Metro Vancouver was rated one of the highest real estate bubble risks in the world by global financial services company UBS Switzerland last year, but most Metro residents say they don’t think prices in the region are ever going to drop.
A new Angus Reid Institute report found two-thirds of those polled in the region say they believe the cost of housing is not going to fall and become more affordable, irrespective of any actions the provincial government may take.
The majority of both renters (81%) and homeowners (74%) alike describe the cost of housing in the region as unreasonably high.
Most respondents – 62% – want prices to fall. Twenty six per cent of those polled say they think prices should drop around 10%, while 36% said declines of around 30% would be preferable.
The two main drivers behind the regions lack of affordability, according to the report, were both forms of speculative buying. Fifty nine percent of those surveyed said foreign buyers were to blame, while 43% said wealthy individuals in general were the main cause.
Both renters (82%) and homeowners (56%) agree that the cost of housing is the single most important issue currently facing Metro Vancouver. This is followed by homelessness and poverty (renters: 40%; owners: 21%) and transportation, traffic and public transit (renters: 20%; owners: 39%).