Greater Vancouver Housing Market – Current Statistics for December 2014
Here is a quick summary of what happened in the Vancouver real estate market during the month of December. If you would like a complimentary copy of the complete report, including neighborhoods-level sales and price statistics, please give me a call at 778-558-9948 or email me at firstname.lastname@example.org
Bonjour dear friends!
Now that 2014 is over, we can reflect on the market performance and we can also wonder how 2015 will look like. There is obviously a lot of debate around whether or not the Real Estate market will remain strong this year.
People wonder if the oil price reduction will have an impact on the local Real Estate market knowing that some experts predicted a recession in Alberta. If so, is it possible that we will feel the impact in Vancouver? What about the interest rates? Will they really go up at the end of this year as predicted by the economists over the last few months?
I have gathered few articles for you that will clarify some of the questions above. The RBC Economics Report is a great document to peruse.
When we take a look at the 2014 Canadian Housing Observer from CMHC, it is noteworthy to see that the vacancy rate in BC is the lowest in Canada and under the national average of 3%. As vacancy rates drop, apartment rents are on the rise. The average apartment rented for almost 3% more in 2014 – $1,099 – than it did in 2013 ($1,067).
For some people, the following question remains: “Should I rent or should I buy?” With the current attractive interest rate level, it’s not surprising to see that more than 30% of the Buyers in 2014 were First Time Buyers according to the Real Estate Board of Greater Vancouver’s members market poll.
In my own opinion, we will continue to see prices moderately go up this year. Some neighborhoods will be more popular than others and the growth factor will be bigger. The law of Supply and Demand is one of the main drivers for pricing. Knowing that the inventory is generally low across the board at the moment, I highly suggest the motivated Sellers to list their homes now before the inventory goes up in the spring. Timing is everything and we can’t always predict the future.
Now enjoy the stats and the Year-End Review!
It was a typical year for the Metro Vancouver housing market in certain respects. The region’s home sale and listing totals for 2014 both ranked fifth when compared against the past 10 years of activity, while home prices increased.
The Real Estate Board of Greater Vancouver (REBGV) reports that total sales of detached, attached and apartment properties in 2014 reached 33,116, a 16.1 per cent increase from the 28,524 sales recorded in 2013, and a 32.3 per cent increase over the 25,032 residential sales in 2012.
“While home buyer and seller activity created balanced market conditions within the region, we also experienced some upward pressure on home prices over the course of the year,” Ray Harris, REBGV president said.
“Detached homes continue to be the most sought after property type in our market,” Harris, said. “Detached homes in Metro Vancouver have increased 8.1 per cent in value over the last 12 months while townhome and condominium properties have increased 4.5 and 3.5 per cent over the same period.”
Number of Sales: 2,116 or 8.3% increase compared to 1,953 sales recorded in December 2013, and a 15.9 per cent decline compared to the 2,516 sales in November 2014.
Percent of Original List Price Received at Sales: 95.9%, which is 0.7% higher than December 2013 at 95.2%.
Sales-to-Active-Listings Ratio: 22.1%. An upward pressure on price occurs when the sales-to-active-listings ratio is around 20-22% in a particular community for a sustained period of time.
Total Inventory: 10,320, a decline of 10.7% compared to this time last year, and a 17.8% decrease compared to November 2014. There were 1,888 homes listed for sale listing in Greater Vancouver last month, an increase of 1.7% compared to December 2013 and a 37.4% decline from 3,016 new listings in November 2014. *** List your home for sale now if you want to face less competition in the marketplace!
Benchmark Price: $638,500, an increase of 5.8% over December 2013. Detached homes prices increased 8.1% from December 2013 to $1,002,200 and condos increased by 3.5% over the last year to $380,700.
Average Days on Market: 60 days vs 66 days in December 2013. If we take a closer look at Downtown, the average Days on Market was 30 days in December 2014 vs 29 days in November 2014. As you see, the stats vary from market to market and even from neighborhood to neighborhood. Furthermore, a condo tower can reflect different market status vs another building tower as each building is a neighborhood in itself. For more information about your neighborhoods-level sales and price statistics, I strongly encourage you to download the latest SnapStats Report.
REAL ESTATE & ECONOMIC NEWS | HOME & DESIGN
HOT HOT HOT – RBC Economics Report Including Interest Rate Outlook for 2015!
The outlook for the world economy in 2015 is being dominated by concerns about the implications of the sharp drop in oil prices. The Bank of Canada thinks lower energy prices will “weigh” on the economy, while our analysis suggests that any weakening in investment will be offset by stronger US demand for Canadian exports and firm consumer spending. Download
Canadian Housing Observer Offers Insights Into Key Trends
Canada Mortgage and Housing Corporation’s Canadian Housing Observer provides an in-depth annual review on the state of housing in Canada. Read more
Highlighting the State of Canada’s Housing
The annual Housing Observer report examines the state of Canada’s housing from a variety of perspectives. Download a free copy
Oil To Impact Home Prices In 2015: Study
Royal LePage says the price of a Canadian home is expected to rise by a relatively modest 2.9 per cent on average in 2015 as price appreciation slows across the country. Read more
Calgary Housing Market Leads Canadian MLS Sales Decline
The slide in oil prices has begun to weigh in Calgary and Edmonton, but Vancouver and Toronto look very solid.” Read more
Markets Eye Bank of Canada Rate Cut For First Time As Oil Rout Damage Deepens
Collapsing oil prices and a weakening economy are pushing markets to start pricing in a potential interest rate cut by the Bank of Canada this year. Read more
How Airbnb Renters Are Helping Canadians Pay Off Their Mortgage In A Grey-Market Area
Renting out your unit at your own peril… Over half of the people that post on Airbnb are doing it “to pay off the mortgage, or for monthly expenses and day-to-day living,” says Aaron Zifkin, Airbnb’s country manager for Canada. Read more
BC’s 2% Transition Tax On New Homes Wrapping Up March 31, 2015
March 31, 2015 is the last day the 2% Transition Tax will be in effect. This temporary tax is applicable on the sale of a new home that was 10% or more complete as of April 1, 2013. However, if ownership and possession take place on or after April 1, 2015, the 2% tax will not apply, as it ceases to exist on April 1. Read more
American Expats In Canada Who Sell Their House Might Face IRS Taxes
Americans residing in Canada may not realize the extent to which the U.S. government’s tax-filing rules for non-resident citizens hit home. Read more
8 Reasons To Paint Your Interior Trim Black
Hide imperfections, energize a space, highlight a view and more with a little bit of darkness that goes a long way. Read more
Small-Space Living: 8 Stylish Multitasking Studios
It’s no secret that both the rental and home buying markets are hard to break into for some. Accordingly, many of us have to compromise somewhere along the line. Read more
See A Complete Kitchen Remodel for $11,000
Budget materials, some DIY spirit and a little help from a friend turn an impractical kitchen into a waterfront workhorse. Read more
Want to Know What Is Your Home Worth? Curious About Your Neighbor’s Recent Home Sold Price?
I have great news for you! It’s a new resource that I can share with you called Market Snapshot. No need to collect Just Sold or Just Listed Direct Mail pieces anymore! With Market Snapshot, you will be able to research the local housing market conditions just like a Realtor. Get exclusive access to live market activity and statistics such as sold homes, properties for sale, inventory and days-on-market trends. To view what it looks like, click here! Call or email me and I will set it up for you.
How to Sell Your Home Fast & Use SnapStats?
Price it right! I constantly used the SnapStats report to check the Price Band Sales Ratios of the homes listed in the market as well as the Sales Ratio of the neighborhoods because it helps Sellers and Buyers identify the price pressure of the properties they want to Sell or Buy.
It is in my own opinion that PRICING is the most important factor in selling your property. No matter what time of year you want to sell, as long as your home is priced well, it should sell.
The best way to understand your local market trends and get your home sold is to contact your Real Estate agent. Vancouver is a great Real Estate market with Buyers ready to buy. Thinking of selling? Don’t wait, contact me and sell it now!
SNAPSTATS REPORT – NEW BONUS REPORT!
Get the SnapStats report and discover the specific trends in your neighborhood for Vancouver Downtown, Vancouver Westside, Vancouver Eastside, North Vancouver, West Vancouver and Richmond. The statistics from GRD are also included covering Burnaby, New Westminster, Coquitlam, Port Coquitlam, Port Moody, Pitt Meadows and Maple Ridge. Remember to check the feature “Sale Price SQFT” Feel free to pass along to your friends and family!
BONUS REPORT HERE: Get the Historic Annual Statistics, 2013 Monthly Statistics and 2014 Monthly Statistics.
To access the complete SnapStats report (PDF) for the month of December 2014 & Bonus Report for your specific neighborhood and area, please give me a call at 778-558-9948 or email me at email@example.com
How to Read The Report? The SnapStats report will give valuable information and the answer the following questions:
What is the sales ratio of where I live or where I want to live?
What is the trend on inventory, price and number of sold properties for the last 13 months?
Who can help me better determine my market value and help me use SnapsStats to my advantage? FRANCIS!
***Sales Ratio over 21% is considered a Seller Market
***Sales Ratio of below 14% is officially a Buyer market