For the last few months we've been seeing real estate activity slowing in Vancouver. This past August continued that trend, making it four in a row.
What's causing this slowdown? Predominantly, it's rising interest rates...and the commensurate saber-rattling of the Bank of Canada.
With money getting more expensive, and warnings from the Bank of Canada, it's giving pause to market participants on both sides of the transaction.
Sales hit 579 this past month. While that was a very slight rise over the previous month (+1.8%) it was down significantly from a year ago (-35%) and also -32.8% from the 10-year average.
New Listings meanwhile also slowed to just 1,063. That's down -15.7% from the previous month and -19.4% from last year. Total active listings also fell to just 3,319 down -12.3% from last month and -11.1% from a year before.
This consistent slowdown of activity is easing pressure on prices. The result is that while prices are still generally higher today than they were a year ago (for everything other than Westside houses), recent months of seen overall declines in prices.
All of that being said, there are signs of stability entering the market. Previous months showed fairly precipitous drops in activity while this past month things appear to have leveled off.
It'll be interesting to see where we go from here as another significant interest rate hike hit at the beginning of September...just as we enter a typically stronger market period through the fall.
What's causing this slowdown? Predominantly, it's rising interest rates...and the commensurate saber-rattling of the Bank of Canada.
With money getting more expensive, and warnings from the Bank of Canada, it's giving pause to market participants on both sides of the transaction.
Sales hit 579 this past month. While that was a very slight rise over the previous month (+1.8%) it was down significantly from a year ago (-35%) and also -32.8% from the 10-year average.
New Listings meanwhile also slowed to just 1,063. That's down -15.7% from the previous month and -19.4% from last year. Total active listings also fell to just 3,319 down -12.3% from last month and -11.1% from a year before.
This consistent slowdown of activity is easing pressure on prices. The result is that while prices are still generally higher today than they were a year ago (for everything other than Westside houses), recent months of seen overall declines in prices.
All of that being said, there are signs of stability entering the market. Previous months showed fairly precipitous drops in activity while this past month things appear to have leveled off.
It'll be interesting to see where we go from here as another significant interest rate hike hit at the beginning of September...just as we enter a typically stronger market period through the fall.
The data relating to real estate on this website comes in part from the MLS® Reciprocity program of either the Greater Vancouver REALTORS® (GVR), the Fraser Valley Real Estate Board (FVREB) or the Chilliwack and District Real Estate Board (CADREB). Real estate listings held by participating real estate firms are marked with the MLS® logo and detailed information about the listing includes the name of the listing agent. This representation is based in whole or part on data generated by either the GVR, the FVREB or the CADREB which assumes no responsibility for its accuracy. The materials contained on this page may not be reproduced without the express written consent of either the GVR, the FVREB or the CADREB.
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