February’s Residential Housing Market at a Glance
Buying a home can take time. Time to consider the location, time to consider which home type, but most of all, time exploring the options available and finding the one that stands out the most for you.
For current buyers, there’s even more inventory to consider, a property pool that is continuing to inch upwards across Metro Vancouver*. Although residential options have risen, February’s home sales were down 33% on the 10-year February sales average.
Andrew Lis, Director of Economics and Data Analytics at the Real Estate Board of Greater Vancouver (REBGV) commented on recent activity by saying, “It’s hard to sell what you don’t have, and with new listing activity remaining among the lowest in recent history, sales are struggling to hit typical levels for this point in the year. On the plus side for prospective buyers, the below-average sales activity is allowing inventory to accumulate, which is keeping market conditions from straying too deeply into sellers’ market territory, particularly in the more affordably priced segments.”
The Market in More Detail
The REBGV reported 1,808 residential home sales across the region last month – 47.2% less than the 3,424 sales recorded back in February last year, but a 76.9% increase from earlier this year in January, which saw 1,022 homes find new owners.
Looking at newly listed properties for sale, 3,467 detached, attached and apartment properties were listed last month on the Multiple Listing Service® (MLS®) in Metro Vancouver. This took a 36.6% drop compared the 5,471 homes that were listed one year ago in February 2022, but 5.2% more than January just been, which saw 3,297 homes become listed.
When it comes to the total number of homes currently listed for sale on the MLS® system across the region, 7,868 were recorded last month – 16.7% more than we saw back in February 2022 (6,742). This was also 5.2% more than the 7,478 listings recorded this past January.
Lis went on to share that, “While we continue to expect home price trends to show year-over-year declines for a few more months, current data and market activity suggest pricing is firming up. In fact, some leading indicators suggest we may see modest price increases this spring, particularly if sales activity increases and mortgage rates hold steady.” Adding, “In the somewhat unusual market environment we find ourselves in right now with higher mortgage rates, fewer sales, and inventory that is inching higher but remains far from abundant, working with a Realtor® who understands your local market conditions and has experience navigating challenging markets is paramount.”
Sales-to-Active Listings Ratio and Composite Benchmark Price
For all property types, the sales-to-active listings ratio for February was 23%. By property type, that ratio came out as:
Detached homes: 16.8%
Generally, analysts say downward pressure on home prices occurs when the ratio dips below 12% for a sustained period, while home prices often experience upward pressure when it surpasses 20% over several months.
The MLS® Home Price Index composite benchmark price for all residential properties in Metro Vancouver is currently $1,123,400. This represents a 9.3% decrease over February 2022 and a 1.1% increase compared to January this year.
Metro Vancouver Home Sales by Property Type
Sales of detached homes last month reached 514, a 49.1% decrease from the 1,010 detached sales recorded in February last year. The benchmark price for detached properties is $1,813,100. This represents a 12% drop from February 2022 but a 0.7% increase compared to earlier this January.
Sales of apartment homes reached 928 in February, a 49.9% decrease compared to the 1,854 sales in February one year ago. The benchmark price of an apartment property is $732,200. This represents a 3% decrease from February last year and a 1.6% increase compared to this past January.
Attached home sales last month totalled 366, a 34.6% decrease compared to the 560 sales one year ago in February 2022. The benchmark price of an attached unit is $1,038,500. This represents a 6.3% dip from February 2022 but a 1.8% spike compared to January just been.
If you’re curious to know what listing your home in today’s market might look like, or are currently searching around for your new havn, our team of leading Realtors® are ready to help. Our team are locals – we live here, we work here and we play here, and there’s nothing better than getting to share this area we call home with you to come and experience also.
* Areas covered by the Real Estate Board of Greater Vancouver 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.