METRO VANCOUVER

Vancouver home supply low, sales still strong as new year begins

Vancouver’s residential market closed with a all-time annual record for sales at the end of 2021, leaving the lowest inventory in decades. On a monthly basis, December sales dipped nearly 22% from the preceding month, but still remained high for winter sales, reaching a total of 2,688 across all property types. Compared with December one year ago, this was 13.1% decrease, but the successive declines in December sales have not translated into a slowing price escalation for the region over the same time period.  The residential composite benchmark price for Metro Vancouver property at the end of December 2021 was 1,230,200, an increase of 2.4% from the preceding November, and 23.3% higher than one year earlier. Average home prices have risen substantially over the past two years, largely because of the high demand fueled by low mortgage interest rates during the pandemic. However, the supply factor is now critical as new listings are not keeping pace with demand for housing. The inventory of available homes in Metro Vancouver at the end of December was 5,236 across all property types. This was down 26.7% from the preceding month of November, and a decline of close to 39% compared with the same period one year earlier. New listings during the month of December declined over 50% from new listings in the preceding month, more than double the decline in new listings for December one year ago. The issue of affordability has been a growing concern in Metro Vancouver and with high demand foreseen along with the shrinking supply, affordability must be addressed through urgently needed public policy measures. I am inviting home seekers who need to find housing during at this time to call me. With my banking experience I can advise on budgeting as well as connect you with mortgage brokers to assist you in your home buying effort.

Looking at a breakdown of sales for each property type in December 2021, condominium sales were well ahead with a total of 1,464, a 1.4 % decrease compared for the same month one year earlier. Sales of detached family homes reached a total of 794 in December, a 22.6% decrease from December one year ago. And townhouse sales totalled 430 for December, a 29.9% increase over the same month one year ago. For a month-over-month comparison of each property type, please look at the selection of property benchmark prices I have provided below for different geographical areas with Metro Vancouver. For each property type benchmark price for the end of December 2021, I have included a cluster of the closest prices on each side of average price. This will help you as general guide to finding your desired property type within you budget range. However, it is important to remember that benchmarks are averages for comparable properties in an area. For a more detailed analysis, please don’t hesitate to call me. I am able to provide you with specific prices for available properties, and can advise you on making you bid when you have chosen a home you want. I can also help prospective sellers make set an optimal price in this high demand market when you are listing you home for sale.

Detached homes

The benchmark price for a single-family detached home in Metro Vancouver at the end of December 2021 was $1,910,200, a 2.1% increase from the preceding month. The extremities of this average were Vancouver West (not West Vancouver) at $3,433,600 and Sunshine Coast at $890,300. The three municipalities closest to the benchmark on the higher side of the average were: Port Moody at $1,948,800, an increase of 0.8% from the preceding month; North Vancouver at $1,968,000, and increase of 0.6% from the preceding month; and Richmond at $2,031,000, an increase of 2.5% from the preceding month; The three municipalities closest to the benchmark on the lower side of the average were: Burnaby South $1,868,000, an increase of 2.2% from the preceding month; Burnaby North at $1,082,600, an increase of 1.9% from the preceding month; and Vancouver East at $1,770,100, an increase of 1.5% from the preceding month.

Townhouses

 

The benchmark price for a townhouse in Metro Vancouver at the end of December 2021 was $1,004,900, an increase of 1.5% from the preceding month. The extremities of this average were Whistler at $1,349,900 and Sunshine Coast at $636,300. The three municipalities closest to the benchmark on the higher side of the average were: Vancouver East at $1,085,800 an increase of 1.4% from the preceding month; North Vancouver at $1,199,100, a decrease of 1.5% from the preceding month; and Vancouver West (not West Vancouver) at $1,,307,600, an increase of 0.8% from the preceding month. The three municipalities closest to the benchmark on the lower side of the average were: Richmond at $989,800, an increase of 2.0% from the preceding month; Tsawwassen at $902,300, an increase of 3.4% from the preceding month; and New Westminster at $894,900, a decrease of 2.8% from the preceding month. (Squamish was excluded here because it is too far away for my clients.)

Condominiums

 

The benchmark price for a condominium in Metro Vancouver at the end of December 2021 was $761,800, an increase of 1.2% the from the preceding month. The extremities of this average were West Vancouver at $1,140,300 and Maple Ridge at $470,000. The three municipalities closest to the benchmark on the higher side of the average: Port Moody at $767,600, an increase of 3.6% from the preceding month; Vancouver West at $842,900, an increase of 0.9% from the preceding month, and West Vancouver at $1,140,300, an increase of 2.1% from the preceding month. The three municipalities closest to the benchmark on the lower side of the average were: Burnaby North at $754,300, an increase of 2.2% from the preceding month. Burnaby East at $750,200, an increase of 1.0% from the preceding month; and Richmond at $741,200, an increase of 0.6% from the preceding month.

 

Let me help

I love to help clients and I can assist in many different ways. I have a strong background in banking and finance and can offer expert advise on your mortgage and your budget. Some clients are thinking about renovations, either to add value to their home before listing it for sale, or simply for their living comfort. I can recommend reputable and reliable tradespeople who do quality work for reasonable rates. I can also provide you with a customized analysis of homes and prices in any area you may be interested in. Please let me know if you have any questions about anything to do with your real estate needs.