If you’ve been thinking about buying real estate in the Fraser Valley or Greater Vancouver, you’ve probably asked the question everyone eventually asks:

“Which type of real estate is actually the best?”

Most people expect a simple answer, but the truth is more nuanced, especially in a region as complex and fast moving as the Lower Mainland.

After working with hundreds of buyers and investors across presale condos, presale townhomes, resale homes, and redevelopment-focused properties, here’s what I’ve learned:

First: The Biggest Misconception Buyers Have

Many people believe every property type appreciates the same and that buying anything automatically leads to profit.

That’s simply not true.

There is no guaranteed return in real estate, especially when the wrong property type, wrong location, or wrong timing is involved. In a high priced market like ours, the margin for error is small.

That’s why choosing the right property type matters more here than almost anywhere else in Canada.

So, Which Property Type Has Performed the Best Recently?

Over the last 12–24 months, the property type that has delivered the strongest ROI for my clients has been:

➡️ Resale detached homes with rental suites on land with redevelopment potential.

Here’s why:

• They generate strong rental income immediately
  
  
• The land value is more stable than the structure
  
  
• Areas positioned for densification (e.g., Surrey City Centre, Fleetwood, Guildford, Newton, Coquitlam City Centre, Burquitlam, Metrotown, Brentwood, Edmonds, Oakridge, and Langley City) provide an extra layer of upside
  
  
• Investors benefit from both cash flow + future land use changes
  
  

But this doesn’t mean detached homes are always the “best” choice for everyone.

Different goals = different best property type.

A Real Client Case Study

A client of mine came to me convinced that buying a large 2bed resale condo would give him the best return.

Instead, I showed him a presale condo opportunity with:

• Better price per square foot
  
  
• No monthly carrying costs for ~2.5 years
  
  
• Exposure to market appreciation without cash burn
  
  
• Better future resale liquidity
  
  

He ultimately chose the presale unit and the math showed it was the smarter long term investment for his situation.

This happens more often than you’d think:
People assume one property type is “safer,” even when the numbers tell a different story.

The Biggest Mistakes Buyers Make

1. Listening to outside voices instead of professionals

Friends, family, coworkers, almost everyone has an opinion on real estate. Unfortunately, most advice is outdated, overly general, or based on someone else’s personal situation.

A market as unique as Greater Vancouver requires hyper-local, experience-based guidance.

2. Not comparing every property type available to them

A lot of first-time buyers limit their options without realizing it.
Often, the best property type for them is one they weren’t even considering.

The Biggest Mistakes Investors Make

Investors even experienced ones make three common errors:

1. Not running the right numbers

Many investors underestimate expenses or overestimate rent.

2. Over-leveraging

Too much debt + a slow rental market = a stressful investment.

3. Ignoring location, demographics, and future resale appeal

A good investment isn’t just about today’s numbers, it’s about who will buy it from you later.

How I Evaluate Which Property Type Is “Best”

My criteria include:

• Quality of construction
  
  
• Layout functionality
  
  
• Price per square foot
  
  
• Location & walkability
  
  
• Demographic appeal
  
  
• Future appreciation potential
  
  
• Cash flow
  
  
• End user demand when reselling
  
  

The “best” property type for someone is the one that checks the right combination of these boxes based on their goals.

Presale Condos vs. Presale Townhomes: Where I Stand Right Now

Presale Condos

Right now, I believe presale condos offer stronger ROI potential than townhomes because:

• PPSF is often equal to or cheaper than resale comparables
  
  
• Condo prices have corrected more than townhomes
  
  
• Many developments are converting to purpose built rentals, reducing future condo supply
  
  
• With fewer launches projected, today’s buyers may benefit from a more competitive resale market later
  
  

Presale Townhomes

Townhomes haven’t dropped as far in price, and construction costs remain high. There’s less “discount to value” compared to condos meaning the upside is more limited right now.

How Declining Housing Starts & Rising Costs Affect the Equation

Construction costs, land prices, and developer financing have shifted the development landscape dramatically.

What this means for buyers and investors:

• Less condo supply coming in the future
  
  
• More pressure on existing inventory
  
  
• Increased demand from first-time buyers, downsizers, and small investors
  
  
• Greater competition for well located, efficient units
  
  

In other words:
The scarcity factor is becoming very real.

When Is a Resale Detached Home the Best Choice?

It’s a strong option when the property has:

• A good price relative to land value
  
  
• A solid rental suite
  
  
• A desirable location
  
  
• Redevelopment potential
  
  
• A tenant-ready condition
  
  

It’s a trap when:

• Pricing is inflated
  
  
• Major repairs are needed before renting out
  
  
• The lot is poorly positioned
  
  
• The area lacks growth drivers
  
  

Detached homes can be fantastic, but you must buy the right one.

So… Which Type of Real Estate Is Best?

There is no universal “best.” There is only the best property type for your money, your goals, and your risk tolerance.

Here’s the framework I use with clients:

Sarb’s 4-Point Framework for Choosing the Right Property Type

1. How much capital do you have?

Downpayment, closing costs, holding capacity, this immediately narrows your options.

2. What is your long term game plan?

5 year hold? 10 year plan? Future move? Pure investment?

3. What is your risk tolerance?

Are you comfortable with presale timelines?
Do you prefer cash-flow certainty today?
Do you want redevelopment potential?

4. What motivates you?

Building wealth? Lower payments? Minimal stress?
Your motivation significantly impacts the best choice.

Final Thoughts

Different property types win in different market conditions.
Right now, presale condos and redevelopment-located detached homes are performing well but that doesn’t mean they’re right for everyone.

The smartest real estate decision is always the one that matches: