Home is an expense FIRST, and an investment SECOND
With this quote in mind, it's easier to understand the unique value proposition of these properties (prepaid and non-prepaid Musqueam Leasehold houses).
*SCROLL DOWN TO VIEW CURRENTLY AVAILABLE HOMES*
By purchasing this type of ownership, it's reasonable to think of it as creating your own flexible-term decades-long tenancy at a somewhat 'fixed' and inflation-protected low rental rate. This means potentially massively lower downpayments and monthly payments versus what is typically needed to purchase and own a similar 'Freehold' home in Vancouver. The suggestion is that this creates significant opportunity for investing elsewhere (call me biased, but how about cash-flowing investment real estate...)
How does it work? Well, this depends on whether you're purchasing 'prepaid' or 'non-prepaid' leasehold. Let's break down the differences:
- Prepaid Section: south of the Shaughnessy Golf and Country Club, along Yuculta and Staulo Crescent, Musqueam Drive, and the west side of 6303 to 6598 Salish Drive. The leases here all expire in 2073 with NO monthly or annual lease payment, as they have all been 'prepaid'. You will pay annual property taxes that are roughly in line with what a similar freehold property on the westside would pay. Numerous major banks will conventially finance these with similar terms to those offered on freehold properties. Price ranges for these properties in the early 2020's range from about $1.1m to $2m.
- Non-prepaid Section: between the golf club and S.W. Marine Drive, along Salish Drive (4107 to 4450) and on 5 crescents (Halss, Tytahun, Tamath, Sennok, and Semana), plus along Kullahun Drive. The leases here all expire in 2064 with annual lease payments of roughly $22,000 to $28,000. You will also pay annual property taxes as the Prepaid section does. HISTORICALLY, getting conventional financing has been very difficult; however, I have personal experience obtaining this, so do ask me how one may qualify if curious. Prices for these properties in the early 2020's have ranged from about $500k to as high as $1.7m.
