REBGV Market Update For June 2020 – Buyers and Sellers Play Catch-up
The June 2020 market report released by the Real Estate Board of Greater Vancouver (REBGV) showed that home sales in the Greater Vancouver area are starting to return to more typical levels after dipping to four decade lows in April. All this while, prices continue to edge up from 2019.
“REALTORS® continue to optimize new technology tools and practices to help their clients meet their housing needs in a safe and responsible way,” said Colette Gerber, REBGV president. “Over the last three months, home buyers and sellers have become more comfortable operating within the physical distancing and other safety protocols in place.”
In June 2019, there were 2,443 residential property sales. This represented a 17.6% increase from the 2,077 sales in June 2019 and a 64.5% increase from the 1,485 homes sold in May 2020.
The number of detached properties sold was 866, 16.1% more than June 2019.
The number of apartments sold was 1105, 17.4% more than June 2019.
The number of attached properties sold was 472, 21% more than June 2019.
Board chair Colette Gerber said realtors and their clients are getting more used to exploring and showcasing homes remotely through video tours and floor-plan reviews as buyers and sellers alike acclimate to health protocols amid the COVID-19 pandemic.
There were 5,787 new listings of detached, attached and apartment properties for June 2020 added to the Multiple Listing System (MLS). This represented a 21.8% increase compared to the 4,751 homes listed in June 2019, and a 57.1% increase compared to May 2020 when 3,684 homes were listed.
The total number of homes listed for sale in June on the MLS was 11,424, a 23.7% decrease compared to June 2019 (14,968) and a 15.1% increase compared to May 2020 (9,927).
“Much more of the real estate transaction is happening virtually today,” Gerber said. “Before considering an inperson showing, REALTORS® are helping potential buyers pre-screen homes more thoroughly by taking video tours, reviewing floorplans and an increased number of high-resolution images, as well as often driving through the neighborhood.”
This is a good indication of the supply and demand forces in the market. Downward pressure on home prices can occur when the ratio is below 12% for a sustained period, and there is upward pressure when the ratio is above 20% for a number of months.
For all property types, the ratio in June was 21.4%. When broken down by property types, the ratio was:
19.9% for detached homes
25.2 % for townhomes
21.3% for condominiums
The MLS Home Price index composite benchmark price for all residential properties in Metro Vancouver was $1,025,300. This represents a 3.5% increase over June 2019 and a 0.3% decrease compared to May 2020.
Click here for a full report.
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