Here we are well and truly in the Fall season and motoring our way towards the holidays. Yes the rain has returned but some very nice crisp dry days with blue skies and glorious sunsets have intermittently raised the bar. So it is not all grey and gloom out there.
We are now into the latter half of the greater Vancouver fall property markets and as we look back at October, there is a clear pattern emerging. The change in the borrowing and mortgage insurance rules are continuing to have a noticeable effect on the industry, especially at the first time buyer entry level. We are also seeing the luxury housing markets slowing down every month and that is no surprise as Canadian and global economies are still pretty sluggish.
So what does that look like in numbers? The following graphs are sales in major Vancouver markets for October 2012:
The British Columbia
Real Estate Association (BCREA) reports that the dollar volume of homes sold
through the Multiple Listing Service® (MLS®) in BC declined 14.6 per cent to
$2.7 billion in October compared to the same month last year. A total of 5,276
MLS® residential unit sales were recorded over the same period, down 10 per
cent from October 2011. The average MLS® residential price was $508,292, down
5.1 per cent from a year ago.
"While
consumer demand was stronger in October on a provincial basis, home sales
continue to trend below last year’s level,” said Cameron Muir, BCREA Chief
Economist. “Tighter mortgage credit regulation has moderated housing demand on
the South Coast."
Year-to-date, BC residential sales dollar volume
declined 18.2 per cent to $31.1 billion, compared to the same period last year.
Residential unit sales declined 10.5 per cent to 59,946 units, while the
average MLS® residential price was 8.6 per cent lower at $518,321.
If you are a seller and want to make things happen, accept the reality and get your home sold. It is a very strong buyers market and pricing sharply is the key. Be in the market and not just on it.
To all you buyers out there. Take advantage of it as so much is in your favour with incredible long term interest rates, mortgage deals and a very strong negotiating position.
Good luck everyone!
