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B.C.'s housing market remains uncertain during pandemic; new forecast predicts
Jul 10, 2020

VANCOUVER -- A new forecast says the housing market in British Columbia remains uncertain during the COVID-19 pandemic.

Central 1 says it expects home sales to recover marginally in 2020 and 2021 after tumbling by 55 per cent between mid-March and April.

Deputy chief economist Brian Yu says despite values plunging to levels not seen since the early 1980s, home prices have stayed firm because fewer properties were available for sale.

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He predicts median prices could rebound to about $710,000 before slipping to around $540,000 late this year or early in 2021.

Yu says unemployment, business and health concerns will further weaken the market, while population growth, which has traditionally propped up the sector in B.C., will slow to a trickle next year, dampening sales.

He says a second wave of COVID-19 has the potential to shave home prices by 15 per cent as more owners already hit by the pandemic's first wave are forced to sell during a second downturn.

The report released Tuesday notes positive developments as B.C. enters the third phase of its recovery plan including restarts in the accommodation, spa, film and television industries.

Vacancy rates could also climb as high as three per cent over the next year, writes Yu, “providing an opportune time for renters to negotiate rental rates before the market tightens up again.”

Housing starts are forecast to slump 33 per cent in 2020 and remain flat in 2021, which “set the stage for a housing supply shortage in coming years,” the report says.

The timing of a second wave and its impact on the economy would draw out the effect on the housing market, potentially carrying into 2022, it says.

Central 1 Credit Union operates across Canada, partnering with financial, digital banking and payment products and services to support credit unions and their clients.

This report by The Canadian Press was first published July 7, 2020.

June Stats
Jul 03, 2020

Steady increases in home sale and listing activity continue in June

Home buyers and sellers have gradually become more active in each month of the COVID-19 pandemic. In June, home sale and listing activity in Metro Vancouver* returned to more historically typical levels.

The Real Estate Board of Greater Vancouver (REBGV) reports that residential home sales in the region totalled 2,443 in June 2020, a 17.6 per cent increase from the 2,077 sales recorded in June 2019, and a 64.5 per cent increase from the 1,485 homes sold in May 2020.

Last month’s sales were 21.9 per cent below the 10-year June sales average.

“REALTORS® continue to optimize new technology tools and practices to help their clients meet their housing needs in a safe and responsible way,” Colette Gerber, REBGV Chair said “Over the last three months, home buyers and sellers have become more comfortable operating within the physical distancing and other safety protocols in place.”

There were 5,787 detached, attached and apartment properties newly listed for sale on the Multiple Listing Service® (MLS®) in Metro Vancouver in June 2020. This represents a 21.8 per cent increase compared to the 4,751 homes listed in June 2019 and a 57.1 per cent increase compared to May 2020 when 3,684 homes were listed.

The total number of homes currently listed for sale on the MLS® system in Metro Vancouver is 11,424, a 23.7 per cent decrease compared to June 2019 (14,968) and a 15.1 per cent increase compared to May 2020 (9,927).

“Much more of the real estate transaction is happening virtually today. Before considering an in-person showing, REALTORS® are helping potential buyers pre-screen homes more thoroughly by taking video tours, reviewing floorplans and an increased number of high-resolution images, as well as often driving through the neighborhood.”

For all property types, the sales-to-active listings ratio for June 2020 is 21.4 per cent. By property type, the ratio is 19.9 per cent for detached homes, 25.2 per cent for townhomes, and 21.3 per cent for apartments.

Generally, analysts say downward pressure on home prices occurs when the ratio dips below 12 per cent for a sustained period, while home prices often experience upward pressure when it surpasses 20 per cent over several months.

“Home prices have remained steady with minimal fluctuation over the last few months,” Gerber said. “With increasing demand, REALTORS® have begun seeing multiple offers for homes priced competitively for today’s market.”

The MLS® Home Price Index composite benchmark price for all residential properties in Metro Vancouver is currently $1,025,300. This represents a 3.5 per cent increase over June 2019 and a 0.3 per cent decrease compared to May 2020.

Sales of detached homes in June 2020 reached 866, a 16.1 per cent increase from the 746 detached sales recorded in June 2019. The benchmark price for a detached home is $1,464,200. This represents a 3.6 per cent increase from June 2019 and a 0.5 per cent increase compared to May 2020.

Sales of apartment homes reached 1,105 in June 2020, a 17.4 per cent increase compared to the 941 sales in June 2019. The benchmark price of an apartment property is $680,800. This represents a 3.6 per cent increase from June 2019 and a 0.8 per cent decrease compared to May 2020.

Attached home sales in June 2020 totalled 472, a 21 per cent increase compared to the 390 sales in June 2019. The benchmark price of an attached home is $790,800.

This represents a 2.3 per cent increase from June 2019 and a 0.2 per cent decrease compared to May 2020.

Download the June 2020 stats package

 
Home sales rebound from record lows; B.C. sees several "signs of recovery"
Jun 18, 2020

Sales of residential properties in Canada last month climbed from a record low in April, but remained nearly 40 per cent lower than the same month in 2019.

The real-estate sector is in recovery mode, with some bright spots in the wake of the COVID-19 pandemic.

The big picture is things are moving in the right direction but still have a long way to go,” Shaun Cathcart, senior economist with the Canadian Real Estate Association, said in a statement Monday.

Sales and new listings declined, then both moved up again. As overall supply is falling, “prices appear to be holding firm at this point,” Cathcart said.

Data released by the association shows the actual number (not seasonally adjusted) of national sales fell by 39.8 per cent from May of last year.

From April to May this year, sales jumped by 56.9 per cent, the association said — noting, however, that April sales were the lowest on record. May sales numbers were at their lowest since the mid-1990s.

The national average price for homes sold last month was $494,500, a drop of 2.6 per cent from the same month the previous year.

The national average price is heavily influenced by sales in Greater Vancouver and the Greater Toronto Area, two of Canada’s most active and expensive housing markets. Excluding these two markets from calculations cuts almost $94,000 from the national average price, trimming it to about $401,000, the association said.

Within B.C. alone, a total of 4,518 residential sales took place in May, down by 45.2 per cent from the same month last year, the B.C. Real Estate Association said Monday.

The number of sales in May was an increase from 3,284 in April. B.C. started to reopen parts of its economy and the real estate sector has adopted new procedures to protect buyers and sellers.

Declining year-over-year sales meant the overall dollar value of homes sold in B.C. slid in May to $3.3 billion, down 43.5 per cent from 2019, the association said.

Some price gains were seen. The average price for a home sold through the Multiple Listing Service in May was $728,898, up 3.2 per cent from the previous year, as most real estate boards in B.C. saw prices rise.

“There were encouraging signs of recovery in May,” said association chief economist Brendon Ogmundson. “While activity is still far below normal, both sales and listings are up significantly from April’s lows.”

New listings began picking up early in May, the association said. Even so, the total number of listings remains 24 per cent below May of 2019.

Year to date, the dollar volume of sales in B.C. was down by six per cent to $18.6 billion, compared with the same months in 2019.

In Greater Victoria, housing prices stand a good chance of remaining fairly stable in the wake of the pandemic, said Douglas Porter, chief economist and managing director at BMO Financial Group.

Victoria and Vancouver experienced small price gains in April after the economic downturn hit in March, Porter said in an online presentation to the capital region branch of the Urban Development Institute.

Benchmark prices for both single-family homes and condominiums in the Victoria core rose in April and May compared with the same months 2019, according to the Victoria Real Estate Board.

Porter does not expect to see significant changes in housing prices nationally. He predicted that even if there is a drop, it would likely not be more than five per cent within Canada and it would be unlikely for that kind of decrease to happen in Victoria.

Prior to the pandemic, Porter figured the biggest risk to the real estate market was overheating.

Now, he said, “The froth has been knocked out of the market and we are probably looking at a better balanced market when the dust settles.”

Porter anticipates Canadians will continue to see low interest rates, which will be reflected in mortgage rates. “We think we are still looking at relatively tight [housing] supply situations in a number of key markets and we are still probably going to see relatively strong population growth.”

There’s not a huge difference among forecasters examining the overall effect of the virus, but Porter said he is on the less-pessimistic end of the spectrum.

“Our official call is for a six per cent decline in the Canadian economy and about a five and half per cent decline in the U.S. economy.”

These figures would represent the lowest numbers seen in the post-war economy, but, Porter predicted, “It is probably going also to be the shortest recession that we’ve ever seen, either.”

The downturn in March and April has been followed by an increase in jobs in Canada, a rise in home sales and improved housing-start figures. “We are actually seeing activity starting to come off the bottom.”

In coming months, Porter anticipates Canada will see more jobs, more gains in spending and a stronger housing market.

Source: Carla Wilson: Times Colonist

Why have Vancouver's housing prices remained stable during the pandemic?
Jun 08, 2020

The COVID-19 pandemic has reduced activity in Metro Vancouver’s housing market since mid-March, but home prices have remained steady throughout the last 12 months.

Let’s take a closer look at recent home price trends. 

The MLS® Home Price Index (HPI) composite benchmark price for all residential properties in Metro Vancouver today is $1,028,400. This is virtually unchanged from April 2020, a 1.4 per cent increase over the last three months, and a 2.9 per cent increase compared to May 2019.

By property type, the HPI benchmark is $1,456,700 for detached homes (0.3 per cent increase from April 2020), $792,700 for townhomes (a 0.2 per cent increase from April 2020), and $686,500 (a 0.3 per cent decrease from April 2020). 

So why have home prices remained steady over the last year?

Beginning late last year, home buyer activity was increasing and the number of sellers listing their homes for sale wasn’t keeping pace. This was putting upward pressure on home prices.

This trend continued through to mid-March when the province declared a state of emergency and provincial health officials put physical distancing restrictions into place.

 

While these restrictions caused demand for homes to decline significantly in the short term, the number of homes listed for sale also saw similar declines.

 

Supply and demand drive home prices. If the supply of homes for sale declines at a similar rate as the demand, prices will remain stable because home buyers will still need to compete for fewer listings.

For more information on the housing market, check out our Monthly Market Report.

Source: REBGV

May Stats
Jun 02, 2020

Home prices remain steady, buyers and sellers become more comfortable operating in today’s market

 

Metro Vancouver home prices have remained steady since provincial health officials implemented physical distancing requirements in March.

The Real Estate Board of Greater Vancouver (REBGV) reports that the MLS® Home Price Index1 composite benchmark price for all residential properties in Metro Vancouver today is $1,028,400. This is virtually unchanged from April 2020, a 1.4 per cent increase over the last three months, and a 2.9 per cent increase compared to May 2019.

"Home prices have been stable during the COVID-19 period," Colette Gerber, REBGV Chair said. "While we’re seeing a variety of long-term projections for the market, it's critical to understand the facts and trends as they emerge."

Residential home sales in the region totalled 1,485 in May 2020, a 43.7 per cent decrease from the 2,638 sales recorded in May 2019 and a 33.9 per cent increase from the 1,109 homes sold in April 2020.

Last month’s sales were 54.4 per cent below the 10-year May sales average.

"Home sale and listing activity is down compared to typical, long-term levels and up compared to the activity we saw in April 2020," Gerber said. "Home buyers and sellers are adapting today, becoming more comfortable operating with the physical distancing requirements that are in place in the market." 

There were 3,684 detached, attached and apartment properties newly listed for sale on the Multiple Listing Service® (MLS®) in Metro Vancouver in May 2020. This represents a 37.1 per cent decrease compared to the 5,861 homes listed in May 2019 and a 59.3 per cent increase compared to April 2020 when 2,313 homes were listed. 

"Home buyers and sellers are working with their REALTORS® to use new tools to complete different stages of the real estate transaction virtually," Gerber said. “When in-person interactions are necessary, we’re working with our clients to follow the physical distancing requirements set out by WorkSafeBC and the provincial health officer." 

The total number of homes currently listed for sale on the MLS® system in Metro Vancouver is 9,927, a 32.4 per cent decrease compared to May 2019 (14,685) and a 5.7 per cent increase compared to April 2020 (9,389).

For all housing types, the sales-to-active listings ratio for May 2020 is 15 per cent. By housing type, the ratio is 13.5 per cent for detached homes, 18.9 per cent for townhomes, and 14.8 per cent for apartments.

Generally, analysts say downward pressure on home prices occurs when the ratio dips below 12 per cent for a sustained period, while home prices often experience upward pressure when it surpasses 20 per cent over several months.

Sales and benchmark prices by property type

Sales of detached homes in May 2020 reached 534, a 41.5 per cent decrease from the 913 detached sales recorded in May 2019. The benchmark price for detached properties is $1,456,700. This is a 0.3 per cent increase from April 2020, a 2.2 per cent increase over the past three months, and a 2.9 per cent increase compared to May 2019.

Sales of apartment homes reached 653 in May 2020, a 47.6 per cent decrease compared to the 1,246 sales in May 2019. The benchmark price of an apartment home is $686,500. This is a 0.3 per cent decrease from April 2020, a 0.9 per cent increase over the past three months, and a three per cent increase compared to May 2019.

Attached home sales in May 2020 totalled 298, a 37.8 per cent decrease compared to the 479 sales in May 2019. The benchmark price of an attached home is $792,700. This is a 0.2 per cent increase from April 2020, a 1.2 per cent increase over the past three months, and a 1.8 per cent increase compared to May 2019.

 

Download the May 2020 stats package

Will real estate prices plunge? That may depend on the sellers.
Jun 02, 2020

The economic uncertainty surrounding COVID-19 has contributed to contradictory estimates of future housing prices and sales. Leading the bears is the Canada Mortgage Housing Corporation (CMHC), projecting average housing prices to fall by nine to 18 per cent.

Others, including economists at the Canadian Real Estate Association (CREA), are not convinced prices will fall as steeply as the CMHC projects. Many homebuyers and sellers have been left perplexed by these conflicting forecasts — much can go wrong if they rely on the wrong estimates in their buy and sell decisions.

Regardless of the sophistication of algorithms, forecasts are necessarily a byproduct of the assumptions forecasters make and the data they use. Assumptions, inherently, are neither right nor wrong. They are informed guesses about future outcomes. When reviewing a forecast based on modelling, always remember the advice from the famed statistician, George Box: “All models are wrong, but some are useful.”

The CMHC forecasts were generated using “a specific set of assumptions for the market conditions and underlying economic fundamentals,” CMHC noted in the report’s appendix.

But how precise are they? CMHC estimates that average Canadian housing prices in 2020 will be anywhere between $493,200 and $518,400, representing a nine to 18 per cent decline from pre- COVID-19 levels. The number of sales transacting through the Multiple Listing Service is expected to be between 416,000 and 450,500.

The above forecasts are for the average price in Canada. Local market forecasts could be much different. CMHC reported provincial estimates for prices, sales and housing starts, with all provinces seeing the same trend of falling metrics through 2020 and a rebound starting later in 2021.

The lowest average price forecast for British Columbia at $609,515 is still more than double that for Alberta at $288,522. Both numbers are for the second quarter of 2022. The lower bound forecast for Ontario at $531,715 is slated for the second quarter of 2021, which suggests that CMHC expects housing markets to recover sooner in Ontario.

CMHC’s report does not disclose the methods or data used to generate forecasts. The report mentions that CMHC forecasts deploy the “full range of quantitative and qualitative tools currently available.”

The report claims that the forecast’s “range provides a relatively precise guidance to readers on the outlook while recognizing the small random components of the relationship between the housing market and its drivers.” However, the wide range of forecast for prices and sales is indicative of the “high degree of forecast uncertainty” partly due to the “unprecedented nature of the COVID-19 pandemic.” To us, therefore, the claim for precision may be a stretch.

Homebuyers and sellers need to be able to understand what forecasts mean for their decision-making processes. Economists prepare estimates with care. However, when predictions differ from the real outcomes, economists readily revise their projections. Homebuyers and sellers, once they have transacted, cannot “revise” their transactions. Hence the stakes are higher for the ones active in the market.

Another way of thinking about future housing prices is to think about the willingness of sellers to accept lower bids for their listings. If one is of the view that sellers will be, on average, willing to accept bids 18 per cent or more below than what they could have received before March 2020, a significant decrease in housing prices could be inevitable. However, this seems to be an unlikely scenario.

If prices start to decline significantly, sellers can slow or even freeze the market by not listing their properties, withdrawing them from consideration, or refusing a lower bid. Sellers’ unwillingness to sell dwellings at lower-than-expected prices can protect against a freefall in housing prices. Also, when less inventory is available for purchase, buyers may have to compete, which could put upward pressure on prices.

Lastly, the average decline in the average price does not imply that an individual dwelling will experience an average drop in valuation. Why? Because the average price forecasts ignore the differences in sizes and quality of housing or the fact that when economic conditions worsen, higher priced homes stop transacting, and lower-valued homes dominate the sales. The shift in the structural composition of housing gives a false impression that housing prices are falling. Thus, CREA’s estimates of constant quality homes are not as severe as CMHC’s.

Homebuyers and sellers should have a look at the market forecasts. But they should base their decisions on their circumstances and local housing market conditions. Remember, forecasts are useful, but not necessarily accurate.

Source: Murtaza Haider: Financial Post

April Stats
May 04, 2020

Home sales and listings down amid COVID-19, new tools and practices emerge to help buyers and sellers adapt

While Metro Vancouver home sale and listing activity remains limited by the COVID-19 situation, REALTORS® across the region are fast adopting new tools and practices to help advise and serve their clients in a responsible way.   

The Real Estate Board of Greater Vancouver (REBGV) reports that residential home sales in the region totalled 1,109 in April 2020, a 39.4 per cent decrease from the 1,829 sales recorded in April 2019, and a 56.1 per cent decrease from the 2,524 homes sold in March 2020. 

Last month’s sales were 62.7 per cent below the 10-year April sales average and was the lowest total for the month since 1982. 

“Predictably, the number of home sales and listings declined in April given the physical distancing measures in place,” Colette Gerber, REBGV’s president-elect said. “People are, however, adapting. They’re working with their Realtors to get information, advice and to explore their options so that they’re best positioned in the market during and after this pandemic.”  

Realtors have been named an essential service by the provincial government to help the home buying and selling community meet their housing needs during the pandemic. 

“We’re seeing more innovation in today’s market, with Realtors using different technology to showcase homes virtually, assess neighbourhood amenities with their clients and handle paperwork electronically,” Gerber said.  

There were 2,313 detached, attached and apartment properties newly listed for sale on the Multiple Listing Service® (MLS®) in Metro Vancouver in April. This represents a 59.7 per cent decrease compared to the 5,742 homes listed in April 2019 and a 47.9 per cent decrease compared to March 2020 when 4,436 homes were listed. 

The total number of homes currently listed for sale on the MLS® system in Metro Vancouver is 9,389, a 34.6 per cent decrease compared to April 2019 (14,357) and a 2.3 per cent decrease compared to March 2020 (9,606). 

For all property types, the sales-to-active listings ratio for April 2020 is 11.8 per cent. By property type, the ratio is 10 per cent for detached homes, 14.7 per cent for townhomes, and 12.4 per cent for apartments. 

Generally, analysts say downward pressure on home prices occurs when the ratio dips below 12 per cent for a sustained period, while home prices often experience upward pressure when it surpasses 20 per cent over several months. 

The MLS® Home Price Index composite benchmark price for all residential properties in Metro Vancouver is currently $1,036,000. This represents a 2.5 per cent increase over April 2019 and a 0.2 per cent increase compared to March 2020. 

“Home prices have held relatively steady in our region since the COVID-19 situation worsened in March,” Gerber said.   

Sales of detached homes in April 2020 reached 388, a 33.8 per cent decrease from the 586 detached sales recorded in April 2019. The benchmark price for detached properties is $1,462,100. This represents a 2.3 per cent increase from April 2019 and a 0.8 per cent increase compared to March 2020.

Sales of apartment homes reached 503 in April 2020, a 43.2 per cent decrease compared to the 885 sales in April 2019. The benchmark price of an apartment property is $685,500. This represents a 2.7 per cent increase from April 2019 and a 0.2 per cent decrease compared to March 2020. 

Attached home sales in April 2020 totalled 218, a 39.1 per cent decrease compared to the 358 sales in April 2019. The benchmark price of an attached home is $796,800. This represents a 2.8 per cent increase from April 2019 and a 0.6 per cent increase compared to March 2020. 

 

Download the April 2020 stats package

Condo owners face bankruptcies as insurance costs soar
Mar 06, 2020

Uninsured condo owners could find themselves bankrupt and homeless if they don’t maintain their suites and personal insurance as strata insurance costs skyrocket, said the Condominium Home Owners' Association of B.C.

The cost of catastrophes, construction, claims and reinsurance has pushed insurance premiums on many British Columbia strata corporations, or condo owner groups, through the roof.

The concern for individual owners is not having their own suite insurance to handle unforeseen crises, said association executive director Tony Gioventu.

If something from a suite causes damage to common property, the suite owner would be responsible for the deductible of the corporation, he said.

Korecki Real Estate Services Inc. manages 7,500 strata units in dozens of Lower Mainland buildings. Of the strata corporations that have recently renewed their insurance, around 90% saw premium increases of 50-100%, Korecki property manager Mike Alavi said. “We saw half of the stratas get hit on December 31, and the other half are going to get hit on April 30,” Alavi said.

Those jumps are above the Insurance Bureau of Canada’s provincial average of 35%, but below some of the jaw-dropping 300-600% increases Gioventu has heard of.

And, with building insurance rates soaring, so are deductibles, payments an individual could find themselves responsible for.

“Those deductibles are no longer $25,000,” Gioventu said. Instead, an owner could face a bill ranging from $100,000 to $750,000.

A problem, Gioventu said, is many people no longer face the condition of insurance for a mortgage once the latter is paid off. And some don’t reinsure, leaving themselves vulnerable.

Moreover, some don’t maintain their suites, leaving themselves open to huge bills if something goes wrong.

“I am amazed at the number of people who don’t purchase homeowner insurance when they live in condos,” Gioventu said.

He cited an issue of people hanging clothes from fire sprinkler heads.

“These types of claims can easily reach $1 million,” he said.

“You could lose your home.”

Gioventu also stressed the need for strata corporations – especially those in aging structures - to be proactive in maintaining their buildings. Neglect is a recipe for incurring a claim that will make reinsurance harder and more costly, he said.

He said some stratas have received insurance notices with massive increases the day before they are due.

“We have stratas that are in a real crisis,” he said.

Gioventu stressed the importance of depreciation reports that can point a strata corporation toward future problems that should be planned for. But, he said, the provincial government has allowed corporations to opt out of such reports, leaving inspections neglected and planning not done.

“The object is to make sure properties are being maintained or repaired,” he said. “They are restricted by what the owners won’t pay for funding.”

Part of that, he explained, is that strata councils need to remember “ they are a board of directors of a company and [they should] behave like that.”

And, that would make getting insurance harder as claims rise.

“The strata is going to end up paying the cost,” he said. “It could potentially end up bankrupting a community.”

Gioventu said the government has a role in mitigating the problems condo owners face.

One plan might be for government to amend legislation to allow stratas to negotiate insurance fee charges.

Source: Jeremy Hainsworth: Glacier Media

February Stats
Mar 03, 2020

Steady demand and low supply benefits home sellers

 

February saw steady home buyer demand and reduced home seller supply across Metro Vancouver.

 

The Real Estate Board of Greater Vancouver (REBGV) reports that residential home sales in the region totalled 2,150 in February 2020, a 44.9 per cent increase from the 1,484 sales recorded in February 2019, and a 36.9 per cent increase from the 1,571 homes sold in January 2020.

 

Last month’s sales were 15.6 per cent below the 10-year February sales average.

 

“Home buyer demand again saw strong year-over-year increases in February while the total inventory of homes for sale struggled to keep pace,” Ashley Smith, REBGV president said. “This was most pronounced in the condominium market.”

 

There were 4,002 detached, attached and apartment homes newly listed for sale on the Multiple Listing Service® (MLS®) in Metro Vancouver in February 2020. This represents a 2.8 per cent increase compared to the 3,892 homes listed in February 2019 and a 3.4 per cent increase compared to January 2020 when 3,872 homes were listed.

 

The total number of homes currently listed for sale on the MLS® system in Metro Vancouver is 9,195, a 20.7 per cent decrease compared to February 2019 (11,590) and a 6.7 per cent increase compared to January 2020 (8,617).

 

"Our Realtors are reporting increased traffic at open houses and multiple offer scenarios in certain pockets of the market. If you’re considering listing your home for sale, now is a good time to act with increased demand, reduced competition from other sellers, and some upward pressure on prices," says Smith.

 

For all property types, the sales-to-active listings ratio for February 2020 is 23.4 per cent. By property type, the ratio is 17.3 per cent for detached homes, 26.9 per cent for townhomes, and 28.4 per cent for apartments.

 

Generally, analysts say downward pressure on home prices occurs when the ratio dips below 12 per cent for a sustained period, while home prices often experience upward pressure when it surpasses 20 per cent over several months.

 

The MLS® Home Price Index composite benchmark price for all residential properties in Metro Vancouver is currently $1,020,600. This represents a 0.3 per cent increase over February 2019 and a 2.7 per cent increase over the past six months.

 

Sales of detached homes in February 2020 reached 685, a 52.9 per cent increase from the 448 detached sales recorded in February 2019. The benchmark price for a detached home is $1,433,900. This represents a 0.7 per cent decrease from February 2019 and a 1.9 per cent increase over the past six months.

 

Sales of apartment homes reached 1,061 in February 2020, a 39.8 per cent increase compared to the 759 sales in February 2019. The benchmark price of an apartment property is $677,200. This represents a 0.9 per cent increase from February 2019 and a 3.6 per cent increase over the past six months.

 

Attached home sales in February 2020 totalled 404, a 45.8 per cent increase compared to the 277 sales in February 2019. The benchmark price of an attached home is $785,000. This represents a 0.6 per cent increase from February 2019 and a 1.7 per cent increase over the past six months.

 

Download the February 2020 stats package

January Stats
Feb 04, 2020

Home sale activity up, supply down to start 2020

Home sale and price activity remained steady in Metro Vancouver to start 2020 while home listing activity declined in January.

The Real Estate Board of Greater Vancouver (REBGV) reports that residential home sales in the region totalled 1,571 in January 2020, a 42.4 per cent increase from the 1,103 sales recorded in January 2019, and a 22.1 per cent decrease from the 2,016 homes sold in December 2019.

Last month’s sales were 7.3 per cent below the 10-year January sales average.

“We’ve begun 2020 with steady home buyer demand that tracks close to the region’s long-term average,” Ashley Smith, REBGV president said. “Looking at supply, we’re seeing fewer homes listed for sale than is typical for this time of year. As we approach the traditionally more active spring market, we’ll keep a close eye on supply to see if the number of homes being listed is keeping pace with demand.”

There were 3,872 detached, attached and apartment properties newly listed for sale on the Multiple Listing Service® (MLS®) in Metro Vancouver in January 2020. This represents a 20.1 per cent decrease compared to the 4,848 homes listed in January 2019 and a 143.8 per cent increase compared to December 2019 when 1,588 homes were listed.

Last month’s new listings were 17.4 per cent below January’s 10-year average.

The total number of homes currently listed for sale on the MLS® system in Metro Vancouver is 8,617, a 20.3 per cent decrease compared to January 2019 (10,808) and a 0.2 per cent increase compared to December 2019 (8,603), and is 13.7 per cent below the 10-year January average.

For all property types, the sales-to-active listings ratio for January 2020 is 18.2 per cent. By property type, the ratio is 11.6 per cent for detached homes, 22.6 per cent for townhomes, and 23.9 per cent for apartments.

Generally, analysts say downward pressure on home prices occurs when the ratio dips below 12 per cent for a sustained period, while home prices often experience upward pressure when it surpasses 20 per cent over several months.

The MLS® Home Price Index composite benchmark price for all residential properties in Metro Vancouver is currently $1,008,700. This represents a 1.2 per cent decrease over January 2019, a 1.4 per cent increase over the past six months, and a 0.8 per cent increase compared to December 2019.

Sales of detached homes in January 2020 reached 439, a 29.5 per cent increase from the 339 detached sales recorded in January 2019. The benchmark price for detached properties is $1,431,200. This represents a 1.7 per cent decrease from January 2019, a one per cent increase over the past six months, and a 0.5 per cent increase compared to December 2019.

Sales of apartment homes reached 814 in January 2020, a 45.6 per cent increase compared to the 559 sales in January 2019. The benchmark price of an apartment property is $663,200. This represents a one per cent decrease from January 2019, a 1.5 per cent increase over the past six months, and a one per cent increase compared to December 2019.

Attached home sales in January 2020 totalled 318, a 55.1 per cent increase compared to the 205 sales in January 2019. The benchmark price of an attached unit is $782,500. This represents a 0.7 per cent decrease from January 2019, a 1.6 per cent increase over the past six months, and a 0.5 per cent increase compared to December 2019.

Download the January 2020 stats package

 

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