The April west side detached home listing supply was down 2% from the 10 year average, apartment supply was up 3% from the 10 year average and townhome supply was up 9% from the 10 year average.
Demand in April was down from the 10 year average by 28% for detached homes, up .9% for apartments and down 13% for townhomes.
Median home prices in April are off from the peak, by 1.2% for detached homes, are off 2% from the peak for apartments and up 6% for attached homes.
Detached homes are selling below peak prices, apartments are almost at the peak and attached homes have surpassed the peak.
The question is, given increasing interest rates, increasing supply and falling demand, are those prices sustainable?
The Real Estate Board of Greater Vancouver (REBGV) METRO report says that residential property sales in the region decreased 34.1% to 3,232 this Apr. from 4,908 sales in Apr. 2021. This is a 25.6% decrease from the 4344 homes sold in Mar. 2022.
Apr 2022 sales were 1.5% above the 10-year Apr. sales average.
The total number of properties currently offered on the MLS® system in Metro Vancouver is 8,796, down 14.1% compared to Apr. 2021 and up 15.3% from 7628 last month.
The Real Estate Board of Greater Vancouver (REBGV) reported that the benchmark price for all residential properties in Metro Vancouver is $1,374,500 which is a 18.9% increase over Apr. 2021 and is up 1% over last month.
For all property types, the sales-to-active listings ratio for Apr. 2022 is 36.7%. For detached homes it is 25.3%, attached homes are 47.1% and apartments are 45%.
Downward pressure on home prices occurs when the ratio dips below the 12% mark for a sustained period, while upward pressure occurs when it surpasses 20% over several months.
Westside supply peaked in June 2021 and demand is down since the peak in March so prices were softening until Nov. when they peaked and subsequently came off. Demand was on the way up until March and has come off 25% in April. Supply is increasing but unique & sharply priced homes are still receiving multiple offers with prices over the ask.
The Westside supply is coming on and current prices for detached homes and apartments are almost at the peak while attached home prices are 6% higher than the peak. However, interest rates are rising and we will see what that does in concert with more supply.
It will be difficult to sustain prices in the face of rising supply and falling demand.
We will see how that shakes out over the next month.
Happy Mothers Day! 💖
Best regards,
Stuart