It has a grungy pink bathtub, worn out hardwood floors and tiles falling off the exterior, but a is attracting lots of attention.
That鈥檚 because it鈥檚 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 Vancouver鈥檚 East Side was originally listed at $1.2 million but didn鈥檛 attract any offers.
鈥淚n December, we saw that the market had shifted and we adjusted the price to where we are now at $998,000,鈥� said Realtor Shelly Smee.
鈥淲e have seen a drop in the level of transactions,鈥� she added. 鈥淭he listings that do come on are coming on at the adjusted new market price.鈥�
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.
鈥淐urrent demand-supply conditions are consistent with moderately falling prices,鈥� the bank said last month. 鈥淒ownward price pressure could intensify, however.鈥�
The bank blames the slowdown on poor affordability, the 15 per cent foreign buyer鈥檚 tax introduced in 2016, new federal 鈥渟tress test鈥� rules that make it more difficult to qualify for mortgages, and rising interest rates.
鈥淩eal estate鈥檚 a very slow, sticky market where everybody always wants to hold out and get the best price,鈥� said Vancouver Realtor Steve Saretsky. 鈥淚t鈥檚 just a matter of changing expectations.鈥�
