Home sales registered on the MLS® in Metro Vancouver remained below their ten-year seasonal averages in August as summer holidays come to a close.
Greater Vancouver REALTORS® (GVR) reports that residential sales in the region totalled 1,904 in August 2024, a 17.1 percent decrease from the 2,296 sales recorded in August 2023. This total was also 26 percent below the 10-year seasonal average (2,572).
From a seasonal perspective, August is typically a slower month for sales than June or July. In this respect, this August has been no different. With that said, sales remain in a holding pattern, trending roughly 20 percent below their 10-year seasonal average, which suggests buyers are still feeling the pinch of higher borrowing costs, despite two recent quarter percentage point reductions to the policy rate this summer.
There were 4,109 detached, attached and apartment properties newly listed for sale on the Multiple Listing Service® (MLS®) in Metro Vancouver in August 2024. This represents a 4.2 percent increase compared to the 3,943 properties listed in August 2023. This total was 1.7 percent below the 10-year seasonal average (4,179).
The total number of properties currently listed for sale on the MLS® system in Metro Vancouver is 13,812, a 37 percent increase compared to August 2023 (10,082). This total is also 20.8 percent above the 10-year seasonal average (11,432).
Across all detached, attached and apartment property types, the sales-to-active listings ratio for August 2024 is 14.3 percent. By property type, the ratio is 9.6 percent for detached homes, 18 percent for attached, and 17.2 percent for apartments.
Analysis of the historical data suggests downward pressure on home prices occurs when the ratio dips below 12 percent for a sustained period, while home prices often experience upward pressure when they surpass 20 percent over several months.
Buyers’ hesitancy to enter the market, paired with new listing activity on the part of sellers that is in line with historical averages, has allowed inventory to accumulate for a number of months and has moved the market firmly into balanced conditions.
With the Bank of Canada’s decision to reduce the policy rate today by another quarter percentage point, and with September being a month that typically sees an increase in sales from a seasonal perspective, the fall market is set up to bring more buyers off the sidelines. We will watch the upcoming September data to see whether they decide to show up.
The MLS® Home Price Index composite benchmark price for all residential properties in Metro Vancouver is currently $1,195,900. This represents a 0.9 percent decrease over August 2023 and a 0.1 percent decrease compared to July 2024.
Sales of detached homes in August 2024 reached 509, a 13.9 percent decrease from the 591 detached sales recorded in August 2023. The benchmark price for a detached home is $2,048,400. This represents a 1.8 percent increase from August 2023 and a 0.1 percent decrease compared to July 2024.
Sales of apartment homes reached 1,012 in August 2024, a 20.3 percent decrease compared to the 1,270 sales in August 2023. The benchmark price of an apartment home is $768,200. This represents a 0.1 percent decrease from August 2023 and a 0 percent decrease compared to July 2024.
Attached home sales in August 2024 totalled 370, a 12.3 percent decrease compared to the 422 sales in August 2023. The benchmark price of a townhouse is $1,119,300. This represents a 0.8 percent increase from August 2023 and a 0.5 percent decrease compared to July 2024.
