Supply of homes is at the highest it has been in the past two years, based on May figures from the Real Estate Board of Greater Vancouver. While this is still less than the long-term historical average, it does mean that buyers have a window of opportunity in a market that seemed to be rising faster than you could drive to the bank.
Motivated Sellers, Less Multiple Offers
With high supply and decreased demand, that leaves sellers motivated to drop prices. With a decreased rate of multiple offer scenarios, and therefore less buyers bidding against each other in the same way they were last year, this also squeezes some room in the pricing for new homebuyers. This overall activity in the market also relieves a bit of the pressure off home buyers to come up with all cash, subject free offers, which is often a major deterrent to entering the market for first-time home buyers.
Reduced Prices in the Detached Market
If you’re looking for a detached home specifically, now is a great time to chase that dream. In a market where condos and townhomes are seeing the most demand, prices for single-family residential homes fall first. This is especially true in some of Vancouver’s most affluent areas, with prices down between 2% – 7% from last year in areas like Point Grey and West Vancouver. In a town that only ever hears of prices going up, this is a significant shift. Moral of the story – now is the time! If you have the goal of breaking into the Vancouver real estate market, this is the most opportune time we’ve seen in years. Give me a call today to discuss your property ownership goals!