VANCOUVER (NEWS 1130) – Despite drops in sales and prices in Vancouver, a national report has just named the city as the top Canadian real estate market to watch in 2017 and millennials are playing a large part in that.
Emerging Trends in Real Estate 2017 suggests investors are continuing to shift from residential to mixed-use projects that combine housing with retail or commercial.
There are also predictions of more pressure on affordability over the next five years as increases in immigration keep demand for housing high.
The report, which was released jointly by PwC Canada and the Urban Land Institute, also finds Millennials are driving up Vancouver’s very tight rental market, searching for new, higher-quality units, closer to amenities and transit. It points out rental units have been in incredibly short supply for the past five years, adding that an emerging challenge is the lack of amenities from stores to schools in the downtown core.
While, nationally, the report predicts housing prices will drop about one per cent in 2017 with concerns of a bigger pullback in Vancouver and Toronto, it predicts Canada’s overall housing market is poised for a year of stability.