July home sales in Metro Vancouver reached their lowest levels for the month in almost two decades.
Those are the latest findings from the Real Estate Board of Greater Vancouver (REBGV) on real estate activity in the region.
“Summer is traditionally a quieter time of year in real estate,” said REBGV president, Phil Moore. “This is particularly true this year.”
In fact, the last time home sales were this low in July was in 2000.
With factors such as increased mortgage rates and stricter lending requirements, “buyers and sellers are opting to take a wait-and-see approach for the time being,” Moore added.
The REBGV reports that residential property sales in the region totalled 2,070 in July 2018, a 30.1% decrease from the 2,960 sales recorded in July 2017, and a decrease of 14.6% compared to June 2018 when 2,425 homes sold.
All told, last month’s sales were 29.3% below the 10-year July sales average.
“With fewer buyers active in today’s market, we’re seeing less upward pressure on home prices across the region,” said Moore. “This is most pronounced in the detached home market, but demand in the townhome and apartment markets is also relenting from the more frenetic pace experienced over the last few years.”
The total number of properties currently listed for sale on the Multiple Listing Service (MLS) in Metro Vancouver is 12,137, a 32% increase compared to July 2017 (9,194) and a 1.6% increase compared to June 2018 (11,947).
For all property types, the sales-to-active listings ratio for July 2018 is 17.1%. By property type, the ratio is 9.9% for detached homes, 20.2% for townhomes, and 27.3% for condominiums.
There were 4,770 detached, attached and apartment properties newly listed for sale on the MLS this past month. July 2018. This represents a 9.2% decrease compared to the 5,256 homes listed in July 2017 and a 9.6% decrease compared to June 2018, when 5,279 homes were listed.
The MLS Home Price Index composite benchmark price for all residential properties in Metro Vancouver is currently $1,087,500. This represents a 6.7% increase over July 2017 and a 0.6% decrease, compared to June 2018.
Sales of detached properties in July 2018 reached 637, a decrease of 32.9% from the 949 detached sales recorded in July 2017. The benchmark price for detached properties is $1,588,400. This represents a 1.5% decrease from July 2017 and a 0.6% decrease compared to June 2018.
Sales of apartment properties reached 1,079 in July 2018, a decrease of 26.5% compared to the 1,468 sales in July 2017. The benchmark price of an apartment property is $700,500. This represents a 13.6% increase from July 2017 and a 0.5% decrease compared to June 2018.
Attached property sales in July 2018 totalled 354, a decrease of 34.8% compared to the 543 sales in July 2017. The benchmark price of an attached unit is $856,000. This represents a 12.1% increase from July 2017 and a 0.4% decrease compared to June 2018.