REBGV Market Update For July 2021 – Lower Housing Supply Continues To Be A Challenge.
According to the July 2021 market report released by the Real Estate Board of Greater Vancouver (REBGV), Metro Vancouver home sales were down slightly, while pricing remained steady.
“Moderation was the name of the game in July. Home sales and listings fell in line with typical seasonal patterns as summer got going in earnest in July. On top of moderating market activity, price growth has leveled off in most areas and home types.” This was part of a statement released by Keith Stewart, REBGV economist.
He added, “Low housing supply remains a fundamental factor in Metro Vancouver’s housing market. Home sales remain above average and we’re starting to see price increases relent as well. Going forward, the supply of homes for sale will be among the most critical factors to watch. This will determine the next direction for house price trends.”
July sales were 13.3% above the 10-year July sales average.
3,326 residential properties were sold in July, which represented a 6.3% increase from the 3,128 sales recorded in July 2020 and a 11.6% decrease compared to June 2021 when 3,762 homes were sold.
– The number of detached properties sold was 1,050 a 6.3% decrease from the 1,121 detached sales recorded in July 2020.
– The number of apartments sold was 1,666 a 19% increase compared to the 1,400 sales in July 2020.
– The number of attached properties sold was 610, a 0.5% increase compared to the 607 sales in July 2020.
There were 4,377 new listings of detached, attached and apartment properties added to the Multiple Listing Service (MLS®) in Metro Vancouver.
This represents a 26.4% decrease compared to the 5,948 homes listed in July 2020 and a 25.2% decrease compared to June 2021 when 5,849 homes were listed.
The total number of homes currently listed for sale on the MLS® system in Metro Vancouver is 9,850, an 18.5 % decrease compared to July 2020 (12,083) and a 9.1% decrease compared to June 2021 (10,839).
This is a good indication of the supply and demand forces in the market. Downward pressure on home prices can occur when the ratio dips below 12% for a sustained period, and home prices can experience upward pressure when the ratio is above 20% for sustained periods.
For all property types, the ratio in July was 33.8%. When broken down by property types, the ratio was:
5% for detached homes.
8% for townhomes.
3% for condominiums.
In July 2021, the MLS Home Price index composite benchmark price for all residential properties in Metro Vancouver was $1,175,500. This represented a 13.8% increase from July 2020 and is unchanged from June 2021.
The benchmark price for a detached home across the region in July was $1,801,100, up 21% from July 2020 and is unchanged from June 2021.
The benchmark price of an apartment in the region was $736,900. That’s up 8.8% from July last year, and down 0.1% from June this year.
The benchmark price of an attached home in the region was $949,400. That’s up 16.7% from July last year, and up 0.3% from June this year.
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The real estate landscape in Vancouver is challenging. If you are buying or selling a home, you need to get in touch with an experienced real estate company such as ours to navigate this transitional market. Contact us by email or call us on 604 913 1000.