In an update from the Project, it seems a number of sellers are willing to let their homes go for less than market value.
“I'm an owner who has decided to sell to the most fantastic buyers, but to ensure they would get the home I've done a private deal. No bidding wars, no real estate agent fees for little or no work and the right people get the home,” one potential seller said, per the Vancouver Home Project’s website. “It's possible to achieve a 'profitable' price when taking into account one isn't paying agent fees and assessing the percentages that homes are selling for over asking … add a little for market forces, deduct a little for agent fees and everybody wins.”
In some cases, however, investors are losing out.
“My husband and I just sold our home and took 25K less than the highest offer. We opted to maintain the stability of the neighbourhood,” another seller said. “Our son, daughter in law and two granddaughters also live in the area. An investor presented the highest offer, but my husband and I opted to take a lower amount from a lovely young couple instead.”
The project was launched in May of this year with the intention of improving affordability by appealing to sellers’ altruism.
“I think she’s kind of sick of the frenzy that’s going on in the city,” David Kandestin, a corporate lawyer and the man behind the project, told CREW sister publication, MortgageBrokerNews.ca, at the time. “She has conditions; she wants it to be sold to a family with kids, she wants some certain mechanisms to be put in there so that they can’t just turn around and flip it the next day or the next week or whenever.”
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Despite being met with some criticism, the Vancouver Home Project – which aims to connect Vancouver homeowners willing to sell at below market value with potential buyers – seems to be gaining steam.