Stephen Colbert records an episode of his U.S. comedy show from Vancouver during the 2010 Olympics

Stephen Colbert records an episode of his U.S. comedy show from Vancouver during the 2010 Olympics

BC VIEWS: Housing ‘crisis’ decades in the making

Expo 86, and later the Vancouver Olympics, were designed to put B.C. and Vancouver on the world map

With a bit of grumbling behind the scenes, our 85 MLAs have trekked back to Victoria this week to deal with an emergency summer legislature sitting.

The stated purpose of this brief session is to comply with a demand from Vancouver city council for the ability to impose additional property tax on vacant residential properties.

Vancouver Mayor Gregor Robertson, a former NDP MLA who likes to direct provincial affairs when he isn’t issuing instructions to Ottawa on pipeline policy, should be careful what he wishes for. B.C. Finance Minister Mike de Jong was happy to drop this hot potato in his lap, and now Vancouver city hall can try to determine who’s vacationing for a few months and who’s holding an investment property while living somewhere else.

When NDP leader John Horgan began calling for a “speculation tax” of 1.5 per cent on “offshore” investments, de Jong cited a Vancouver survey that showed the number of vacant properties in the city was declining, even as prices were climbing rapidly.

Horgan argues that Metro Vancouver is in the grip of a housing “bubble” that must be caused by foreign money.

“If wages have been stagnant for a decade, which they have, where is the revenue coming from to inflate these prices?” Horgan said last week. “It’s coming from somewhere else. And that’s not sustainable over the long term.”

Another point likely to be made repeatedly this week is that the province stopped collecting citizenship and residency data on real estate purchases back in the late 1990s. De Jong changed that this spring and with great fanfare rolled out the first three weeks of sales data from June.

They showed that only three per cent of purchases of B.C. residential real estate were from foreign buyers, mostly from China. They were concentrated in Metro Vancouver, and accounted for about five per cent of the total value, which suggests they were for higher-end properties.

This was assailed from all sides. Not a big enough sample size, doesn’t prove anything, etc.

(De Jong abruptly announced on Monday that they were imposing a 15 per cent additional property transfer tax on foreign buyers. On Tuesday he released another few weeks of foreign buyer data.)

We have one of those situations I call coffee shop consensus. Everybody “knows” it’s Chinese money pouring into B.C., and that many homes are being left empty, even if the actual evidence doesn’t show that.

Seattle has a similar problem with real estate in choice locations, by the way. Down there, the coffee shop consensus seems to be that it’s those darn San Francisco and Silicon Valley grillionaires who are driving up prices beyond the reach of working folks.

Blaming foreigners is a great narrative. We saw the same thing with B.C. campgrounds. Utter nonsense, but it has “truthiness,” as U.S. comedian Stephen Colbert says. Truthiness comes from the gut, not the brain.

In a recent radio interview with CKNW’s combative talk show host John McComb, de Jong put forward another theory. He mentioned that the aim of hosting Expo 86 and the 2010 Winter Olympics was to put Vancouver on the global map, and it seems to have worked.

Whistler has worked as a world destination too, as galling as it may be to those who insist these were all costly failures.

The real estate boom has had ripple effects in Victoria and other urban centres, with bidding wars for choice homes.

And it’s beginning to reverse a long trend of depopulation from small communities and rural areas, as people are forced to look for something they can afford.

And it’s produced an urban building boom, including the rental market. There are worse problems to have.

Tom Fletcher is B.C. legislature reporter and columnist for Black Press. Email: tfletcher@blackpress.ca Twitter: @tomfletcherbc

 

Just Posted

Okanagan Lake (File photo)
Thompson-Okanagan ready to welcome back tourists

The Thompson-Okanagan Tourism Association expects this summer to be a busy one

Aerial view of a wildfire at 16 Mile, 11 kilometres northwest of Cache Creek, that started on the afternoon of June 15. (Photo credit: BC Wildfire Service)
Wildfire at 16 Mile now being held

Wildfire started on the afternoon of June 15 at 16 Mile, east of Highway 97

The Desert Daze Music Festival is doggone good fun, as shown in this photo from the 2019 festival, and it will be back in Spences Bridge this September. (Photo credit: Barbara Roden)
‘Best Little Fest in the West’ returning to Spences Bridge

Belated 10th anniversary Desert Daze festival going ahead with music, vendors, workshops, and more

Internet speed graphic, no date. Photo credit: Pixabay
Study asks for public input to show actual Internet speeds in BC communities

Federal maps showing Internet speeds might be inflated, so communities lose out on faster Internet

Fireworks are among the things now banned throughout the Kamloops Fire Centre, as the weather heats up and a dry summer looms. (Photo credit: Black Press files)
Category 2 and 3 open fires, fireworks now banned in Kamloops Fire Centre

Ban on certain types of fires and fire activities in place until Oct. 15

Maxwell Johnson is seen in Bella Bella, B.C., in an undated photo. The Indigenous man from British Columbia has filed complaints with the B.C. Human Rights Tribunal and the Canadian Human Rights Commission after he and his granddaughter were handcuffed when they tried to open a bank account. THE CANADIAN PRESS/HO-Heiltsuk Nation, Damien Gillis, *MANDATORY CREDIT*
VIDEO: Chiefs join human rights case of Indigenous man handcuffed by police in B.C. bank

Maxwell Johnson said he wants change, not just words, from Vancouver police

Tk’emlups te Secwepemc Chief Rosanne Casimir stands outside the former Kamloops Indian Residential School after speaking to reporters, in Kamloops, B.C., on Friday, June 4, 2021.THE CANADIAN PRESS/Darryl Dyck
Kamloops chief says more unmarked graves will be found across Canada

Chief Rosanne Casimir told a virtual news conference the nation expects to release a report at the end of June

A woman wears a vaccinated sticker after receiving a COVID-19 vaccine at a vaccination clinic run by Vancouver Coastal Health, in Richmond, B.C., Saturday, April 10, 2021. THE CANADIAN PRESS/Jonathan Hayward
B.C. ranks among highest in world in COVID-19 first-dose shots: health officials

More than 76% of eligible people have received their 1st shot

A screenshot of the First Peoples Cultural Councils First Peoples’ Map. (First Peoples Cultural Council)
Online resource blends B.C.-Alberta’s Indigenous languages, art and culture

Advisor says initiative supports the urgent need to preserve Indigenous languages

An artists conception of the new terminal building at the Pitt Meadows Regional Airport.
Air travel taking off in B.C., but lack of traffic controllers a sky-high concern

There will be demand for more air traffic controllers: Miller

Canadian Armed Forces experts are on their way to North Vancouver after a local homeowner expressed worry about a military artifact he recently purchased. (Twitter DNV Fire and Rescue)
Military called in to deal with antique ‘shell’ at North Vancouver home

‘The person somehow purchased a bombshell innocently believing it was an out-of-commission military artifact’

Phil McLachlan/(Black Press Media
Man shot at Kamloops shopping centre

The man is believed to be in stable condition

Amy Kobelt and Tony Cruz have set their wedding date for February, hoping that more COVID-19 restrictions will have lifted. (The Macleans)
B.C. couples ‘gambling’ on whether COVID rules will let them dance at their wedding

Amy Kobelt and Tony Cruz pushed back their wedding in hopes of being able to celebrate it without the constraints of COVID-19

Most Read