Good, president of the real estate company TheKey.com, wrote a editorial piece for the Vancouver Sun advocating that Canadians should be grateful for the recent surge in Chinese buying activity in major cities. In the last two months, Good said his company has sold more than 700 condos in Toronto, of which 60% went to mainland Chinese buyers. In the wealthy Vancouver neighbourhood of Richmond, he said 98% of his sales were to Chinese buyers.
These figures are “just the tip of the iceberg,” said Good, who has opened an office in Beijing to attract more investment in Canadian real estate.
“But instead of gratitude, I see growing fear and resentment that foreign buyers are inflating prices and pricing ‘us’ and ‘our children’ out of the market,” Good wrote.
There’s already concern the Chinese market has already started to bubble, and many mainland buyers are now looking for safe investment options outside of their country. Good said Chinese buyers are most interested in their children’s education and real estate for their future, and Canada is often a prime target.
Vancouver city councillor Peter Ladner said Chinese homebuyers are “warping” real estate prices, and others in the industry have voiced similar concerns. When Vancouver and British Columbia real estate figures are released, the associations producing them often list a caveat that price gains in the past year are heavily influenced by the most recent purchases of high-priced homes.
Good said there are benefits to the Chinese growing demand in Canadian real estate that should be considered: “It’s driving demand and creating a real estate industry that is the envy of the entire world.”
“Real estate is the best investment you’ll ever make, but don’t take my word for it. Ask any of the 70% of Canadians who are already owners. Or a Chinese person,” concluded Good.
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