The sales for April of 2018 has continued the dip seen in the last few months. Historically, April sales are strong as it is in the middle of the Spring season but this April saw sales at a 17 year low.
Townhouses and condos continue to rise in price and sell in a short period of time. That period of time is growing, although in most cases they are selling within 2 or 3 weeks rather than within the first 10 days. This isn't enough of a difference to exhibit downward pressure on prices. Except for circumstances in which an owner has to sell in a short period of time, we probably won't see significant drops in home prices until homes are sitting on the market for a few months on average.
The Fraser Valley is still seeing price appreciation in most areas, especially in the condo and townhouse market. 53% of the total sales were townhouses and condos last month.
For the Fraser Valley, the sales to active ratios for townhomes and condos were 51% and 62% respectively (67% and 71% last month), while single family homes were at about 25% (18% last month). This means, with no additional inventory, single family homes have about 4 months of unsold inventory.
Here are a few tables to better show what the most recent market statistics are doing.
As an example of reading the statistics below: for one bedroom units in Metro Vancouver, 82 of the 118 sales (69%) were at or above the asking price (102.7% of the asking price, on average) and were on the market for an average of 12 days in the last week of February.
Red numbers means the number is lower than the previous month.
Metro Vancouver Attached Property Sales in the last week of April
Fraser Valley Attached Property Sales in the last week of April
Metro Vancouver Detached Property Sales in the last week of April
Fraser Valley Detached Property Sales in the last week of April
From the REBGV's April Stats: (I've added the text within the brackets)
For all property types, the sales-to-active listings ratio for April 2018 is 26.3% (March was 30.0%, February was 28.2%, and January was 26.2%, so last month broke the upward trend). By property type, the ratio is 14.1% for detached homes (March was 14.2%, February was 13.0%, and January was 11.6%), 36.1% for townhomes (March was 39.9%, February was 37.6%, and January was 32.8%), and 46.7% for condominiums (March was 61.6%, February was 59.7%, and January was 57.2%).
Generally, analysts say that downward pressure on home prices occurs when the ratio dips below the 12 per cent mark for a sustained period, while home prices often experience upward pressure when it surpasses 20 per cent over several months.
So, April's sales-to-active ratio for all property types for the REBGV have finally reversed the trend towards a stronger Seller's Market. This will benefit buyers over the next few months as there should be less competition for attached properties as there is already with detached homes.
Included below are the latest statistics for real estate in the REBGV (Real Estate Board of Greater Vancouver) and FVREB (Fraser Valley Real Estate Board) areas. You will find a clickable link to each area below which will open up as a separate PDF file.
Click on the links (in blue) below for the statistics package for your area:
(The links each take a few second to open as they are files stored on my Google Drive.)