Greater Vancouver Real Estate Market Overview
There were 3,181 properties sold of all types in Greater Vancouver in November this year compared with 3,787 sold last month, 2,546 sales in November last year and 1,633 sold in November 2018. It was the fifth highest amount of sales for the month of November on record in Greater Vancouver, and the highest for the month since 2015 at 3,603.
Total sales for 2020 have already exceeded the total number of sales in 2018 and 2019 with December still to come. Instances of multiple offers are still occurring at a rate we’ve not seen in the last few years in Metro Vancouver, with some reports showing that a quarter of transactions are selling at list price or above. While more so in detached homes and townhouses, there is still activity in the apartment market that has created competition.
While downtown Vancouver has seen less activity in comparison, there are still quite a number of transactions occurring. Inventory of apartments for sale has increased from extreme seller’s market conditions in 2017, and yet the total is still much less than the number of listings on market in 2011 and 2012. As we move into 2021 and the potential for some relief from the pandemic comes, the push away from high rise apartments should relax. When immigration opens up again and service sector jobs return, demand for apartments will increase with it – both to purchase and rent.
Average Weekly Listing and Sales Statistics for Greater Vancouver During Covid-19
- First two weeks of March – 253 new listings, 138 sales
- Last two weeks of March – 167 New Listings, 98 Sales
- April – 120 new listings, 56 sales
- May – 189 new listings, 75 sales
- June – 274 new listings, 115 sales
- July – 274 new listings, 147 sales
- August - 299 new listings, 157 sales
- September – 313 new listings, 176 sales
- October – 272 new listings, 182 sales
- November 2 to 6 – 236 new listings, 151 sales
- November 9 to 13 – 253 new listings, 188 sales
- November 16 to 20 – 191 new listings, 155 sales
- November 23 to 27 – 166 new listings, 149 sales
Fraser Valley MLS® HPI Benchmark Price Activity
- Single Family Detached: At $1,061,500 the Benchmark price for a single‐family detached home in the Fraser Valley increased 1.4 per cent compared to October and, increased 11.5 per cent compared to November 2019.
- Townhomes: At $570,100, the Benchmark price for a townhome in the Fraser Valley increased 0.2 per cent compared to October and increased 5.8 per cent compared to November 2019.
- Apartments: At $435,900, the Benchmark price for apartments/condos in the Fraser Valley increased by 0.3 per cent compared to October and increased 4.6 per cent compared to November 2019.
Canadian Mortgage Rates have Fallen
Another factor influencing the market are the low mortgage rates. On December 14, 2020, ThinkMortgages.com provided the following update:
High Ratio Mortgage (less than 20% downpayment) with 25 Year Amortization:
- 5 year fixed rate: 1.69%. Which translates into $409 a month per $100K borrowed
- 5 year closed variable rate: 1.6%. Which translates into $405 a month per $100K borrowed
Conventional Mortgage (at least 20% downpayment) with 30 Year Amortization:
- 5 year fixed rate: 1.99%. Which translates into $369 a month per $100K borrowed
- 5 year closed variable rate: 1.85%. Which translates into $362 a month per $100K borrowed
Market Insights for the Future
The number of new listings coming to market continued to decline in November with total active listings declining as well. Even though the number of new listings in November were 21 per cent above the 10-year average for the month, the total number of active listings at the end of November dropped to 11,716 from 13,066 at the end of October. While slightly above last year’s number of active listings which were 11,517 at the end of November 2019, with buyer demand continuing at the level we’ve seen in the second half of 2020, there will be less than 10,000 total active listings at the end of the year.
While December is typically a time to hold off listing a home for sale, this year is a much different year, opportunity exists for those in need of making a move. And with more and more consumer activity happening on line, there will be more eyes shifting to real estate websites after visits to Amazon and other online shopping sites. With one month left in 2020, it’s become clear that despite a pandemic, the real estate market has been driven by real demand and created a shortage of resale homes to be available for buyers to choose from. The month’s supply of listings since June have been the lowest in over two years for detached and townhouse type properties.
While the number of apartments has gone up in Vancouver’s West Side, there has been a clear shift towards buying further out in Greater Vancouver. Looking at areas such as Coquitlam, Coquitlam, Pitt Meadows, Maple Ridge and Lander, there 2 month’s supply of homes available. In Ladner, at the peak in June 2018 there were 131 houses available for sale, there are now 58; and for townhouses in Ladner, there were 46 available for sale in May 2019 and there are now 13. In Port Coquitlam in August 2018 there were 159 houses available for sale, there are now 53 and for townhouses there were 102 available in April 2019 and there are now only 26 on the market.
“Home buyer demand has been at near record levels in our region since the summer,” Colette Gerber, REBGV Chair said, “This is putting upward pressure on home prices, particularly in our detached and townhome markets. The supply of homes for sale are a critical factor in understanding home price trends. The total number of homes for sale in Metro Vancouver is lagging behind the pace of demand right now. This trend favours home sellers in today’s market.”
What Does This Mean To You?
Depending on what you're buying or selling, there are many opportunities for both buyers and sellers in today's market.
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 your local market, help you determine what type of homes you can purchase, provide the current value of your existing 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.