between one and three bedrooms, ranging in size from between 506 to 1,610 square feet and priced from $479,900

Developer: Woodbridge Homes and Citimark

Architect: Ciccozzi Architecture

Interior designer: BYU Design Ltd.

Sales centre: 108-1171 Marine Drive, North Vancouver

Sales centre hours: noon to 5 p.m., Sat — Thurs

Sales phone: 604.818.1177

Website: https://ebbandflowliving.ca/

© 2019 Postmedia Network Inc.

CBRE data shows real estate investors avoiding Vancouver

Ephraim Vecina
Canadian Real Estate Wealth

Market and economic uncertainty has proven to be a damper on real estate investor activity in Vancouver, according to data from CBRE.

These factors have compounded the pressure from a lower number of renovictions and strict government policies – the Residential Tenancy Act, in particular. The latter measure has affected investors and apartment owners especially hard.

“It was just easier [for many investors] to do nothing,” CBRE executive vice president Lance Coulson said, as quoted by the Vancouver Sun.

“There were a lot of things going on in the market that created some uncertainty. A number of investors were on the sidelines … wanting to see what 2019 was going to bring.”

From January to June, apartment sales in the Vancouver region amounted to just over $400 million. This represented a pace far lower than last year’s, which enjoyed an overall 2018 total of $1.4 billion.

“Based on a few deals that have sold since June, and what I believe is currently in play, I estimate that total sales for year-end 2019 could be in the $850-million range,” Coulson predicted.

Extremely tight supply in the affordable housing segment remained a feature of the Vancouver market, with rental vacancy hovering around a mere 1% by the end of last year.

The recent edition of IPA’s Midyear Canadian Multifamily Investment Forecast Report also indicated that Vancouver remains the most expensive housing market in the country. The benchmark price for single detached homes currently exceeds $1.4 million, and the median mortgage payment is around $4,000 greater than the market’s average rental rate.

Copyright © 2019 Key Media Pty Ltd

Lower Mainland commercial real estate down in Q2

REBGV

Sales activity in the Lower Mainland’s commercial real estate market declined in the second quarter (Q2) of 2019 compared to the more active market experienced in the region last year.  

There were 407 commercial real estate sales in the Lower Mainland in Q2 2019, a 32.6 per cent decrease over the 604 sales in Q2 2018, according to data from Commercial Edge, a commercial real estate system operated by the Real Estate Board of Greater Vancouver (REBGV). 

The total dollar value of commercial real estate sales in the Lower Mainland was $1.463 billion in Q2 2019, a 65.6 per cent decrease from the $4.253 billion in Q2 2018. 

“The reduced activity in the commercial market has largely mirrored what we saw in the residential market through the first half of 2019,” Ashley Smith, REBGV president said. “Residential demand did pick up in the summer months. How this change will affect the commercial market remains to be seen.” 

Q2 2019 activity by category 

Land: There were 103 commercial land sales in Q2 2019, which is a 54.8 per cent decrease from the 228 land sales in Q2 2018. The dollar value of land sales was $738 million in Q2 2019, a 69.1 per cent decrease from $2.388 billion in Q2 2018. 

Office and Retail: There were 179 office and retail sales in the Lower Mainland in Q2 2019, which is down 12.3 per cent from the 204 sales in Q2 2018. The dollar value of office and retail sales was $367 million in Q2 2019, a 57.8 per cent decrease from $870 million in Q2 2018. 

Industrial: There were 112 industrial land sales in the Lower Mainland in Q2 2019, which is down 15.8 per cent from the 133 sales in Q2 2018. The dollar value of industrial sales was $206 million in Q2 2019, a 49.9 per cent decrease from $412 million in Q2 2018. 

Multi-Family: There were 13 multi-family land sales in the Lower Mainland in Q2 2019, which is down 66.7 per cent over the 39 sales in Q2 2018. The dollar value of multi-family sales was $152 million in Q2 2019, a 73.9 per cent decrease from $583 million in Q2 2018.

 

Some credit went to the speculation tax in lowering prices

REP

Finance Minister Carole James is giving some credit to the speculation and vacancy tax for lowering home prices and easing rental vacancies in British Columbia.

James said Thursday she is cautiously optimistic about easing prices in the real estate market after announcing the province collected $115 million from the tax in the 2018-19 fiscal year.

“When you look at the price moderation we’re seeing, we’re certainly seeing a step in the right direction,” said James.

As of July, the average sale price of a home declined by 5.6 per cent this year, she said.

Housing affordability has been a key issue for the NDP since it took power two years ago. James said the speculation tax is part of its $6.5 billion plan to deliver 114,000 affordable homes in a decade.

As of Sept. 3, James said almost 12,000 homeowners were paying the tax. It is applied in communities in and around Victoria and Vancouver, as well as other areas that have had hot housing markets including Kelowna and Nanaimo.

“It is in fact targeting speculators, people living outside of B.C., and it’s also helping to encourage homes to be used to house people,” James said.

The Opposition Liberals questioned the effectiveness of the speculation tax, arguing it has done little to improve vacancy rates and has dampened development in communities.

“We have locally elected mayors telling (Premier) John Horgan that the speculation tax is not working in their communities and that it is reducing the construction of new and affordable homes for families,” finance critic Shirley Bond said in a news release.

James said more than 1.6 million tax declarations have been filed and 99.8 per cent of B.C. residents are exempt from the levy. A Ministry of Finance official said 17,600 property owners have not yet provided speculation tax declarations.

Of those paying the tax, the province says just over 4,500 were foreign owners, about 3,000 were classified as so-called satellite families, some 1,500 were Canadians living outside the province, and about 2,400 were B.C. residents. Satellite families are defined as those that earn most of their income outside of Canada.

British Columbia residents paid an average speculation tax of $2,557, while other Canadians paid $3,540. Foreign property owners paid $5,530 on average and satellite families paid $6,333.

James was scheduled to meet in Vancouver on Thursday with mayors about the speculation tax, including some who say it hurts development and punishes people with second properties.

Prof. Tsur Somerville, a real estate expert at the University of British Columbia’s Sauder school of business, said the minister’s meeting with mayors was necessary to exchange ideas.

“One of the challenges for the government is there’s a really large variation across jurisdictions in terms of exposure to vacant homes that have positive or negative effects on the local economy,” he said. “For the more tourism-focused areas, those vacant homes are actually part of the local economy in ways that might not be the same as downtown Vancouver.”

West Kelowna and the tiny Vancouver-area village of Belcarra have demanded exemptions from the tax.

James said her meeting with mayors could result in changes to the tax this fall, but she made no promises.

She said she understands there is opposition to the tax but “we’re going to do what’s necessary to be able to address the housing crisis and we’re not going to shy away from that.”

Jason Turcotte, vice-president of Vancouver’s Cressey Development Corp., said efforts to lobby the government to drop plans to start charging the tax on vacant development land have so far been unsuccessful.

“You can’t force someone to develop something when it doesn’t make sense,” he said. “Sometimes in our business we have to wait and hold.”

The tax rate for 2018 was 0.5 per cent of the assessed value for all properties, rising to two per cent in 2019 for foreign owners and satellite families, while Canadian citizens or permanent residents continue to pay 0.5 per cent.

The government said the average assessed home value of properties that are subject to the tax is $1.45 million.

James said the money collected from the tax will be used to help fund affordable housing projects in the communities where it is applied.

Justin Trudeau said at an election campaign stop in Victoria on Thursday that if his government is re-elected it will impose a national one per cent tax on properties owned by non-Canadians and non-residents to curb foreign speculation in real estate.

Copyright © 2019 Key Media Pty Ltd

 

Boom in strata industrial is biggest story in Lower Mainland, but less so across B.C.

Peter Mitham
Western Investor

While the tally of investment sales greater than $1 million in Metro Vancouver has dropped significantly this year, the second quarter saw a greater volume of land deals.

According to the latest figures from Altus Group, residential and non-residential land sales accounted for 56.2 per cent of the $1.6 billion in deals done in the three months ended in June. This was up from 47.9 per cent of a slightly lower volume of sales in the first quarter. Both tallies are below levels of a year ago, when land accounted for 60 per cent of overall transaction value.

Non-residential land sales accounted for the largest slice of transactions in the second quarter, at 28.9 per cent, or $462 million. The top deal was the sale of 10.3 acres in Port Coquitlam for $20.7 million, slightly lower than the regional average of $2.4 million per acre.

The big story of the quarter, however, was the well-documented rise of strata industrial properties, which accounted for 74 of the 98 industrial transactions Altus recorded. Pricing maxed out at $705 per square foot, double the regional average of $350 a square foot.

However, overall transaction volumes in the first half of the year were down. Transaction values in the first six months of the year totalled just short of $3.2 billion, down from $6.9 billion a year earlier – a 53.6 per cent drop.

Commercial transfers

Property transfer data from the B.C. Ministry of Finance underscores the drop in commercial sales during the first half of 2019.

According to the province, 877 commercial property transfers took place in the first half of 2019, down 12.6 per cent from 1,003 transfers in the first half of 2018. Despite the reported surge in strata industrial sales, overall sales of non-residential strata properties saw an equivalent decline, dropping 12.5 per cent to 525 in the period.

However, overall sales of industrial properties picked up. The tally for the first half of 2019 was 129, up from just 86 a year earlier – a 50 per cent increase.

The regular provincial report doesn’t give a value for the transactions. However, it does note participation by foreign buyers.

This year, participation levels seem to have dropped, with foreign nationals involved in just 12 commercial property transfers in the first half of the year. This compares with 41 transactions involving foreign nationals a year ago.

Copyright © Western Investor

Finance minister to meet with mayors on speculation tax

Joannah Connolly
Western Investor

The B.C. NDP government’s speculation and vacancy tax (SVT) is “working” — but that doesn’t mean it isn’t open to some amendments, finance minister Carole James told media September 12.

The minister, currently in Vancouver to meet with mayors of affected municipalities to discuss impact of tax on housing in their communities, held a press conference to announce the latest results of the SVT.

James said that the SVT was “working,” with $115 million of revenue collected in the 2018/19 fiscal year, B.C. average home prices declining, more rental home supply coming on stream and 99.8 per cent of British Columbians exempt from the tax.

When asked by Glacier Media why projected revenue from the SVT is not expected to decline over the next few years, which it would if more homes were successfully being rented to avoid the tax, Minister James said this was because the tax rate for foreign buyers and satellite families increases after the first year, from 0.5 per cent of assessed value to two per cent. However, this response does not account for the consistency of projected revenues in year three.

Changes could be made to SVT

Despite the government’s message that the tax is a success, the minister was clear that some of the finer details of the SVT legislation were still a moving target, and could be affected by her discussions with the mayors of affected municipalities.

James said, “Part of the reason I’m meeting with the mayors… is to hear from them first-hand the kinds of issues they want to bring forward from their communities. We will continue to review the tax – we’re always trying to improve our taxes so we will be looking at specific cases.”

The minister said that the revenue being collected will go into the Housing Priority Initiatives Account, which is reported publicly, so that taxpayers can see how the funds are being spent to improve housing. “The minister of housing and myself have been calling on organizations to come forward with their ideas and contributions on affordable housing, and these dollars will help. We’re also open to ideas and contributions from mayors and their councils.”

Strata rental restriction exemption

Asked about the exemption for units that cannot be rented out due to strata rental restrictions, which exemption only applies in 2018 and 2019, and whether that exemption will be extended going forward, the minister said, “This is a policy decision that will be made, with input from the mayor’s meeting and other contributions, and we’ll make a decision on that this fall.”

Following the media Q&A and the minister’s departure, finance ministry communications director Katie Robb was asked by Glacier Media whether the expiration of this strata rental exemption could be because the B.C. government is considering outlawing all rental restrictions on any condo unit. Robb responded, “That’s an issue that is being worked out along with the Ministry of Housing and Municipal Affairs, so we’re working on that policy decision.”

Taxing “residential airspace” above commercial

At the same time as the press briefing, immediately next door in the Pan Pacific Hotel in Vancouver, the Urban Development Institute (UDI) was holding a breakfast panel seminar with property tax and assessment experts from Burgess, Cawley, Sullivan & Associates to discuss the slate of new B.C. housing-related taxes. One issue raised at the event was how commercial properties could be affected by the SVT because of zoning that allows for potential residential use above commercial properties — effectively taxing the “residential” airspace above a commercial or retail unit.

Airspace that is classed as for residential use is currently exempted from SVT, but only for year one. When asked at press conference about whether the residential airspace exemption would be extended next year, Minister James replied that this was also part of the mayor’s meeting and decisions on this and any other exemptions and improvements to the tax would be addressed this fall.

The UDI panel added that the tax similarly applies to any residential portion of a property that has mixed residential and commercial/retail uses.

Taxing development land

Paul Sullivan from Burgess, Cawley, Sullivan & Associates told the UDI audience that applying the SVT — along with other new provincial and municipal taxes — on development land was pushing up the cost of housing by a typical $54,000 for a new 800-900-square-foot condo in Vancouver.

The SVT in particular has a high threshold for exemption, as a developer has to pay the tax if construction has not yet started, even during demolition, remediation, and while waiting for a development permit from the City. “This could take years, and this is part of what adds to the cost of new housing,” said Sullivan.

Sullivan and his colleague Ryan Tung showed the audience of mainly developers how they can theoretically time the various stages of their development projects to legally minimize the taxes incurred on the land (more on that to come in a follow-up piece from Burgess, Cawley, Sullivan & Associates).

Copyright © Western Investor

Sales as the ability to gracefully persuade, not manipulate a person or persons into a win-win situation

Ross Wilson
REM

For as long as I can remember, the subject of closing has been somewhat controversial. Some say that consumers shouldn’t be closed, that it’s unethical and unnecessary. They believe in just serving – without coaxing or coercion – until a client is ready to make their own unassisted decision. Closing is sometimes viewed as a misguided attempt to unduly influence or improperly force consumers into doing something they’d rather not do.

Well, nothing could be further from the truth. I’ve no doubt that unscrupulous agents regularly ensnare their prey and inveigle their way into getting signatures. The truth is, though, that when a buyer finally finds the right home or a seller is poised to sign a listing, when they arrive at the classic “desire to act” moment, they often need a little help with their decision. Even world political and corporate leaders, when faced with uncertainty, seek trusted counsel.

People sometimes don’t realize their need for help, or their ego won’t permit them to admit it. They may see a proposed move as logical but are intimidated by the prospect of committing to it. They hesitate to make decisions, usually from a place of fear. They even sometimes make choices entirely opposite to their pre-stated wishes and intentions, including completely changing their minds about moving. (This common scenario spawned the offensive and erroneous idiom that “buyers are liars”.) For some, making the emotional leap to act is a huge hurdle they may not be equipped to accomplish alone.

In this new series of columns, I offer a few simple ethical techniques designed to gently assist a client – at the right moment – to make that critical decision to move forward.

Since the inception of your business relationship, you’ve calmly, carefully and compassionately answered your client’s myriad questions and gradually earned their trust and respect. Why have you gone to such effort? Because the more they trust and respect you, the easier it becomes to elicit a decision from them. When they finally reach a choice point, particularly since the early ones will be minor, a decision will happen naturally. Because you’ve served them honourably, their decision will seem serendipitous, as if it was meant to be.

I always found it far easier working with a knowledgeable client than one who’s in a constant state of confusion, which is to say, a state of fear. This may seem counter-intuitive, but a knowing and confident client is far easier to close.

Why? Since you’ll be asking them to make a potentially frightening flight into the proverbial darkness, a fearful uninformed client must totally trust you. Unless your client is a close friend or family member, achieving that level of trust can take an exceedingly long time. An informed client, on the other hand, trusts you at least enough to have confidence in the reliability of the education you’ve provided them.

So, with a subtle nudge from you – at the right moment – a decision is had. If performed with timely tact, they’ll be unaware of the close. An added bonus is that a well-informed client clearly understands what they’re getting into, therefore lowering your potential liability.

Once decision time arrives, they may suddenly ask you to draft the offer or prepare the listing, whatever the case, and that’s great if that happens. But in my experience, a client exercising such initiative is as rare as a happy chicken in a poultry processing plant. Usually, I had to ask for the offer or listing by saying something like, “Shall I draft an offer for you?” or “Are you ready to list?” or a simple “Shall we get started?” This is straight forward closing without any hype or pressure. Timing is critical, though, because they must be logically and emotionally prepared to proceed at that moment. A premature request might be perceived as a pressure tactic and be summarily rebuffed. They may even retreat completely from the precipice.

It’s fairly easy to fulfill their logical needs. That’s just a matter of showing them the practical reasons why it’s the right choice. For example, there are no logical reasons to remain in their present house. Or the property you’ve shown them technically meets all their physical and affordability needs. But that’s only part of the decision process. Because humans are predisposed to be change-averse, the other not insignificant challenge is the emotional decision to abandon their current comfort zone. To more easily accomplish your mission, they must believe they’re accomplishing theirs, and feel reasonably comfortable with their choice. This is rarely achieved completely since any major life change is accompanied by fear and its common symptom, stress. To get as close as possible, though, you must empathically do what you can to establish a heart felt, trusting connection.

© 2019 REM Real Estate Magazine

BCREA also reported that the average residential price in the province was $685,575 last month, an increase of 2.6 per cent from August 2018. The increase in both prices and activity last month meant that total sales dollar volume was $4.86 billion, a 7.6

Joannah Connolly
Western Investor

Residential resale transactions across B.C. “continue to recover” from the policy shock and subsequent downturn caused by the mortgage stress test, the B.C. Real Estate Association stated September 12.

Home sales around the province totalled 7,093 in August, which is 4.9 per cent higher than in August 2018

BCREA also reported that the average residential price in the province was $685,575 last month, an increase of 2.6 per cent from August 2018. The increase in both prices and activity last month meant that total sales dollar volume was $4.86 billion, a 7.6 per cent jump from the same month last year.

The graph below shows how policy announcements have affected the province’s real estate market, with the foreign buyer tax introduced in August 2016 (although sales were falling from the first half of 2016) and then sales falling off a cliff in January 2018, when the mortgage stress test was launched.

“B.C. home sales continue to recover from a policy-driven downturn,” said Brendon Ogmundson, BCREA’s deputy chief economist. “Home sales have been rising through the spring and summer, but still remain well below pre-B20 stress test levels.”

The association also reported that “overall market conditions remained in a balanced range with a sales-to-active listings ratio of about 18 per cent.”

The August sales and price statistics follow BCREA’s September 5 forecast for the housing market into 2020. It predicted that the slow sales in the first half of the year would bring the province’s overall activity through 2019 down, but that sales and prices would both modest recover in 2020.

To read the full August sales, price and listings statistics broken down by each B.C. board region, click here.

Copyright © Western Investor