Welcome to the Vancouver Housing Market Update – 2018 Overview.
High home prices, rising interest rates and new mortgage requirements and taxes all contributed to the market conditions we saw in 2018.
The Real Estate Board of Greater Vancouver (REBGV) reports that sales of detached, attached
and apartment properties reached 24,619 on the MLS in 2018, a 31.6 per cent decrease from the sales recorded in 2017, and a 38.4 per cent decrease compared to the residential sales in 2016.
To put this into perspective, last year’s sales total was 25 per cent below the region’s 10-year sales average.
“This past year has been a transition period for the Metro Vancouver housing market away from the sellers’ market conditions we experienced in previous years,” Phil Moore, REBGV president said.
Home listings in Metro Vancouver saw a 1.9 per cent decrease compared to 2017 and a 6.9 per cent decrease compared to 2016.
“The supply of homes for sale will be an important indicator to follow in 2019. We’ve had
record building activity in recent years and many projects will complete soon. This will provide
additional housing options for home buyers across the region,” Moore said.
The benchmark price of detached homes in the region declined 7.8 per cent over the last 12
months and 7.3 per cent since June 2018.
The benchmark price for townhomes increased 1.3 per cent since December 2017 and have decreased 5.3 per cent over the last six months.
Apartments increased 0.6 per cent over the last 12 months and have declined 6.4 per cent since June 2018.
Looking at December 2018:
During December, there were 1,407 detached, attached and apartment homes newly listed for sale on MLS in Metro Vancouver – a 25.6 per cent decrease compared to the December 2017 and a 59.3 per cent decrease compared to November 2018.
For all property types, the sales-to-active listings ratio for December 2018 was 10.4 per cent. By
property type, the ratio is 7.1 per cent for detached homes, 12 per cent for townhomes, and 14.2 per cent for apartments.
Generally, analysts say that downward pressure on home prices occurs when the ratio dips below the 12 per cent mark for a sustained period, while home prices often experience upward pressure when it surpasses 20 per cent over several months.
Detached Homes in December 2018
Sales of detached homes in December 2018 reached 348, a 43.6 per cent decrease from the 617 detached sales recorded in December 2017.
The benchmark price for a detached home is $1,479,000. This represents a 7.8 per cent decrease from December 2017 and a 1.4 per cent decrease compared to November 2018.
Townhomes in December 2018
Attached home sales in December 2018 totaled 189, a 49.1 per cent decrease compared to the
371 sales in December 2017. The benchmark price of an attached home is $809,700. This
represents a 1.3 per cent increase from December 2017 and a 1.1 per cent decrease compared to November 2018
Apartments in December 2018
Sales of apartment homes reached 535 in December 2018, a 34 per cent decrease compared to
the 1,028 sales in December 2017. The benchmark price of an apartment home is now $664,100. This represents a 0.6 per cent increase from December 2017 and a 0.6 per cent decrease compared to November 2018.
Check back in early February for an update on the Vancouver housing market, and an in depth look at the facts and figures from January 2019.