The kids are back to school and everyone is settling back into a routine – it’s the start of the Fall Market. August was slow – which is expected every year – so this recap will be about what happened in August and what I anticipate will happen this Fall.
There was another 25pt interest rate decrease in September, making that 75points this year. There is another announcement in October and December with experts expecting another 1-2 drops this year, some even saying a potential 50pt drop in October. Fixed rates have been dropping as well so there is a lot of positivity in the market. It can take a bit before these rate drops transfer to sales, but it’s good news for Buyers and homeowners. There are a number of Buyers who are likely going to wait until rates drop further to buy (both to increase their max mortgage potential or to decrease monthly payments). It’s worthwhile to considering buying now on a variable rate (if you can qualify for the property you want) and then switch to a fixed rate when rates seem to have settled. Speak with your mortgage broker about these options – this might help you avoid a busy future market.
August certainly slowed down, but this was expected as August is one of the slowest months in real estate (the other being around Christmas). It’s slow because everyone seems to be enjoying the weather, spending their weekends outdoors, at weddings or on vacation. A lot of Sellers pull their properties off the market this month with the intention to re-list in the Fall, so you will see a number of re-listed units, potentially with a price drop, along with a number of new listings. Don’t be afraid to submit a lot offer on listings, especially if the history shows that they’ve been on the market for awhile. A lot of Sellers haven’t received any offers but are hesitant to drop their price t=as they are expecting Buyers to negotiate. I find a lot of Buyers don’t want to negotiate (preferring to wait until it’s “deal worthy”), so it feels like we’re at an impasse.
I said this last month and I will say it again: I imagine Fall will be fairly busy with new listings and Buyers coming back to the table. This coming Spring 2025 should be when the market really opens up again with quite a few new Buyers looking to make a move thanks to lower rates and a typical busy Spring market. I bet a lot of these Buyers will be buying + selling so that will bring in a lot of new inventory and a lot of movement across the market.
Buyers – if you’re planning to make a move in the next year, it’s always a good time to start planning, learning, and looking. Speak with a mortgage broker to determine how to maximize your mortgage (maybe that’s paying down debt, borrowing money from family or waiting until you get that raise), speak with a realtor about what you need to know and get yourself set up on a search so you can start to see new listings and eventual sale prices. The more you know, the more successful you’ll be. Email me if you need a referral to a great mortgage broker and want to start learning about the market.
Here’s a snippet from the Real Estate Board’s Monthly Update:
“From a seasonal perspective, August is typically a slower month for sales than June or July. In this respect, this August has been no different,” Andrew Lis, GVR’s director of economics and data analytics said. “With that said, sales remain in a holding pattern, trending roughly 20 per cent below their 10-year seasonal average, which suggests buyers are still feeling the pinch of higher borrowing costs, despite two recent quarter percentage point reductions to the policy rate this summer.”
Sales of detached homes in August 2024 reached 509, a 13.9 per cent decrease from the 591 detached sales recorded in August 2023. The benchmark price for a detached home is $2,048,400. This represents a 1.8 per cent increase from August 2023 and a 0 per cent decrease compared to July 2024.
Sales of apartment homes reached 1,012 in August 2024, a 20.3 per cent decrease compared to the 1,270 sales in August 2023. The benchmark price of an apartment home is $768,200. This represents a 0.1 per cent decrease from August 2023 and a 0 per cent decrease compared to July 2024.
Attached home sales in August 2024 totalled 370, a 12.3 per cent decrease compared to the 422 sales in August 2023. The benchmark price of a townhouse is $1,119,300. This represents a 0.8 per cent increase from August 2023 and a 0.5 per cent decrease compared to July 2024.
Onto the stats:
Vancouver West Real Estate Stats up to and including August 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 August 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.
Happy September!