Harbourwalk Condos.Vancouver real estate speculation earns nearly 6 million yuan? David Eby, a housing commentator for the New Democratic Party of Canada (NDP), presented an asset document for the party’s study of residential sales in Point Gray in Vancouver (Point Grey) at a press conference on Wednesday.Please Visit: Harbourwalk Condos to Get Your VVIP Registration Today!
According to the documents, in the Cape Gray district, there are nine buyers of luxury homes with a total value of C $5700, 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 this year, the classmate “Xuan Kai Huang” sold the house for 8.35 million Canadian dollars, making a full net profit of 1.26 million Canadian dollars (5.85 million yuan).
This Huang student reminds every editor (WeChat account: nbdnews) of another classmate named Tian Yu Zhou. According to a report in the Vancouver Sun in May:
Earlier this year, a registered Chinese named “Tian Yu Zhou” shocked Canada when he bought a luxury house in Vancouver’s Cape Grey for 3110 million Canadian dollars (157 million yuan), which also set a record for the highest transaction price for a luxury home in Vancouver this year. At the same time, the documents show that Tian Yu Zhou’s career is also a “student”.
From this point of view, Zhou students can be regarded as the first of the “Gray Point Nine Young people” (just kidding). 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 shows:
The owners of nine high-priced properties in Cape Winsigley are students, of which six are registered owners, and the other three are dual owners, jointly owned by businessmen and students, businesswomen and students, unmarked professionals and students.
In addition, the above documents also show that about C $4000 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.
As of April this year, B.C. Ontario, where the provinces and Toronto are located, has seen the fastest growth in house prices. 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 the sixth most expensive city in the world, according to a ranking based on the “price-to-income ratio” released by US economic consulting firm Longview Economics on September 15, according to foreign media CNBC.
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 August 2 this year, the Canadian province of BC 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 region, 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, Vancouver house prices, which had risen for the 18th consecutive month (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%.