The Greater Vancouver Real Estate Market is Back!
For the past several months, all signs have pointed to a dramatic return in the real estate markets around Greater Vancouver. With mere 874 residential properties sold in November of 2008, many experts were shocked to learn that the figure more than tripled to 3,083 sales this November. As we are in the midst of economic recovery and jobs figures are still down, it is almost unbelievable that Greater Vancouver saw its 3rd busiest November on record.
And it's not only sales that are rebounding. Housing prices are starting to creep up as well. While the benchmark for homes in November 2008 was around $495,000, that figure has jumped considerably to $560,000 which is very nearly the peak market prices of May 2008. Furthermore, listings are up around 21 per cent from a year ago which is a figure that is in line with improved sales. While consumer confidence has been a major factor in this rebounding real estate market, low interest rates is also a huge motivator for buyers. New home buyers continue to benefit from some of the most favourable mortgage rates in years. This has likely been the biggest factor in the unpredictable return to market success and has also helped to push prices toward market peaks.
Moreover, these improvements are not been restricted to the Greater Vancouver area as the Fraser Valley has also recorded drastic sales improvements. 1,522 sales were finalized this November making it the second busiest of the decade. Likewise, the benchmark for detached homes has risen approximately 6.5 per cent to an impressive $497,000. Compare these figures with the meagre results in November of 2008, when just 507 sales were recorded, and you can see this is a staggering and unprecedented rise in sales.
Even homeowners looking to take a step up in the property ladder have been attracted by low interest rates. Now is the perfect time to get into a bigger house without worrying about increased mortgage payments. Still, some experts point out that inventories have been shrinking steadily since spring which has likely resulted in the increase in prices. These trends however, have not been evenly spread across the regions. The benchmark in Vancouver west for example rose more than 40 percent from last year while in Maple Ridge the improvement was much more marginal, at only 3.3 per cent. All signs point to greater improvements in urban markets while suburban markets are making a slower recovery.
And it's not only sales that are rebounding. Housing prices are starting to creep up as well. While the benchmark for homes in November 2008 was around $495,000, that figure has jumped considerably to $560,000 which is very nearly the peak market prices of May 2008. Furthermore, listings are up around 21 per cent from a year ago which is a figure that is in line with improved sales. While consumer confidence has been a major factor in this rebounding real estate market, low interest rates is also a huge motivator for buyers. New home buyers continue to benefit from some of the most favourable mortgage rates in years. This has likely been the biggest factor in the unpredictable return to market success and has also helped to push prices toward market peaks.
Moreover, these improvements are not been restricted to the Greater Vancouver area as the Fraser Valley has also recorded drastic sales improvements. 1,522 sales were finalized this November making it the second busiest of the decade. Likewise, the benchmark for detached homes has risen approximately 6.5 per cent to an impressive $497,000. Compare these figures with the meagre results in November of 2008, when just 507 sales were recorded, and you can see this is a staggering and unprecedented rise in sales.
Even homeowners looking to take a step up in the property ladder have been attracted by low interest rates. Now is the perfect time to get into a bigger house without worrying about increased mortgage payments. Still, some experts point out that inventories have been shrinking steadily since spring which has likely resulted in the increase in prices. These trends however, have not been evenly spread across the regions. The benchmark in Vancouver west for example rose more than 40 percent from last year while in Maple Ridge the improvement was much more marginal, at only 3.3 per cent. All signs point to greater improvements in urban markets while suburban markets are making a slower recovery.
posted by VancouverResidence
