During a recent trip to Southern California I visited the area of La Jolla, specifically that of Birdrock and noticed many similarities to that of Central West Vancouver, specifically Dundarave; gently sloping streets, modern construction and ocean views characterize these two areas.
Although no two homes are perfectly comparable especially given the different geographic location, it is interesting to note the similarities in home pricing based on a square foot basis. As it turns out, Dundarave’s sale prices are only an average of 8.3% more expensive than the comparable examples that I have chosen in Birdrock.
Vancouver, along with La Jolla boasts some of the most desirable real estate in the world. Vancouver is constantly being critiqued for having over inflated prices, but few take the time to compare Vancouver on a larger scale. West Vancouver, similar to that of Birdrock are areas that have extremely limited supply and high demand; it is not unreasonable to assume rising price levels beyond more common areas given their unique characteristics.
In today’s real estate market I would conclude that the exorbitant list prices on homes are long overdue for a correction rather than a blanket reduction on the final sale prices of homes.