Vancouver

Greater Vancouver Real Estate Prices Stop Falling, As Sales Jump

Greater Vancouver real estate market is seeing a big return from buyers. Real Estate Board of Greater Vancouver (REBGV) numbers show sales surged in November. Higher sales were accompanied by less inventory, helping to bring prices up for a second month. Despite the 2 months of rising, annual price growth remains negative. Although the gap between last year’s prices is narrowing.

Greater Vancouver Real Estate Prices Are Down Over 4%

Greater Vancouver real estate prices are still below last year. REBGV’s composite benchmark reached $993,700 in November, down 4.6% from last year. In the City of Vancouver, Vancouver East’s benchmark hit $1,044,000, down 4.5% from last year. In pricey Vancouver West, the it hit $1,224,700 – down 5.3% from last year. All of these numbers are lower than last year, but losses are shrinking.

Greater Vancouver Composite Benchmark Price

The price of a typical home across Greater Vancouver, in Canadian dollars.

Source: REBGV, Better Dwelling.

Composite prices are seeing smaller losses, and have stopped falling – for now, at least. The annual rate of growth is still negative, but the gap between last year’s numbers is closing. There’s only been two consecutive months of climbing, so it’s too early to tell if the trend bottomed. However, it’s worth watching this one closely since Toronto just pulled a 180.

Greater Vancouver Composite Benchmark Price Change

The annual percent change of a typical home across Greater Vancouver.

Source: REBGV, Better Dwelling.

Greater Vancouver Real Estate Sales Rise Over 55%

Greater Vancouver real estate sales recovered, and are back above normal. REBGV reported 2,498 sales in November, down 12.6% from the month before. This represents an increase of 55.3% from the same month last year. It seems ridiculously high, but you have to remember last year was a multi-year low for sales volumes. This past November is just 4% above the 10-year average volume for the month. Sales volumes are above average, but not by a very large number like the headline.

Greater Vancouver Composite Sales Vs. Listings

The number of homes sold vs total inventory in Greater Vancouver.

Source: REBGV, Better Dwelling.

Greater Vancouver Real Estate Inventory Falls Over 12%

Owners are less enthused about selling right now. There were just 2,987 new listings in November, down 26.7% from the month before. This represents a decline of 13.7% from the same month last year. Fewer new listings and a higher number of sales predictably took out a lot of the total inventory.

Active listings in Greater Vancouver made a pretty big drop last month. REBGV reported 10,770 active listings in November, down 12% from the month before. This represents a decline of 12.5%, when compared to last year. The number is lower than last November, but still higher than the period in 2015 to 2017 – when prices made a big climb.

The numbers last month weren’t good or bad – they were very middle of the road. Which is an improvement from prices dropping for a year. Losses are getting smaller, as inventory falls and sales rise. The good news is demand isn’t nearly as tight as it was when prices went parabolic.

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8 Comments

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  • Reply
    Mica 2 weeks ago

    Can’t trust REBGV numbers. If sales were picking up at the price point people wanted, there wouldn’t be so many power of sales.

    • Reply
      Jason Chau 2 weeks ago

      Do you have any reason to not believe REBGV’s numbers, or is this a conspiracy-type thing?

  • Reply
    Jason Chau 2 weeks ago

    How much of this demand is the “pull-forward” that you mentioned on your other post? Looks like the numbers would still average out lower or by weight.

  • Reply
    straw walker 2 weeks ago

    If you wish to look at the real closing price..not averaged or seasonally adjusted.
    “Open House transparency” Gives the list and sale price and the assessed values of every sale..
    With the exception of North Vancouver, almost all sales prices are below assessed .
    Asking price is almost a moot point ..does not matter.
    Most of these sales are forced sales..and have little choice.. their mortgages are under water, and they have negative cash flow.. so these sales are much more committed to sell.

  • Reply
    george 2 weeks ago

    Sales may be up also towards the end of this year due end early next due to dirty money still allowed in this province unscrutinized. Next year by spring the local government will implement more regulation as discussed in this article.

    https://business.financialpost.com/real-estate/crackdown-on-dirty-money-in-vancouver-real-estate-continues-with-creation-of-new-watchdog

  • Reply
    Asterix1 1 week ago

    If Satan needed an accountant. The people playing with the numbers at TREB and REBGV would do a fine job!

  • Reply
    straw walker 1 week ago

    My question who is buying?
    40% of Metro Vancouver rent, and that’s just the disclosed numbers.
    70% o Metro Vancouver’s household incomes are below $85,000 of reported income.
    So who are buying??
    Sounds like either banks are being lied too or just filling in the blanks..

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