Sunshine Coast Price Drop: How low will they go?

[Skook]

5520 McCourt Rd Sechelt

I have been following a roughly 2 acre property in West Sechelt since about mid-2013. The site was to have been Phase 2/3/4 of the Seaview Villa Estates; however, the project went into foreclosure. The story behind this development is a sad one because of the personal impact on the developer. The details are found in Part 2 of my ‘Sechelt - Dead Ducks, Non-fliers & Snake Oil’ thread (Scroll down).

As you can see in the spreadsheet below the property has gone through substantial price drops since its original listing in mid-2012. With the recent price drop this week, more than a million dollars has been shaved from the original list price – a drop of almost 60%.

(Price spreadsheet removed. Updated spreadsheet added below)

The assessment for this property isn’t much better. The 2015 assessment dropped $4,000 and if we add it to the huge drop in 2013 (↓$114,000) the total loss in value since 2011 stands at $118,000.

I walked around this development many times back in 2009-2010 and was impressed with both the phase 1 townhomes and the incredible view; however, I just took a look at the new listing pics and that view has been impacted by the Orca Vista development below (see photo 19). Bummer.

April 12, 2015 Update:

Another price drop this past week. Wow, down almost -65% from its July, 2012 list price. The only thing I can think of to explain this precipitous price dropping is that the bank wants this property off its books and fast. Do you think it’s getting worried about the insanity swirling around Vancouver house prices?