Burnaby is expected to capture the next wave of homebuyers from Mainland China after these investors are crediting with dominating the housing market in both the Westside of Vancouver and Richmond over the past year.
"Burnaby could be the next major destination [for Chinese buyers]," said Jennifer Podmore, financial advisor and real estate leader at Deloitte Touche, Vancouver. Podmore is to speak on a panel at the upcoming Vancouver Real Estate Forum, being held April 7. She also noted that the North Shore and the Marpole area of South Vancouver are also on the radar for offshore investors.
Podmore noted that Mainland Chinese buyers are responsible for more than 60 per cent of MLS home sales on the West Side of Vancouver, where detached house values have soared to more than $1.6 million over the past year. The same group is responsible for a spike in new condominium sales and single-detached sales in Richmond, Podmore said. As a result, detached house prices in Richmond have surpassed the $1 million average price mark for the first time. Podmore pointed to the Metrotown region of Burnaby as a specific destination for Mainland Chinese buyers, especially for new high-rise property. A number of "primary" developers are now active in Metrotown, she added.
She will tell the Real Estate Forum that the Lower Mainland is attracting 90 per cent of immigrants to B.C., and that B.C. is also welcoming the most immigrants involved in the investor category. This group, which totalled 5,500 individuals last year, must prove a net worth of at least $1.6 million and be willing to invest a minimum of $800,000.
Tightening up of real estate investment in at least 30 cities in China; B.C.'s proximity to Asia; and the large number of Chinese living in the Lower Mainland all contribute to B.C. being seen as a primary real estate investment, Podmore said.
