Home sales well above seasonal average; new listings not keeping pace

Residential sales in Metro Vancouver at the end of November continued to run well above the seasonal average. As has been the case in recent months, demand continues to outstrip supply and the number of new listings is not keeping pace with demand. The total number of active listings across all property types in Metro Vancouver at the end of November was 7,144, a 35.7% decrease from the same period one year ago, and a decrease of 11.1% from October this year. This monthly decline translates in nearly 1,000 fewer homes for sale in November than in October. While there were close to 4,000 new homes listed last month, in itself close to the seasonal norm and only a small decrease of 2.6% for the same month last year, it is not a sufficient volume to ease the current upward pressure on prices in this high demand market. Affordability in the region has therefore become to primary challenge for many home buyers. Low interest rates are continuing to encourage buyers across all property types and the month-over-month benchmark price increases have been similar for each type. However, the ratio of sales to active listings has favoured townhouses with a ratio of 74.3%. Condominium sales have followed with a ratio of 53.7% and single family detached homes with ratio of 35.7%. The overall composite benchmark price for a residential property in Metro Vancouver at the end of November was $1,211,200, a 1.0% increase from the preceding month and a 21.3% increase over the same month one year ago.

In the selection of benchmark prices in each of the individual property types below, you will find a guide to current prices and their recent month-over-month change for different geographical areas in Metro Vancouver. I encourage you to examine these benchmark prices, which are average prices based on comparable homes in an area, and see what property type and area best matches your purchasing capacity. It’s important to note, however, that an average prices often has a wide range between its upper and lower bounds. Therefore, I have shown the highest and lowest price extremities for each benchmark average. The monthly price change is also noteworthy as it often reflects the current demand in a particular area. You may want to take note of the two highest monthly increases, both 1.8%, occurring for single family homes in Port Moody and Richmond. The much lower rates of increase of 0.4% in Landner and 0.6% for Burnaby South is also of interest. For townhouses, the one month price increase of 3.5% in North Vancouver is one of the biggest jumps in recent months, while condominiums in East Vancouver remained almost the same with a 0.3% increase. Please feel free to call me for if you would like a more detailed summary of any particular area. There are often some excellent buys that do not show up in the averages and I will be happy to assist you with any questions you may have for your home buying plans. And if you are considering listing, please let me know. I will be able to provide you with an optimal listing price in this dynamic market.

Detached homes

The benchmark price for a single-family detached home in Metro Vancouver at the end of November was $1,870,500, a 1.1% increase from the preceding month. The extremities of this average were Vancouver West (not West Vancouver) at $3,413,800 and Sunshine Coast at $863,700. The three municipalities closest to the benchmark on the higher side of the average were: Richmond at $1,981,400, an increase of 1.8% from the preceding month; Port Moody at $1,955,300, an increase of 0.8% from the preceding month; and North Vancouver at $1,950,600, no change from the preceding month. The three municipalities closest to the benchmark on the lower side of the average were: Burnaby South $1,827,800, an increase of 1.5% from the preceding month; Burnaby North at $1,769,000, an increase of 1.5% from the preceding month; and Vancouver East at $1,743,700, an increase of 1.8% from the preceding month.

Townhouses

 

The benchmark price for a townhouse in Metro Vancouver at the end of November was $990,300, an increase of 1.8% from the preceding month. The extremities of this average were Whistler at $1,382,100 and Sunshine Coast at $658,400. The three municipalities closest to the benchmark on the higher side of the average were: Vancouver East at $1,070,700 an increase of 1.8% from the preceding month; North Vancouver at $1,216,900, an increase of 3.5% from the preceding month; and Vancouver West (not West Vancouver) at $1,296,900, a decrease of 0.3% from the preceding month. The three municipalities closest to the benchmark on the lower side of the average were: Richmond at $870,100, an increase of 0.9% from the preceding month; Coquitlam at $607,00, an increase of 0.6% from the preceding month; and New Westminster at $870,300, an increase of 0.7% 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 November was $752,800, an increase of 0.9% the from the preceding month. The extremities of this average were West Vancouver at $1,116,700 and Maple Ridge at $461,800. Only two municipalities were closest to the benchmark on the higher side of the average: Vancouver West at $835,200, an increase of 1.5% from the preceding month; and West Vancouver at $1,116,700, a decrease of 0.7% from the preceding month. The three municipalities closest to the benchmark on the lower side of the average were: Burnaby East at $742,400, an increase of 0.3% from the preceding month; Port Moody at $741,200, an increase of 1.1% from the preceding month; and Burnaby North at $738,300, an increase of 0.7% from the preceding month.

 

Let me help

In addition to my real estate activity, I also bring extensive experience in banking and finance. I will be happy to share my expertise with you to help in your mortgage planning, or to determine the optimal pricing for your property. And for those who are thinking of adding value to their home with renovations, I can recommend reliable tradespeople who provide quality work at reasonable rates.  Please don’t hesitate to ask. It gives me great pleasure to help my clients.