Residential Housing Price Decline Creates Buying Opportunities

Price Reductions Eliminate Gains From First Quarter
The Real Estate Board of Greater Vancouver (REBGV) reported residential benchmark prices, as calculated by the MLSLink Housing Price Index®, declined 8.8% between May and October of this year, resulting in a year over year 3.9% year to date price reduction for detached, attached and apartment properties combined in Greater Vancouver. To better illustrate this, the overall residential benchmark price was $518,668 in October 2008 compared to $568,411 reported in May 2008.

Unit Sales Decline Further
The Real Estate Board of Greater Vancouver (REBGV) reported total sales of all types of residential real estate totalled 1,364 units in October 2008, off 55% from prior year sales of 3,028 units.

New Listings Show Small Increase... Total Number of Active Listings Decline
The board reported new listings of detached, attached and apartment properties rose 1% to 4,867 in October 2008 vs. the 4,819 new units listed in October 2007. Active listings totalled 19,257 in October 2008, down 3% from the 19,852 active listings reported in September 2008.

President's Message
"Home sales are not keeping pace with the positive economic conditions in BC," REBGV president Dave Watt said. "That's a direct result of a loss of consumer confidence in the overall market. Accordingly, today's housing market is characterized by moderating home prices and wide selection. It's definitely a buyers market."

Sales By Property Type
Sales of detached homes declined (56.5%) to 493 units from the 1,133 recorded in October 2007. The benchmark price for detached homes declined 4.7% vs. October 2007 to $695,962. Since May 2008, the benchmark price of a detached home has declined 9.8%.

Sales of apartment homes declined (52.7%) in October 2008 to 647 units vs. the 1,368 units sold in the same period in 2007. The benchmark price for apartment homes declined 3.5% from prior year period to $358,359, off 8% since May 2008.

Sales of attached homes declined (57.5%) to 224 units in October 2008 vs. the 527 units sold in October 2007. The benchmark price of an attached property declined 1.4% in October 2008 to $448,152 vs. prior year, off 6.4% since May 2008. 

Days On Market (DOM)
Overall DOM was 63 days in October 2008 on par with the 62 DOM reported in September 2008, but up 17 days from the 46 DOM reported in October 2007.

North Vancouver DOM for all property types was 49 days in October 2008 up 9 days vs. the 40 DOM reported in September 2008 and up 24 days from the 25 DOM reported in October 2007.

West Vancouver overall DOM was 85 days in October 2008 on par with the 83 DOM reported in September 2008 but up 35 days from the 50 DOM reported in October 2007.

Planning a move? Prices and activity vary by area. Please call us for an Accurate, Professional, No Obligation market evaluation of your property, or to schedule a meeting to discuss your purchase options.

Anita Schmitt and Tom Davis REALTORS® - Royal LePage Northshore

Data Source MLS® Sales Statistics - November 3, 2008
This communication is not intended to cause or induce breach of an existing agency agreement.