Vancouver Real Estate Market Update – April 2020
First of all, hope you and your loved ones are staying safe and healthy, as the government is announcing reopening plans. Thank you to all the front line workers especially those in the medical field that risk your lives to save us all. Also a special shout out to those of you in the food and beverage industry (restaurants, grocery stores, cafes, etc.) that work tirelessly to keep the rest of us fed. You guys are all heroes in our books, and words cannot describe the appreciation we have for you.
We see the light at the end of the tunnel now, but please remain responsible in your activities as we do our best to safely reopen our city, our country, and our world.
April 2020 statistics have been released. This was the first full month of isolation since mid-March, so the statistics are as predicted in our article last month. Selling rate in Metro Vancouver decreased from 26% in March to 12% in April. The reduction of sales volume looks to be correlated to the reduction of supply according to the graphic above. However, reading between the lines is key, as we will discuss it here.
Please refer to the graphic above. “Total Listings” are according to the month in discussion, in this case April 2020. “Sale Price” also relates to the same period pulled from MLS accepted offer prices. However, “Total Sales” in the middle column is a statistic pulled from the Land Title Registry, which isn’t counted unless the COMPLETION DATE is within the period. This means that most of the 602 “Total Sales” reported for April 2020 actually accumulated from transactions that took please in March, February, or earlier. Therefore, although the “Total Listings” and “Total Sales” looks to be balanced in the -36 to -38% mark, in reality the total sales should be much lower, which will be shown in reports in the next couple of months.
If you are looking to sell in the short term, you need to do so as soon as possible! Call us at 604-374-5534 to discuss your needs and we can set up a plan to protect your equity. We are equipped with all cutting edge technology to market, sell, and close your home sale while minimizing any health and financial risks.
Are you or anyone you know thinking of Selling, Buying, or Both this year? Please reply to this email or call/text Alex at 604-374-5534 for a brief conversation to discuss options. Knowledge is value.
According to the Real Estate Board:
VANCOUVER, BC – May 4, 2020 – While Metro Vancouver* home sale and listing activity remains limited by the COVID-19 situation, REALTORS® across the region are fast adopting new tools and practices to help advise and serve their clients in a responsible way.
The Real Estate Board of Greater Vancouver (REBGV) reports that residential home sales in the region totalled 1,109 in April 2020, a 39.4 per cent decrease from the 1,829 sales recorded in April 2019, and a 56.1 per cent decrease from the 2,524 homes sold in March 2020.
Last month’s sales were 62.7 per cent below the 10-year April sales average and was the lowest total for the month since 1982.
“Predictably, the number of home sales and listings declined in April given the physical distancing measures in place,” Colette Gerber, REBGV’s president-elect said. “People are, however, adapting. They’re working with their Realtors to get information, advice and to explore their options so that they’re best positioned in the market during and after this pandemic.”
Realtors have been named an essential service by the provincial government to help the home buying and selling community meet their housing needs during the pandemic. “We’re seeing more innovation in today’s market, with Realtors using different technology to showcase homes virtually, assess neighbourhood amenities with their clients and handle
paperwork electronically,” Gerber said.
Alex’s Inner Circle Intel
As noted above, Sellers need to be marketing aggressively. This is when the quality of representation matters most. We have seen many sold at current market value, and some sold at much lower prices. You need to have representation that knows how to negotiate and navigate on your behalf to obtain the best outcome possible.
Buyers are now equipped with low interest rates, government funded programs, in a turbulent market. If you are looking to buy, this is the time. Reply to this email or call Alex at 604-374-5534 to discuss and put a plan in place.
Or if you are simply needing some direction in your future planning related to real estate, we are happy to talk you through to provide honest and valuable advice as well.
As usual, we are here to provide some detailed relevant information segmenting different markets, to make it more applicable to your situation.
At the bottom of this email, you will find a copy of the Snap Stats, which is one of the tools we utilize to provide value to our clients. Please do feel free to call Alex at 604-374-5534 to discuss in more detail with regards to your specific areas.
In the Snap Stats attached below, you will find the activity of the different price ranges per area. As a rule of thumb, sales ratio under 12% represents a downward pressure (Buyers’ market). Sales ratio between 12% to 20% represents a balanced market. Sales ratio above 20% represents an upward pressure (Sellers’ market).
If you know anyone that is in need of anything related to Vancouver Real Estate, we are always grateful for your kind referrals. We will take great care of them and keep you posted on the progress along the way to ensure you know they are in great hands.
WHAT DOES THIS MEAN TO YOU?
Sellers – If you are looking to sell in the next few months, speed up the process. Call Alex NOW. Your window is quickly closing. We don’t know how long this will last. A bird in hand is better than 2 birds in the bush. If you are looking to sell, please call Alex at 604-374-5534. You want the LOCAL EXPERT on your side!
Buyers – If you are looking to purchase a property, your time is here. This may be one of the best times in the next decade to get into the market, whether it’s for a home or an investment property. As the economy opens back up, we will see the market gradually recover, and the pent up demand will determine how high the market will go. If you are looking to buy, please call Alex at 604-374-5534. We would be privileged to assist you with expert guidance.
Details matter in this market. You have to go in with your eyes wide open. If you need any guidance or assistance, please do reach out and call Alex at 604-374-5534, or simply reply to this email. I look forward to helping you and/or your family and friends with all your Real Estate needs.