Greater Vancouver housing forecast sees climbing real estate prices for 2022
Posted January 14, 2022 7:09 am.
Housing prices around Greater Vancouver will continue to climb this year, according to the latest forecast from Royal LePage.
The real estate company says not only is low inventory forcing up the price of buying a home or condo, but supply chain issues and labour shortages are also adding pressure.
“The supply of available homes in every property segment has reached historic lows, meaning prices can only move up,” said Randy Ryalls, general manager, Royal LePage Sterling Realty.
“And, because the inventory shortage cannot be solved quickly, tight competition and rising prices are likely to persist for the foreseeable future.”
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The median price for a detached home in the Greater Vancouver region hit more than $1.7 million in the fourth quarter of 2021.
The median price of a condo, meanwhile, rose more than 12 per cent, to $717,200.
“We’ve begun the year with a record low number of homes for sale,” said Ryalls. “Buyers who were unable to transact in the final quarter of 2021 will resume their search, in addition to new demand which normally arrives to the market toward the spring.”
He notes without a “significant increase in inventory” of homes for sale, and with Omicron concerns continuing to loom, pressure is only expected to continue mounting in the months ahead.
Royal LePage projects the aggregate price of a home in the region will rise more than 10 per cent toward the end of this year, compared to the fourth quarter of 2021.
Earlier this month, real estate boards in Metro Vancouver and the Fraser Valley noted the Lower Mainland saw record sales in 2021, with the ongoing pandemic having done little to slow pace.
Meanwhile, nationally, Royal LePage says Kingston, Ontario saw the highest year-over-year aggregate price growth in all of Canada, at 38.1 per cent.
