An array of restrictive policies like school and speculation taxes have led to the loss of as much as $90 billion in the overall value of Metro Vancouver properties, according to an analysis by a non-partisan organization.
The study conducted by STEPUP Now estimated that on average, each home in Vancouver lost $153,873 in value due to misguided legislation, CTV News Vancouver reported.
Of the Metro area’s locales, West Vancouver and Vancouver suffered the largest declines in market value, at 14.68% and 13%, respectively.
“While the government’s goal may indeed be to bottom out the housing market in an attempt to somehow address the complex issue of affordability, they are simply removing billions of dollars from the B.C. economy, to everyone’s detriment,” according to Paul Sullivan, senior partner with Burgess, Cawley, Sullivan and Associates Ltd.
The observations came as the Real Estate Board of Greater Vancouver released its latest numbers. The data indicated that a total of 1,829 sales transpired in the region last month, representing a massive 43% plunge from the 10-year sales average for April.
Fortunately, the latest Canadian Real Estate Association report showed that Toronto and Montreal helped make up for B.C.’s market weaknesses last month. Overall sales activity increased by 3.6% month-over-month in April.
Supply also went up by 2.7%, following the 3.4% increase seen during March. The national sales-to-new listings ratio stood at 54.8%, from the 54.3% in March.