Metro Vancouver home sales trend below historic averages

As interest rates rise and inflation hits Canadians in the pocketbook, housing also continues to feel the impacts of the rising cost of everything.

According to the Real Estate Board of Greater Vancouver (REBGV), the market in Metro Vancouver “continued to trend well below historical averages in October.”

Home sales dropped in the region by 45.5 per cent last month compared to the same month last year.

This October’s sales were 33.3 per cent below the 10-year average for the month.

“Inflation and rising interest rates continue to dominate headlines, leading many buyers and sellers to assess how these factors impact their housing options,” Andrew Lis, REBGV’s director, economics and data analytics, said. “With sales remaining near historic lows, the number of active listings continues to inch upward, causing home prices to recede from the record highs set in the spring of 2022.”

As home sales declined year over year, the number of properties put on the market rose.

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The REBGV says Metro Vancouver listings saw a 22 per cent increase in October compared to the same month last year. However, month-over-month, the number of homes listed for sale dropped slightly — 1.2 per cent — from September of this year.

“Recent years have been characterized by a frenetic pace of sales amplified by scarce listings on the market to choose from. Today’s market cycle is a marked departure, with a slower pace of sales and more selection to choose from,” Lis said.

“This environment provides buyers and sellers more time to conduct home inspections, strata minute reviews, and other due diligence. With the possibly of yet another rate hike by the Bank of Canada this December, it has become even more important to secure financing as early in the process as possible.”

Meanwhile, the board says the benchmark price for all residential properties in Metro Vancouver last month was $1,148,900 — an increase of just over two per cent from October 2021 and a decrease of 9.2 per cent over the past six months.

The REBGV covers Burnaby, Coquitlam, Maple Ridge, New Westminster, North Vancouver, Pitt Meadows, Port Coquitlam, Port Moody, Richmond, South Delta, Squamish, Sunshine Coast, Vancouver, West Vancouver, and Whistler.