Posted by: Daryl & Wendy Ashby | December 19, 2010

Best Deals for 2011

The best deals, especially early in 2011, will be similar new and unsold condos in completed projects. Historically developers would rather offer incentives than reduce prices, but most are ready to deal.

CMHC estimates there is a 15-month supply of new and unsold condos across Metro Vancouver and Greater Victoria is not far behind.

Investor-owned condos will likely also be offered at discounted prices next year, said Frank Schliewinsky of market analyst Strategics. Schliewinsky said that, as of November, there were 2,100 “speculative” condos on the market, with most in downtown Vancouver and in the Tri-Cities area of Coquitlam, Port Coquitlam and Port Moody. “The situation has changed and not for the better if you are one of those trying to get rid of that ‘sure bet,'” Schliewinsky said.

The condo discounts should be making headlines by February, when über real estate salesman Bob Rennie plans to unveil his new strategy for selling the controversial Olympic Village project in Vancouver’s False Creek.

“Sitting on my desk is a marketing plan with price reductions and incentives that the market will accept,” Rennie told the CMHC Housing Outlook Conference in November. The marketing pitch will focus on “now you will love the prices,” he said. “That is the closest we will get to blow out.”

The City of Vancouver still must sign off on the discounted prices to sell the remaining 457 completed condos, some of which are currently priced in the $1 million-plus range. The developer, Millennium Properties, was forced into receivership last month.

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