Tuesday 21 June 2011

Vancouver Real Estate as a Potential Investment

By Renato Mamon


If you are contemplating to find an investment for your future, then this article is for you to read. During the last 10 years the Vancouver Real Estate has been a great choice for real estate investors. The past year proved that the gains from the market were even higher compared to gold or silver.

Despite having the disturbance in the market, the amazing numbers returned haven't been released but speculation is that there are huge smiles on investors faces. An average home in Metro Vancouver gained at least 7.5% return during the past decade. The common house price a few years ago was only $250,000, but last year the purchase price was about $660,000 according to the ReMax Housing Report.

This overall performance in the Vancouver real estate outperformed most commodities as well as gold during the later part of 2010. Real estate is actually a reliable investment decision but only for the long term haul. The high prices of homes around Canada are generating a scarring perception on the investment's longevity prospects.

The coming years will be a little bit hard for investors to recover their original investments. Investors should be somewhat patient, due to the fact that their investments will take more than 5 years for the recovery. In other regions of Canada the compound yearly rate can be as high as 8% on returns.

Despite having the short-lived brand of "unaffordable" the majority of investments over the next few years will be hard to swallow, unless there is a surprising shift in the economy or another issue would occur that might benefit the real estate zone. It doesn't mean that other areas in Canada are not good choices for real estate deals or the returns are not worth it. It will take a bit of time for the matters to settle down but the local investors are wary of the long journey ahead. The choices investors make are limited by the existing conditions made available from the Canadian real estate market.




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