(File photo)

Greater Vancouver condo prices jumped 20 per cent in 2017

New mortgage rules increased competition for entry-level properties

Condo prices in Metro Vancouver shot up by 20 per cent in 2017, according to Royal LePage.

In data released Wednesday, the real estate firm suggests new mortgage rules that went into effect on Jan. 1 boosted condo values in the last quarter of the year.

READ: Lower Mainland condos, townhouses see 25 per cent price hike in 2017

The new rules require all borrowers to qualify for a mortgage based on either the five-year benchmark rate or their lender’s actual rate plus two per cent, whichever is higher.

The change applies to all mortgages, new or renewed, even if the down payment exceeds 20 per cent.

Randy Ryalls, general manager of Royal LePage Sterling Realty in Port Moody, said while the new rules might mean Greater Vancouver’s increasingly expensive market cools slightly, the entry-level condo market will only heat up.

“These regulations will likely place many purchasers into the entry-level market, causing the segment to overheat further,” said Ryalls.

READ: Condos, townhouses drive up Fraser Valley property values

North Vancouver saw the biggest surge in condo prices year over year with a 27-per-cent jump, followed by Surrey with at 24 per cent and Langley at 23.

Despite a slower 14-per-cent increase, condos in West Vancouver ended the year as the region’s most expensive at $1,167,544.

Houses didn’t show the same surge in prices, with one-storey homes rising only five per cent and two-storey home going up by seven per cent across Greater Vancouver.

One- and two-storey house prices actually dropped in West Vancouver over 2017, at six per cent and 10 per cent, respectively.


@katslepian

katya.slepian@bpdigital.ca

Like us on Facebook and follow us on Twitter.

Just Posted

Group forms in Hope to respond to homelessness, trauma and addictions

Homelessness Action Response Table (HART) full of local, regional, provincial movers and shakers

B.C. man facing first-degree murder charge in death of Belgian tourist

Amelie Sakkalis’ body was found on Aug. 22 near Boston Bar

New ‘meowyoral’ race featuring felines announced by Chilliwack animal shelter

Organizers hope the cat election will generate attention for both the shelter and municipal election

UFV hosts revitalized Literary Festival featuring some of its previous writers-in-residence

Taking over Mission’s festival, UFV hopes its Literary Festival will be just as popular

Friends and family remember Paul Kaji with a skate in his honour

Hope skater and community member passed away August 2017 of fentanyl poisoning

B.C. RCMP turn to Const. Scarecrow to shock speeders into slowing down

New addition will watch over drivers from a Coquitlam median for first-of-its-kind pilot in Canada

B.C. home to 1/3 of Canada’s overdose deaths in first 3 months of the year

There were 1,036 overdose deaths in the first three months of the year, with 94 per cent accidental

B.C. candidate moves from hospice care to council race

He beat terminal cancer twice and entered hospice when he decided to run for council.

Canadian tobacco exec pushes back against vaping health concerns

A warning from Interior Health about the unknown health risks of vaping is getting a partial rebuke

Ministry of Agriculture commits $300,000 to help B.C. farmers obtain land

B.C. Land Matching Program supports access to affordable farmland for young farmers

Lower Mainland city calls for slower trains near popular beach

Surrey Mayor Linda Hepner said ‘it’s the least we can do’

Canadian air force short 275 pilots

Attrition outpaces recruitment and training claims Air Force

Teacher suspended after physically shushing, saying ‘shut up’ to student

Grade 5 student reported feeling ‘confused and a little scared’

A B.C. society helps to reforest Crown land after wildfires

Forest Enhancement Society of BC focuses on wildfire mitigation and the reforestation

Most Read