Vancouver Real Estate 5 Month Review 2018
The Vancouver real estate market has had more than a few challenges placed in its path over the past six months. Previous headlines of multiple offers and sale prices way over asking are no longer a story. The market is shifting and there continues to be two very different performing markets in Greater Vancouver. The first being a very active affordable condominium / townhouse market and the second being a slower paced detached house market. It does not seem that long ago when it was the other way around but the single family detached house reached an average price that was unattainable for the majority of buyers. Today, with all the new taxes and new mortgage rules the affordability factor is even more of a challenge for the majority of todays buyers. I will provide a snap shot of stats which will show where the majority of activity is taking place and where there is very little activity. I will do my best to try to make this newsletter captivating or at the very least interesting.
These are the most discussed topics among sellers and buyers in our current market
- Today buyers shopping in the $750,000 and up price range do not want to get into multiple offer situations. They will wait a few days or even a week to write an offer. The $400,000 to $750,000 price range continues to suffer from lack of listings and this is resulting in some multiple offers on accurately priced new listings in great locations.
- Sellers, in most cases, should not purchase first before they sell. This of course is type, location and price sensitive but a seller should look at all the data and information with their real estate agent before purchasing their next home before they sell. Being able to make the best decisions without any pressure is always the best position to be in.
- Prices will remain stable in the affordability sector over the coming months. Low inventory and a surplus of buyers will keep this market moving at its current pace. (see data below)
- What is keeping the inventory low in the affordability price ranges? The price gap from a townhouse to a single detached house is big. If the townhouse owner cannot afford to move up to a detached house there is no point in selling. The result is a lack of townhouse listings. The condo owner who wants to move up to a townhouse has very few listings to choose from and the new mortgage rules has lowered their price point. This has made many condo owners hold off on moving up to a townhouse.
- The foreign buyers are watching the market from the side lines because of the new tax at 20 percent plus all the new taxes and mortgage rules also affecting the local buyers and sellers. They are in a “wait and see” mode. They know there is downward pressure on single detached houses priced over 3 million dollars.
Vancouver Real Estate Market Review by Area and Type (Past 30 days)
Sales to Active Listing Ratio
0 – 14% Buyers Market
15% – 20% Balanced Market
21% plus Sellers Market
There is downward pressure on prices at 12%
Downtown including West End, Yaletown and Coal Harbour
Price Range Listings Sales Sales to Listing Ratio
0 – 800,000 158 88 56%
800,001 – 1.5m 178 77 43%
1.5m – 2.5m 100 20 20%
2.5m – 3.5m 49 10 20%
3.5m plus 74 7 9%
Vancouver West Side Houses
Price Range Listings Sales Sales to Listing Ratio
1m – 2m 35 10 28%
2m – 3m 160 28 17%
3m – 4m 190 21 11%
4m plus 426 12 2%
Vancouver East Side Houses
Price Range Listings Sales Sales to Listing Ratio
1m – 2m 457 74 16%
2m – 3m 247 19 7%
3m plus 53 0 0%
Vancouver West Side Condos and Townhouses
Price Range Listings Sales Sales to Listing Ratio
0 – 800,000 128 63 49%
800,001 – 1.5m 217 106 48%
1.5m – 2.5m 130 23 17%
2.5m – 3.5m 23 1 .04%
3.5m plus 9 1 11%
Vancouver East Side Condos and Townhouses
Price Range Listings Sales Sales to Listing Ratio
0 – 800,000 224 124 55%
800,001 – 1.5m 139 59 40%
1.5m – 2.5m 11 2 18%
2.5m plus 4 0 0%
If you would like a more detailed outline of property type and location please send me an email or give me a call. I am always happy to hear from you.
Direct number 604 787 1210
Email [email protected]
Written by Don Urquhart – Vancouver Real Estate Since 1987
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