November 2020’s home sales in Metro Vancouver were 24.6% above the 10-year sales average for the month and was the second-highest total for the month over this period.
According to the Real Estate Board of Greater Vancouver (REBGV), housing demand exceeded 3,000 home sales for the first time since 2015. There were 3,064 sales over the month, representing a 22.7% increase from the 2,498 sales recorded over the same month in 2019 and a 16.9% decrease from the 3,687 homes sold in October 2020.
“Home buyer demand has been at near record levels in our region since the summer,” noted Colette Gerber, REBGV Chair. “This is putting upward pressure on home prices, particularly in our detached and townhome markets.”
November’s Housing Market at a Glance
During November 2020, residential home sales in Metro Vancouver totalled 3,064, a 22.7% increase from November 2019 and a 16.9% decrease from October 2020.
There were 4,068 homes newly listed on the Multiple Listing Service® (MLS®) system in Metro Vancouver in November 2020. This number represents a 36.2% increase compared to the 2,987 homes listed in November 2019 and a 27% decrease compared to October 2020.
There are now 11,118 homes listed on Metro Vancouver’s MLS® system, a 3.2% increase compared to November 2019 and a 10.5% decrease compared to October 2020.
“The supply of homes for sale are a critical factor in understanding home price trends,” Gerber noted. “The total number of homes for sale in Metro Vancouver is lagging behind the pace of demand right now. This trend favours home sellers in today’s market.”
November’s sales-to-active-listings ratio for all property types is 27.6%. By property type, the ratio is 27.9% for detached homes, 40.1% for townhomes, and 23.9% for condos.
Analysts generally expect home prices to dip when the ratio falls below 12% for a sustained period. Home prices often rise when the sales-to-active-listings ratio goes above 20% over several months. As demand outpaces supply, home prices go up—and right now, demand for townhomes and detached homes continues to climb.
The MLS® Home Price Index composite benchmark price for all residential properties in Metro Vancouver is currently $1,044,000. This benchmark price represents a 5.8% increase over November 2019 and a 0.1% decrease compared to October 2020.
Metro Vancouver Home Sales by Property Type
There were 1,061 sales of detached homes in November 2020, a 28.6% increase compared to November 2019’s 825 sales. The current benchmark price for a detached house is $1,538,900. This price represents a 9.4% increase from November 2019 and a 1.1% increase compared to October 2020.
Townhouse sales in November 2020 totalled 632, a 40.1% increase compared to November 2019. The benchmark price of an attached home (or townhome) is now $814,800. This price represents a 5.6% increase over last year and a 0.2% increase compared to October 2020.
Finally, there were 1,371 condo sales in November 2020, a 12.2% increase compared to November 2019. An apartment home’s benchmark price is now $676,500. This price is a 3.4% increase from November 2019 and a 1% decrease from October 2020.
Are You Ready to Relocate?
“While demand remained elevated across the region, home buyer activity was particularly focused in more remote areas like the Sunshine Coast, Gulf Islands, and Squamish,” Gerber added. “The rise of work-from-home arrangements and physical distancing policies is causing some home buyers to opt for less densified areas.”
If Metro Vancouver’s housing market has you looking for a home along the Sea to Sky, good news: Harcourts Agents there are among the best in the region.