Last year was a tough one for home sales in Metro Vancouver, but it did mean that benchmark prices continued to fall.
According to the Real Estate Board of Greater Vancouver, 2022 marked a “year of caution” for the Metro Vancouver housing market.
In 2021, there were 43,999 home sales in Metro Vancouver, and last year, that number fell to 28,903 (-34.4%). In other words, 15,096 fewer homes were sold.
December 2022 also marked a shockingly low number of home sales compared to December 2021.
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A snapshot of the year
A few factors drove this “year of caution” for the Metro Vancouver housing market.
During the pandemic, we saw record sales and prices in Metro Vancouver. However, thanks to the rising inflation, mortgage and interest rates, 2022 marked a significant decrease in market activity.
“The headline story in our market in 2022 was all about inflation and the Bank of Canada’s efforts to bring inflation back to target by rapidly raising the policy rate. This is a story we expect to continue to make headlines into 2023, as inflationary pressures remain persistent across Canada,” said Andrew Lis, REBGV’s director of economics and data analytics.
REBGV says 2022’s listings total was 3.2% below the 10-year average and down 13.5% compared to the previous year.
“Closing out 2022, the data show that the Bank of Canada’s decisions to increase the policy rate at seven of the eight interest rate announcement dates in 2022 has translated into downward pressure on home sale activity and, to a lesser extent, home prices in Metro Vancouver,” Lis added.
A disappointing December
December 2022 saw a 51.8% drop in sales year-over-year.
Last month there were 1,295 property sales compared to 2,688 sales in December 2021. Last month’s sales were also 37.7% below the 10-year December sales average.
December 2022 home sales statistics: REBGV
- Detached homes
- Number of units sold: 371 (486 in November)
- Active listings: 3,008 (3,672 in November)
- Benchmark price: $1,823,300 ($1,856,800 in November)
- Average days on the market: 49 (40 in November)
- Apartment homes
- Number of units sold: 702 (847 in November)
- Active listings: 3,239 (4,080 in November)
- Benchmark price: $713,700 ($720,500 in November)
- Average days on the market: 26 (28 in November)
- Townhouse sales
- Number of units sold: 222 (281 in November)
- Active listings: 1,137 (1,427 in November)
- Benchmark price: $1,012,700 ($1,027,900 in November)
- Average days on the market: 37 (26 in November)