METRO VANCOUVER
Sales continue downward slide; new listings spike; abundant inventory
Home sales in Metro Vancouver continued their downward trend in January, marking the sixth consecutive monthly decline. January’s 1,107 sales were down 28% from the preceding December and were 31% below the 10-year seasonal average. While January is not necessarily a harbinger for the rest of the year, the lengthy period of declining sales seen since late last summer remains a firm indication of the underlying economic uncertainty affecting prospective buyers. As Canada fends off the U.S. initiated trade tariffs in a volatile geopolitical environment, multiple sectoral disruptions are affecting our confidence in being able to sustain a long-term investment. A home purchase with monthly mortgage payments can be a daunting decision. At the same time, the housing market itself presents excellent purchase opportunities in the current circumstances Notably Metro Vancouver 5,157 new listings in January were a dramatic increase of 178% over the preceding month, bringing the inventory at the end of January to an appealing 12,628 available homes across all property types. This is 38% above the 10-year seasonal average. On January 28, the Bank of Canada held its policy rate steady at 2.25% where it has been since last October, an indicator that Canada’s consumer price inflation is hitting its target. Current commercial mortgage rates typically range from 3.84% to 4.6% for 5-year fixed mortgages and from 3.35% to 4.34% for 5-year variable rate mortgages. And while mortgage rates have brought home purchases to an affordable range for many buyers, price declines are also making home purchases more attractive. At the end of January, the composite benchmark price for a residential property in Metro Vancouver was $1,101,900, a 1.2% decline from the previous month.
I invite you to review in the section below my monthly selection of benchmark prices for comparable homes is in different areas of Metro Vancouver. For each property type, the month-over-month price change can be seen as the typical fluctuation from the relative market activity for the month. You can also see the range of prices making up the benchmark average. There is typically a large difference in the extremities of the range, so I have selected three prices on each side of the average as a guide for your shopping. Please call me if you would like to explore specific prices in any area. I can provide you with the most up-to-date listed prices and answer your questions about any neighborhood. And if you are thinking of listing your home for sale, I can prepare a Customized Market Analysis for you property and advise you on the optimal listing price in the current market. Please feel free to call me with any questions you may have. I love to help my clients with any of their real estate needs.
Detached homes
The benchmark price for a single-family detached home in Metro Vancouver at the end of January was $1,850,800, a decrease of 1.5% from the preceding month. The range of this average extended from $2,956,400 in West Vancouver to $851,800 on the Sunshine Coast. The three municipalities closest to the benchmark on the higher side of the average were: Burnaby North $1,939,300, an increase of 0.5% from the preceding month; Richmond at $1,991,600, a decrease of 2.2% from the preceding month; and Port Moody at $1,997,100, a decrease of 0.2% from the preceding month. The three municipalities closest to the benchmark on the lower side of the average were: Burnaby East at $1,796,300, an increase of 0.2% from the preceding month; Vancouver East at $1,697,600, a decrease 1.2% from the preceding month (Squamish is omitted here because it is too far out for my clients); and Coquitlam at $1,647,800, a decrease of 1.3% from the preceding month.
Townhouses
The benchmark price for a townhouse in Metro Vancouver at the end of January was $1,043,400, a decrease of 1.2% from the preceding month. The range of this average extended from $1,655,500 in Whistler to $725,600 in Pitt Meadows. The three municipalities closest to the benchmark on the higher side of the average were: North Vancouver at $1,269,900. an increase of 1.0% from the preceding month; Vancouver West at 1,397,300, a decrease of 1.1% from the preceding month; and Whistler at $1,655,500, a decrease of 2.3% from the preceding month. The three municipalities closest to the benchmark on the lower side of the average were: Vancouver East at $1,037,100, an increase of 0.2% from the preceding month (Squamish is omitted here because it is too far out for my clients); Richmond at $1,033,100, a decrease of 2.3% from the preceding month; and Port Moody at $982,900, an increase of 0.1% from the preceding month.
Condominiums
The benchmark price for a condominium in Metro Vancouver at the end of January was $704,600, a decrease of 0.8% from the preceding month. The range of this average extended from $1,259,100 in West Vancouver to $457,800 on the Sunshine Coast. The three municipalities closest to the benchmark on the higher side of the average were: Burnaby East at $740,900, a decrease of 1.2% from the preceding month; Burnaby South at $766,400, an increase of 0.1% from the preceding month; and Vancouver West at $777,200, an increase of 0.7% from the preceding month. The three municipalities closest to the benchmark on the lower side of the average were: Burnaby North at $699,900, an increase of 0.1% from the preceding month; Port Moody at $695,100, a decrease 2.1% from preceding month; and Ladner at $685,300, an increase of 3.8% from the preceding month.
Let me help
There are many ways I can help you with your real estate transactions. Please let me know how I can help in these challenging times. You may need help in managing your home ownership plans, or in adjusting your financial strategy for a home purchase. Perhaps you are thinking of listing your home for sale and want to understand the market to set your asking price. Let me help. I have a post-graduate education in business along with years of experience in both banking and real estate. I am happy to help in any way I can. I want my clients to achieve their goals. Please don’t hesitate to call me.