m city condos 5.Real estate speculation in Vancouver shocked Canada. Do you engage in scholarship, amaze foreigners with your achievements, or do you go sightseeing, buy luxury goods, and enjoy life?Please Visit: m city condos 5 to Get Your VVIP Registration Today!
Maybe both. Now, Chinese students seem to have another “specialty”-real estate speculation.
The documents show that in Cape Gray, there are nine buyers of luxury homes with a total value of C $57 million, all marked as “students”. Moreover, as the names of the owners of luxury houses are all Hanyu Pinyin, these nine students are likely to be Chinese!
David Eby also specifically mentioned a mansion on West 8th Avenue. In April last year, the mansion was bought by a Chinese student for 7.19 million Canadian dollars (36.4 million yuan). In May, the classmate “Xuan Kai Huang” sold the house for 8.35 million Canadian dollars, making a full net profit of 1.16 million Canadian dollars (5.85 million yuan).
This Huang student reminds me of another classmate named “Tian Yu Zhou”. According to a report in the Vancouver Sun in May, a registered Chinese named “Tian Yu Zhou” bought a luxury house in Vancouver’s Cape Gray for 31.1 million Canadian dollars (157 million yuan) earlier this year, which also set a record for the highest transaction price for a luxury home in Vancouver this year, shocked Canada. At the same time, the documents show that Tian Yu Zhou’s career is also a “student”.
At a press conference on Wednesday, David Eby also cited the party’s study of 172 residential transactions in the Cape Gray area. The data show that the owners of nine high-priced properties in the Wenxigai area are students, of which six are registered owners, and the other three are dual owners, which are jointly owned by businessmen and students, businesswomen and students, unmarked professionals and students.
In addition, the above documents also show that about C $40 million of the properties owned by the nine owners come from bank loans.
Since the beginning of this year, the saying that “Chinese speculators drive up Canadian house prices” has been circulating in Canada.
Although there is no convincing evidence from Canadian officials on how much role Chinese buyers have played, Canadian officials said in a central bank report that demand from foreigners “does drive up house prices. This has led to a rise in home loans”; but Canadian house prices are indeed rising at a rate visible to the naked eye.
House prices in the Greater Vancouver area increased by 30% year-on-year, while those in the Greater Toronto area increased by 14%. (the trend of house prices in three major regions of Canada from January 2012 to April 2016, the red curve is B.C. Provinces and Ontario).
Vancouver is already the sixth most expensive city in the world, according to a ranking based on the price-to-income ratio released by Longview Economics, a US economic consulting firm.
If you take a closer look at the trend in recent years, you will find that house prices in Vancouver always had ups and downs and remained roughly stable until 2016, but suddenly began to soar since 2016!
The government has to step in to control. Since Aug. 2, Canada’s BC province has imposed an additional 15 per cent housing transfer tax (property transfer tax) on overseas real estate investors, which is limited to the Greater Vancouver area, which has the largest number of foreign investors in BC province and Canada as a whole.
The effect of the “exclusion tax” was immediate. According to previous reports on Wall Street, house prices in Vancouver, which had risen for the 18th month in a row (2.3% in July), fell 20.7% in mid-August, according to Wall Street. In the first two weeks of August, property sales in the greater Vancouver area fell 85%.