People of Vancouver say that it would be great if, every once in a while, a press release talked about how a 3rd party has named their city as the Cheapest Place for Gin and Tonic or Best City for Corgis. Alas, the chances of this happening are low because what dominates the market and minds of people here is real estate.
According to the 27th Annual Survey, Toronto and Vancouver are the most expensive cities in Canada. What’s mind-blowing is that the cost of building a house in Vancouver is higher than anywhere in the world.
The survey examined factors such as low inflation, housing market instability, and fluctuating prices to determine this ranking. Findings from another survey by Capital on Tap (US Business Credit Card Provider) revealed that Vancouver is right behind San Francisco and New York in construction costs.
In the past week, it was noted that home sales in Vancouver were extremely high, and baby boomers opted to stay put in their houses rather than downsizing. This left Millenials disappointed as the listings were pricier, and there was less available housing.
People would automatically assume that if houses are expensive, perhaps a construction house would cost less.
Unless you have millions of dollars saved or are ready to take on a loan, which will most probably hurtle you into serious debt, Maxwell Drever suggest that you look for somewhere else to live. Capital on Tap revealed that the cost of construction per meter square comes at $2,483. If you are upgrading from a standard house to get a few of the modern-day amenities, the cost of the house can run up to $500,000.
The 50 cities included in the study put New York at No.1 with the housing price at$489,959 and San Francisco at No. 2 with the housing price at $439,942.
The cost of construction is high, too, because the availability of labor and space and demand for materials factor into the cost. As a result, the most expensive cities to build in also happen to be where construction never stops. The material cost was and is at its peak because of the pandemic. The price of copper pipe, timber, and rebar soared 40% in some places.
The Cost of Building a House in the World
*This includes the cost of construction of an average-sized house in US dollars ($) as well as the cost of taxes, land, and fees.
New York: $489,959
San Francisco: $439,942
Mexico City: $95,500
São Paulo: $34,174
Hong Kong: $202,739
Kuala Lumpur: $76,799
Dar es Salaam: $27,420
In conclusion, Maxwell Drever says if you are planning to move to Vancouver due to a job opportunity, we suggest that you weigh the pros and cons of living based on cost because it’s possible you won’t be able to save much.