Vancouver sole exception across country

By Stuart Hunter, The Province  September 24, 2009

Canadian real estate remains a bargain compared to the rest of the world, but Vancouver's red-hot market is still the country's most expensive, according to a new study.

The Coldwell Banker study compared the average prices of "aspirational" homes -- a typical 2,200-square-foot, single-family home with four bedrooms and 21/2 bathrooms -- in countries worldwide.

It found the home to be relatively affordable in most Canadian cities -- with the exception of Vancouver, where it cost $1.26 million, making it more expensive than 35 other Canadian markets.

Toronto was the second most expensive Canadian city, with an average price of $824,347, while Montreal was third at $469,250 -- all deals compared with the most expensive city globally of Singapore at $2.037 million.

Vancouver realtor Marline Kolterhoff, who has been in the business for more than 38 years, said many Canadian markets such as Burnaby, with an average price of $655,497, remain affordable.

"I think the Canadian market is still a bargain compared to the rest of the world," said Kolterhoff, a broker/co-owner of Coldwell Banker Premier Realty. "Vancouver -- relative to the rest of Canada -- I don't think it is a bargain."

The survey found eight Canadian markets including all types of homes had average prices below $300,000 including Charlottetown ($147,560), Brantford ($222,968) and Halifax ($257,891).

The most expensive average prices in North America were in La Jolla, Calif., at $2.284 million while Beverly Hills was second at $2.126 million. Vancouver ranked 10th.

The most affordable average-priced homes in North America were in Grayling, Mich., at $120,832.

The biggest deal internationally was in Salinas, Ecuador, where the average price was $74,397.

Internationally, Milan, Italy, has the second most expensive aspirational homes at $1.76 million, with Shanghai, China, third at $1.49 million.

"When I started, bungalows were $17,000 or $18,000," Kolterhoff recalled. "I remember a manager saying: 'One day, these homes will be worth $100,000,' and we all laughed and laughed and thought he was hysterical.

"Now, you can't get anything for under $900,000. One thing about the Vancouver market -- it is never dull."

shunter@theprovince.com

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EXECUTIVE HOME PRICES

Vancouver: $1,260,000

Toronto: $824,347

Montreal: $469,250

Edmonton :$432,250

Winnipeg: $390,368

Saskatoon: $381,975

St. John's: $348,750

Halifax: $277,302

Moncton: $276,175

Charlottetown: $158,667

Source: Coldwell Banker