A CMHC survey reports that single detached home prices in Vancouver rank seventh in North America, down from fourth place one year ago. While this places
Vancouver ahead of L.A., Seattle and Toronto, it still places behind six other American cities.
Charles King, CHMC's B.C. regional economist, stated that the price increases of homes in top ranked U.S. cities is in part due to the spillover of wealth generated
from high tech companies in the Bay area. "Last year, hot real estate markets had a resort spin on them," he said. "This year they have a dot com spin."
But what about Vancouver?
Vancouver beat out Toronto. But Toronto prices are on the rise largely due to strength in the financial sector and other positive spillovers from the new economy.
King added that house price numbers are important to consider from an economic perspective. "They show that Vancouver's economic future must rely on the new
economy for success. The good news is that the Vancouver economy has been transforming itself away from the old economy and embracing the new economy with
its reliance on knowledge-based jobs."