Hi Everyone. I hope you’re taking care of your self, physically and mentally, given everything going on. If you’re healthy, I hope you’ve gotten out to support local businesses now that many have opened their doors again to semi normal interactions – restaurants, shops, extended health care providers, and the cosmetic industry can all use your support right now. We are so lucky to live in BC, which has experienced one of the lowest death tolls due to Covid in North America. All showings and Open Houses require proper precautions – masks hand sanitizer, gloves, sometimes shoe covers. Open Houses are highly discouraged by the Real Estate Board so agents will schedule viewings during individual intervals. I imagine these precautions will continue for awhile.
The market has continued to be busy throughout May. Overall, the number of listings and sales is still a lot lower than normal, but the percentage of sales compared to listings is still quite strong, which means the market is active for Buyers and Sellers looking to make a move. Well priced listings continue to sell, often in multiple offers. I’m seeing a lot of activity on entry level condos, family sized strata properties, detached houses on the Eastside and Westside and lots for developers, so there is certainly a lot of confidence in the future of the market!
Meanwhile, there are still some units that sit on the market. These units don’t have that big draw that really brings Buyers in (whether that’s a sharp price, great renovations, a great patio, being in great building, ideal location, etc) and these units tend to sit on the market. I find there’s a lot of psychology involved – if a unit has sat on the market for a couple weeks, everyone is going to assume it’ll still be on the market later, so Buyers wait for new and better properties every week, thinking they can circle back to the unit still on the market. Depending on the situation, there can be some good reason to submit a low offer to get a sense of the Seller’s motivation and to get a unit for a better price (which might covers the minor renovations needed to make it feel more like home). If you find yourself losing in multiple offers, circle back to the units that have been sitting on the market and really think about them as a possibility (at the right price!).
As far as I’m aware (though I haven’t seen this confirmed by the Government) the moratorium on tenant evictions and showings is over as of June 9th, which means it makes sense again for landlords to consider selling their units. I imagine we’ll see an increase in inventory now that tenants can be evicted if an end user buyer purchases a property.
With travel restrictions still in place and weddings cancelled for months, I still believe the real estate market is going to continue to be busy in the summer and through the Fall, so keep following the market! You never know when that great place will hit and prepared Buyers are the ones who find the best properties or the best deals.
Onto the stats.
The HPI Price has remained steady for another month, which shows some stability in the market since February. Prices are ever so slightly higher than this time last year with detached houses at $1,447,800, townhouses at $905,000 and condos at $595,300. The amount of inventory is down 44% in the detached market and around 33% in the condo and townhouse market which is a big change in inventory when the inventory numbers last year were still down compared to previous years! Though the market certainly feels active, the sales to active ratio is down 7% in the detached market and over 20% in the condo and townhouse markets, which reinforces the idea that good properties are selling, while others sit on the market.
East Vancouver Real Estate Stats up to and including May 2020
If you want to chat through your options, best path forward and the intricacies of the market, let me know! I’m happy to jump on a call to get you started. It takes some finesse to handle a buy and sell, so make sure you know your options before jumping in. If you’d like to slowly dip your toes in the market, I can also set you up on a Custom Real Estate Search so feel free to contact me: [email protected] or 778-387-7371 to let me know what you’re looking for in a new home.
This kind of market leads to a needed reminder for Sellers – you need to ensure your property looks good, is priced right and has an agent truly trying to sell it. Contact me to talk about the best plan of action for the sale of your home – you need good marketing, positive viewings, market knowledge and strong negotiation.
As always, let me know if you need a recommendation for a mortgage broker so you have an up to date idea of what you can afford and why.
Sending you health and happiness. Support your local East Van businesses!!!!!
– Kristi, contact me at [email protected] or 778-387-7371