October 2007 Real Estate Newsletter

Vancouver for Homes Monthly Newsletter

Welcome to our newsletter on Vancouver’s real estate market. We are here to help you buy or sell real estate in the Greater Vancouver area and through our partners in many areas of B.C.

October 2007

DO YOU NEED TITLE INSURANCE?

We are sometimes asked about whether or not you need title insurance when you are buying your home. Here is some background information from the Real Estate Board on this that will help you make up your own mind.

Title insurance is sold as a protection against problems with the title to property. For example title insurance is popular in the United States. This is because the US land title system is based on the English deed conveyancing system. In the US, as in the UK, a home buyer receives deeds from the seller, sometimes going back decades and occasionally even centuries. While not common, title defects in the US do occur, particularly when long forgotten legal owners come out of the woodwork and legitimately claim their property. This is why the title insurance industry developed.

But here in BC, we have a different type of land registry system than that used in the US, the UK and even Ontario. “In BC we have what is known as a modified Torrens system, run by the Land Title and Survey Authority which is responsible for managing, operating and maintaining BC’s land title and land survey systems,” explains Godfrey Archbold, CEO of the Authority.

Here’s how it works. When a property is registered in BC, documents are presented including conveyance documents. The conveyance is performed either by a notary public or a lawyer, who has a professional obligation to perform due diligence to ensure that the identification presented and the property description is accurate.

“The Land Title Office (LTO) confirms ownership every time a property is sold or mortgaged or when other interests are created including leases and statutory rights of way,” says Archbold. These details are held online by the LTO, and are accessible to professionals, such as your realtor, within minutes.

The registration of title provides legal certainty of ownership and guarantees the certainty and the security of title. “Fraud is exceptionally rare,” notes Archbold who says that in the past 17 years, of a total of 13.5 million transactions in BC, only two have had problems with title fraud. In these rare cases where a property owner is the victim of fraud, there is an assurance fund to provide financial compensation to the victim.

“There’s no question that property owners need to be careful with their property records and their personal identification given the increase in identity theft,” cautions Archbold. “But British Columbians can buy and sell property with confidence that they’re not at risk.” The Real Estate Board’s position is that consumers can decide for themselves whether there are benefits to having title insurance.

REAL ESTATE MARKET

SEPTEMBER - STILL ON THE UP

The market in Vancouver has been busy once again. The total number of sales, at 2,776, was 10.2% higher than September of last year. The bulk of sales are apartments and detached homes. The sales of attached homes (duplexes and townhouses) showed the greatest increase over sales in 2006.

Detached - 1,099 sales, 6.3% increase
Apartments - 1,177 sales, 7.7% increase
Attached - 500 sales, 27.6% increase over September 2006

While the number of sales have increased, the number of listings has also increased pretty much across the whole Metro Vancouver area. This is in keeping with the seasonal pattern where homes get listed after the summer. Nevertheless it is a good sign for buyers since more choice will also help moderate our (continuing) price rises. On the other hand our levels of listings are still somewhat lower than they were in September 2006. Detached home listings are now 1,939 compared to 2,228 in September 2006. For attached (778 v 807) and apartments (2,048 v 2,075) numbers of listings are also down but to a lesser degree.

I have also set out the REBGV benchmark prices as published for this month. Note that these are for typical properties in each area - it is no substitute for a proper market analysis. Figures in brackets refer to the 1 year change, with 3 year change in square brackets. As is usual in our current market we have seen increases across the board. The biggest percentage increases were Port Moody (detached), Vancouver East (attached and apartments).

DETACHED BENCHMARK PRICES

Greater Vancouver $737,927 (11.9%), [3yr: 53.1%]
Burnaby $730,609 (10.6%), [3yr: 53.5%]
Coquitlam $634,528 (7%), [3yr: 56.7%]
South Delta $636,065 (10.4%), [3yr: 44.9%]
Maple Ridge $451,618 (9.5%), [3yr: 38.2%]
New Westminster $549,883 (7.6%), [3yr: 55.2%]
North Vancouver $867,665 (13.8%), [3yr: 45.2%]
Pitt Meadows $473,338 (7.4%), [3yr: 36.4%]
Port Coquitlam $527,736 (10.7%), [3yr: 40.9%]
Port Moody $778,423 (32.8%), [3yr: 63.3%]
Richmond $726,066 (11.6%), [3yr: 54.7%]
Squamish $530,552 (11.6%), [3yr: 38.2%]
Sunshine Coast $447,138 (16.7%), [3yr: 58.2%]
Vancouver East $669,920 (9%), [3yr: 53.2%]
Vancouver West $1397,076 (20.8%), [3yr: 73%]
West Vancouver $1463,554 (12.7%), [3yr: 54.5%]

ATTACHED BENCHMARK PRICES

Greater Vancouver $452,944 (10%), [3yr: 46.6%]
Burnaby $443,129 (11.5%), [3yr: 49.7%]
Coquitlam $409,994 (10%), [3yr: 47.6%]
South Delta $449,342 (12.5%), [3yr: 57.4%]
Maple Ridge & Pitt Meadows $312,731 (10.6%), [3yr: 44.6%]
North Vancouver $576,208 (10.6%), [3yr: 48.1%]
Port Coquitlam $381,676 (8.8%), [3yr: 39.3%]
Port Moody $390,492 (8.6%), [3yr: 56%]
Richmond $437,370 (9.4%), [3yr: 42.5%]
Vancouver East $496,797 (13.4%), [3yr: 55.1%]
Vancouver West $675,842 (7.1%), [3yr: 44.4%]

APARTMENT BENCHMARK PRICES

Greater Vancouver $371,718 (11.1%), [3yr: 59.9%]
Burnaby $331,498 (10.9%), [3yr: 62.3%]
Coquitlam $283,861 (8.9%), [3yr: 63.4%]
South Delta $348,568 (12.4%), [3yr: 53.3%]
Maple Ridge & Pitt Meadows $255,815 (12.6%), [3yr: 72.7%]
New Westminster $287,470 (12.1%), [3yr: 65.1%]
North Vancouver $382,567 (12%), [3yr: 59.7%]
Port Coquitlam $252,680 (13%), [3yr: 72.5%]
Port Moody $299,729 (9.2%), [3yr: 62.8%]
Richmond $307,102 (9.5%), [3yr: 61.6%]
Vancouver East $315,726 (16.3%), [3yr: 69.8%]
Vancouver West $471,034 (10.4%), [3yr: 54.6%]
West Vancouver $643,843 (7.1%), [3yr: 45.3%]

TIME TO BUY OR SELL

If you are looking to buy or sell property then we can help you. We work for you either as a buyer’s agent, to help you find your next property, or as a listing agent. If we cannot help you personally we have excellent partners in most areas within B.C. We and our partners are licensed realtors with the experience and knowledge to help you make your next move a success. Call us to find out how we can help you now.

And remember if you introduce someone to us you will receive a referral fee when they buy.