The Metro Vancouver home sales market was less active throughout the first quarter of 2018.
In March 2018, the Real Estate Board of Greater Vancouver (REBGV) reported 2,517 residential home sales, a 29.7 per cent decline compared to the 3,579 sales recorded one year earlier, and 23 per cent below the 10-year average for the month of March. However, home sales were up 14 per cent compared to the 2,207 home sales in February 2018.
There were 6,542 home sales on the MLS System during the first quarter of 2018, down 13.1 per cent from the 7,527 sales in Q1-2017, representing the region’s lowest first-quarter sales total since 2013.
“We saw less demand from buyers and fewer homes listed for sale in our region in the first quarter of the year,” said Phil Moore, REBGV president, in a press release. “High prices, new tax announcements, rising interest rates and stricter mortgage requirements are among the factors affecting home buyer and seller activity today.”
There were a total of 4,450 new listings across all home types in March 2018, which represents a 6.6 per cent decrease compared to the 4,762 homes listed in March 2017 and a 5.4 per cent increase compared to February 2018’s 4,223 new home listings.
In Q1-2018, Metro Vancouver had a total of 12,469 homes listed for sale, a 0.8 per cent decrease from the 12,568 sales over the same period last year. This represents the region’s lowest Q1 new listings total since 2013.
The total number of homes currently listed for sale in Metro Vancouver is 8,380, an increase of 10.5 per cent year-over-year and 7.1 per cent compared to February 2018.
“Even with lower demand, upward pressure on prices will continue as long as the supply of homes for sale remains low,” added Moore. “Last month was the quietest March for new home listings since 2009 and the total inventory, particularly in the condo and townhome segments, of homes for sale remains well below historical norms.”
The sales-to-active listings ratio across all home types is 30 per cent for March 2018. When separated by property type, the ratio is 14.2 per cent for detached homes, 39.9 per cent for townhomes and 61.6 per cent for condominiums. Analysts generally say that downward pressure on home prices occurs when the ratio falls below the 12 per cent mark for a sustained period, while home prices often experience upward pressure when it exceeds 20 per cent over several months.
The current MLS Home Price Index composite benchmark price for all residential properties in Metro Vancouver is $1,084,000. This amount is a 16.1 per cent increase year-over-year and a 1.1 per cent increase compared to February 2018.
In March 2018, there were 722 sales of detached properties, a 37 per cent decline compared to the 1,150 detached sales in March 2017. The benchmark price for detached properties is $1,608,500, up 7.4 per cent compared to March 2017 and an increase of 0.4 per cent month-over-month.
There were 1,349 apartment properties sold in March 2018, down 26.7 per cent compared to March 2017. The benchmark price of an apartment property in Metro Vancouver is $693,500, an increase of 26.2 per cent year-over-year and 1.6 per cent compared to February 2018.
There were 446 attached property sales in March 2018, down 24.1 per cent compared to the 588 in March 2017. The benchmark price of an attached unit was $835,300, up 17.7 per cent compared to March 2017 and up two per cent month-over-month.