Just took a walk around South Vancouver; Granville to Cambie, 57th to 64th. Huge number of new projects and lots for sale.
I'm just a little concerned. Whilst the number of units being planned is relatively small, the amount of capital tied up is significant. Helps explain the surge in house prices 2015-2016. IMHO, quite a bit of the capital comes from foreigners.
That helps explain the frantic over-bidding. Meantime, the long term players (like Concord Pacific etc) are liquidating their land bank.
How does the new regulations and penalties affect them? Does the 15% tax apply to foreign buyers operating as companies? Will vacant homes and lots have to pay the 2% vacancy tax? What is the proportion of foreign buyers in pre-sale buildings? Can the investors hold out for 7-10 years?
Anyone with industry knowledge like to contribute? Thanks.