Housing inventory is steadily accumulating in the region
Vancouver’s September home sales dropped by 46% annually and 10% monthly as interest rate hikes continue to affect buyer sentiment, according to the Real Estate Board of Greater Vancouver.
“With the Bank of Canada and other central banks around the globe hiking rates in an effort to stamp out inflation, the cost to borrow funds has risen substantially over a short period,” said Andrew Lis, director of economics and data analytics at the REBGV. “This has resulted in a more challenging environment for borrowers looking to purchase a home, and home sales across the region have dropped accordingly.”
The region saw a total of 1,687 sales last month, markedly lower than the 1,870 transactions in August and the 3,149 sales in September 2021. The level was also nearly 36% below the region’s 10-year average for September.
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Current inventory stood at 9,971 homes, up by 3% monthly and up by 8% annually.
The composite benchmark home price exceeded $1.155 million last month, up by 3.9% from September 2021 although down by 2.1% from August.
“With fewer homes selling and new listings continuing to come to market, inventory is beginning to accumulate, providing buyers with more selection compared to last year,” Lis said. “With more supply and less demand within this market cycle, residential home prices have edged down in the region over the last six months.”
