Vanderhoof

Vanderhoof, British Columbia

Vanderhoof is the geographical bullseye of British Columbia, and it’s the real deal for a Northern BC town. This isn’t a resort spot or a commuter suburb. It’s a working town, pure and simple—a service hub for the Nechako Valley right on Highway 16, built on forestry and farming. People move here to work hard, raise a family, and belong to a place that knows what it is.

The economy is classic northern resource town. Manufacturing leads at 16%, followed by healthcare and retail, but forestry and agriculture are the bedrock. A $90,000 median household income looks solid on paper, but that number doesn’t tell the whole story. The 8.2% unemployment rate is what gives us pause, as does the slow population decline of 2% since 2016. These are direct signals of an economy that’s still tightly tethered to volatile commodity prices. For a town this size, it’s reasonably diverse, but when the resource sector catches a cold, Vanderhoof gets sick. That sensitivity is why we demand a conservative approach on leverage.

The town feels young because it is. The median age is just 38.4, and a full 64% of the population is in their prime working years. But this isn’t a place people move to for a gentle retirement. The plant hardiness zone is a frigid 4a for a reason—the winters are long, cold, and serious. We do see some adventurous retirees from Alberta who want the authentic rugged lifestyle—the hiking, wildlife, and fishing are top-notch. For most, however, the lack of extensive healthcare options and that tough climate are practical dealbreakers. The town’s culture is a mix of that independent, self-reliant northern spirit and the deep, ongoing history of the Saik’uz First Nation, who are an integral part of the community fabric.

The housing stock is exactly what we like to see for collateral: straightforward and stable. It’s dominated by single-detached houses—nearly 70% of the market—which creates a predictable valuation environment. You won’t find a speculative condo boom or major development pressure here; it’s a town of primary residences for local workers and their families. We consider Vanderhoof a core market, but our discipline is non-negotiable. Its relative isolation, combined with the resource-based economy and higher unemployment, means our exit strategy on a foreclosure is inevitably slower and more difficult than in a larger centre.

All this means we need to see a significant equity position from any borrower in Vanderhoof. We know the town and we’re ready to lend, but our primary job is to protect our investors’ capital. For any deal here, our maximum loan-to-value is 55.0%. If you have a borrower with a good property and a lot of skin in the game, bring it to us.