For the second straight month, home buyer demand in Metro Vancouver* moved off of the record-breaking pace seen earlier this year and returned to more typical levels.
The Real Estate Board of Greater Vancouver (REBGV) reports that residential property sales in Metro Vancouver:
Totalled 2,489 in August 2016, ↓ 26% compared to the 3,362 sales in August 2015
10.2% ↓ than the 2,771 sales in August 2014
and 1% ↓ than the 2,514 sales in August 2013
August 2016 sales also represent a 22.8% ↓ compared to last month’s sales.
From a historical perspective, last month’s sales were 3.5 % below the 10-year sales average for the month.
“The record-breaking sales we saw earlier this year were replaced by more historically normal activity throughout July and August,” Dan Morrison, REBGV president said. “Sales have been trending downward in Metro Vancouver for a few months. The new foreign buyer tax appears to have added to this trend by reducing foreign buyer activity and causing some uncertainty amongst local home buyers and sellers.
“It’ll take some months before we can really understand the impact of the new tax. We’ll be interested to see the government’s next round of foreign buyer data.”
New listings for detached, attached and apartment properties in Metro Vancouver:
Totalled 4,293 in August 2016.
an ↑ of 0.3% compared to the 4,281 units listed in August 2015
18.1 % ↓ compared to July 2016 when 5,241 properties were listed.
The total number of properties currently listed for sale on the MLS® in Metro Vancouver:
8,506, 21.9% ↓ compared to August 2015 (10,897) and 1.9% ↑ from July 2016 (8,351).
The sales-to-active-listings ratio for August 2016:
29.3%. This is indicative of a seller’s market.
Generally, analysts say that downward pressure on home prices occurs when the ratio dips below the 12% mark, while home prices often experience upward pressure when it reaches the 20 to 22.5% range in a particular community for a sustained period.
The MLS® Home Price Index composite benchmark price for all residential properties in Metro Vancouver:
$933,100. This represents a 31.4% ↑ compared to August 2015 and a 4.9 %↑ over the last three months.
Sales of detached properties in August 2016:
715, ↓ 44.6% from the 1,290 detached sales recorded in August 2015.
The benchmark price for detached properties:
↑ 35.8 % from August 2015 to $1,577,300. This represents a 4.2% ↑ over the last three months.
Sales of apartment properties:
1,343 in August 2016, a ↓ of 10.1% compared to the 1,494 sales in August 2015.
The benchmark price of an apartment property:
↑ 26.9% from August 2015 to $514,300. This represents a 6.1% ↑ over the last three months.
Attached property sales in August 2016:
431, ↓ 25.4%compared to the 578 sales in August 2015.
The benchmark price of an attached home:
↑ 31.1% from August 2015 to $677,600. This represents a 7.1% ↑ over the last three months.