GUEST SUBMISSION: In the vibrant city of Vancouver, where the breathtaking landscape meets a diverse and dynamic population, it is important to acknowledge the powerful force demographics contribute to shaping the real estate market landscape.
Factors such as changing demographics, generational shifts, affordability concerns and an aging population are fundamentally altering the real estate landscape.
Vancouver, like many metropolitan areas, is experiencing the rise of the younger generations, such as Millennials and Gen Z, who are quickly becoming a significant force in the real estate market.
Consequently, developers find themselves under mounting pressure to cater to the needs of Canadians while taking into account the preferences of the up-and-coming cohorts.
Unlike Baby Boomers, Millennials and Gen Z value housing options that are centrally located, close to transit and provide them with a live-work-play environment.
The surge in demand as more individuals seek entry into the housing market has led to escalating property prices in Vancouver and an ever-widening gap between incomes and housing costs.
The soaring property prices have resulted in an increase in renter households and a decline in homeownership, according to Statistics Canada.
With increased rental demand and a cry for affordable housing, developers in Vancouver are left with the challenging task of finding alternative housing options to accommodate the growing population and the diverse needs of different demographics.
Last year, British Columbia experienced a record-high net loss of interprovincial migration, with many individuals relocating to other provinces, typically Alberta, where property prices are comparatively lower.
Young Canadians, in particular, are searching for alternative solutions to home ownership due to the current housing crisis, such as renting, co-ownership, multi-generational living, tiny homes, or simply living with less square footage to afford their ideal locations.
Finding other more feasible options is only highlighting the gaps within the Vancouver market and creating more of a divide.
Impact of an aging population
Another crucial factor that demands our attention is the impact of an aging population on Vancouver’s real estate market.
As more people reach retirement age and choose to stay in their homes rather than downsize or move to retirement communities, the supply of available housing in the city becomes constrained.
This scarcity in supply contributes to rising housing prices and the demand for suitable properties exceeds the overall available inventory.
The limited supply triggers intensified competition among buyers, inevitably driving prices higher and creating a seller’s market.
This impacts all generations looking for houses, be they first-time homebuyers or families looking to upsize their homes.
These constraints, forcing pressures on the market in many different ways, lead to increased uncertainty that tends to result in properties being sold above the asking price, with bidding wars becoming the norm.
In light of this, it is imperative that we consider the needs and desires of those approaching retirement age and take proactive steps to encourage downsizing.
Introducing specialized developments that cater to diverse housing options for seniors or enhancing infrastructure and amenities in neighbourhoods with a higher concentration of seniors can make these areas more attractive to individuals as they transition into retirement.
The profound effect of demographic shifts
The interplay of these demographic shifts in Vancouver has a profound effect on the city’s real estate market, leading to a series of interconnecting factors.
As Vancouver’s population continues to surge and new generations enter the market, the demand for housing is outpacing the city’s supply. Limited supply within the industry is what sparks high levels of competition, resulting in higher property prices.
With a complex landscape that limits the areas available for development, developers are finding innovative approaches to address the evolving needs of Metro Vancouver residents.
Condos and multi-generational homes are an example of one option that has become increasingly popular over the past couple of decades as it provides a more affordable alternative to traditional single-family homes.
High-rise developments are rising in popularity as they are commonly built with energy-efficient features and sustainable design that is highly valued by Millennials and Gen Z.
By building vertically, more housing units can be accommodated on land that was once designated for a single-family home.
In conclusion, Vancouver’s real estate market is being shaped by a multitude of demographic shifts, including the rise of younger generations, affordability concerns and an aging population.
The preferences and needs of Millennials and Gen Z are influencing housing demands, pushing for innovative and centrally located housing options.
Furthermore, the aging population staying in their homes exacerbates the limited supply, escalating prices and intensifying competition.
The net result of these demographic shifts engenders a complex real estate landscape for Vancouver, compelling policymakers, developers and communities to collaborate on comprehensive strategies that prioritize housing affordability.
HALIFAX – A village of tiny homes is set to open next month in a Halifax suburb, the latest project by the provincial government to address homelessness.
Located in Lower Sackville, N.S., the tiny home community will house up to 34 people when the first 26 units open Nov. 4.
Another 35 people are scheduled to move in when construction on another 29 units should be complete in December, under a partnership between the province, the Halifax Regional Municipality, United Way Halifax, The Shaw Group and Dexter Construction.
The province invested $9.4 million to build the village and will contribute $935,000 annually for operating costs.
Residents have been chosen from a list of people experiencing homelessness maintained by the Affordable Housing Association of Nova Scotia.
They will pay rent that is tied to their income for a unit that is fully furnished with a private bathroom, shower and a kitchen equipped with a cooktop, small fridge and microwave.
The Atlantic Community Shelters Society will also provide support to residents, ranging from counselling and mental health supports to employment and educational services.
This report by The Canadian Press was first published Oct. 24, 2024.
Housing affordability is a key issue in the provincial election campaign in British Columbia, particularly in major centres.
Here are some statistics about housing in B.C. from the Canada Mortgage and Housing Corporation’s 2024 Rental Market Report, issued in January, and the B.C. Real Estate Association’s August 2024 report.
Average residential home price in B.C.: $938,500
Average price in greater Vancouver (2024 year to date): $1,304,438
Average price in greater Victoria (2024 year to date): $979,103
Average price in the Okanagan (2024 year to date): $748,015
Average two-bedroom purpose-built rental in Vancouver: $2,181
Average two-bedroom purpose-built rental in Victoria: $1,839
Average two-bedroom purpose-built rental in Canada: $1,359
Rental vacancy rate in Vancouver: 0.9 per cent
How much more do new renters in Vancouver pay compared with renters who have occupied their home for at least a year: 27 per cent
This report by The Canadian Press was first published Oct. 17, 2024.
VANCOUVER – Voters along the south coast of British Columbia who have not cast their ballots yet will have to contend with heavy rain and high winds from an incoming atmospheric river weather system on election day.
Environment Canada says the weather system will bring prolonged heavy rain to Metro Vancouver, the Sunshine Coast, Fraser Valley, Howe Sound, Whistler and Vancouver Island starting Friday.
The agency says strong winds with gusts up to 80 kilometres an hour will also develop on Saturday — the day thousands are expected to go to the polls across B.C. — in parts of Vancouver Island and Metro Vancouver.
Wednesday was the last day for advance voting, which started on Oct. 10.
More than 180,000 voters cast their votes Wednesday — the most ever on an advance voting day in B.C., beating the record set just days earlier on Oct. 10 of more than 170,000 votes.
Environment Canada says voters in the area of the atmospheric river can expect around 70 millimetres of precipitation generally and up to 100 millimetres along the coastal mountains, while parts of Vancouver Island could see as much as 200 millimetres of rainfall for the weekend.
An atmospheric river system in November 2021 created severe flooding and landslides that at one point severed most rail links between Vancouver’s port and the rest of Canada while inundating communities in the Fraser Valley and B.C. Interior.
This report by The Canadian Press was first published Oct. 17, 2024.
