Over the past 10 years, Vancouver Real Estate has proven to be a solid investment for investors. This past year proved that market gains were a better option against gold and silver. Even with the turbulence in the market, the impressive numbers returned have not been released, but there is speculation that there are big smiles on investors’ faces. The average home in Metro Vancouver performed at least 7.5% within the last ten years. The median home price was just $ 250,000, but last year the price was around $ 660,000 according to the ReMax Housing Report.

This performance in Vancouver’s real estate outperformed most commodities and gold in the latter part of 2010. Real estate is a solid investment, but only for the long term. High home prices across Canada are leaving a mark on investment longevity prospects. The next few years will be a bit difficult for investors to recoup their initial investments. Investors will have to be a bit patient, even if their initial investments take more than five years to recover. Elsewhere in Canada, the compound annual rate was up to 8% on returns.

High prices in Vancouver and Metro Vancouver have hurt sales and scared some investors out of buying properties and raising equity from them. This did not prevent major players from causing Vancouver to exceed the national market average of 6.6%. The housing market tends to overshadow disposable income growth, but the rate was beyond normal. Revenue growth in Canada has been about a quarter of the national compounded return. The future of Metro Vancouver real estate is uncertain with overseas investment pouring in from China and other parts of Asia. Cash flow is definitely a nice short-term advantage, but buying from a foreign investor is a bit more difficult than getting a loan from a loan shark.

Even with the temporary label of “unaffordable,” most investments in the next few years will be difficult to swallow, unless there is a sudden change in the economy or other factors favoring the real estate zone. This does not mean that other places in Canada are not attractive or that the returns will not be there. It will take a little time for things to settle down, but local investors are tired of the long journey ahead. Residents’ choices of choice are limited by the current conditions offered by the Canadian real estate market.