Where to buy real estate in Canada 2021: City of Burnaby, New Westminster and Richmond

Burnaby originated as an agricultural centre to support the region’s nearby cities and then transitioned to being a transport corridor between Vancouver, the Fraser Valley and the B.C. interior. Now, Burnaby’s economy is heavily centred on the tech and power industries. Several global brands have their Canadian headquarters in Burnaby including EA Vancouver, Capcom, Nokia, Best Buy, General Fusion and Ballard Power. There is also a heavy industry presence from Petro-Canada and Chevron Canada. The city is a filming hotspot, with 60% of the film studio space on the lower mainland within its borders. Global TV BC and several other television stations also have studios there. 

New Westminster—or “New West” as it’s often called—is the oldest city in Western Canada. The original British settlement in British Columbia, New Westminster was actually named by Queen Victoria herself, garnering it the moniker “The Royal City.” Much of the city’s downtown is made up of historic buildings and includes Columbia Street, the original retail Golden Mile and shopping destination for the interior and Fraser Valley.

Located right in the middle of the Metro Vancouver Region, New West is a 30-minute trip from the City of Vancouver via the TransCanada Highway, or the SkyTrain’s Expo Line. It is also just a 30-minute jaunt to the U.S. border, close to the YVR Airport and close to neighbouring municipalities of Surrey, Burnaby, Richmond and the Tri-Cities. New West has a growing population, rising 11.5% over five years to 70,996 in 2019. The average age is 41.8 and the median household income is $64,695. 

New West is located on the banks of the Fraser River, giving the downtown a waterfront district that can be taken in from a Paddlewheeler Riverboat tour. The city is divided into six main neighbourhoods that are known for their food and shopping destinations, arts and culture, antiques, and cafes. While it has its own downtown, it’s also close to the Metrotown commercial centre in Burnaby and downtown Vancouver. New West has a high school, three middle schools, and 10 elementary schools, as well as post-secondary institutions like Douglas College, Winston College and the Boucher Institute of Naturopathic Medicine.

Like Burnaby, New West has no shortage of parks, including Westminster Pier Park, Friendship Gardens and Tipperary Park, and the Glenbrook Ravine, to name a few. 

Spread over 15 islands, the city of Richmond offers a unique community and lifestyle, and arguably the best climate in the country. Nestled in the estuary of where the Fraser River meets the Strait of Georgia, the majority of residents are concentrated on Lulu Island, which is the largest island and connects to the mainland via New Westminster’s Queensborough neighbourhood. Sea Island is also a part of Richmond, which is the location of the Vancouver International Airport, as well as the annexed villages of Burkeville and Steveston. Since Richmond is situated further from the mountains, it gets less rain than Vancouver, and thanks to its temperate west coast climate there’s nearly no snow—meaning it has some of the most enviable weather in Canada.

A total of 224,425 people call Richmond home, making it the fourth largest city in B.C. With 60% of its population being immigrants, it has the highest proportion of immigrants in all of North America, with nearly half of the population identifying as Chinese.

As an island surrounded by rivers and adjacent to the Strait, Richmond has historically been at risk for flooding. As a result, it is protected by an extensive dyke network, which double as recreational trails. The region has some of the most fertile soil in B.C., and agriculture continues to be an important contributor to their economy. The city has a workforce of about 126,000 people who are employed mainly in the retail, tourism, light manufacturing, and aviation/airport service sectors. Fishing, technology and government services are also major employers, and the city and surrounding area are popular filming spots. The city has 10 high schools and 38 elementary schools and is also the site of Kwantlen Polytechnic University, Sprott Shaw College and Trinity Western University, as well as the British Columbia Institute of Technology’s aerospace campus on Sea Island.

Getting from Richmond to downtown Vancouver is easy via the SkyTrain Canada Line, and there are lots of residential and commercial development projects underway around these transit stations. A number of bridges and tunnels connect the main island to Vancouver and neighbouring Delta, and Highways 91 and 99 run through the city, which connect to Interstate 5 at the U.S. border.

Richmond has several major commercial centres and malls, including Richmond Centre, Aberdeen Centre, Parker Place and McArthur Glen Vancouver. It is especially renowned for its Golden Village Asian shopping district and Alexandra Road, which is known as “Food Street” for its numerous famed restaurants.

Richmond prides itself on providing locals with a green lifestyle. The city has an extensive 145-park system, 73 kilometres of trails and 60 kilometres of cycling paths. Garry Point Park is especially popular for its beaches and North Shore mountain views. Residents also enjoy a number of annual festivals, including the Steveston Salmon Festival, Richmond Maritime Festival and summer Richmond Night Market.

Pre-COVID real estate market

Even before the pandemic, each of these cities was experiencing hot home-buying demand, with double-digit year-over-year percentage increases in sales, and modest price growth. Sales had increased 55.2% in Burnaby between March 2019 and 2020, with the price of benchmark homes coming in at $965,900 in Burnaby East (up 2.8%), and $888,900 in Burnaby North (up 2.2%), though Burnaby South actually increased a slight decline of 1.4%, to $967,200. New Westminster sales had risen 55.2% year over year, with the benchmark price up 2.9% to $749,000, and Richmond sales had soared 88.2% annually with a benchmark price of $795,000 (up 1.2%).

Impact of the COVID-19 Pandemic

When the initial COVID-19 lockdown came into effect, it had immediate consequences for the Burnaby, New Westminster and Richmond housing markets. In Burnaby, sales plunged across all housing types by more than 50% between March 2020 and April 2020, according to the Real Estate Board of Greater Vancouver. Benchmark home prices stayed relatively flat across the city, at $893,900 in Burnaby North, $926,200 in Burnaby East, and $967,900 in Burnaby South. However, by June 2020, the market had returned to more seasonally typical conditions: sales were up 135% from April levels for detached houses, 24% for attached, and 129% for apartments, though average prices saw little growth.

In New Westminster, pre-pandemic sales were starting to see an uptick, up 45.6% in March 2020, though prices had been flat, up 2.2% year over year, at a benchmark of $662,400. In April, sales fell by 49%, while listings fell by 55%. The price stayed stable, increasing 0.1% month over month and 0.7% year over year.

The impact of the pandemic shock had worn off by June, with sales up 61% from April, listings up 194%, the price was still flat, up 0.5%. 

Richmond, however, had been enjoying a strong boost in sales prior to the onslaught of COVID-19; activity was up 88% in March 2020 with 335 sales, at a benchmark price of $940,800. By April, sales had decreased 50%, though prices remained untouched. As seen in the surrounding municipalities, recovery was evident by June with a 98% uptick in sales, though prices had yet to experience any upward movement.

Future outlook

Now that these cities are adjusted to a year of pandemic real estate conditions, they are experiencing the same enormous boom in demand as other secondary markets across the country.

In Burnaby, sales had rebounded entirely by March 2021. Detached sales rose 496% from April and 125% annually, attached up 516% from April and 166% annually, and apartments up 643% from April and up 145% annually. The benchmark price finally broke out of its holding pattern, increasing 6% in Burnaby North to $944,200, 8% in Burnaby East to $1,031,900, and up 5% in Burnaby South to $1,012,600.

In New West, the benchmark price had finally budged by 5% by March 2021 to $696,700, with sales up 306%. A similar trend was seen in Richmond, with sales up 455% from the April pit, and more than double than March 2020 levels, with prices up 9% to $1,022,700.

This upward trajectory in sales and price growth is set to continue in the near future for the province as a whole, especially as post-pandemic immigration recovers in B.C. However, an influx of new listings may bring balance to the market and relief for buyers priced out in 2020 and the first half of 2021, according to the British Columbia Real Estate Association (BCREA). “Although provincial home sales were down slightly from an all-time high in March, sales activity was the highest on record for April,” said BCREA Chief Economist Brendon Ogmundson, in the association’s April report. “Home sales continue on a record pace, though we do see a calming environment compared to the frenzied activity of recent months.”

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Neighbourhoods

Steveston South 

Located in the southwest of Richmond on Lulu Island and right on the shores of the Strait of Georgia is Steveston South, the bottom edge of a historic fishing village. Situated below Moncton Street, this is a tiny, niche community that was originally built around its port and salmon canning centre. Yet for all its nautical charm, Steveston South is easily accessible for those who work and play in Vancouver, as downtown is a half-hour drive away.

This top-ranked community is known for its delightful balance of liveliness and tranquillity, featuring a variety of green spaces, historic residences, and tourist spots and, of course, spectacular waterfront views. Many of the homes in the downtown core retain their early 1900’s architecture and charm, making the area an attractive location for the film industry. As well, a concentrated effort has been made by the community since the 70s to enhance the heritage character of the village—which remains an active fishing port—to attract business and tourism. Locals and tourists alike can take in stunning rural landscapes, seasonal produce fields, as well as lovely views of the Fraser River, Ladner, and Mount Baker to the south in Washington State.

The south end of Steveston below Chatham Street is a lively, pedestrian-friendly hub, filled with eateries and quaint boutiques. The larger retail shopping centres in northern Richmond are a quick jaunt away by car, and there’s also the Coppersmith Corner Shopping Centre close to Highway 99. There are several local schools, including Lord Byng Elementary, McMath Secondary and Westwind Elementary.

The homes in Steveston South are largely single-family detached houses, though they’re priced in the lower mid-range in comparison to many other Vancouver neighbourhoods. The average price for a home was $797,483 in 2020, marking steady year-over-year growth of 3.2%, and up 37.9% over the past five years.

Steveston Village 

Rated as one of the best places in Metro Vancouver to cycle and stroll, Steveston Village is the perfect locale for homebuyers seeking a quaint, seaside lifestyle. Located just 20 minutes from Vancouver Airport, Steveston Village is one of Richmond’s top tourist destinations. Residents enjoy a selection of excellent local restaurants and unique shops, a scenic boardwalk, beach access and parks, playgrounds and biking, which all contribute to the neighbourhood’s desirability.

Like its southern counterpart, Steveston Village is located directly on the shores of the Strait of Georgia, which provides sensational views. There are plenty of long ocean-front walking and biking trails, extending from River Road down the western coastline of Richmond, and up to the South Arm of the Fraser River. 

As a historic fishing port, Steveston Village is filled with history and charm, with features such as the Gulf of Georgia Cannery, an official National Historic Site. Another gem located in the city is Garry Point Park, as it sits right on the waterfront, with river and Gulf Islands views. 

However, this quaint, oceanside lifestyle comes at a heftier price than nearby neighbourhoods: homes cost an average of $1,172,333 in 2020. Home prices in the area have experienced solid growth, up 2.3% from 2019, and 27.1% from 2015.

Sapperton 

Nestled in the northeast corner of New Westminster, along with Coquitlam and Burnaby, the Sapperton neighbourhood is rich in history and community. Situated on the Brunette River, locals enjoy views of the tug boats and log booms, as well as nearby Hume Park. And, with the Sapperton Skytrain Station on site, it’s all a 30-minute trek from downtown Vancouver.

Neighbourhood limits are bordered by McBride Boulevard on the west, East Eighth Avenue to the north, and Brunette Avenue and East Columbia Street in the southeast. It’s filled with beautiful old buildings and character houses with a special kind of vintage authenticity.

There are plenty of local businesses along East Columbia Street, from bicycle repair to quirky eateries. There are many small outdoor spaces and larger parks, combining the perks of an urban lifestyle with a natural setting. Larger commercial and shopping centres are a short drive away in southern New West, including Royal Square Mall and New Westminster Centre. There are a number of local schools, including Richard McBride Elementary, FW Howay Elementary and Urban Academy School.

While housing stock mainly consists of single-family detached homes, there have been more condo developments in recent years, offering buyers a variety of price points. The neighbourhood offers fantastic value, with an average home price of $567,858 in 2020, making it a great option for first-time homebuyers and young families, and single individuals. Price growth has been stable, up 5.9% from 2019, and 46.5% from 2015.