Sales are falling in Metro Vancouver and supply is increasing
Sales in the country’s most expensive housing market continue to fall, according to the latest data from the Real Estate Board of Greater Vancouver.
The group says there were 2,853 sales through the Multiple Listing Service in May, a 15.5% decline from a year earlier. May sales were the lowest for the month since 2001 and 21.1% below the 10-year May sales average.
The decline comes as supply continues to increase with 6,927 new listings in May, a 16.8% increase from a year earlier and a 14.4% jump from just a month ago. New listings for May were 15.3% above the 10-year average for the month.
Still, the board is preaching calm and says the sales to active listings ratio is 16% which is indicative of a balanced market. “Home sellers have outpaced buyers in recent months, however there continues to be an overall balance between supply and demand in the marketplace,” said Eugen Klein, president of REBGV.
The board’s benchmark price index for all residential properties in Greater Vancouver was $625,100 in May, a 3.3% increase from a year ago. Detached home prices jumped 5.1% from a year ago to $967,500, apartments increased 1.7% from a year ago to $379,700 and townhome property prices rose 0.9% in May from a year ago to $470,000.
However, using actual average prices instead of the index, average detached home prices are down 12.2% from a year ago, townhomes are down 0.2% and condominiums are off 1.1%.
Source: Garry Marr, Financial Post
