Attached and apartment homes are in demand across Metro Vancouver while detached home buyers are facing less competition today.
Sales: An Irrational Exuberance Condo Market
The Real Estate Board of Greater Vancouver (REBGV) reports that residential home sales in the region totalled 1,818 in January 2018, a 19.4% increase from the 1,523 sales recorded in January 2017, and a 9.8% decrease compared to December 2017 when 2,016 homes sold.
Last month’s sales were 7.1% above the 10-year January sales average. By property type, detached sales were down 24.8% from the 10-year January average, attached sales increased 14.3% and apartment sales were up 31.6% over the same period.
“Demand remains elevated and listings scarce in the attached and apartment markets across Metro Vancouver,” Jill Oudil, REBGV president said. “Buyers in the detached market are facing less competition and have much more selection to choose. For detached home sellers to be successful, it’s important to set prices that reflect today’s market trends.”
Home Listings: More Homes Listed ahead of Spring Market
There were 3,796 detached, attached and apartment properties newly listed for sale on the Multiple Listing Service® (MLS®) in Metro Vancouver in January 2018. This represents an 8.3% decrease compared to the 4,140 homes listed in January 2017 and a 100.7% increase compared to December 2017 when 1,891 homes were listed.
The total number of properties currently listed for sale on the MLS® system in Metro Vancouver is 6,947, a 4% decrease compared to January 2017 (7,238) and a 0.2% decrease compared to December 2017 (6,958).
For all property types, the sales-to-active listings ratio for January 2018 is 26.2%. By property type, the ratio is 11.6% for detached homes, 32.8% for townhomes, and 57.2% for condominiums.
Generally, analysts say that downward pressure on home prices occurs when the ratio dips below the 12% mark for a sustained period, while home prices often experience upward pressure when it surpasses 20% over several months.
Home Prices: Median Sales Price of Vancouver Condo Rise 27% Year-Over-Year in January
The MLS® Home Price Index composite benchmark price for all residential homes in Metro Vancouver is currently $1,056,500. This represents a 16.6% increase over January 2017 and a 0.6% increase compared to December 2017.
Detached home sales in January 2018 reached 487, a 9.7% increase from the 444 detached sales recorded in January 2017. The benchmark price for detached properties is $1,601,500. This represents an 8.3% increase from January 2017 and a 0.3% decrease compared to December 2017.
Apartment home sales reached 1,012 in January 2018, a 22.7% increase compared to the 825 sales in January 2017. The benchmark price of an apartment property is $665,400. This represents a 27.4% increase from January 2017 and a 1.5% increase compared to December 2017.
Attached home sales in January 2018 totalled 319, a 25.6% increase compared to the 254 sales in January 2017. The benchmark price of an attached unit is $803,700. This represents a 17.5% increase from January 2017 and unchanged compared to December 2017.
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Real Estate Board of Greater Vancouver, “Home buyer demand depends on property type”, accessed February 5, 2018, http://www.rebgv.org/monthly-reports?month=January&year=2018