With news of the LNG project getting its second life at becoming reality once again, here in Terrace, BC, the real estate market seems to be erupting again right along with it, like it did when Reo Tinto brought wealth and prosperity to the valley. In fact, old properties that were once on the market, that I thought had sold, were being re-listed, but at slightly higher prices. It seems that Kitimat is once again the hot bed for the housing market, as speculators move in to take advantage.
My question is, “will the bubble burst, or is this the next wave of the markets moving to even higher house prices”? In hind sight, will this be like it is now in Vancouver, as million dollar homes become the norm? Will criminals take advantage of the boom and start flipping up here, to launder their ill gotten money, as reported on the CBC News in Vancouver this year. Will this be, or added to, a full blown housing crises? Will this be the boom-bust cycle that happens normally up here in the North Coast? So many questions, with no answers.
By comparison, the housing market is very reasonable, compared to the Lower Mainland. The average detached free hold house sells for about three hundred thousand here in Terrace today. I also noticed that hardly anyone is touching the mobile homes and condos, as much as the houses with property, as those inventories move more slowly. I am starting to see more vacant land up for sale too.
I am holding back, as I wanted to buy in, but seeing what is going on, I may wait longer before I buy. The one property I wanted, did sell, but I herd that they got it for ten thousand less than what was asking. But that was a couple of months ago. And I still have a few conditions left to full fill with my Bank before we can start talking borrowing money. My down payment pile is growing in the mean time.
I am seeing a lot more out of province vehicles too. The majority are from Alberta, but I saw a few from Ontario and Quebec in the mix as well.There are more cars on the roads in the morning and afternoon–a good sign.
So this means that our little town in the Skeena Valley is growing again, as we help Kitimat absorb the boom. Good for the economy, but bad if you are looking to get into the housing market. Great news if you are looking to sell for your retirement nest-egg, but not so good for the low income class who cannot find a home, and afford to rent any more. When will the bubble burst?