Metro Vancouver’s benchmark home price dips below $1M in June

Real Estate Board of Greater Vancouver says region seeing an ‘expectation gap’ vs. buyers and sellers

Homes in Vancouver, Tuesday, Apr 16, 2019. (THE CANADIAN PRESS/Jonathan Hayward)

Metro Vancouver’s once hot housing market is experiencing an “expectation gap” between buyers and sellers as the benchmark property price fell under $1 million for the first time since May 2017.

“Sellers are often trying to get yesterday’s values for their homes, while buyers are taking a cautious, wait-and-see approach,” Ashley Smith, the real estate board’s president, said in a statement.

The composite benchmark price for detached houses, townhomes and condos in Metro Vancouver was $998,700 in June, said the Real Estate Board of Greater Vancouver. That’s down 9.6 per cent from the same time last year and 0.8 per cent from May.

Detached houses saw the biggest drop, falling 10.9 per cent from June 2018 to $1,423,500. However, the price inched forward month-over-month, up 0.1 per cent since May.

Townhomes fell 8.6 per cent to $774,700 and condos dropped 8.9 per cent to $654,700. Both also saw month-over-month drops with townhomes losing 0.6 per cent and condos 1.4 per cent compared to May.

Prices dropped as the area recorded the lowest number of home sales last month than any June in nearly two decades.

READ MORE: Government policies weigh on declining B.C. housing market, report says

The board says 2,077 homes sold in June 2019 — down 14.4 per cent from the same month last year, down 34.7 per cent from the 10-year June sales average and the lowest June total since 2000.

Condos experienced the biggest slow down. In June, sales of condos fell 24.1 per cent compared with a year ago to 941. Meanwhile, townhome sales last month dropped nearly seven per cent and detached home sales fell 2.6 per cent compared with June 2018.

The number of newly listed homes also fell, dropping 10 per cent from June 2018 to 4,751 homes across all categories. However, the total number of homes listed for sale rose 25.3 per cent from June 2018 to 14,968 homes in June 2019.

The sales-to-active-listings ratio, a key measure that indicates whether it’s a buyers’ or sellers’ market, was 13.9 per cent for all property types in June. It dropped to 11.4 per cent for just detached homes, but rose to 15.8 per cent for townhomes and 15.7 per cent for condos.

A ratio under 12 per cent for a sustained period suggested downward pressure on home prices will occur, while upward pressure is expected when the ratio exceeds 20 per cent for several months.

“Home buyers haven’t had this much selection to choose from in five years,” said Smith, adding sellers need to price their homes accordingly to be successful in the current market.

The Canadian Press

Like us on Facebook and follow us on Twitter

Just Posted

Sts’ailes drum making coming to Harrison Festival

The workshop has been happening for years, bringing Indigenous teachings to the festival

Transparency, dialogue key to UBC Dairy’s open house

The annual Agassiz event invites the public to come learn about dairy farming and research around it

Fraser-Cascade school district hosts by-election to fill void left by passing of Tom Hendrickson

Advance voting begins on July 17, with general voting on July 27

Big Chill a hot event in Langley

Flight Museum holds “ask the pilot panel” and demos flights for young pilots over the weekend

Search continues for missing elderly woman in Chilliwack

RCMP, Chilliwack Search and Rescue and community members combing area for Grace Baranyk

VIDEO: Agassiz remembers local officer at grave-marking ceremony

Montague White-Fraser had been buried in the Old Cemetery for 92 years without a headstone

B.C. dies from rabies after contact with Vancouver Island bat

Last known case of human rabies in B.C. was 16 years ago

Crown recommends up to two-year jail term for former Bountiful leader

Crown says sentence range should be 18 months to two years for Bountiful child removal case

B.C.-wide police efforts identify Vancouver Island robbery suspect

Warrant issued for arrest of North Vancouver man for TD Bank robbery

VIDEO: Wolf spotted swimming ashore on northern Vancouver Island

Island wolf population estimated at under 150 in 2008, says VI-Wilds

Diversity a Canadian strength, Trudeau says of Trump tweets at congresswomen

Trudeau avoided using Trump’s name when he was asked about the president’s Twitter comments

Garneau ‘disappointed’ in airlines’ move against new passenger bill of rights

New rules codified compensation for lost luggage, overbooked flights

Mercury tops out on top of the world: Alert in Nunavut warmer than Victoria

It’s the latest anomaly in what’s been a long, hot summer across the Arctic

Canadian is detained in China on drug allegations: Chinese government

Detention of a Canadian in China comes as part a diplomatic dispute triggered by arrest of Huawei exec Meng Wanzhou

Most Read