Greater Vancouver real estate took a while to notice the credit injection, but it’s making up the lost time. Real Estate Board of Greater Vancouver (REBGV) data shows home prices hit a record in November. The price of a typical home is now rising at the fastest annual rate since 2018.
A Typical Home In Vancouver Now Costs $1.2 Million
The price of a typical home in Greater Vancouver has been surging higher over the past year. The composite benchmark rose to $1,211,200 in November, up 1.0% ($12,000) from a month before. Compared to a year ago, home prices are now 16.0% ($167,000) higher. It’s a new all-time record for home prices in the region, and growth has been ramping up too.
Greater Vancouver Composite Benchmark Price
The price of a typical home across Greater Vancouver, in Canadian dollars.
Source: REBGV; Better Dwelling.
Vancouver Real Estate Prices Haven’t Grown This Fast Since 2018
The annual rate of growth has been accelerating over the past few months. The 16.0% seen in November is the highest reported since 2018. Detached housing might be getting all the attention, but its growth rate is still lower than a few months ago. Condo apartments are the real driver of this trend.
Greater Vancouver Composite Benchmark Price Change
The annual percent change of a typical home across Greater Vancouver.
Source: REBGV; Better Dwelling.
Is Vancouver Real Estate Overheating Or Just Playing Catch Up?
Greater Vancouver real estate made a sharp move over the past year, but the two years prior were boring. REBGV data shows home prices increased 17.2% ($177,800) over the past three years. More than 94% of the gains made in the past 3 years were seen in the past 12-months. Growth would seem pretty tame if averaged out over the whole 3 years.
Greater Vancouver real estate prices look like they’re mostly making up lost time. Prices escalated rapidly, but this follows a period of virtually no growth. Significant cuts to interest rates helped unlock more credit to help prices rise. The $1.2 million question is whether rising rates reverse any of the gains home prices made.
That line for detached homes looks completely ridiculous. The BOC thinks this isn’t a problem? What a joke.
LOL! All I could think about with all of these real estate ads. Bureaucrats in Ottawa who don’t know what the West looks like, just trying to assess its issues with models..
The city should upzone more houses. Turning a $1 million home into two $1.4 million homes has really helped with affordability in this trying time.
Heading for 3 mil average price.
Median income in Vancouver? $60,000
Totally affordable.