The Vancouver Real Estate Markets Begins to Balance
In early 2010, we saw significant price increases as inventory continued to sell fast and buyer demand only grew greater. The number of listings were not being replenished in time for the next wave of buyers putting upward pressure on prices. As prices increased, more sellers decided to list their properties at higher prices. Subsequently, in May 2010 a total of 7014 properties were added to MLS which was 20% greater than the amount of listings added this past month, June 2010.
The amount of added inventory and no extra buyer demand has left Vancouver attached properties (Apartments/Lofts/Townhouses/Duplexes) in a buyer's market. Demand remains consistent with strong sales numbers in June 2010 (1258 units) and the inventory to supply this demand is currently well.
What does this all mean? Buyers have more choices and many properties are selling below list prices and below some of the peak prices seen between December 2009 - February 2010. Within the Vancouver condo and loft market our clients in the past two months (Late May until early July 2010) have been either discounting their listings or purchasing approximately 2-4% less than prices seen earlier this year.
“We didn’t experience any record-breaking activity in June, but we did see a stable summer market. The number of new listings coming on the market is not as dramatic as we saw over the previous three months and demand remains at a healthy level for this traditionally quieter time of year.” Jake Moldowan, REBGV President.
As always, the demand for unique properties remains strong and certain buildings are still increasing in value. For example, sales at Shangri-la Vancouver have remained strong and the average price per square foot has gone up slightly every month of 2010. You can visit www.shangri-la-condos.com for more information and current listings.
Written by Paul Albrighton - Reference from the Real Estate Board of Greater Vancouver Stats Package July 5 2010.