Metro Vancouver home assessments spike about 30 per cent

VANCOUVER (NEWS 1130) – If you own a home in Metro Vancouver, you may be in for a very big surprise this month. The BC Assessment Authority has released updated numbers for the region.

There was a spike of more than 30 per cent across the region. The agency says total assessments increased from $636.2 billion in 2016 to $825.2 billion this year. A total of almost $11 billion of updated assessments is due to new construction, subdivisions and the rezoning of properties.

“Property values are way up, all around Metro Vancouver,” says Tom Davidoff with UBC’s Sauder School of Business. “As you’d expect, higher end neighbourhoods and single family led the market, so for example in the City of Vancouver, a west side single family home was up 40 per cent on average, whereas an east side high rise apartment would be up 20 per cent. Again, the luxury product really did drive the market in 2016.”

LISTEN: NEWS 1130’s Martin MacMahon discusses the latest home assessment numbers with anchors Jim Bennie and Amanda Wawryk

 

Given all the previous figures we’ve seen to date, Davidoff isn’t surprised, but notes there are plenty of questions about where values are headed this year. “It’s what you would have expected,” he explains. “But of course the numbers really are eye-popping. Even in Squamish you’re seeing 40 per cent increases, Burnaby single family — really throughout the region really remarkable price increases concentrated in the single family market. Will these values continue to stay where they’re at or grow in 2017 is the interesting question.”

“The majority of residential home owners within the region can expect a significant increase compared to last year’s assessment,” says Assessor Jason Grant. “Increases of 30 to 50 per cent will be typical for single-family homes in Vancouver, North and West Vancouver, Burnaby, Tri-Cities, New Westminster and Squamish. Typical strata residential increases throughout these areas will be in the 15 to 30 per cent range.”

December sales numbers for single-detached homes across the region took a big dip compared to the same month in 2015. That drop was about 52 per cent right across the Lower Mainland, which doesn’t surprise local realtor Steve Saretsky. “December is typically the slowest month with buyers and sellers getting ready for the holidays and whatnot.”

Meantime, the drop was closer to 54 per cent in the Fraser Valley. “That’s definitely a significant decrease compared to what we’ve been used to for the last couple of years,” adds Saretsky.

The condo market in Greater Vancouver took a dip last month over December 2015 with sales dropping by 25 per cent while townhomes across the region, according to the Greater Vancouver Real Estate Board, plummeted by 40 per cent.

Last month the provincial government issued a warning to let people know their assessments would likely be sharply higher than expected.
The BC Assessment Authority says 2017 property assessment values will reflect the market on July 1st, 2016 which is before sales and prices fell due to factors including BC’s 15 per cent tax on foreign home buyers.

Over 2 million property owners will be getting their assessment notice in the mail this month.