Feb 6th, 2012
Vancouver Real Estate Market: Update for December 2011
Whether you’re a buyer or a seller, it’s important to pay attention to the local real estate market so you can make educated, informed decisions. Let’s take a look at the Vancouver real estate market as of December 2011.
First, a little background: Vancouver is divided into two areas - Vancouver Westside and Vancouver Eastside. Vancouver Westside, which runs west of Main Street to UBC (now its own municipality) is the most expensive of the two areas. Vancouver Eastside runs east of Main Street to Boundary Road on the border with
Burnaby.
The September-December 2011 real estate market in Vancouver saw listings and sales for houses, townhouses and condos in both areas decrease from the previous quarter.
Year to date listings
(as of Dec 31, 2011) |
2010 |
2011 |
% Increase / decrease |
| Vancouver - East area |
3,259 |
3,386 |
+ 4% |
| Vancouver - West area |
6,923 |
7,139 |
+ 3% |
| |
|
|
|
| |
|
|
|
Year to date sales
(as of Dec 31, 2011) |
2010 |
2011 |
% Increase / decrease |
| Vancouver - East area |
5,728 |
5,651 |
- 1% |
| Vancouver - West area |
13,179 |
13,231 |
+ 0.4% |
The Vancouver real estate market saw sales and prices end 2011 on a decline, after prices peaked in May. Interest rates have dropped, with a five-year term as low as 3.2%. Vancouver’s Westside house market continues to be driven by Mainland Chinese buyers - some are investors, some are immigrants and some are local Chinese buyers.
Unofficially, the stats say that 80% of the buyers in this market are Chinese. Some of these buyers are short term flippers. They are also the majority of the luxury condo market over $2M. Sales in this category were up 30% over 2010.
Vancouver Real Estate Prices - Market Trends
Vancouver real estate prices have been on a steady rise since the beginning of 2002. Prices peaked in the spring of 2008 before declining by about 20-25%. The market regained this loss by late 2009 through to spring 2010 and is now higher.
Prices in all categories of real estate are higher than they were a year ago. The market is now divided into two sections - the offshore buyers and the local buyers. The offshore buyer market (Westside houses and luxury condos) is outperforming the local market, and houses outperformed due to strong buyer demand. Take a look at the benchmark price for Westside homes vs. townhomes and condos over the last year, listed below.
Who is Buying in Vancouver?
Local first-time buyers, trade-up buyers and mature trade down buyers, as well as non-Canadian investors.
Vancouver Westside - Dec 31, 2011
| |
Houses |
Townhouses |
Condos |
Total listings for 2011
|
3,589 |
1,340 |
8,302 |
Total sales for 2011
|
1,966 |
733 |
4,421 |
Average days on market
(sold) |
32 |
36 |
42 |
Average price/unit
(new) |
$2,803,638 |
$1,040,028 |
$624,478 |
Average price/unit
(resale) |
$2,606,722 |
$827,120 |
$644,053 |
Average sale price/List price ratio
|
100% |
98% |
97% |
Benchmark Price
(2011 vs. 2010) |
+20.7% |
+8.6% |
+4.6% |
Benchmark Price
(2011 vs. 2006) |
+81.2% |
+35.4% |
+23% |
Benchmark Price
Dec 31/2011 |
$1,990,958 |
$833,361 |
$519,474 |
Vancouver Eastside - Dec 31, 2011
| |
Houses |
Townhouses |
Condos |
Total listings for 2011
|
2,899 |
657 |
2,095 |
Total sales for 2011
|
1,819 |
411 |
1,158 |
Average days on market
(sold) |
31 |
37 |
41 |
Average price/unit
(new) |
$1,229,000 |
$654,337 |
$421,442 |
Average price/unit
(resale) |
$859,764 |
$548,655 |
$369,120 |
Average sale price/List price ratio
|
99% |
99% |
98% |
Benchmark Price
(2011 vs. 2010) |
+ 14.2% |
+ 6.6% |
+7.5% |
Benchmark Price
(2011 vs. 2006) |
+ 42.6% |
+ 25.5% |
+ 30.3% |
Benchmark Price
Dec 31/2011 |
$845,771 |
$556,222 |
$349,640 |
*The benchmark price is a compilation of housing features Greater Vancouverites buy most.
What’s Selling in Vancouver in 2011?
Vancouver Westside house sales:
44 sales under $1 million
884 sales between $1 and $2 million
667 sales between $2 and $3 million
394 sales over $3 million
Most expensive was $11,980,000
Least expensive was $618,000
Vancouver Westside townhouse sales:
69 sales under $500,000
315 sales between $500,000 and $1 million
264 sales between $1M & $3M
4 sales over $3M
Most expensive: $2,7730,000
Least expensive: $282,000
Vancouver Westside condo sales:
3,010 sales under $500,000
114 sales between $500,000 & $1 million
356 sales between $1M & $2M
57 sales between $2M & $3M
51 sales over $3M
Most expensive: $10,100.000
Least expensive: $105,000
Vancouver Eastside house sales:
10 sales under $500,000
372 sales between $500,000 and $700,000
720 sales between $700,000 and $1 million
215 sales over $1 million
2 sales over $2M
Most expensive: $1,950,000
Least expensive: $500,000 (lot value)
Vancouver Eastside townhouse sales:
43 sales under $500,000
298 sales between $500,000 and $1 million
4 sales over $1 million
Least expensive: $310,000
Most expensive: $1.590,000
Vancouver Eastside condo sales:
1,041 sales under $500,000
110 sales between $500,000 and $1 million
3 sales over $1 million
Least expensive: $172,000
Most expensive: $1.300,000
Overview of Vancouver property prices
The Vancouver real estate market continued to do well in 2011 but sales decreased over the late summer and fall. The house market continued to see the best appreciation.
Insider Tip: The market moved from a Seller’s market at the beginning of the year to a balanced market and has now moved to the lower end of a Buyer’s market. We expect it to remain this way for 2012.
Written by Maggie Chandler, providing trustworthy real estate services for 30 years
Tags: housing