Greater Vancouver Real Estate Market Overview
There were 3,202 properties sold of all types in Greater Vancouver in July this year compared with 2,497 sold in June, 2,584 sales in July last year and 2,108 sold in July 2018. It was actually the seventh highest amount of sales for the month of July on record and the highest monthly sales amount since June 2017.
Total home sales in July were 14 per cent above the ten-year average for the month and July saw the continued increase in the number of sales, week by week since the pandemic took hold. Looking at the different types of homes, detached home sales were up 33 per cent year over year, townhouses up 28 per cent year over year, apartments up 12 per cent year over year. Buyers have shown more interest in real estate with space over the last few months, but that doesn’t necessarily mean condos aren’t getting interest. We are still seeing multiple offers with them, with even the higher end of the condo market starting to see sales occurring where they had been absent in the previous months.
It's difficult to know how Covid-19 will affect the future real estate market as there are so many unknowns. But currently, the low mortgage rates, pent up demand from the last two years and peoples desire to update their housing options, has created a robust market.
East Vancouver, North Vancouver, New Westminster, Coquitlam, Port Moody, Port Coquitlam, Pitt Meadows and Maple Ridge are all down to 3 month’s supply of active listings – Townhouses in Port Coquitlam are down to one-month supply
Richmond showed greater strength in the townhouse and condo market compared to the detached market with detached still in balanced to buyer’s market conditions while townhouses and condos have moved into seller’s market conditions
The number of detached homes available has declined by 28 percent compared to July last year, while townhouses and condos have declined 17 per cent and 15 per cent respectively
Vancouver’s Westside and Burnaby South had less sales in July this year compared to July last year – down 3 per cent and 25 per cent respectively which wasn’t consistent with all other areas
Average Weekly Listing and Sales Statistics for Greater Vancouver During Covid-19
- First two weeks of March – 253 new listings, 138 sales
- March 23 to 27 – 172 New Listings, 131 Sales
- March 30 to April 3 – 104 new listings, 62 sales
- April 6 to April 9 – 137 new listings, 58 sales
- April 14 to 17 – 131 new listings, 63 sales
- April 20 to 24 – 117 new listings, 48 sales
- April 27 to May 1 – 126 new listings, 48 sales
- May 4 to 8 – 168 new listings, 58 sales
- May 11 to 15 – 169 new listings, 69 sales
- May 19 to 22 – 243 new listings, 93 sales
- May 25 to 29 – 196 new listings, 90 sales
- June 1 to 5 - 271 new listings, 88 sales
- June 8 to 12 – 272 new listings, 107 sales
- June 15 to 19 – 274 new listings, 120 sales
- June 22 to 26 – 241 new listings, 129 sales
- June 29 to July 3 – 311 new listings, 133 sales
- July 6 to 10 – 302 new listings, 138 sales
- July 13 to 17 – 294 new listings, 146 sales
- July 20 to 24 – 258 new listings, 151 sales
- July 27 to 31 – 245 new listings, 154 sales
Fraser Valley MLS® HPI Benchmark Price Activity
- Single Family Detached: At $1,008,000, the Benchmark price for a single-family detached home in the Fraser Valley increased 1.4 per cent compared to June and, increased 5.3 per cent compared to July 2019.
- Townhomes: At $563,200, the Benchmark price for a townhome in the Fraser Valley increased 0.6 per cent compared to June and increased 3.3 per cent compared to July 2019.
- Apartments: At $437,300, the Benchmark price for apartments/condos in the Fraser Valley increased 0.5 per cent compared to June and increased 3.8 per cent compared to July 2019
Canadian Mortgage Rates have Fallen
Another factor influencing the market are the lower mortgage rates. On July 27, 2020, ThinkMortgages.com provided the following update:
High Ratio Mortgage (less than 20% downpayment) with 25 Year Amortization:
- 5 year fixed rate: 2.04%. Which translates into $426 a month per $100K borrowed
- 5 year closed variable rate: Prime -0.46 or 1.99%. Which translates into $423 a month per $100K borrowed
Conventional Mortgage (at least 20% downpayment) with 30 Year Amortization:
- 5 year fixed rate: 2.29%. Which translates into $387 a month per $100K borrowed
- 5 year closed variable rate: Prime -0.45 or 2.00%. Which translates into $370 a month per $100K borrowed
What Does This Mean To You?
For Greater Vancouver, the pent-up demand is not just from COVID but from almost three years of the market reacting to new taxes and restrictions on buyers. At some point activity would have increased and we saw that trend emerging just prior to COVID. Key points to consider are that interest rates are going to remain low in the years to come, real estate will be seen as a better long term investment vehicle and home owners are going to continue to look at the space they are living in and consider alternative locations or types of homes for the next phase of their life. That has been a theme over the last few months, and with the continued presence of COVID, we’ve likely seen just the start of homeowners making “COVID” moves. And when mobility increases within Canada and from outside, British Columbia and especially Metro Vancouver is going to be seen as a destination once again and likely more so than ever before. How we’ve fared thus far in COVID times has not gone unnoticed – especially from our neighbours to the south.
“We’re seeing the results today of pent up activity, from both home buyers and sellers, that had been accumulating in our market throughout the year,” Colette Gerber, REBGV Chair said, “Low interest rates and limited overall supply are also increasing competition across our market.”
Depending on what you're buying or selling, there are opportunities for both buyers and sellers in today's market.
But every neighbourhood and home is unique. So, as your real estate professionals, we're always here to help. We can fill you in on what’s happening in the local market, help you determine what kind of new home you are qualified to purchase, provide the current value of your home and provide a clear idea of the properties currently available.
You don’t have to try to figure things out on your own! We're here to help.
Even if you’re just at the “thinking about it” stage, we recommend getting the information you need now. That way, you’ll be prepared to make the best decision when you’re ready.
So, How Are We Conducting Our Business to Keep Everyone Safe?
As real estate is deemed an essential service by the government, we're able to continue to help clients buy and sell real estate during Covid-19.
As always, the safety of our clients, community and all those involved, is our top priority.
Therefore, we’ve implemented safety precautions, viewing guidelines and are working virtually and electronically as much as possible. Masks and social distancing are the new norms.
For sellers, we continue to create floor plans, videos, 3D virtual tours and high-end marketing for our listings. This is extremely important to buyers and sellers in these times. It allows buyers to preview the property from the safety of their home and determine if a private showing is warranted. Therefore, sellers will have less people viewing their home in person, but the ones who do, are more serious about their home.
Please feel free to contact us if you have any questions.
View Detailed Market Statistical Packages
To view all the details of the current Greater Vancouver, Fraser Valley, Vancouver West and Vancouver East real estate market statistics and graphs, just click the desired buttons below to open a detailed PDF report.