REIN releases top 10 cities in British Columbia ranking for investing
The Real Estate Investment Network released its top-10 ranking of British Columbia cities this week.
REIN, an independent research and analysis firm, used an equation that measured gross domestic product, employment and population growth, followed by increased rental demand, decreased vacancies, and finally increased rents to determine which cities possessed the most real estate investment potential.
Surrey, B.C.’s second-largest — and fastest growing — city, had the strongest performance, according to REIN’s equation.
The report also gives investment strategies for each city. Noting specifically that Surrey is in the beginning of a boom. Flipping properties in the city is noted as the optimal tactic due to where the city is in its real estate life cycle.
In addition to diverse economic opportunity, Surrey is forecasted to surpass Vancouver in population by 2041. Presently, Surrey receives 1,000 new residents each month.
The report shows Abbotsford and New Westminster finished second and third, respectively. Both being further along in the life cycle than surrey.
New Westminster is in the middle of recovery, and the report recommends rent-to-own as the best investment tactic because, Hunt says, “It has the right balance of individuals who are open to employ that tactic, in terms of investors, and it’s the right time in the market when tenant buyers have confidence in the market. It’s the sweet spot in the market.”
Vancouver also managed to rank tenth on the list however affordability there remains a persistent problem.
All eyes are on Vancouver’s supply and demand issue — there’s presently an inventory shortage in the city — because more than a million new residents are expected to move into the city’s metropolitan area within the next 24 years.
“The GDP forecasts in Vancouver are great, but they’re higher in Surrey.”
Top Ten British Columbia Towns and Cities
- New Westminster
- The Tri-Cities of Coquitlam, Port Coquitlam and Port Moody