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Greater Vancouver Real Estate Statistics – July 2013

With so much sunshine in July, you would be forgiven for thinking that everyone would just be tanning on the beach, or away on vacation, alas no! People were purchasing real estate!

During the month of July 2013 – residential sales on the Greater Vancouver MLS reached 2,946. When we compare to the same month last year we see a 40.4% increase compared to the 2,098 sales recorded during July 2012. Compared to June 2013 we see an 11.5% increase from the 2,642 sales in June 2013!

“Demand has strengthened in our market in the last few months, which can, in part, be attributed to pent-up demand from the slowdown in sales activity we saw at the end of last year,” Sandra Wyant, REBGV president said.

During the month, we saw 4,854 new listings, compared to the same month during 2012, we see a 1.1% increase (4,802 listings during June 2012). Compared to June 2013 this figure represents a 0.4% decline (4,874 new listings in June 2012).

The number of active listings on the Vancouver MLS in Greater Vancouver is 16,618, which represents an 8.1% decrease from the same month last year (July 2012) and a 3.9% decrease from June 2013.

Sales to active listing ratio rose to 17.7% in Greater Vancouver. This is the highest the ratio has been since April 2012.

“Home prices continue to experience considerable stability with minimal fluctuation throughout much of this year,” Wyant said. “This stability in price brings greater certainty to the home buying and selling process.”

Detached Properties

1,249 properties were sold during July 2013, an increase of 59% from the same month last year, and 13.7% increase from the month of July 2011. Benchmark price for detached properties fell 3.1% from July 2012 to $920,500.

Apartment Properties

1,210 sales occurred during July 2013. An increase of 31% from the 927 apartments that changed hands in July 2012, and if we look back further we see a 13.7% increase from the 1,099 units sold in July 2011. Price decreased 1.6% from July 2012 to $368,300.

Attached Properties

Attached property sales totalled 487 during July 2013, an increase of 27% compared to 384 sales during July 2012, and a 12.7% increase if we look back to July 2011 (432 sales). Benchmark price is sitting at $456,700, down 2.6% from July 2012.

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Vancouver a bargain when compared to the worlds most expensive cities

We often hear much chatter about prices in Vancouver, and how expensive the Real Estate is here.

A recent study by consulting firm Mercer’s has revealed that Vancouver doesn’t even make it into the top 10 for the most expensive cities for expatriate employees to be transferred to for work.

Angola’s city of Luanada clocks in at the most expensive city, where a cup of coffee can cost up to $8.29!

For employers, employee housing and Real Estate can be the biggest cost, and in Moscow rent for a luxury unfurnished 2 bedroom condo can be around $4,600 per month. The other three most expensive cities that make up the top five are:

  • Tokyo
  • Ndjamena in Chad
  • Singapore

Other expensive cities from the list are: Hong Kong, Switzerland’s Geneva, Zurich and Bern and Sydney, Australia.

To have a chat about the affordability in Vancouver Real Estate, and how we can help you get started on the property ladder, give me a call anytime! Adam Chahl +1 778 385 6141.

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Greater Vancouver Real Estate Statistics – June 2013

Hey everyone! Apologies for the late uploading of the June statistics for Greater Vancouver Real Estate, we have been extremely busy!

Nevertheless, we see a stable market for June 2013 here in Vancouver. We see balance between the amount of homes on the Vancouver MLS, and the number of buyers looking to purchase.

During June 2013 we saw 2,642 homes change hands on the Vancouver Multiple Listing System. This was an 11.9% increase when we compare to the same month in the previous year, however a decline of 8.3% compared to 2,882 during May 2013.

Last month’s sales clocked in at 22.2% below the 10 year average, however new listings were also 11.5% below the 10 year average.

“As the term suggests, a balanced market means that many of the key housing market indicators, such as price, are stable and conditions therefore don’t tilt in favour of buyers or sellers,” Sandra Wyant, REBGV president said. “If you plan to enter the market today, identify your needs, consult your REALTOR® and work to build a ‘win-win’ scenario with the people on the other side of the sale.”

New listings totalled 4,874 during the month. When we look back to the previous year of 2012, we notice that this represents a 13.2% decline compared to the 5,617 listings that were reported during June 2012.

If we examine the total number of properties listing on the Greater Vancouver MLS we see 17,289, which represents a 6% decrease compared to June 2012 and a 0.4% increase compared to May 2013.

Sales to active listings ratio is sitting bang on 15%, this is the 4th month in a row that this ratio has been at or above 15%.

Detached Properties in Vancouver

During the month of June 2013 1,102 detached properties were sold, which year over year represents a 19.7% increase from the 921 sales the year before. If we look back even further to June 2011, then we see a 25.1% decline.

Average price has decreased from the peak in June 2012 to $919,900.

Apartments in Vancouver

During June 2013 1,068 apartments were sold on the MLS, increase of 4.1% when we compare to June 2012 (1,026 sales), and a 25.1% decrease from 1,471 units sold during June 2011. Benchmark price it sitting at $369,100 down from the peak in June 2012.

Attached Real Estate in Vancouver

Sales totalled 472 during June 2013. Increase of 13.6% compared to June 2012 where 415 sales occurred, and looking back to June 2011, we see a 10.1% decrease from the 525 units sold that month.

Benchmark price is sitting at $457,000 which is down 2.4% from June 2012.

Give me a call anytime to make sense of these numbers and how they apply to your specific situation. Adam Chahl +1 778 385 6141

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Real Estate in Vancouver Recovering from 2012 Slowdown

According to reports by the BCREA (British Columbia Real Estate Association) home sales in BC and specifically Vancouver, BC are continuing to trend higher.

During May of 2013 a total of 7,664 sales were recorded throughout British Columbia. While this figure was down 0.7% from the same month a year earlier, sales $ volume was up 2% currently sitting at $4.1bn for the month. Average price across the whole of the province was $534,013, which represents a 2.7% increase year on year.

“BC home sales continued to trend higher in May,” said Cameron Muir, BCREA Chief Economist. “In contrast to slowing demand and moderating prices in 2012, the BC housing market is turning around.” Rising consumer demand combined with inventory levels that remain in check has moved the province’s largest markets into balanced territory. “Home prices have edged higher over the past three months in BC’s large Lower Mainland market,”

Real Estate in Vancouver Residential Sales

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West Vancouver mulls allowing Coach Homes

Laneway Home West Vancouver Real EstateWest Vancouver Real Estate is renowned for its multi million dollar homes, and also a few smaller condominium buildings, but typically we don’t see too much in between.

Stephen Mikicich, a planner for the community of West Vancouver could be pushing for change. He says:

“We have a community that is aging, that needs different housing options. We have younger families who are having difficulty establishing themselves or remaining in West Vancouver because of the cost of housing, At the same time, it’s a community that highly values the established character of its neighbourhoods.”

Coach houses could afford those looking to move up from apartment sized real estate a bridge between their current property to a single family home.

Coach homes are typically situated at the rear of a single family property and accessed by the lane, which is where they get the name ‘Lane-way House’ but they can also have other configurations  such as a shared driveway, or built on top of an existing garage.

West Vancouver’s demographic is interesting: in 2011 the median age was 50, which is 10 years older than Metro Vancouver.

With the encouragement of Coach Houses, we give the current populations more options, those looking to downsize could choose to live in the Coach House while renting out the main house, or maybe their children would want to live in the larger property.

We will keep you updated as to any decisions from West Vancouver with regards to Coach Homes.

You can contact me directly to learn more, or to pass me your details, so I can send you more information. You can use the contact form or call me at +1 778 385 6141.

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Greater Vancouver Real Estate Update – May 2013

More balanced indicators for Greater Vancouver Real Estate

We continue to see the number of home sales in Greater Vancouver trend below the 10 year average, however during May 2013 we see a more balanced market in terms of the number of listings vs number of sales. Pointing to more stability for our spring market.

During the month of May 2,882 properties changed hands on the Greater Vancouver Multiple Listing Service (MLS). Compared to a year ago, this is a 1% increase, and when we look back one month to April 2013 we see a 9.7% increase.

When comparing to the 10 year average, we see that sales are sitting 19.4% down on the monthly average. New listings are down 7.4% for the 10 year average for May 2013.

“We’ve seen some steadying trends over the last three months,” Sandra Wyant, REBGV president said. “The number of homes listed for sale has been keeping pace with the number of property sales, leading to a balanced sales-to-listings ratio. This is having a stabilizing influence on home price activity.”

The number of new listings for all properties reached 5,656 during May. This is a 18.3% decline year over year from May 2012, and 3.7% down on April 2013 where 5,876 listings were posted up on the MLS.

Total number of listings in Greater Vancouver is 17,222 which is a 3.4% decline compared to this time last year but an increase of 2.9% from April 2013.

Sales-to-active-listings ratio which we discussed in more detail here, is sitting at 17%, the third straight month that it’s been above 15%.

Detached Properties in Vancouver

We saw 1,212 sales in May 2013, which represents a 2.7% increase from the 1,180 detached sales recorded during May 2012, and a 22.8% decrease from the 1,570 units sold during May 2011.

The benchmark price for detached properties decreased 5.2 per cent from May 2012 to $917,200.

Apartment Sales in Vancouver

During the month of May 2013, sales of apartment properties reached 1,136. This was a decline of 1.7% compared to the 1,156 sales in May 2012, and a decrease of 7.5% compared to the 1,228 sales in May 2011.

The benchmark price of an apartment property decreased 3.7 per cent from May 2012 to $365,600.

Attached properties in Vancouver

Sales for May 2013 for attached properties totalled 534, increasing 3.3% per cent compared to the 517 sales in May 2012, and a 7.8% decrease from the 579 attached properties sold in May 2011.

The benchmark price of an attached unit decreased 3.2 per cent between May 2012 and 2013 to $454,900.

Get in touch with me today to see how these numbers affect you, and put a personalized strategy in place for you!

Adam Chahl +1 778 385 1614

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Baby Boomers will finance kid’s Vancouver Real Estate purchases

The Baby Boomer generation will help to finance their kid’s home purchases by selling their own properties.

Bob Rennie is predicting that the Vancouver Real Estate Market over the next 15 years will diverge into two markets financed by ageing baby boomers and their paid off homes.

The first market will be made up of the downsizing baby boomers, who have paid off their homes and are looking to move to smaller properties. Their current homes have no, or very little mortgage. The other will be their kids and grandkids, in both instances the purchases will be financed by those baby boomers!

Acknowledging the short term softening in the Vancouver Market, Rennie told an audience of  Urban Development Institue professionals that 590,000 newcomers to the greater Vancouver area will purchase the homes of the baby boomers over the next 15 years.

Just 4.9% of Metro Vancouver residents earn more than $100,000, while 65% earn less than $55,000 per annum.

“The feds, Flaherty and the banks have a really hard time understanding the Vancouver real estate market,” Rennie said. “They’re asking how does a $50,000-a-year income find a $75,000 down payment.”

Rennie noted that they are getting the down payment from their parents and grandparents.

He also noted that the demographics of BC mean that baby boomers will not be forced to sell their homes, as they have mostly paid them off in full. Even if we see a slight price decline then boomes will still sell their homes, if they can stay in their community, but move to a property that fulfills their needs.

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Foreign Investment in Vancouver Real Estate

We recently touched on the issue of Foreign Ownership of Vancouver Real Estate be highlighting a study undertaken by Andy Yan a renowned Senior Urban Planner with Bing Thom Architects here.

A newly released report by Sotheby’s International Realty has revealed that foreign ownership of the luxury single family real estate market in Vancouver is currently sitting at 40%.

Their report entitled ‘Top Teir Trends Report’ surveyed Sotheby’s own real estate agents to find out who was purchasing the luxury homes in Vancouver, Toronto and Montreal. They deduced that most come from China, but recently there has been a surge in buyers from Iran and the United States.

The report also dialed in on those purchaser’s preferences. They defined a luxury home in Vancouver as follows:

  • Greater than 3,500 sq ft
  • Pricing starting at $2.8m

They also noted that some areas in Vancouver vary in terms of minimum price used in the study, however more information can be seen below in the graphic:

Sotherbys Top Tier Trends Report Vancouver Luxury Real Estate

Full report can be read here.

As always, feel free to give me a call to discuss this data and how it impacts you. Adam Chahl +1 778 385 6141.

 

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Greater Vancouver Real Estate Statistics – April 2013

Balance is returning to the Greater Vancouver housing market.

We are starting to see a closer balance between the demand from home buyers and the supply from sellers. This is creating a stabilizing impact on home prices, and has been doing so for the last three months.

During April 2013 2,627 properties changed hands on the MLS®. Compared to the same month last year this represented a 6.1% decline, but an 11.9% increase compared to March 2013 where 2,347 properties were sold.

In terms of numbers of sales, April of 2013 was 20.9% below the 10 year activity average, and was the slowest April since 2001.

Sandra Wyant, the Real Estate Board of Greater Vancouver mentioned:

While the number of home sales remains below average, properties that are priced right are selling and we’re seeing greater balance between buyer demand and the number of homes listed for sale. This is having a steadying influence on home prices in the region.

New listings on the market totalled 5,876. This is a 3% decline when we compare those numbers to a year earlier (April 2012), and 21.4% decline from March 2013.

Sales to active listing ratio (which we touched on in our last article) is sitting at 15.7%. March and April of this year both showed this figure to be above 15%. The last time this ratio was over 15% was in May 2012.

There have been modest increases in home prices across the region over the last three months. This comes on the heels of home price declines of approximately five to six per cent in Greater Vancouver during the last half of 2012 – Sandra Wyant

Detached Vancouver Properties

During April 2013 we saw a total of 1,064 sales for detached properties. Compared to the same month last year, this is a 5.5% decline (1,126 sales) and compared to April 2011, this is a 24.1% decrease (1,402 sales). Benchmark pricing is currently sitting at $914,000. Decreasing from April 2012 by 5.2%. Since the start of the year, this benchmark price has increased 1.4%.

Apartments in Vancouver

April 2013 saw 1,052 sales during the month. Compared to the same month last year where 1,190 sales occurred this represents a 12.4% decline. Comparing against April 2011 (1,201 sales) we see a 24.1% decrease. Benchmark pricing is sitting at $365,900, declining 2.6% from a year ago. Since January this benchmark price has increased 2.1%.

Attached properties in Vancouver

We saw 511 sales for Attached properties in April. Compared to a year ago, this is a 5.8% increase (483 sales). When we look back to 2011, we see a 17.8% decline (622 sales). Price benchmarks are sitting at $455,200, which represents a 3.5% decrease over the year, but from January this benchmark has increased by 1.2%.

Call me anytime to discuss these figures, and how they apply to your situation. My phone is always on. Adam Chahl +1 778 385 6141.

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Vancouver’s Housing Market Showing Some Signs of Improvement

Vancouver Real Estate has been rather ‘tepid’ over the past few months, when compared to our more typical market volumes and prices of years past.

We are seeing some gradual signs of progress over the past month or so, we are seeing a couple of key metrics improve. Those are the sales to active listing ratio, and the decrease in year of year sales are slowing since last fall where we saw a balmy 27% decline in the number of homes sold.

Let’s examine the sales to active listing ratio – to come up with this figure, we take the number of homes sold in a month and divide it by the number of active listings for that same month. So if we examine March 2013, there were 2,347 sales and 15,460 active listings, we arrive at a sales to active listing ratio of 15.2%. Now statistically that puts us in a Buyer’s market. Just.

We consider a balanced market when that ratio sits between 15-20%. Below 15% shows a Buyers’s market, when it tips above 20% then we see a Seller’s market.

A word of caution – just because those number are improving in the sense that we are experiencing more of a balanced market, no one expects things to return to the red hot days that we all recall hearing about in the press. Cameron Muir, the BC Real Estate Association’s chief economist recently commented:

“I don’t think anyone expects to see prices accelerate any time soon like in the previous run-up,”

Professor Tsur Somerville of UBC suggested that we are going to see sluggish prices for the remainder of 2013, but stopped short of suggesting a Vancouver Real Estate price crash. He says:

Given where interest rates are, it would be silly to expect a large change in prices

Unless we have a major change in interest rates, or a meltdown of the financial markets, then the whole of Canada’s, if not the worlds could face turmoil.

Vancouver residential sales began weakening in the fall of 2011, buyers are waiting for further softening of prices, while sellers are holding out for better offers, or they are pulling their homes off the market if there is no motivating factor to sell, resulting in a sort of stalemate. You can read March 2013’s statistics here.

You can call me anytime to see how this news applies to you and your specific situation. My cell phone is always on. Adam Chahl +1 778 385 6141.