Well, perhaps the best way to think about our particular secondary home / discretionary marketplace is to remember that the Pacific Northwest is usually last to feel a trend, up or down, and especially so on B.C.'s Coast.
No one "has to" retire, or buy a retreat home or a recreational holding property in any particular timeframe...in uncertain economic times, such decisions can be put "on hold", of course.
However, if the head of the dog of a downmarket shook in Florida three years ago, then the tail is our area, and it's been shaking strongly throughout 2010/11. Late, but firmly in the "pause" moment! Does that mean change might be in the wind?
The thing about that "head of the dog", though...it may be shaking in the opposite direction now, including back in Florida. The buyer, though, has become that citizen of the world...Brazilians are buying up those good deals in Florida, apparently.
And yes, Canadians from those winter provinces, with strong Canadian Dollars in their pockets, are buying up Arizona opportunities.
That international buyer will turn up in our area, too...as the Mainland Chinese decide to look beyond Vancouver's urban lifestyle, then why not an amazing rural opportunity on Salt Spring, on another Gulf Island, on Vancouver Island? Even the rainier "Sunshine Coast"?
The Pacific Northwest Coast is a stellar region, and is located in the midst of the best protected boating waters in the world! The Southern Gulf Islands are in the heart of this amazing place.
So...my theory is that we are in the middle of a huge societal shift, Internet driven, with the consumer in control of all outcomes, and with a complete redrawing of cultural boundaries.
No business, no culture will be immune to change. Perhaps the word "shift" is more evocative? A shift is a bumping out of an established groove and into a new option. That's my take on it....
Nothing/no one is exempt. This is like the Renaissance period, and all those significant changes were the result of Gutenberg's invention of the printing press. The rest, as they say, is history (see Marshall McLuhan). So, the consumer friendly Internet is our Gutenberg revolution....
Meantime, back at the real estate "thought", for our particular area: things "cooled" in our secondary home region around the end of October, 2005. Although the economic collapse wasn't visible until Fall 2008, there was a significant "pause" throughout 2006 & 2007, & into early 2008.
Post-economic collapse, Fall 2008, only entry level residential slowly found some sales activity in 2009 & 2010. In 2011, to date, the price ceiling may have risen from 450,000 to 700,000, which is good news, but the product that sells (slowly) remains entry level residential.
Local market manipulation is a real thing. When the buyer says: "I don't know, I'll think about it", in a secondary home marketplace, they mean it. No amount of localized price reductions will make them act any faster than they want to. Realtor driven is realtor-speak, not buyer-speak. That may be what has happened/still occurs, in an effort to jumpstart activity. Remember, though, the consumer is in control of the process in all discretionary areas: they control the "where" and the "when" of a purchase, and not the seller or the realtor.
We may start to see buyer-speak, soon, however, if what I think is underway, softly-softly, fills in next season (yes, secondary home/discretionary areas have "seasons").
I think this is year six of a seven year cycle. I also think the "global village" is with us. Our buyer continues to evolve into that international purchaser profile.
The downside of the post-Internet world is that "someplace" is in competition with "everyplace". Thus, a property on Salt Spring or on Mayne or on Pender or on Thetis Islands is not just in competition with other properties on those particular islands, but with other secondary home options, globally.
So, a waterfront on Salt Spring, for example, will be on a short list with Qualicum Beach, on Vancouver Island, with Robert's Creek on the Sunshine Coast, with Ardmore outside of Victoria, with...a property in Turkey, in France, in Sweden, in Mexico...and what about the Muskoka Lakes in Canada, Dana Point in California, Australia, New Zealand, Thailand...you get my drift!
Shrinking world...Internet has erased time and geography.
No problem! It means, though, that as a seller or a buyer, you need an interpreter ready to create impression in the global marketplace...and who is there as an individual not as resting behind a company logo. When you call me, you get me...asap. My credo: I want things to work for you.
In a new land, new language, it's important to have the savvy interpreter at your side...that's my role. I make sure that buyers understand...every area is different.
Successfully connecting sellers and buyers on Salt Spring Island, Southern Gulf Islands, Southern Vancouver Island, since 1989, I bring my expertise and my unparalleled knowledge (of both inventory and trends) to your benefit. I work for you!
Follow me on Twitter, find me on Facebook, be a part of my Linkedin connections, see me on YouTube...check out my Active Rain presence...busy with social media, from a business perspective, since March 2008, I am constantly exploring these venues as a potential conduit to that global village opportunity.
With a website since 1996 (which I maintain, for that all important domain authority) and with a state of the art and always evolving "current moment" site (lucky me!), I am front & centre in this exciting new world...the post Internet world...the "real" 21st Century.
More information? Call me!
Discover the pleasure of success...whether buying or selling!
liread33@gmail.com
How may I help you to discover special Salt Spring Island & the Southern Gulf Islands? Call me!
