Residential Property Sales in Metro Vancouver
The Metro Vancouver* housing market continues to experience reduced demand across all housing types.
The Real Estate Board of Greater Vancouver (REBGV) reports that residential property sales in the region totalled 1,929 in August 2018, a 36.6% decrease from the 3,043 sales recorded in August 2017, and a 6.8% decrease compared to July 2018 when 2,070 homes sold. Last month’s sales were 25.2 below the 10-year August sales average.
“Home buyers have been less active in recent months and we’re beginning to see prices edge down for all housing types as a result,” Phil Moore, REBGV president said. “Buyers today have more listings to choose from and face less competition than we’ve seen in our market in recent years.”
There were 3,881 detached, attached and apartment homes newly listed for sale on the Multiple Listing Service® (MLS®) in Metro Vancouver in August 2018. This represents an 8.6% decrease compared to the 4,245 homes listed in August 2017 and an 18.6% decrease compared to July 2018 when 4,770 homes were listed.
The total number of homes currently listed for sale on the MLS® system in Metro Vancouver is 11,824, a 34.3% increase compared to August 2017 (8,807) and a 2.6% decrease compared to July 2018 (12,137). Last month’s sales were 25.2% below the 10-year August sales average.
The MLS® Home Price Index composite benchmark price for all residential properties in Metro Vancouver is currently $1,083,400; a 4.1% increase over August 2017 and a 1.9% decrease since May 2018.
Detached properties saw 567 sales in August 2018, representing a 37.1% decrease from August 2017 (901). The benchmark price of a detached property as of August 2018 is $1,561,00; a 3.1% increase from last August. There were 1,025 apartment property sales in August 2018, representing a 36.5% decrease from the 1,613 sales in August 2017. The benchmark price of an apartment property as of August 2018 is $695,500; a 10.3% increase from last August. 337 attached properties were sold in August 2018, representing a 36.3% decrease from the 529 sales in August 2017. The benchmark price of an attached home as of August 2018 is $846,100; a 7.9% increase from August last year.
For all property types, the sales-to-active listings ratio for August 2018 is 16.3%. By property type, the ratio is 9.2% for detached homes, 19.4% for townhomes, and 26.6% for apartments.
Generally, analysts say that downward pressure on home prices occurs when the ratio dips below the 12 per cent mark for a sustained period, while home prices often experience upward pressure when it surpasses 20 per cent over several months.
“With fewer buyers active in the market, benchmark prices across all three housing categories have declined for two consecutive months across the region,” Moore said.
Sourced and edited from: Real Estate Board of Greater Vancouver
Commercial Property Sales in Metro Vancouver
June 21, 2018. Commercial real estate sales in the Lower Mainland declined in the first quarter (Q1) of 2018 compared to the active market experienced in the region last year.
There were 523 commercial real estate sales in the Lower Mainland in Q1 2018, a 10.8 per cent decrease over the 586 sales in Q1 2017, according to data from Commercial Edge, a commercial real estate system operated by the Real Estate Board of Greater Vancouver (REBGV).
The total dollar value of commercial real estate sales in the Lower Mainland was $3.031 billion in Q1 2018, a 38.5 per cent decrease from the $4.927 billion in Q1 2017.
“Our commercial market returned to more historically normal levels in the first quarter of the year compared to the heightened activity we experienced in 2017,” Phil Moore, REBGV president said. “This shift to more typical activity is mirroring the overall economic trends we’re seeing in our province today.”
September 13, 2018. The commercial real estate market in the Lower Mainland continued to see fewer transactions in the second quarter (Q2) of 2018 compared to recent years.
There were 569 commercial real estate sales in the Lower Mainland in Q2 2018, a 16.3 per cent decrease over the 680 sales in Q2 2017, according to data from Commercial Edge, a commercial real estate system operated by the Real Estate Board of Greater Vancouver (REBGV).
The total dollar value of commercial real estate sales in the Lower Mainland was $4.047 billion in Q2 2018, a 13.4 per cent increase over $3.570 billion in Q2 2017.
“Similar to our residential market in recent months, we’re starting to see fewer transactions across all categories in our commercial market,” Phil Moore, REBGV president said. “Higher interest rates, reduced retail activity, and other economic factors are contributing to this change.”
Source: The Real Estate Board of Greater Vancouver
In the News
August Home Sales Suggest Impact of Stress Test Fading
September 13, 2018. The British Columbia Real Estate Association (BCREA) reports that a total of 6,743 residential unit sales were recorded by the Multiple Listing Service® (MLS®) across the province in August, a 26.4 per cent decrease from the same month last year. The average MLS® residential price in BC was $669,776, down 1.2 per cent from August 2017. Total sales dollar volume was $4.5 billion, a 27.3 per cent decline from August 2017.
“The downturn in housing demand induced by the mortgage stress-test is now largely behind us,” said Cameron Muir, BCREA Chief Economist. “The BC housing market is evolving along the same path blazed by Ontario and Alberta, where the initial shock of the mortgage stress-test is already dissipating, leading to increasing home sales.”
Year-to-date, BC residential sales dollar volume was down 19.9 per cent to $41 billion, compared with the same period in 2017. Residential unit sales decreased 21.3 per cent to 57,674 units, while the average MLS® residential price was up 1.7 per cent to $719,064.
Source: British Columbia Real Estate Association