What’s Happening in the East Van Real Estate Market?
Hello WeLoveEastVan.com! We’re a month in to the New Year and things are definitely picking up.
The new mortgage stress test that came into effect in January has certainly affected some Buyers, but overall, the market is still fairly busy.
As expected the condo and townhouse markets are still really busy, especially buildings that allow rentals without restrictions and the more affordable units. The detached house market is still quite busy as well, with entry level homes seeing a lot of offers, while those that need major renovations or those that are on the high end of the market, generally not selling as quickly.
The Provincial NDP Government will be announcing their new budget and rules sometime this month, and they have mentioned that they will be tackling fraud, speculation and the low to middle class housing options. This could lead to new taxation on people who buy and sell units in a short period of time, or some other interesting proposal. It’s something to keep your eye out for, as their new proposals (if any) may lead to a bit of a change in the market. I hope it leads to us seeing more inventory, though it’s hard to say what will happen without knowing what they will suggest.
The market stats in this report are based on January’s data. Like December, January is typically a slower month as people recover from the holidays and get ready to make their real estate goals possible.
The condo, townhouse and detached house markets are all different market, so let’s quickly dive in to each one. Scroll down for graphs of the market stats.
East Van Condos:
The condo market in Vancouver is still a real busy and competitive market. The 1 bedroom condo market has a 70% sales to active market, the 2 bedroom market saw a 27% sales to active ratio and the 3+ bedroom market saw a 20% sales to active ratio. All are a Seller’s market and indicate that Buyer’s will be facing some competition when it comes to buying a property (it’s been that way for almost 3 years now.. ugh). Average price per sqft was $563k ($920/sqft) for 1 bedroom condos, $840k ($839/sqft) for 2 bedroom condos and $1,45-million ($1155/sqft) for 3 bedrooms condos. Overall, inventory increase slightly over last month, but it’s still incredibly low.
Check out my full East Van Condo Market Update.
East Van Townhouses:
Townhouses in East Vancouver have been quite busy as well. This was a market that was hit fairly hard by the new mortgage rules – I’m sure a lot of these Buyers were aiming for a house, but have to drop down to a townhouse given the new stress test, making this market pretty busy (so much for helping the middle class afford homes!). The sales to active ratio was 38% for 1 bed townhouses, 19% for 2 bed townhouses and 150% for 3+ bed townhouses. The average price is $709k ($1017/sqft) for 1 bed townhouses, $855k ($845k/sqft) for 2 bed townhouses and $959k ($653/sqft) for 3+ bed townhouses. Inventory has been fairly steady for townhouses, though it’s dropped for 1 bed townhouses compared to last month. To those who own a townhouse now, it could be a great time to jump into the detached market – don’t forget how much a mortgage suite contributes to affordability.
Check out my full East Van Townhouse Market Update.
East Van Houses:
East Van’s detached house market is quite slow, though the numbers are a bit deceiving. The sales to active ratio is at 7% given really strong inventory numbers and low sales. One thing to keep in mind is that despite there being a lot of inventory, a lot of it needs a major reno (which can be hard to finance in addition to a mortgage) and/or is overpriced. From what I’ve seen, entry level, well maintained and livable houses are still quite popular. The HPI price is $1,564,000. For those looking to get into a detached house, start considering the areas of tow that are a bit further than you’re considering: Renfrew, Hastings and Collingwood. You can find some great houses for much cheaper – worth the extra drive!
Check out my full East Van House Update
This month will be interesting! Though inventory has generally been increasing, it’s no where near the numbers we need to see to make the market more accessible to Buyers. For potential Sellers out there, now is a god opportunity to chat with your mortgage broker (we suggest Pinsky Mortgages) and realtor (us!) about the possibilities of moving up to a bigger property. If you’re built some equity in your current property, you’ll have a good opportunity to move up to a bigger space while taking advantage of the busy market with your sale.
Keep in mind that the numbers vary depending on neighbourhoods and types of properties, so if you would like more information on a particular type of home or neighbourhood, let us know and we’ll give you the stats.
(Green is Detached Houses, Blue is Townhouses, Orange is Condos)
Total Inventory:
Home Price Index (HPI) Price:
Sales to Active Ratio:
Our team has a few great new listings hitting the market this month or early in February, and we’re getting calls from new Sellers, so keep your eyes on the site for a variety of interesting new listings. As always, if you want to chat real estate, either buying or selling, shoot me – Kristi – an email at [email protected] or give me a call at 778-387-7371 🙂