It has a grungy pink bathtub, worn out hardwood floors and tiles falling off the exterior, but a is attracting lots of attention.
Thatâs because itâs listed for less than $1 million, a psychological barrier in a city where out-of-control real estate prices are finally starting to fall.
In fact, the two-bedroom home in Vancouverâs East Side was originally listed at $1.2 million but didnât attract any offers.
âIn December, we saw that the market had shifted and we adjusted the price to where we are now at $998,000,â said Realtor Shelly Smee.
âWe have seen a drop in the level of transactions,â she added. âThe listings that do come on are coming on at the adjusted new market price.â
in Metro Vancouver plunged in 2018. There were only 348 homes sold last month compared to 617 in December 2017.
Prices fell too, down 7.8 per cent year over year to an average of $1.479 million. that prices will fall even further this year.
âCurrent demand-supply conditions are consistent with moderately falling prices,â the bank said last month. âDownward price pressure could intensify, however.â
The bank blames the slowdown on poor affordability, the 15 per cent foreign buyerâs tax introduced in 2016, new federal âstress testâ rules that make it more difficult to qualify for mortgages, and rising interest rates.
âReal estateâs a very slow, sticky market where everybody always wants to hold out and get the best price,â said Vancouver Realtor Steve Saretsky. âItâs just a matter of changing expectations.â