REBGV Market Update For July 2023 – Low Housing Inventory Forcing Prices Up
The Real Estate Board of Greater Vancouver (REBGV) recently released it July 2023 report. Notable in this report was the fact home prices were still rising due to the low levels of housing inventory in the region.
In his monthly statement, Andrew Lis, REBGV director of economics and data analytics said,” While sales remain about 15 per cent below the ten-year average, they are also up 30 per cent year-over-year, which is not insignificant. Looking under the hood of these figures, it’s easy to see why sales are posting such a large year-over-year percentage increase. Last July marked the point where the Bank of Canada announced their ‘super-sized’ increase to the policy rate of one full per cent, catching buyers and sellers off guard, and putting a chill on market activity at that time.”
July sales were 15.6% below the 10 year July sales average. 2,455 residential properties were sold in July, which represented a 28.9% increase from the 1,904 sales recorded in July 2022.
– The number of detached properties sold was 681, a 28.7% increase from the 529 detached sales recorded in July 2022.
– The number of apartments sold was 1,281, a 20.7% increase compared to the 1,061 sales in July 2022.
– The number of attached properties sold was 466, a 53.3% increase compared to the 304 sales in July 2022.
There were 4,649 new listings of detached, attached and apartment properties added to the Multiple Listing Service (MLS®) in Metro Vancouver in July 2023.
This represented a 17% increase compared to the 3,975 homes listed in July 2022 and was 5.2% below the 10 year seasonal average of 4,902.
The total number of homes currently listed for sale on the MLS® system in Metro Vancouver was 10,301, a 4 % decrease compared to July 2022 (10,734), and 14.4% below the 10 year seasonal average of 12,039.
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 24.9%. When broken down by property types, the ratio was:
– 16.5 % for detached homes.
– 32 % for townhomes.
– 30.6 % for condominiums.
In July 2023, MLS Home Price index composite benchmark price for all residential properties in Metro Vancouver was $1,210,700, up 0.5% from July 2022 and up 0.6% from June 2023.
Sales of detached homes – 681. 28.7% increase from 529 in July 2022.
Sales of apartment homes – 1,281. 20.7% increase from 1,061 in July 2022.
Sales of attached homes – 466. 53.3% increase from July 2022.
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The real estate landscape in Vancouver is very fluid. 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 very dynamic market. Contact us by email or call us on 604 913 1000.