Okay, so we covered the fact that market conditions are important and these conditions are always in flux. We covered that there are certain factors in Vancouver that will put a certain amount of pressure on the Real Estate market that cannot be removed. Finally, we discussed that there are external pressures such as international demand that affect price and motivation by ultimately affecting the supply of homes for sale.

So what about the location of your home? Again, there are a number of ways to discuss this question. First things first…what municipality do you live in? This is important because the market in Vancouver has certain behaviors that can be observed. The historical and statistical truth is that the Vancouver Real Estate generally works like an earthquake. It starts at the epicenter of downtown Vancouver and the West End and then spreads or ripples outwards. To put this in perspective, let’s talk about this past spring, 2011. Reports from news stations and colleagues confirmed that money from offshore China entered Canada and was put towards purchasing homes in Downtown Vancouver, Vancouver West and Richmond. This sent the market into a frenzy whereby property prices rose substantially due to a rise in demand, and led to homes selling in multiple offer situations. As the prices rose, it drove people out of their local market or market of choice because of the change in affordability. So where did they go to buy homes? They moved into the adjacent municipalities, where a similar pattern was observed of buying and price increases. This effect has rippled through the lower mainland with decreasing effect as we move outward from the traditional city center talked about above. So does your municipality matter? YES… The behavior of the markets throughout the Greater Vancouver area will affect the price of your home differently depending on the municipality you live in.

What about the location of your home within a municipality? That matters too. Realtors that have been around the block or lived in the area for years on end know this well. They know which areas have higher demand because they are just “sexier” than the neighborhood down the block. I have lived in the Tri-cities (Coquitlam, Port Coquitlam and Port Moody) since 1987 and there are definitely areas that have higher demand than others – and often the demand is due to factors like larger lots, family neighborhoods, close to transit, view, etc…. While other areas have a more negative our tougher reputation. So in a nutshell, neighborhood does matter both for when you buy and when you sell and this will show in the amount of competition that you experience in either case.

What about the location of your home on your street or the location relative to main roads? In my experience, each buyer has their own general take on what they like and dislike BUT what you will see is that properties which are on quiet streets will generally have a higher demand when it comes to selling than those that do not. In addition, properties that are waterfront, positioned with views, have private settings or back onto a green space tend to be more sought after as well. On the opposite end of the spectrum, properties located by railway, highway/busy road, or power-lines tend to have a longer lifetime on the market unless these factors are taken into account when pricing the property. Again it comes to personal preference or what a buyer might want in a home and these are fluctuating all of the time. If you are wondering why I am not talking about the curb appeal of homes in your neighborhood – I will make sure I come to that later.

As always, if you would like more information about my services or any properties that you are interested in, feel free to call me @ 604.561.4371 or e-mail me @ jkyle@remax.net

All the Best!

Jeremy