Buyer Resources

Seller Resources

Mortgage Calculator

Market Snapshot

Home Seller Supply Grows as Demand Declines




Wednesday, July 4, 2018


With home sale activity dipping below long-term historical averages, the supply of homes for sale in Metro Vancouver* reached a three-year high in June.


The Real Estate Board of Greater Vancouver (REBGV) reports that residential home sales in the region totalled 2,425 in June 2018, a 37.7% decline from the 3,893 sales recorded in June 2017, and a 14.4% decrease compared to May 2018.


Last month’s sales were 28.7% below the 10-year June sales average.


“Buyers are less active today. This is allowing the supply of homes for sale to accumulate to levels we haven’t seen in the last few years,” Phil Moore, REBGV president said. “Rising interest rates, high prices and more restrictive mortgage requirements are among the factors dampening home buyer activity today.”


There were 5,279 detached, attached and apartment properties newly listed for sale on the Multiple Listing Service® (MLS®) in Metro Vancouver in June 2018. This represents a 7.7% decrease compared to the 5,721 homes listed in June 2017 and a 17.2% decrease compared to May 2018.


The total number of homes currently listed for sale on the MLS® system in Metro Vancouver is 11,947, a 40.3% increase compared to June 2017 and a 5.8% increase compared to May 2018. This is the highest this total has been since June 2015.


“With reduced demand, detached homes are entering a buyers’ market and price growth in our townhome and apartment markets is showing signs of decelerating.”


For all property types, the sales-to-active listings ratio for June 2018 is 20.3%. By property type, the ratio is 11.7% for detached homes, 24.9% for townhomes, and 33.4% for condominiums.


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


The MLS® Home Price Index composite benchmark price for all residential properties in Metro Vancouver is currently $1,093,600. This represents a 9.5% increase over June 2017 and is virtually unchanged from May 2018.

 

               It's more than analyzing the market ups and downs;

                                                          it's an experienced perspective and sound advice

DETACHED

Sales of detached homes in June 2018 reached 766, a 42% decrease from June 2017. The benchmark price for a detached home is $1,598,200. This represents a 0.7% increase from June 2017 and a 0.6% decrease compared to May 2018.

 

APARTMENT

Sales of apartment homes reached 1,240 in June 2018, a 34.9% decrease compared to June 2017. The benchmark price for an apartment is $704,200. This represents a 17.2% increase from June 2017 and a 0.4% increase compared to May 2018.

ATTACHED

Attached home sales in June 2018 totalled 419, a 37.3% decrease compared to June 2017. The benchmark price of an attached home is $859,800. This represents a 15.3% increase from June 2017 and is virtually unchanged from May 2018.


- For more information from the Real Estate Board of Greater Vancouver, click here.


Feel free to call me with any questions you may have and pass this and my contact information along to your friends or family who are in need of real estate help.

Sincerely,

Janet