Some of the best advice I ever got was from my dad. When I was a little kid, I came across a TV commercial selling some “sure-fire” system to make money. Trying to save up for new Atari games, I was really into the idea of growing my money. So I asked my dad about it. My dad said that if anyone developed a guaranteed way to make money, they would have no interest in sharing it. In fact, they’d tell no one and do everything in their power to make as much cash as possible, and screw everyone else.
With this advice, it makes it easy for me to decide that I will never consider purchasing any condo at Solaris at Meadows Gate in Pitt Meadows. Nothing says lock the money in the bank like “projected 10% – 20% property appreciation” plastered right across the ad.
The marketers ought to be ashamed of themselves. And the buyers too, if they fall for this pap.
If property values are expected to increase, why would the developer have any interest in selling to you? Why wouldn’t the developer hold out and wait to maximize on the higher prices to come?
Wait, what’s that sound? Do you hear it? That grinding noise. It’s faint but it’s there, isn’t it? Yeah, that’s the sound of risk. If you don’t hear it now, you soon will. And when the real estate “hot spot” of Metro Vancouver goes into meltdown, you’ll wonder why so many were so deaf.
October 16, 2007 at 8:32 am
“projected 10% – 20% property appreciation”
…Yes…. about 10 years from now perhaps. In fact, why not just say “projected 75% – 100% property appreciation”, because in 30-40 years it might actually be worth that much.
October 16, 2007 at 1:17 pm
Nice job. Wait, what’s that sound?!! It the continual vacuum of exorbitant mortgage payments coming out of your bank account sucking the life blood and motivation right out of your life!
October 16, 2007 at 2:23 pm
“If property values are expected to increase, why would the developer have any interest in selling to you? Why wouldn’t the developer hold out and wait to maximize on the higher prices to come?”
How do you think the developer affords to pay for their mortgage, construction costs, development fees, staff, etc? These are things that have to be paid for long before the property appreciation (which yes, I’m sure they’d love to have).
October 16, 2007 at 3:37 pm
sh**t Meadows … I think not. Don’t be expecting any kind of ROI in this decade. As a wise old realtor once told me ( I know there are some out there ) If you put an iron on the map of the lower mainland and as it cools and heats up is the same way the market does. From Downtown out and the Valley in respectively. The further out the more desperate they will have to be and this is a true sign of desparation. A lesson for young couples don’t be fooled you will have an opportunity to buy and not have to settle for crud like this… Bide your time and save… Better to rent closer to where you work
and save the gas… which is also set to rise.
October 16, 2007 at 5:05 pm
They’re probably taking REBGV’s “projections” of 8% and 7% for all eternity, plus a little extra because of the Gateway bridge effect, and adding some wishful thinking…
Actually, that projected appreciation should flash huge warning lights for anybody with a brain, for the exact reason you pointed out– if they really expected that kind of money, why wouldn’t they just hold out until project completion?
October 17, 2007 at 10:57 am
Somewhat off-topic, but I instantly thought of this web-site when I was forwarded the following from a friend in New York who is actually a copy-writer. Feel free to delete this if you feel it isn’t appropriate to post in the comments.
Realty Porn
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October 17, 2007 at 4:48 pm
Good find! And good blog. I had a good chuckle when I was out in Surrey and saw the advert with the girl without the back of her skirt, you highlighted earlier. I saw that ad more than once. Hilarious!
October 18, 2007 at 12:27 pm
Wow, developers have now resorted to giving you some hair brain prediction of what you “could” possibly make from buying their slapped together box. And what is with that design? Are they purposely trying to play off of everything that is Halloween at the moment. In December will it be green and red? Is the person behind this blind? Yeah, that must be it. Who produces this garbage?
October 19, 2007 at 9:00 am
I ain’t no expert or anything but I just had this thought. If theres a depreciation and a meltdown and all the bears come out and buy wouldn’t there be an intense competition between buyers? tryin to strike the sweet deal.
October 19, 2007 at 2:46 pm
Its nice to know that property taxes are projected to increase substantially every year.
October 20, 2007 at 5:33 pm
I’m curious about the legality of advertising “Projected 10%-20% property appreciation” – are the developers covering themselves by using ‘Projected’?
I remember when I worked at an investment dealer and above all we had to disclaim with the standard “past performance is not indicative of future returns”. If this is, in fact, being marketed to the public as an investment first and a place to lay your head second (jeez, almost forgot about that part in the frenzy), then shouldn’t there be a boatload of tiny, tiny print somewhere. Maybe that’s in the prospectus.
Nonetheless, I think that when developers resort to headlining ‘projected returns’ based on proximity to as-yet-realized, large-scale infrastructure projects, the gig is finally up, short of guaranteeing returns, naturally.
October 23, 2007 at 1:08 pm
I expect there will be plenty of supply to go around for the formerly bearish buyers…
December 13, 2007 at 4:08 pm
Hilarious. What have they got? A crystal ball?! What a bunch of crap. If they could predict the market, they wouldn’t be building condos in Pitt Meadowz…
February 25, 2008 at 9:02 am
“the first of three residential towers ever to be built”
March 2, 2008 at 6:16 pm
“If property values are expected to increase, why would the developer have any interest in selling to you? ”
Hmm, let me think… Maybe so they can pay for the property and materials to actually have it built for you.
You are a genuine dip sh–!
March 6, 2008 at 1:35 pm
every developer has to pre-sale a percentage of the units to get the financing to build. believe me , if they could afford to hold back all of the units until completion they would, knowing full well that nearly every major condo development in the last 4 years in the lower mainland has seen these percentages of appreciation and more.
March 6, 2008 at 6:45 pm
Past performance as evidence of future performance? Oh, I’m the idiot. Right.
Stay calm. This is a comedy site.
September 10, 2008 at 9:50 pm
[...] ad ran a year ago. When it did, I gave it a good ripping. Something about the Pitt Meadows’ condo’s promise of “projected 10% – 20% [...]
January 11, 2009 at 6:29 am
It is possible to see some appreciation in the value of used homes as well as new ones in the near future