So the August 2018 Real Estate Numbers are out now, Today I am going to dive deep into what these numbers mean in the Greater Vancouver Market and highlight which area you should think about buying.
Hi I am Alex Lam from Royal Pacific Realty, and oh yeah this is Canadian content eh? If this is the first time you are here, and you are interested in all things real estate in the Vancouver area, be sure to hit that subscribe button and that little bell. I post new Videos every Tuesday and Friday.
Last month’s sales in August was 25.2 per cent below the 10-year Aug sales average. The market in general has fewer active buyers, we’re seeing less upward pressure on home prices across the region. This is especially in the detached home market. Demand in the townhome and condos are also down significantly from the years past.
Overall the residential active to sales ratio is at 16.3% which means that for every 100 properties forsale only 16 sell. Broken down by property type Detached homes across metro vancouver at are 9.2% active to sales, Condos are at 26.6% and townhomes are at 19.4%. Prices are usually start dropping when the active to sales ratio dips below 12 % mark for sustained periods of time.
Inventories in general have increased 24.5% percent over all property types compared to last year. That is a big increase in inventory. Broken down by property type we see detached homes with a inventory increase of 7%, Condos at 62% increase, and Townhomes with a 44% inventory increase.
Speaking to Most buyers and sellers, Sellers will only sell if they really need to, but most are pretty secure with their financial situation. And Buyers will only buy when the price is right. Some sellers will intentionally lower their price to look very attractive to get alot of viewings, but when a buyer writes an offer, they will not accept anything lower than asking price. This seems deceptive but it doesn’t break any rules. So lots of funny things are happening out there, so be careful.
Looking at the home price index across metro vancouver, detached homes are at a benchmark price $1,561,000 million which is a 2.8% decrease from last month. Condo benchmark is at $695,000 which is a 1.6% decrease in price since last month. And townhomes are at $846,000 with is a 0.8% decrease compared to last month.
So do I see a trend here? Which areas have dropped the most? The best thing to do is to look at 3 month price trends, this way you can firmly see a solid direction.
For detached homes, West Vancouver had the biggest price change over the last 3 months from a benchmark price of $2.8 million
million with a decrease of 6.2%, Followed by Squamish with benchmark price of 1 million with 5.7% decrease and North Burnaby with a benchmark price 1.5 million
also at 4.7% decrease.
For Condos the biggest price drop is again was West Vancouver with a benchmark price of 1.19 million at 7.1% decreases followed by Pitt Meadows with a benchmark price of $527,000
at 3.8% and Maple ridge $374,000 with a 3.1% decrease.
For Townhomes, Vancouver East had a benchmark price of $894,000 with a 3.4 % decrease over 3 months, followed by Port Coquitlam with a benchmark price of $667,000 with a 3.2% decrease followed by Vancouver West at 1.26 million with a 2.8% decrease.
So if I was a buyer I would look in those areas. The market is definitely changing and to the buyers advantage. Prices have dropped in most areas but not very much. Please view the description to download the full stats package. Its always a good idea to know whats going on with the market.
Question of the day, Would do you think the prices are heading the greater vancouver market? Up or Down? Answer in the comments below. I will make it an effort to personally respond to all the comments. If you are in the market to sell or buy I have linked up a playlist of helpful tips in the description below.
If you like this video please give it a thumbs up and subscribe. I will be posting new market update videos every Friday for different areas across metro vancouver, and educational real estate tips every Tuesday. This is Alex Lam from Vancouver and thanks for watching this video eh??