Elevated home sale activity continues to outstrip the supply of homes for sale in Metro Vancouver
Home sale activity remains elevated across Metro Vancouver’s* housing market while the pace of homes being listed for sale continues to follow long-term averages.
The Real Estate Board of Greater Vancouver (REBGV) reports that residential home sales in the region totalled 3,149 in September 2021, a 13.6% decrease from the 3,643 sales recorded in September 2020, and a 0.1% decrease from the 3,152 homes sold in August 2021. Last month’s sales were 20.8% above the 10-year September sales average.
There were 5,171 detached, attached and apartment properties newly listed for sale on the Multiple Listing Service® (MLS®) in Metro Vancouver in September 2021. This represents a 19.2% decrease compared to the 6,402 homes listed in September 2020 and a 28.2% increase compared to August 2021 when 4,032 homes were listed.
September’s new listings were 1.2% below the 10-year average for the month.
“The summer trend of above-average home sales and historically typical new listings activity continued in Metro Vancouver last month. Although this is keeping the overall supply of homes for sale low, we’re not seeing the same upward intensity on home prices today as we did in the
spring,” Keith Stewart, REBGV economist said. “Home price trends will, however, vary depending on property type and neighborhood, so it’s important to take a hyperlocal look at your location and property category of choice before making a home buying or selling decision.”
The total number of homes currently listed for sale on the MLS® system in Metro Vancouver is 9,236. This is a 29.5% decrease compared to September 2020 (13,096), a 2.6% increase compared to August 2021 (9,005) and is 27.7% below the 10-year average for the month.
For all property types, the sales-to-active listings ratio for September 2021 is 34.1%. By property type, the ratio is 25.5% for detached homes, 53.1% for townhomes, and 36.7% for apartments.
Generally, analysts say downward pressure on home prices occurs when the ratio dips below 12% for a sustained period, while home prices often experience upward pressure when it surpasses 20% over several months.
“The total inventory of homes for sale remains insufficient to meet the demand in today’s market. This scarcity limits peoples’ purchasing options and ultimately adds upward pressure on home prices,” Stewart said. “With the federal election now behind us, we hope to see governments at all levels work with the construction industry to streamline the creation of a more abundant and diverse supply of housing options.”
The MLS® Home Price Index composite benchmark price for all residential properties in Metro Vancouver is currently $1,186,100. This represents a 13.8% increase over September 2020 and a 0.8% increase compared to August 2021.
Sales of detached homes in September 2021 reached 950, a 27.9% decrease from the 1,317 detached sales recorded in September 2020. The benchmark price for a detached home is $1,828,200. This represents a 20.4% increase from September 2020 and a 1.2% increase compared to August 2021.
Sales of apartment homes reached 1,621 in September 2021, a 1.6% increase compared to the 1,596 sales in September 2020. The benchmark price of an apartment home is $738,600. This represents an 8.4% increase from September 2020 and a 0.5% increase compared to August 2021.
Attached home sales in September 2021 totalled 578, a 20.8% decrease compared to the 730 sales in September 2020. The benchmark price of an attached home is $963,800. This represents a 17.5% increase from September 2020 and a 1.2% increase compared to August 2021.
For full market update visit www.rebgv.org