March 2013 Market Review

Vancouver Real Estate Market Update

The Vancouver real estate market continues on its slow pace. The year started with bleak projections from the media which stated the market was headed downward and fast. To date this has proved incorrect; there have been no drastic changes in any areas. We are witnessing a slight decline in property values but these declines, so far, are minimal. Most home owners are opting to take their property off the market rather than reducing their price.

As we move into spring, the number of properties offered for sale through MLS continues to increase. This will sustain the current “Buyers Market” and will most likely run through the summer months. Buyers are taking advantage of record low interest rates and opting out of paying high Vancouver rent. Accurately priced properties in good neighbourhoods are receiving steady activity resulting in strong offers and good sale prices. Pricing is important today: if a property is even slightly over priced it will be overlooked by today’s buyers. The following summaries discuss Vancouver’s market by area:

Sales of detached houses for the month of February were 105 up from 83 in January. The majority of the activity took place between 1.5 million to 2.2 million with decent activity in the 2.5 million to 3 million ranges. There was a slight decrease in property values yet overall, activity was up from December and January with listings getting more showings and busier open houses.  February had three sales above ten million with one being $18,600,000 in the University District.

Sales of condos and townhouse for the month of February were 291 up from 200 in January. More importantly is a 20% decline in the current number of listings from the December of 2012. This is increasing the activity with Buyers looking to get into the market with record low interest rates. The majority of the sales were in the 300,000 to 500,000 price range.

Sales of detached houses for the month of February were 77 up from 56 in January. The majority of the sales were in the 700,000 to 800,000 price range with many properties having a suite in the basement as a mortgage helper. The listing inventory remains close to 530 listings giving a 7 months’ supply which equates to a somewhat balanced market; buyers are moving cautiously and sellers have to be realistic.

Sales of condos and townhouses for the month of February were 88 up from 57 in January. The total listing inventory is down 33% from December 2012. This is increasing the activity for Sellers. The majority of the activity was in the 250,000 to 475,000 price range with the highest sale to listing ratio being in the 400,000 to 500,000 range. This positive sale to listing ratio is taking place in the upcoming neighbourhood of Uptown located in the Mount Pleasant Distinct south of Broadway along Main Street.

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