Metro Vancouver’s housing market is experiencing a decline in homes listed for sale. While home buyers have remained active throughout the year, summer is seeing a steady decline in the supply of homes for sale since June.
The Real Estate Board of Greater Vancouver (REBGV) reports that residential home sales in the region totaled 3,152 in August 2021, a 3.4% increase from the 3,047 sales recorded last year, and a 5.2% decrease from the 3,326 homes sold last month.
Areas covered by the REBGV include Burnaby, Coquitlam, Maple Ridge, New Westminster, North Vancouver, Pitt Meadows, Port Coquitlam, Port Moody, Richmond, South Delta, Squamish, Sunshine Coast, Vancouver, West Vancouver, and Whistler. Last month’s sales were 20.4% above the 10-year August sales average.
“August was busier than expected, and listings activity isn’t keeping up with the pace of demand,” noted Keith Stewart, REBGV economist. “This is leaving the market under-supplied. When assessing the market, it’s important to understand that while year-over-year price increases have reached double digits, most of the increases happened three or more months ago. To better understand the latest home price trends in your preferred location and home type, talk with your local REALTOR®.”
August’s Housing Market At A Glance
There were 4,032 detached, attached, and apartment properties newly listed for sale on the Multiple Listing Service® (MLS®) in Metro Vancouver in August 2021. This shows a 30.6% decrease compared to the 5,813 homes listed last year. Compared to last month, there is a 7.9% decrease as well.
“Housing supply is the biggest factor impacting the market right now. To help relieve pressure on prices and improve people’s home buying options, the market needs a more abundant supply of homes for sale.” Stewart said. “Housing affordability has been a key issue in the federal election. We encourage the political parties to focus on policy solutions that will help streamline the creation of more diverse housing options for hopeful home buyers today and into the future.”
The total number of homes currently listed for sale on the MLS® system in Metro Vancouver is 9,005, an 29.7% decrease compared to last year’s numbers, and further still, an 8.6% decrease compared to last month.
August’s Sales-to-Active-Listings Ratio and Composite Benchmark Price
For all property types, the sales-to-active listings ratio for July 2021 is 35%. The breakdown is as follows:
Detached homes – 25.3%
Townhomes – 51.8%
Apartments – 39.2%
Analysts expect home prices to dip when the ratio falls below 12% for a sustained period. Home prices often rise when the sales-to-active-listings ratio goes above 20% over several months.
The MLS® Home Price Index composite benchmark price for all residential properties in Metro Vancouver is currently $1,176,600. This represents a 13.2% increase over August 2020 and shows a 0.1% increase compared to last month.
Metro Vancouver Home Sales by Property Type
Detached homes sales in August 2021 reached 945, a 13.7% decrease from last year’s 1,095 home sales. The benchmark price for a detached home is $1,807,100. This represents a 20.4% increase from last year and a 0.3% increase compared to last month.
Attached home sales in June 2021 totaled 576, a 7.1% increase compared to the sales in August 2020. The benchmark price of an attached home is $952,600. This represents a 16.5% increase from August 2020 and a 0.3% increase compared to last month.
Apartment home sales reached 1,631 in June 2021, a 22.4% increase compared to last year. The benchmark price of an apartment home is $735,100. This represents a 7.6% increase from last year and a 0.2% decrease compared to last month.
Looking For Your Havn?
If you’re ready to buy (or sell), talk to an expert Stilhavn REALTOR for guidance. From Metro Vancouver to the Sea to Sky, a trusted Stilhavn REALTOR® can help you find your havn.