Another day, another really old house selling for huge money as the Burnaby real estate market stays hot.
More people are putting their old houses up for sale because they are getting good value for these homes. It's a really good time to sell your house, it seems. Someone has put a 55-year-old house up for sale on Government Road for just under $4 million - far more than many modern marble palaces are being priced at.
The latest example as far as sales go is a 90-year-old house on 12th Avenue that has a charming entrance and just sold for $2,168,000 – which is an eye-popping $568,000 over the asking price.
The house sold after just a week on the market. The house is deceptively large at more than 3,100 square feet and with six bedroom. The lot size is a little over 7,150 square feet.
The place has been lovingly cared for an updated in several areas of the home.
The Real Estate Board of Greater Vancouver's monthly report for March shows that two out of three Burnaby areas surpassed the $2-million mark for a benchmark price last month.
Burnaby South currently sits at a benchmark price of $2,067,100 (+4.2% in one month) while Burnaby North was at $2,021,400 (+4.9% in one month).
Burnaby East stayed under $2 million at $1,776,300 (+2.7% in one month).
Meanwhile, a forecast published by the Canada Mortgage and Housing Corporation noted that, despite the expected moderation in prices and the number of sales throughout Canada, costs growth will continue to outpace income growth in several major cities – placing “greater pressure on the affordability of home ownership.”
“Improving levels of employment and immigration are expected to be key factors, as the impact of pandemic restrictions continues to recede,” said CMHC chief economist Bob Dugan in a statement about sales, prices and housing starts remaining elevated in 2022. “In 2023 and 2024, the growth in prices will trend closer to long-run averages, with sales and starts activity expected to remain above 5- and 10-year averages.”
The report paints the same picture for Metro Vancouver, Canada’s most expensive real estate market. According to the CMHC outlook, price growth of homes should slow down this year from the blistering pace seen in 2020 and 2021 – but immigration-driven demand and rising debt servicing costs will lead to a worsening of affordability.
CMHC projects the growth rate of home prices in the Greater Vancouver region will not continue on its double-digit rate beyond Q1 2022, and the rate of growth in prices will actually fall to below 5% year-over-year by 2023.
With files from Jess Balzer and the Canadian Press
Follow Chris Campbell on Twitter @shinebox44.