The excess inventory can be seen in the higher vacancy rate for newly completed apartments “that are asking for rents that are more than what is demanded by the market in these times,” said Eric Bond, senior specialist at CMHC. “Operators of those buildings might see some financial head winds in the short term.”
“Overall the region continues to face a shortage of rental housing options suitable for households with different incomes,” said Bond. “In the medium to long-term, new supply will be crucial to increasing housing access in the future.” Sales rose faster than new listings in most areas in Metro Vancouver, showing a shift toward a seller’s market compared to a year ago, said the report.
The sky is falling? They've been saying this for more than 30 years.