Dear Stuart,

The supply of westside detached homes in August was 668, down 2% from 679 in July and down 8% compared to 728 last year in August 2021. 

Westside detached home sales this August increased 17% from July (55 vs 47) and were 22% lower than August 2021. This is 35% lower than the August 10 year average of 85 sales.

Months of Supply, (MOS) in August is down 16% from last month to 12.1 from 14.4 in July and up 18% from August 2021. (A balanced market keeping prices relatively flat now appears to be 7 to 10 MOS). The August average price was down 10% from July at $3.42M and the median detached home price also decreased 10% to $3.099M. Current prices are down 24.6% on average & 19.5% on median from the peaks in Oct 2017 and Jul 2017. 

The highest sale price for a Westside detached home in August was $11.88M. It was on the market for 284 days before it sold. The lowest price was $1.8M. It was on the market for 18 days. Of the 55 sales, 15 received the asking price or more and 40 sold below the asking price.

Westside apartment supply decreased 10% in August to 1341 from 1489 in July and decreased 5% from the 1416 listings we had in August 2021. At the same time, demand decreased 4% from 295 sales in July 2022 to 282 sales and this is down 36% from 443 sales in August 2021. Apartment sales are down 22% from the 10 year average of 364 sales.

MOS in August decreased 6% to 4.8 from 5 in July and this is up 49% from 3.2 in August 2021.

The average price in August decreased 7% ($970 v $1038K) from July 2022 and was up 1% from August 2021. The median price was relatively unchanged from July ($829 v $834) and is up 7% from August 2021. Average prices are still down by 19% from the peak of $1.199M and median prices are down 5.8% from the peak in January 2018.

Westside townhouse supply decreased 6% in August from July (246 vs 261), and was up 14% from August 2021 (246 v 215). Demand in August is up 32% from July (37 vs 28 sales) and down 53% from last August 2021 (37 v 79). Attached home sales are down 32% from the 10 year average of 54 sales.

With supply down and demand up, current MOS decreased 29% to 6.6. That is up 144% from 2.7 in August 2021.

Townhouse average prices in August were relatively unchanged from July at $1.634M and were up 4% from $1.576M last August 2021. Median prices are down in August from July (1.366M v 1.565M) and are down 10% from August 2021. The average price is down 11.87% from the peak of $1.854M in Nov. 2021. The median price is down 24% from the peak of $1.799M in February 2022.

Compared to the 10 year average, the westside supply was down 5% for detached homes, up 3% for apartments and up 13% for townhomes.

Compared to the 10 year average, the westside demand was down 35% for detached homes, 22% for apartments and down 32% for townhomes.

Median home prices in August are down 19.5% for detached homes (peak Oct.2017), down 5.8% for apartments (peak Jan.2018) and down 24% (peak Feb.2022) for attached homes

Rising interest rates, steady supply and falling demand suggest prices will continue to soften. Sales rallied a bit in Aug. vs July but another interest rate increase is forecast and that will be detrimental to any price recovery.

The Real Estate Board of Greater Vancouver (REBGV) METRO report says that residential property sales in the region decreased 40.7% to 1870 in August from 3152 sales in Aug. 2021. This is a 22.6% decrease from the 2444 homes sold in June 2022 and 29.2% below the 10 year Aug. sales average.

The total number of properties currently offered on the MLS® system in Metro Vancouver is 9662, up 7.3% compared to Aug. 2021 and down 6.1% from 10,288 last month. 

The Real Estate Board of Greater Vancouver (REBGV) reported that the benchmark price for all residential properties in Metro Vancouver is $1,180,500 which is a 7.4% increase over Aug. 2021 but is down 2.2% from last month.

For all property types, the sales-to-active listings ratio for July 2022 is 19.4%. For detached homes it is 12.2%, attached homes are 25.3% and apartments are 24.8%.

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 numbers suggest prices will soften. Supply will increase post summer holidays and rising interest rates makes it difficult to forecast prices.

Fall is just around the corner! 🍂🧣🧦🍁🥧

Best regards,

Stuart