Welcome to the May update everyone – happy to be hear now that the sun is shining and the air is warm. We just had an interest rate announcement this week that announced static rates. I’m still expecting 1 to 2 rate drops this year, likely one in July and then another in the Fall, but the Bank of Canada is not making any rash decisions.
The market has remained busy, though some neighbourhoods are a strong Seller’s Market and others I would consider a balanced market. We’re seeing a variety of pricing strategies: some units are priced low and will get quite a few offers, some units are priced high and will sit on the market, some Seller’s are dropping their price and some are increasing their price if they’re not happy with the offers they receive! I’m seeing a lot of vacant units and tenanted units for sale and those Sellers aren’t always as motivated as people who are selling their personal residence. One piece of advice for this market – just because a unit has an “offer date” doesn’t mean they’ll get multiple offers! I’ve seen a lot of unique get either 0 or 1 offer on their offer date, and I’ve had a lot of clients send in lower offers because we felt the unit was priced too high. So don’t let the threat of competition scare you off if you really like a unit. I’ve also had a lot of success with clients who have negotiated a unit we felt was priced high. Most Buyers don’t like offering on units that feel over priced, and you’d be surprised at home much some Sellers are willing to negotiate if you try. So don’t be afraid to throw in a low offer – the worst that can happen is the Seller says no.
Overall inventory has been increasing, and is higher than it was last year, but it doesn’t feel like there’s much good inventory. I have clients who are very keen to purchase a nice townhouse or house but it seems like good listings are few and far between. There are only a 5-6 more weeks before the market starts to slow down for summer, so if you’re looking to move into something before Fall, start seriously looking at what’s available, including units that are priced high.
Here’s a snippet from the Real Estate Board’s Monthly Update:
The total number of properties currently listed for sale on the MLS® system in Metro Vancouver is 12,491, a 42.1 per cent increase compared to April 2023 (8,790). This is 16.7 per cent above the 10-year seasonal average (10,704).
Across all detached, attached and apartment property types, the sales-to-active listings ratio for April 2024 is 23.5 per cent. By property type, the ratio is 17.6 per cent for detached homes, 31.0 per cent for attached, and 26.0 per cent for apartments. These ratios suggests that we’ll see upward pressure on prices.
“Another surprising story in the April data is the fact prices continue climbing across most segments with recent increases typically in the range of one to two per cent month-over-month,” Lis said. “The one segment that didn’t see an uptick in prices in April were apartments, which saw a 0.1 per cent decline month-over-month. This moderation is likely due to a confluence of factors impacting this more affordability sensitive segment of the market, particularly the impact of higher mortgage rates and the recent boost to inventory levels, tempering competition somewhat.”
The MLS® Home Price Index composite benchmark price for all residential properties in Metro Vancouver is currently $1,205,800. This represents a 2.8 per cent increase over April 2023 and a 0.8 per cent increase compared to March 2024.
Onto the stats:
Vancouver West Real Estate Stats up to and including April 2024
HPI Price for Vancouver West
*Unfortunately HPI Price can’t be any more specific than Condo/Townhouse/House*
Average Sales Price for Vancouver West
Median Percentage of Original Price for Vancouver West
New Listings for Vancouver West
Total Inventory for Vancouver West
Total Sales for Vancouver West
Sales to Active Ratio for Vancouver West
Median Days on Market for Vancouver West
East Vancouver Real Estate Stats up to and including April 2024
HPI Price for East Vancouver
*Unfortunately HPI Price can’t be any more specific than Condo/Townhouse/House*
Average Sales Price for East Vancouver
Median Percentage of Original Price for East Vancouver
New Listings for East Vancouver
Total Inventory for East Vancouver
Total Sales for East Vancouver
Sales to Active Ratio for East Vancouver
Median Days on Market for East Vancouver
As always, if you have questions on a particular kind of property or neighbourhood, get in touch with me!
And if you’re thinking about selling your property, give me a call to chat about value, pricing strategy and the sale process. There are plenty of details to chat about – including timing, value, staging and your potential purchase – so don’t hesitate to contact me if you’d like to get started kristi@realestatevancity.ca or 778-387-7371. The better you understand your current value and what Buyers may be looking for, the more successful your sale.
The mortgage world is changing constantly these days – fixed rates (which are based on bond yields) are changing all the time and variable rates (based on the Bank of Canada prime rate) are static right now and expected to lower at some point later this year. Make sure you have a pre-approval set so that your mortgage broker can keep you updated on the best possible rates and can work quickly if the property you want ends up in a competitive situation. There are a lot of details to consider when it comes to a mortgage, especially if you’re buying and selling, so you need a broker who can guide you to the right option. Email me if you need a referral to a great mortgage broker.
Have a great Spring!