Vancouver home being flipped for 25% profit a month after being bought

By Amy Chen

A Vancouver property developer is attempting to a flip a home for 25% profit a mere month after buying it.

Georges Mavroidis of Vancity Development Group Corporation bought the 2167 sq. ft. single family home at 3107 E 21st Avenue for $1.2 million on July 28, 2017, according to BC Assessment[1]

The four-bedroom three-bathroom house is back on market now for $1.65 million, for a profit of $450,000[2]

The assessed value of the property is $1.38 million.

“34 years old Vancouver Special in Renfrew Heights with views of North Shore mountains,” MLS listing reads. “House is very livable.”

“For a very long time, housing in Vancouver has been treated as a commodity by speculators, solely to be bought and sold for profit,” the advocacy group Affordable Housing Canada (AHC), who first brought this instance of flipping to light, stated in a released statement. “Right to housing is recognized in the Universal Declaration of Human Rights – a right that is being denied to many in the city because of rampant speculation.”

“Both the current Vancouver Mayor Gregor Robertson and former BC Premier Christy Clark received large checks from property developers for their campaigns,” they added. “As these developers are making obscene profits from this speculation frenzy, Robertson and Clark did very little to clampdown on this.”

The group lamented that the NDP, which came to power on the promise of slapping a two-per-cent tax on speculation, have indicated that they might not fulfil their pledge.

“Taxes are one tool, but there are other tools available to policy-makers,” David Eby said shortly before being sworn in as the new Attorney General[3] “Taxes aren’t always the right response — there may be others that are more appropriate to deal with flipping or speculative investment in our real estate market.”

AHC urged Eby to carry out his promise.

“It’s time for David Eby used to be an outspoken critic of the speculative nature of the real estate market in Vancouver. As Attorney General, he has the tools at hand to put an end to this madness.”

[Photo Credit: Mark Klotz/Flickr]

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3 Responses to Vancouver home being flipped for 25% profit a month after being bought

  1. adolf hetler says:

    this is capitalism bitch. Why don’t you poor bums quit complaining and start a communist revolution to take back the land

  2. Fred says:

    Ms. Chen, you’re an idiot. There is no profit until something has sold. If I offer to sell a can of soup for $1,000,000 have I made $999,998? No. Not unless some idiot comes along and pays that price.

    Further, “profit” is the return after expenses. The property transfer tax costs $22,000 (more money for social programs!), $1,000-2,000 in legal fees, about $30,000 in realtor fees, about $5,000 a month in interest.

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