Vancouver homeowners 'reluctant' to sell as home sales drop by 31%
Residential real estate sales in Metro Vancouver dropped in March compared to the same month last year, according to the Real Estate Board of Greater Vancouver.
The latest figures from the REBGV show only 3,579 homes were sold in March this year, a 30.8% drop compared with the record-breaking 5,173 homes sold in March 2016.
However, the March figures were an increase of 47.6% from February this year, when only 2,425 homes were sold in Metro Vancouver.
“While demand in March was below the record high of last year, we saw demand increase month-to-month for condos and townhomes,” said president Jill Oudil in a release.
“Sellers still seem reluctant to put their homes on the market, making for stiff competition among home buyers.”
New listings for all kinds of homes were down 24.1%in March compared with the same month last year, dropping from 6,278 to 4,762 new listings.
According to the REBGV, this is the lowest number of new listings in March since 2009.
Overall, the sales-to-active listings ratio for March was 47.2%. Generally, analysts say home prices start to fall when that figure drops below 12%.
“Home prices will likely continue to increase until we see more housing supply coming on to the market,” Oudil said.
Composite benchmark now $919,300
Some home prices are down – slightly.
The MLS® Home Price Index composite benchmark price, representing the cost of a typical property, in Metro Vancouver is currently $919,300 – down 0.8% over the past six months.
Meanwhile, as sales of detached homes fell by 46.1% compared to March last year, the benchmark price fell to $1,489,400, down 5% over the past six months.
Apartment sales also decreased by 18.3% compared to March last year, but the benchmark price is now $537,400, up 5.2% over the past six months.
Sales of townhomes were also down, dropping 25.2% compared to February last year, with the benchmark price now $685,100, up 1.3% over the past six months.
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