Housing in Vancouver avoided a major correction like Toronto, but it may be running out of luck. Greater Vancouver Realtors (GVREB) data shows sales climbed in June, and inventory pulled back. Both moves are signs of tightening, but with prices slipping and inventory at some of the highest levels the month has seen, the market is far from ready to return to normal.
Vancouver Real Estate Prices Slip
The benchmark price of a typical home across Greater Vancouver.
Source: CREA; GVREB; Better Dwelling.
The price of a typical home slipped 0.2% (-$1.6k) to $1,099,100 in June, down 6.0% (-$70.3k) from last year and 12.3% (-$153.7k) from the 2022 record high. Summer buyers are being treated to the lowest June prices since 2021—half a decade ago. Greater Vancouver home prices resisted correcting to the same degree as Toronto, but they’re having a little trouble holding their ground now.
Vancouver Home Sales Rise, But 46% Lower Than Peak
Greater Vancouver existing home sales, June.
Source: CREA; GVREB; Better Dwelling.
There were 2,390 existing homes sold in June, 9.3% (+204) higher than last year. It marks the biggest June since 2023, but still 45.9% weaker than the record high achieved in 2016. Unlike most Canadian housing markets, Greater Vancouver home sales were in a correction that kicked off in 2017 with the foreign buyer tax. Aside from the initial low-rate boom in 2021, sales have been relatively tame since.
Fewer Vancouver Real Estate Sellers, But Still More Than Usual
Inventory also fell, helping to tighten the market. There were 5,940 new listings in June, 4.5% (-280) fewer than last year. It was a sharp drop, but from such high levels that this was still the second most new listings since 2008. That’s correct, last month’s decline is compared to the highest levels in nearly two decades.
Vancouver Inventory Slips, Remains Much Higher Than Normal
Greater Vancouver active listings, June.
Source: CREA; GVREB; Better Dwelling.
Fewer listings and more sales helped the relative demand firm. The sales-to-new-listings ratio (SNLR) climbed to 40% in June, the threshold between a balanced and buyer’s market—between prices holding the current level and falling. However, new sellers aren’t the only pressure this market faces.
An inventory wall has been hard to clear across the province. There were 17,017 active listings in June, 3.1% (-544) fewer than last year. It may be a slight dip from last year, but this level is still significantly higher than anything seen from 2015 through 2024. Even before factoring in the volume of new listings, there’s a whack of listings sitting on the market. That doesn’t even include new construction.
Greater Vancouver might have seen sales improve slightly, but not enough to change its course. The region saw a sharp drop in sales, but managed to avoid the severe price damage seen in Toronto. However, Greater Vancouver is notorious for its inventory scarcity. At the current elevated levels, there’s a lot of downward pressure that can materialize.
Surprised prices didn’t climb considering the government is demonstrating if we don’t buy homes at these levels, they’ll take our tax dollars and buy them anyway.
That’s why I’m back to looking for a place. If almost no price movement is enough that the government is going to start cranking out tax dollars, there’s almost zero chance prices can move much lower than here.
Who’s buying in Vancouver if its early-aged core workers are on the decline and leaving?