VANCOUVER, BC – September 5, 2017 – Competition for condominiums and townhomes pushed Metro Vancouver* home sales above typical levels in August.
The Real Estate Board of Greater Vancouver (REBGV) reports that residential property sales in the region totalled 3,043 in August 2017, a 22.3 percent increase from the 2,489 sales recorded in August 2016, and a 2.8 percent increase compared to July 2017 when 2,960 homes sold.
Last month’s sales were 19.6 percent above the 10-year August sales average.
“First-time home buyers have led a surge this summer in demand in our condominium and townhome markets,” Jill Oudil, REBGV president said. “Homes priced between $350,000 and $750,000 have been subject to intense competition and multiple offers across the region.”
There were 4,245 detached, attached and apartment properties newly listed for sale on the Multiple Listing Service® (MLS®) in Metro Vancouver in August 2017. This represents a 1.1 percent decrease compared to the 4,293 homes listed in August 2016 and a 19.2 percent decrease compared to July 2017 when 5,256 homes were listed.
The total number of properties currently listed for sale on the MLS® system in Metro Vancouver is 8,807, a 3.5 percent increase compared to August 2016 (8,506) and a 4.2 percent decrease compared to July 2017 (9,194).
For all property types, the sales-to-active listings ratio for August 2017 is 34.6 percent. By property type, the ratio is 16.3 percent for detached homes, 44.8 percent for townhomes, and 76.3 percent for condominiums.
Generally, analysts say that downward pressure on home prices occurs when the ratio dips below 12 percent for a sustained period, while home prices often experience upward pressure when it surpasses 20 percent over several months.
“Conditions in our detached home market are distinct today from the dynamic in our condominium and townhome markets," Oudil said. "Detached homes have entered a balanced market. This means there's less upward pressure on prices and that buyers have more selection to choose from and more time to make their decisions."
The MLS® Home Price Index composite benchmark price for all residential properties in Metro Vancouver is currently $1,029,700. This represents a 9.4 percent increase over August 2016 and a one percent increase compared to July 2017.
Sales of detached properties in August 2017 reached 901, a 26 percent increase from the 715 detached sales recorded in August 2016. The benchmark price for detached properties is $1,615,100. This represents a 2.2 percent increase from August 2016 and a 0.2 percent increase compared to July 2017.
Sales of apartment properties reached 1,613 in August 2017, a 20.1 percent increase compared to the 1,343 sales in August 2016. The benchmark price of an apartment property is $626,800. This represents a 19.4 percent increase from August 2016 and a 1.7 percent increase compared to July 2017.
Attached property sales in August 2017 totalled 529, a 22.7 percent increase compared to the 431 sales in August 2016. The benchmark price of an attached unit is $778,300. This represents a 12.8 percent increase from August 2016 and a 1.9 percent increase compared to July 2017.