This month's statistics follow the trends we noted last month: A consistent rise in inventory across the board with sales volumes and average prices varying greatly between markets. There is still a lot of Buyer activity in the marketplace, and the banks are processing mortgage pre-approval applications in spades at the moment, but there is a noticeable shift towards exercising patience and ensuring that good value is being received on the buying side. This is leading to slower selling cycles and a longer average time on market for most listings.
As a whole, Vancouver saw listing inventory rise 28% over May of 2011 to just over 5000 active listings. For perspective, this is still below the over 5400 active listings we saw in May 2010 and well below the over 6100 listings in May of 2008. The most notable change here is in the Westside Detached market, where listings are up an astounding 83% over last year with many Seller's looking to cash in on the recent increase in prices in this market. Throughout Vancouver, Detached listings are up 43.1% over last year compared to 25.2% for townhomes and 21.3% for condos.
Sales volume is down 18% and lowest we have seen since 2008. This number fluctuates greatly across different markets however, with Vancouver East and North Vancouver Attached market actually showing substantial increases in sales over last year. Most of the sales decline is actually stemming from the Detached market, which could be due to a combination of decreasing affordability and a gentle decline in foreign investment. Broken down in product types, the Detached market in down 37.1% over last year, while townhomes and condos are only down 6.6% and 5.2% respectively.
Average sales prices are down in all 3 product classes, with Detached seeing the most marked effect down 10.8%. This is due almost exclusively to a dip on the Westside, as both Vancouver East and North Vancouver are actually showing prices increases over last year. Townhomes prices across Vancouver have dipped 5.6% and condos just 1.5%. These smaller decreases are likely due to the fact that the Attached market has been flatter over the past 2 years without the same prices increases experienced in the Detached market.
Look for activity to increase through the Summer as Buyer's take advantage of increased selection, more favourable pricing and appealing mortgage rates.
Unique Homes Blog
THE SHIELD HOUSE
Not just a style element, the curved wall - the "Shield" - provides privacy from the nearby three story triplex. Surely a creative way to recognize and work with your surroundings. See more photos on my Unique Homes Blog >>
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