Realtors of Mainland Chinese Using Helicopters to Buy!

[alpinestars]

this is an interesting strategy. are there any leads (such as magazines, websites) which could provide further insight into similar topics?

in b4: huhuhu go read a newspaper and figure it out

Originally Posted by taylor192

This advice all depends on where you live, and how you live.

Japan has suffered 20 years of housing declines. Renters would have been far better off than owners stuck paying mortgages worth more than the property, with negative gains.

Germany rents, < 50% own, and they are one of the economic powerhouses. Houses have been flat with inflation for 15+ years cause there are rules against speculation.

I have a couple older friends that have rented their entire lives and are very well off. Its because renting allows them to be mobile and take jobs that pay very well, also to move and escape areas when there are downturns - unlike home owners who are anchored to their location.

There's studies that show if you buy/sell more than a couple times you're actually not doing much better by owning, since so much is lose in the transactions. Considering the average Vancouverite wants to start in a small condo, then move to a home, then have to sell the home for retirement, likely they will move enough times to make owning technically unprofitable - I say technically cause most people will not track the entire history of expenses, only the final profit.

So while I know your comment has been true of the last several decades in Canada, you nor I cannot predict the future. Housing may follow Japan and trap people in wealth traps. Housing my follow Germany and provide no gains if further measures to curb speculation are implemented. Who knows!

I will say that in the short term it does not look good, the deck is stacked against ownership. Renting is cheaper than buying right now, so while older people may regret not buying decades ago, younger people may profit from not buying today and waiting a decade.

[Death2Theft]

Again no one gets your satires so stop being a smartass bitch and get to the point.

Originally Posted by jasonturbo

The comment about no bubble was a satire, and yes I think there is a bubble and it's bound to pop... thought it wont burst like the USA, it will be a slow grind.

Again, my 0.02$

The only people that win when housing balloons is developers, realtors, and mortgage brokers/bankers...so no sane person outside of those industries should want housing to skyrocket.

[rocksforsale]

ive heard of this really rich, but asshole of a businessman from mainland china who would jack up the prices of richmond real estate with his evil genius method.. he buys ALMOST ALL the properties/houses that qualify as a "hot find" (to the chinese community), then he resells them for a higher price almost immediately

[SuperSlowSS]

Originally Posted by Ch28

Fucking mainlanders driving up the price of real estate

...so whos doing the selling?

only thing i got to say to those fools is... GOOGLE MAPS! could saved them a few Ks.. lol

[penner2k]

Originally Posted by rocksforsale

ive heard of this really rich, but asshole of a businessman from mainland china who would jack up the prices of richmond real estate with his evil genius method.. he buys ALMOST ALL the properties/houses that qualify as a "hot find" (to the chinese community), then he resells them for a higher price almost immediately

Smart move..

[Jermyzy]

Originally Posted by darthchilli

The general public can't afford whiterock ANYWAYS. I will say this, I work in White Rock. There are 4 types of people that live there

1. Company execs who can afford a home there
2. Retired
3. Families that act as homestay collect $$ to let a chinese/korean student live with them
4. RICH CHINESE that live around OCEAN PARK/MORGAN CREEK

with grandview corners picking up traffic, well, it just adds to the high price real estate in the area

Haha, I work in White Rock too and I totally agree with your post. I never really thought about number 3 until you mentioned it, but it's true!

[m!chael]

Originally Posted by MajinHurricane

maybe because people are born curious to know what outside forces are causing them to be in a social trap?

Just because you scratch your ass doesn't mean you need to smell your fingers, braaah.

[Meowjin]

Originally Posted by m!chael

Just because you scratch your ass doesn't mean you need to smell your fingers, braaah.

That's not related.

[taylor192]

Originally Posted by rocksforsale

ive heard of this really rich, but asshole of a businessman from mainland china who would jack up the prices of richmond real estate with his evil genius method.. he buys ALMOST ALL the properties/houses that qualify as a "hot find" (to the chinese community), then he resells them for a higher price almost immediately

Realtors were doing this during the bubble. They get the inside info on great deals and would negotiate sales before the listing even hit the public domain of MLS, then resell immediate for a profit.

This is why Realtors are crooks, they do not abide by their own code of ethics.

[m!chael]

.

[Manic!]

Originally Posted by rocksforsale

ive heard of this really rich, but asshole of a businessman from mainland china who would jack up the prices of richmond real estate with his evil genius method.. he buys ALMOST ALL the properties/houses that qualify as a "hot find" (to the chinese community), then he resells them for a higher price almost immediately

So??? That's how business works.

[Hondaracer]

Originally Posted by taylor192

Realtors were doing this during the bubble. They get the inside info on great deals and would negotiate sales before the listing even hit the public domain of MLS, then resell immediate for a profit.

This is why Realtors are crooks, they do not abide by their own code of ethics.

I know many realtors personally who still do this.. Swindle old folks into selling their home below market value, their friends buy and lipstick Reno the house for a couple grand and end up making 30-50k profit
Posted via RS Mobile

[liu13]

Originally Posted by Ch28

Fucking mainlanders driving up the price of real estate

Originally Posted by EmperorIS

GTFO

Originally Posted by Mr.Money

Moral of the story: Moar Dirty Asian Vag in the future...

[Spectre_Cdn]

Originally Posted by rocksforsale

ive heard of this really rich, but asshole of a businessman from mainland china who would jack up the prices of richmond real estate with his evil genius method.. he buys ALMOST ALL the properties/houses that qualify as a "hot find" (to the chinese community), then he resells them for a higher price almost immediately

Originally Posted by taylor192

Realtors were doing this during the bubble. They get the inside info on great deals and would negotiate sales before the listing even hit the public domain of MLS, then resell immediate for a profit.

This is why Realtors are crooks, they do not abide by their own code of ethics.

Originally Posted by Hondaracer

I know many realtors personally who still do this.. Swindle old folks into selling their home below market value, their friends buy and lipstick Reno the house for a couple grand and end up making 30-50k profit
Posted via RS Mobile

And.... a specific case is mentioned in this week's Richmond Review:
http://www.bclocalnews.com/richmond_...115999809.html

Imagine Jim Davis’ surprise when he learned his home was again being offered for sale even before the deal he’d signed in December had passed its completion date.

After Davis’ mother passed away last year, he and his brother inherited her Jesmond Avenue split-level house in desirable West Richmond.

They sold the property to a man who claimed he was going to build his dream home for his wife and child.

But last Friday, a phone call from a realtor alerted Davis to the fact that the buyer was actually trying to flip his property for a $100,000 profit, one of many such transactions currently underway in Richmond’s white-hot real estate market.

“I feel like I’ve been snookered,” Davis said from inside his mom’s home. “If they’d just been honest with me up front...”

Davis said he was fully aware that in the sales agreement, it’s clearly stated that the buyer had the right to effectively re-sell the home. But he would have appreciated it if the buyer had let him know he was going to act on that provision.

The company behind the deals, New Land Strategies Corp., 703-6081 No. 3 Rd., has upwards of 10 similar Richmond properties currently available.

The Review was recently contacted by two realtors who were concerned about the unusual practice, the likes of which hasn’t been seen in Richmond since the late 1980s.

New Land, and owner Ze Yu Wu, has spammed a list of the properties to local realtors: 9711 Stilmond Rd., 3460 Raymond Ave., 3531 Jesmond Ave., 8720 Kelmore Rd., 10740 Reynold Dr., 10100 Bamberton Dr., 9860 Berry Rd., 8360 Lunen Rd., 6391 Mara Cres. The Review was unable to reach Wu for comment.

In the case of one of the homes, owner John A. Taggart wouldn’t comment after being contacted by The Richmond Review. He said he is the chair of the local property assessment review panel for BC Assessment, and wouldn’t say whether he’s aware his home is currently on the market for $1.19 million.

Purchasing homes and assigning them to a third party during the standard three-month window before a house transaction completes, isn’t exactly a common practice.

And it isn’t illegal as long as the seller has been made aware, and that those details are contained in the contract of purchase and sale.

Tsur Somerville, of the Sauder School of Business at the University of B.C., said house values don’t traditionally change that much in a three-month span.

But Richmond’s real estate market is currently an exception. A 7,500-square-foot parcel of land in a desirable neighbourhood that once sold for $750,000 in October now commands in the neighbourhood of $1 million.

The reason: buyers from China are scooping up properties on which they can build $2 million mansions. The last three months of furious sales activity has driven up the benchmark and median selling price of local homes above $1 million for the first time.

Richmond realtor Tony Ling said he received the spam e-mail and trashed it immediately.

“I think that any professional real estate agent could see right through this,” he said.

Ling said that he prides himself in his hard-earned reputation built over many years, and associating himself with people who flip properties can seriously damage that.

“This guy appears to be trying to make a quick buck.”

UBC’s Somerville said that if a realtor is doing his or her job and properly monitoring the market for the seller, the seller should get market value for their home.

But at least some of the properties listed by New Land were private sales, where no realtor represented the seller, and only the buyer was represented by a professional.

This can seem attractive because the commission can be cut in half, saving the seller upwards of $10,000.

But in cases where the market changes swiftly, the seller can be left shortchanged, though in Davis’ case, he’s not upset about that.

If he’d been told up front that the buyer wanted to try to flip the property, he would have been fine with that and sold it to him anyway.

Somerville said that for some sellers, their home is more than just an asset, holding sentimental value.

“I think people do care about what the seller will do with a house that they’ve been living in for 30 years.”

[originalhypa]

Good points jasonturbo.
If you're smart with your money while renting, I can see it being a good opportunity to use your money in investments with higher ROI. The one caveat to that, is there are far more renters who will spend that extra money on items that have a negative ROI, like cars or big TV's. Prime example, one of my renters has a lot of cars. His reason for renting is that he can't afford to buy a house like it, but he needs the space for his cars. It's that kind of convoluted thinking that get's people in trouble, and gives renting a bad name.

taylor, you hit it right on the head with this.

So while I know your comment has been true of the last several decades in Canada, you nor I cannot predict the future. Housing may follow Japan and trap people in wealth traps. Housing my follow Germany and provide no gains if further measures to curb speculation are implemented. Who knows!

I'm just hoping my place sells soon so I can get that money out of real estate, and into more diverse holdings. It hurts me to admit this, but it's scary to be in R/E nowadays.

[taylor192]

Originally Posted by originalhypa

taylor, you hit it right on the head with this.

I'm just hoping my place sells soon so I can get that money out of real estate, and into more diverse holdings. It hurts me to admit this, but it's scary to be in R/E nowadays.

That's been my advice all along! Does this mean you're not going to ban me anymore

I think our opinions have more in common than we're willing to admit, since we both (me especially) have posting styles that can create confrontation.

[originalhypa]

you sir, may just be right.



It's been good though. You have caused me to rethink the current situation, and for that I thank you. If this thread hadn't come up there's a bloody good chance I wouldn't have even thought outside of my safety zone.

[CanuckStorm]

Originally Posted by originalhypa

Good points jasonturbo.
If you're smart with your money while renting, I can see it being a good opportunity to use your money in investments with higher ROI. The one caveat to that, is there are far more renters who will spend that extra money on items that have a negative ROI, like cars or big TV's. Prime example, one of my renters has a lot of cars. His reason for renting is that he can't afford to buy a house like it, but he needs the space for his cars. It's that kind of convoluted thinking that get's people in trouble, and gives renting a bad name.

taylor, you hit it right on the head with this.


I'm just hoping my place sells soon so I can get that money out of real estate, and into more diverse holdings. It hurts me to admit this, but it's scary to be in R/E nowadays.

Financially illiterate people will always lose out whether they rent or own. I have had friends buy R/E claiming that it is forced savings. Guess what? Those are also the first people to take out home equity loans and as we speak they have virtually no equity. Also, such people do not realize that you need to save for capital intensive home repairs like water heater, furnace e.t.c .

Your tenant would have wiped out all the equity in their home in order to buy depreciating cars.

As for me. I am a very savvy investor and a frugal saver as well. I might be house poor but my liquid bank balance is not too shabby.

[m4k4v4li]

thats wonderful^