There are many bidding wars going on across Canada right now in real estate. In areas like BC and Ontario, there are some regions that we see buyers often paying hundreds of thousands of dollars above asking price.
As more people look to move from the city into other areas this is also pushing home prices up elsewhere, not just in downtown regions.
All around BC in different regions we see that house prices have been rising.
The more this goes unaddressed then the more we can expect people to turn to political leaders to do something about it. Even if some suggest that there is little that policy can achieve in this circumstance.
The rising cost of housing in BC has pushed some to face the fear that they might eventually end up on the street. Housing issues can be a reality even for those who hold full-time employment.
Many individuals and families who are living in BC could be just one disaster away from being in the same situation and ending up on the street.
The cost of living is a struggle for millions in BC, with the Vancouver region being one of the most expensive places to live in the entire world.
Many people in BC just struggle to get by, they aren’t able to entertain the possibility of ever affording a home for themselves or their family one day unless the bubble pops.
Is it a bubble? Will it ever pop? These are questions Canadians continue to ask themselves about the growing prices and real estate situation that they face. And it isn’t just those in BC who are asking but many around the world in major cities who are also facing similar real estate dilemmas.
Despite that housing crisis, the government in Canada has reminded people that they still aren’t allowed to go looking for cheaper alternatives, like trying to live in an RV for example. They don’t want to see people take to trying to just camp anywhere that they would like in a forest or nearby park.
If there aren’t real solutions implemented to try and address the housing crisis in BC though, and around Canada, that is what we could see. As a result of the growing deterioration to the standard of living for many in BC it could mean that there could be a drastic increase to the homeless population in years to come here.
What are the causes of the real estate crisis? Many fingers have been pointed at low interest rates, heritage rules, a flow of ‘dirty money’, a lack of taxes, lack of supply, too many foreign buyers, and other issues.
The Bank of Canada has stated that the recent housing price gains have been rooted fundamentally in the demand increase.
What’s real today for those in BC is that the cost of living is getting more expensive and the house prices continue to rise to astronomical levels that don’t ever look like they will come back down to normality. Increasingly we hear that this doesn’t look like a sustainable situation, especially seeing as the majority of incomes cannot afford this cost in standard of living in BC.
Nowadays it takes 7x the average yearly income to buy a home in Canada.
In the Metro Vancouver region there is a serious real estate crisis that continues to go unaddressed in any significant manner, this looks to be the case considering the average yearly income and the growing cost of houses.
With the average family in BC pulling in under 90k then it is unlikely that many in BC would qualify for the average detached home based on that income, the majority of families here cannot afford them.
Small town real estate all around Canada is heating up now, not just in BC as people look for more affordable homes elsewhere. There is a serious struggle for those who are looking to not only get into the market but also be successful in landing something that they want.
As this problem continues to grow some are left wondering why the government doesn’t step in more to address the supply or offer any meaningful solution to the problem. People in BC and around Canada need solutions, they need affordable housing and affordable rental units. This is one problem that simply cannot be ignored.