Vancouver Real Estate Market Statistics - July 2024
Buyers Remain Cautious As Home Sales Drop 17.5% Below Seasonal Averages
Despite the recent half-percentage point cut to the policy rate since June, and plenty of inventory on the Vancouver market, transaction levels remain below typical seasonal averages as we move into mid-summer. There were a total of 2,333 home sales recorded for the Vancouver region this July - down 5% from 2,455 sales the same time in 2023 and 17.6% below the 10-year seasonal average (2,831).
The reluctance, buyers began displaying over the past few months, continues to be reflected in the July data. The Vancouver market appears to be entering a more conservative phase of softened sales, despite inventory levels continuing on an upward trend. The 5,597 homes newly listed for sale in July represent a 20.4% increase compared to the 4,649 properties listed in July 2023, and 12.7% above the 10-year seasonal average (4,968). There are now 14,326 properties currently listed on MLS - a 39.1% increase compared to July 2023 (10,301) and 21.5% above the 10-year seasonal average (11,788).
Pressure on Vancouver Home Prices Beginning To Ease
The benchmark price for Greater Vancouver property is now $1,197,700. This represents a 0.8% decrease over July 2023, as well as a 0.8% decrease compared to June 2024. By property type, the average price is now $2,049,000 for single-detached homes, $1,124,700 for attached homes, and $768,200 for condos. All three represent decreases of between 0.6% and 1.2% from June 2024, but increases of between 1.4% and 2.1% when compared to July 2023, with the exception of condos, which have decreased by 0.3% year-over-year.
Though these figures are good news for hopeful buyers, as economist Andrew Lis cautions, we’re still in the early phases of transition into more balanced market conditions. “While it remains to be seen whether softening prices and improved borrowing costs will entice buyers to purchase as we head into the fall market, it’s worth noting that it can take a few months for improvements to borrowing costs to materialize into higher transaction levels.”
Adjusting To A New Dynamic As Inventory Rises & Sales Soften
As the Vancouver real estate market navigates through a period of adjustment, the interplay between rising inventory and cautious buyer behaviour continues to shape its trajectory. While the recent policy rate cuts and slight easing of prices across property types provide a glimmer of hope for prospective buyers, the persistent hesitation in transactions suggests that our market is entering a transitional phase. The sales activity and buyer demand over the coming months will be crucial in determining whether the current trends will solidify into a more stable environment, or if further fluctuations await.
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