As a former resident of Canmore back to 1988 to 2002, I had the opportunity to see the city's vision to develop over time, the community grew and changed and became one of the most desirable resort communities in the world. Changes not always for the better as communities grow and learn to understand the challenges involved in managing growth.
As part of its management plan, the District Council carried out a management plan for growth, which has tried to manage the pace of development. As with any municipal interference with the natural pace of growth, all controls are used to accelerate the value of the property, which at the end of one of the factors that can change the community from the negative perspective of many of the existing population.
I can not help but feel deja vu with regard to some of the above sceanario as I sit here in the Okanagan and write this. Reading various reviews from the community and politicians about the inevitable growth and transition that this region will experience over the next several years only serves to remind me that the challenge is in municipal politics at the time of the incredible demands of the community.
What is interesting is that the cafe in the Okanagan debate now is no different than they were in Canmore fifteen years ago. If I had a dollar for every time a resident of Canmore told me that the housing market has "topped out" and is now a good time to sell I would be very rich. Also, for every investor who told me that the market is too expensive and there was no way real estate appreciated more!
Now, my point. Most Canadians simply do not understand the value of their property settlement on a global level. If you are not careful, they will not until it was all gone. There's an old adage that "everything comes to those who wait", and the truth is that "those who are waiting just to get what was left behind those who are not !!"
OK. I have your attention. Now, try and back up with some semblance of logic! The truth about the Canmore, Okanagan and other beautiful areas that are some basic parameters that are in line with the same parameters that you see on the site of prime real estate markets around the world.
Some of these parameters include, but are not limited to:
1 Certainly the cultural environment
2nd Limited supply of land
3rd beautiful scenery
4th transport corridor
5th International air links within a few hours
6th Developed tourism infrastructure
the parameters listed above enough to know that considerable attention will be devoted to developing the region. From this point of view, it seems an attractive proposal for real estate investors of all descriptions where people who want to live in a region full time.
now understand part of what is an area that can stimulate the appetites of investors, lets talk about the value of property in that area and try to define the "arrogant" in value!
There are so many times I hear from potential buyers, "I'd like to buy something, but this community is already too expensive" They suggest that this must mean that it is a bad investment. Perhaps it is simply an excuse, because they May not be able to afford to buy property in a particular place, but it has no impact on investment potential.
Think about it for a second. One of the most sought shares in North American stock markets was Warren Buffet's "Berkshire Hathaway", but it just happens to be one of the most expensive stock (supply / demand economics). The same applies for the property. It is not the current value that determines the quality of investment, it is speculative or potential value. In today's global economy, real estate investors would do well to educate themselves about the value of real estate in other areas of the village. For example, Canada has always offered some of the best value for money ski hill property for many years. It is not uncommon to pay $ 1,000 per square meter for the U.S. ski hill homes back in Canada come to $ 300 per square meter, a developer's market becomes more international investors because of the ceiling is constructed of many Canadian investors.
in Kimberley, BC, a lot of property was purchased by buyers from the UK who are in many cases have bought several units for investment.
Of course, the real estate market were not heated to the point we saw a few years ago with the Internet stocks, and then "melt" of stocks in the sector. Real estate has a tangible asset in many situations, the value of cash flow. Unlike the "greater fool theory" in the heated stock market, real estate will trade on the "true value" to the next customer, often verified by certified appraisers. If you look at a mature resort area, the average daily rate (ADR), the hotel increases which leads to an increase in revenue per available room (RevPAR) for the developer. The region is a corresponding increase in value in relation to the settlement of real estate as an increase in cash flow due to a functional marketing programs and increase spending brand hotel chains and individual and small operators.
The other factor that determines the direction of the real economy will be "Whoever comes here." Of course the main driving forces in Kelowna economy will be retiring baby-boomers. Most of the queries we see in our development project and in my real estate business is a "pre-retirees." Those people who are quite a decision several years ago that this would be their retirement haven and prepare for the event by investing in perhaps a rental condo, which allows them to "test drive" their retirement, to generate some cash flow and asset prices that could used to benefit the local economy as they move toward a more permanent residence. This requirement is less "variable" investment demand. This does not change the price of oil, or trade balance surplus in Canada, or course, in fact, even the interest rates will not serve to soften this sector of the market because these people spent many years planning their retirement and will do so with very low debt to equity ratios. This group of people just starting to move here, and if you read the kind of futurist books, such as branches, Bust, Echo and David walk the Roaring 2000s by Harry S. Dent, then you will understand the impact this generation will have on our property market here in the Okanagan.
It is now several million dollars gives you a choice of properties available in the Okanagan Lake (with a few exceptions). Back in 1996 I remember reading that the average price of a home in Telluride, Colarado is a $ 2.3 million.
Okanagan has enormous potential, the property here is not too expensive, it is great value for novac.Samo a challenge we have is our tendency to be very short term mentality when it comes to real estate investments. Personally I have never subscribed to looking at real estate from short-term perspective, although I have lived and consultation in the regions where short-term returns have been very possible. Properties to consider long-term investment program with the possibility of short-term benefits from time to time (usually with increased experience in the market ).
