Hi Everyone! I hope you’re settling into Fall. The real estate market has settled into it’s groove and it’s turns out that groove is a bit of a standstill.
It felt like last Fall was the bottom of the market, but this Fall feels like a slower market, and for a few potential reasons:
- Inventory increased after August (this was expected, because inventory always declines in August) but it doesn’t feel like there is a *ton* of good inventory, so I understand if there are some potential Buyers out there who aren’t super excited right now. The numbers indicate that inventory is high and
- A lot of properties for sale right now are tenanted or vacant and just don’t show very well. These landlord Sellers either aren’t able to or haven’t put enough effort into ensuring the property shows well.
- A lot of Sellers are pricing their property with room to negotiate, but Buyers are always hesitant to negotiate! Buyers are there and ready to buy if a property is priced sharp, but they aren’t willing to submit low offers to see how motivated a Seller may be, so a lot of proeprties are sitting on the market.
- Having said that, a lot of Sellers are not super motivated. Many desire a price much higher than today’s market value. Many of these Sellers don’t need to sell – whether it’s because they can rent the unit or continue living in it, they are willing to wait until the market picks up.
- Many Buyers are waiting until rates drop further because they will literally be able to afford more, and they can lock in a lower rate. Will this create a busy Spring market? I bet it will, but at that point we will likely have a decent amount of inventory to satisfy the demand.
I think we’ll see the market continue chugging along through October and November, slowing down again in December.
Here’s a snippet from the Real Estate Board’s Monthly Update:
“Real estate watchers have been monitoring the data for signs of renewed strength in demand in response to recent mortgage rate reductions, but the September figures don’t offer the signal that many are watching for,” Andrew Lis, GVR’s director of economics and data analytics said. “Sales continue trending roughly 25 per cent below the ten-year seasonal average in the region, which, believe it or not, is a trend that has been in place for a few years now. With the September data, sales are now tracking slightly below our forecast however, but we remain optimistic sales will still end 2024 higher than 2023.”
“With some buyers choosing to stay on the sidelines, inventory levels have sustained the healthy gains achieved over the course of this year, providing much more selection to anyone searching for a home,” Lis said.
With all this choice available, prices have trended sideways for the past few months. The September figures, however, are now showing modest declines across all segments on a month over month basis. This downward pressure on prices is a result of sales not keeping pace with the number of newly listed properties coming to market, which has now put the overall market on the cusp of a buyers’ market. With two more policy rate decisions to go this year, and all signs pointing to further reductions, it’s not inconceivable that demand may still pick up later this fall should buyers step off the sidelines.”
Onto the stats:
Vancouver West Real Estate Stats up to and including September 2024
There was a spike in new listings this month and an increase in overall inventory. Although inventory is currently high, it has been building towards that all year, whic explains why it doesn’t feel (to me) like there is a high amount of inventory out there. Prices remained level and the sales to active ratio indicates a buyers market for houses and 2 bed condos and a balanced market otherwise.
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 September 2024
The Eastside is quite a bit busier than the Westside. It’s a Buyers market for houses (though good houses still sell quickly) but a balanced market for townhouses and condos. Inventory is at a reasonable level compared to previous years wand the days on market decreased from August which supports my call that good properties still sell quickly. The price of townhouses dropped the most and I would lay blame on the decline in duplex pricing.
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.