Bubble vs. Balanced: What side are you on?
The Economist magazine released a very pointed article this week stating that several major markets including Canada, Britain, Sweden and France have home prices overvalued by 25% or more.
Using two measures of valuation, price-to-income ratio and price-to-rent ratio, the Economist compared them to long-term averages to draw their conclusions, calling the markets "more overvalued than it was in America at the peak of its bubble."
With interest rates holding at historically low levels, the speculation is bound to continue.
Georgie Awards Finalists Announced
The British Columbia annual Georgie Awards honoring builders and renovators in various categories was released this week.
2011 marks the 20th anniversary of the industry award celebration. Highlighting the event is the always popular High rise Project of the year award. Finalists are Bosa Properties' Jameson House, Concert Properties' Patina and Soleterra Development's Dolce at Symphony Place. The award ceremony will take place on February 25, 2012 at the Vancouver Convention Centre West.
Hot Market: New Westminster's 258 Development sells out in 42 Minutes
Tridecca Development's 16-storey condo tower on Sixth Street in New Westminster sold out all 75 units in 42 minutes this past weekend.
Pilothouse Real Estate credits the innovative way the project was marketed for its success. A large empty room set up with computers and projectors showed life-sized floor plans and viewscapes from various units within the project.
"It took all the guess-work out of purchasing," said Craig Anderson, Project Manager for Pilothouse. "These people came in and were really comfortable, really quickly."