This is 2681 McBain (hat tip to ZRH2YVR):
This 3 bedroom bungalow (advertised as having 4 bedrooms and 2 bathrooms) near Prince of Wales School has had the same owner since it was purchased in 1955.
I shudder to think what they paid for it then.
It has been languishing on the market and the desperate Boomer has cut the asking price to $1,599,000. Here is a screenshot of the listing:
The key element is in the listings description:
Priced $566,300 under assessed value.
Word is 2681 McBain has now sold… and for less than the most recent asking price.
Now you should know that on the r/e chat boards, Real Estate bulls have been quick to point out that it wasn’t a massive amount of inventory on the west side combined with a dearth of sales that resulted in a sale so dramatically below assessed value.
The neighbourhood speculative builders and many Asians wouldn’t purchase it because it was at the end of a T-steet. Apparently this is a big no-no for the all important Asian ‘Feng Shui’.
According to VCI contributor ‘West Coast Woman’
About two weeks ago I was viewing a new build in the area and started talking to a Caucasian couple at the open house. I told them about the McBain house and their first reaction was “yeah, but it’s at the end of a T-street so it has little resale potential”. I was shocked at that comment and replied that it was a much superior location with much less traffic (probably less than 20 cars a day drive down that street) than the one we were viewing. Regardless of whether the T-street thing makes any sense, it WAS the reason for the reduced price as the long-time older owner simply couldn’t take care of the house anymore and was motivated to sell.
Two houses in the 2400 block McBain sold a couple of months ago in a crazy bidding war. One was purchased as an “investment” by an Asian man living across the street. It is the one now being rented out. The one next door to it (which wasn’t even listed) was purchased by someone who “lost” the bidding war; it is now back on the market for about $2,670,000 – about 150,000 more than they paid for it. Another house across the street at 2408 McBain is another slightly renovated flip – purchased last year for about $2.2 million, it’s now back on the market for about $2.6 million!
Any truth to this? Perhaps.
The one part I do agree with is that the reduced price was because the long-time older owner simply couldn’t take care of the house anymore and was motivated to sell… which is the whole essence of the Boomer Trigger. She had the ability to move significantly on the price, she wanted to sell the property, and she pulled the Trigger.
So now we have a Vancouver west side property that has sold for about $600,000 BELOW assessed value as a result.
The Boomer Trigger at work. I expect to see more like this if sales continue to stagnate.
Market anecdotes are always good. This one is interesting, especially the “Feng Shui” angle. Perhaps there are buyers that are still able to pay top dollar for homes and properties with “good “Feng Shui.
Given statistics show most homeowners only own ONE property, again it is what it is. If your property is bad feng shui…..well S.O.L. if the buyers focus is on this.
Back to selling….as a family friend , a realtor said every property has its time to sell…which is a very open ended comment. Everybody’s dream is to sell at the top of the market, but that percentage is very small(mostly dumb luck). If the home noted above at 2681 McBain still had its original owner, then they must have had 57 enjoyable years, and the time to sell had arrived. “Coulda woulda shoulda” shouldn’t apply, because greed tends to blind one.
The seller had likely paid off the mortgage years ago….and this was not a matter of cutting ones losses, it was perhaps maximizing the profit. I’ve met people who bought land, the value has risen substantially, and I said..”well you can wait till you are 90 , then sell and perhaps make more dollars yet be in ill health……OR not get greedy, sell out and enjoy the profit while one is still healthy”.
The demographics would likely indicate there are many parties older than the Boomers ie in late 70’s early 80’s….who wish to cash out, and again, will thus set the market price. I am not sure Feng Shui will count much any more.
As the article notes, these long time owners have much more flexibility to chase the market, and ironically many of these seniors lived through tough times ie World Wars and Depression…and likely have substantial savings as well. Thus the lesson may be, the Boomers perhaps had it too good and now the day of reckoning will arrive.
Regardless, the market has to be reviewed frequently as these are going to be very interesting times.