Real Estate Board July 2009 Sales Stats
Strong Spring Market Carries Into Summer Months
VANCOUVER, B.C. - August 5, 2009 - The Greater Vancouver housing market gained further momentum in July with record sales levels and a continued strengthening of home prices.
The Real Estate Board of Greater Vancouver (REBGV) reports that the number of residential property sales in Greater Vancouver totalled 4,114 in July 2009, becoming the highest volume of sales ever recorded within the REBGV for that month, outpacing the 4,023 sales in July 2003, which is the only other year that July sales exceeded the 4,000 mark.
Since the beginning of the year, the MLSLink® Housing Price Index (HPI) benchmark price for all residential properties in Greater Vancouver has increased 9.2 per cent to $528,821 from $484,211. However, home prices compared to July 2008 levels are down 5 per cent.
"Home sales this summer are seasonally higher than normal, which is due in large part to the price correction that has taken place in the last year and low interest rates," Scott Russell, REBGV president said. "Although wellpriced listings and lower-to mid-range priced properties remain in the highest demand across Greater Vancouver, recent activity from first-time buyers is beginning to boost demand in the "move-up" segment of the market."
New listings for detached, attached and apartment properties declined in Greater Vancouver, down 17.4 per cent to 5,041 in July 2009 compared to July 2008, when 6,104 new units were listed. At 12,482, the total number of property listings on the Multiple Listing Service® (MLS®) declined 5.8 per cent compared to last month and 34 per cent compared to July 2008.
"It is currently taking, on average, 48 days for a home to sell in the region. Today's market activity differs by area and property type and it's important to tap into local housing market expertise to understand why some properties are attracting multiple offers, while others are not moving," Russell said.
July 2009 home sales declined 3.4 per cent compared to June 2009, but are up 89.2 per cent when measured against the 2,174 sales recorded in July 2008.
Sales of detached properties in July increased 95.2 per cent to 1,614 from the 827 detached sales recorded during the same period in 2008. The HPI benchmark price for detached properties declined 5.5 per cent from July 2008 to $711,702. Since the beginning of the year, the benchmark price for detached properties in Greater Vancouver has increased 9.8 per cent.
Sales of apartment properties in July 2009 increased 76.8 per cent to 1,708, compared to 966 sales in July 2008. The benchmark price of an apartment property declined 4.3 per cent from July 2008 to $365,291. Since the beginning of the year, the benchmark price for apartment properties in Greater Vancouver has increased 9.6 per cent.
Attached property sales in July 2009 are up 107.9 per cent to792, compared with the 381 sales in July 2008. The benchmark price of an attached unit decreased 4.6 per cent between July 2008 and 2009 to $452,085. Since the beginning of the year, the benchmark price for attached properties in Greater Vancouver has increased 6.8 per cent.
Bright spots in Greater Vancouver in July 2009 compared to July 2008:
DETACHED:
Burnaby up 121.7 per cent (153 units sold from 69)
North Vancouver up 53.3 per cent (115 units sold from 75)
Richmond up 140.2 per cent (221 units sold from 92)
Vancouver East up 66.4 per cent (208 units sold from 125)
Vancouver West up 104.5 per cent (180 units sold from 88)
West Vancouver up 108.1 per cent (77 units sold from 37)
ATTACHED:
Burnaby up 123.3 per cent (134 units sold from 60)
North Vancouver up 70 per cent (51 units sold from 30)
Vancouver East up 195.8 per cent (71 units sold from 24)
Vancouver West up 110 per cent (105 units sold from 50)
Richmond up 152.1 per cent (179 units sold from 71)
APARTMENTS:
Burnaby up 72.8 per cent (235 units sold from 136)
North Vancouver up 47.9 per cent (105 units sold from 71)
Richmond up 85.5 per cent (230 units sold from 124)
Vancouver East up 64.2 per cent (179 units sold from 109)
Vancouver West up 94 per cent (584 units sold from 301)
Download the complete stats package by clicking here.
If you have any question about the market stats in your area, please feel free to contact me.
Patricia
On July 23, 2009, Premier Gordon Campbell and Finance Minister Colin Hansen announced that, effective July 1, 2010, BC will adopt a Harmonized Sales Tax (HST), combining the seven per cent Provincial Sales Tax (PST) with the five per cent federal Goods and Services Tax (GST) for a single sales tax rate of 12 per cent. An additional seven per cent tax will be charged on a variety of real estate related services, including commissions, appraisals and other services that are currently exempt, as well as adding thousands of dollars in additional costs to new home purchases.
Looking to offset the increase in costs, the Government of BC plans to offer a partial rebate of the provincial portion of the HST for new housing to ensure that new homes up to $400,000 will bear no more tax than under the current PST system, while homes above $400,000 will receive a flat rebate of about $20,000.
What does this mean for public?
As proposed, the HST will increase the cost of buying or selling a home and becomes essentially an additional tax on home ownership. Under the HST, REALTOR® commissions will be subject to a 12 per cent tax, replacing the five per cent GST now charged.
New home sales over $400,000 will be dramatically impacted, as buyers will now have to pay an additional seven per cent tax (even with the $20,000 flat rebate). This will act as a disincentive to buyers of new homes in the short term.
Next Steps
Although no consultation occurred before the announcement, the BC Real Estate Association (BCREA) is working on recommendations to keep the impact of the HST as neutral as possible with respect to housing attainability. BCREA President John Tillie is prepared an opinion editorial for publication in the Vancouver Sun on Wednesday, July 29.
More information will be available once the BCREA Board of Directors, staff and member boards have had a chance to review and analyze potential strategies.
If you would like more details on how the HST could affect your real estate transactions, please feel free to call or email me.
(information taken from BCREA article Copyright © British Columbia Real Estate Association)
Below are the latest stats; if you would like to discuss any of the information below, please contact me.
http://www.rebgv.org/sites/default/files/REBGV%20Stats%20Pkg%20May%202009.pdf
Patricia
It looks like the best time to buy may be slipping away in the near future-all 5 major banks raised their 5 yr rates yesterday-if you haven't bought yet-hurry up (and get your mortgage broker to hold your rate asap).....oh and last month home sales (not prices) were up 18.5% so again, suggesting that the market is moving out of buyers' market so if you want to buy and get optimal rates and pricing, I suggest you hurry!
Patricia
In last 24 hrs all 5 of the major banks have raised the rates on their 5 year mortgages so if you were waiting to lock in, you need to act now!!! The Buyers' market continues to be moving towards being more balanced so if you are buying, you may want to hurry! Please call or email me if you have any questions (604)376-7653 phoulihan@vancouverviews.ca
Patricia
I am a very enthusiastic realtor andwho consistently obtains top results for my clients. I have practiced law for 17 yrs and like it a lot....but I LOVE selling real in Vancouver and around the world
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