Week 5 – Market Update
Rising demand drove the Vancouver real estate market in the last week.
Sales more than doubled across the city since the beginning of the year. Going from 105 in Week 1 to 219 last week.
It’s normal for demand to ramp up at this time of year, but not this quickly. This level of demand is more typical of early-March than late-January.
Meanwhile, supply (the number of listings) is increasing but only slowly. The number of active listings has increased by less than 10% since the beginning of the year (from 2,517 to 2,734).
The result? We’ve entered a seller’s market with 3.82 month-of-inventory. The hottest seller’s markets in the last week were East Van houses (the previous week’s softness was indeed temporary) and condos as well as Westside condos (with an honorable mention to an increasingly active Downtown condo market).
Slower pockets across the city would include Downtown townhouses (where there have been no sales in the last two weeks) and East Van townhouses. We had a big jump in sales in East Van townhouses the week before, so this is likely the market evening things out.
It’s clear that the hottest market segments are currently detached homes in “affordable” price points (eg < $2,000,000 in East Van and < $3,000,000 on the Westside). Larger townhouses/duplexes with outdoor space are also in strong demand as are similar condos across the board.
Our market is starting unusually strong this year…and I believe that this is an indication of what’s in store for the rest of the year. If you are looking to buy, I would act quickly before this market takes off (eroding your buying power).