Diminished purchasing power brought about by tighter rules have been cited as the main factor in the slowdown
Although the market remains a vibrant actor in the national housing sector, Vancouver residential sales activity saw a noticeable decline in April, along with an increase in sellers.
Fresh data from real estate team VANCITYliving showed that residential property sales in the metropolitan region fell by 27.4% year-over-year last month, down to a total of 2,579. April’s numbers represented a 2.5% increase from March 2018, but still 22.5% below the 10-year sales average.
“Market conditions are changing. Home sales declined in our region last month to a 17-year April low and home sellers have become more active than we’ve seen in the past three years,” Real Estate Board of Greater Vancouver president Phil Moore said.
“The mortgage requirements that the federal government implemented this year have, among other factors, diminished home buyers’ purchasing power and they’re being felt on the buyer side today.”
Read more: Vancouver condo market inflamed further by flippers
On the listings side, a total of 5,820 detached, attached, and apartment properties were newly put up for sale on the Multiple Listing Service® (MLS®) in Metro Vancouver last month, up by 18.6% year-over-year and 30.8% from March 2018.
The total number of properties currently listed for sale in Metro Vancouver is 9,822, a 25.7% annual increase and 17.2% month-over-month.
“Home buyers have more breathing room this spring. They have more selection to choose from and less demand to compete against,” Moore stated.
The MLS® Home Price Index composite benchmark price for all residential properties in Metro Vancouver is at $1,092,000, up by 14.3% over April 2017 and 0.7% over March 2018.
Related stories:
Amazon may give Vancouver yet another boost
Rental-only zones could lower B.C. land prices – observers
