January’s Market Insights

Everyone has definitely felt a significant shift in the market lately, and it comes as no surprise, especially after closing out 2023 with the lowest number of sales in over a decade.

Despite the current price sensitivity in the Greater Vancouver and Fraser Valley markets, multiple offers are making a bit of a comeback. While this doesn’t imply that everything is selling well above market value, a listing priced at market value is likely to sell quickly and generate significant interest from prospective buyers. According to the REBGV, residential sales in the region saw a 38.5% increase from the 1,030 sales recorded in January 2023. That being said, great deals are still available in different areas of the market. Many buyers are on the fence, providing those ready to make a move with the opportunity to negotiate. Inventory levels still remain low in most areas compared to buyer demand.

We have seen assignments of contracts become more common, especially in nearly completed developments. It’s a great time to get a deal on a brand new home. Developers are also offering incentives to sell the last units in buildings under construction, making it a good time to consider purchasing a future investment sooner rather than later.

Now, let’s explore a summary of our local housing market update:

CONDOS/TOWNHOUSES:

The condo and townhouse markets predominantly remain in a seller’s market, except for Mission, which is still in a balanced market. Throughout January, all areas across Greater Vancouver and the Fraser Valley experienced an increase in sales. However, Ladner and Mission did not see any changes in sales between December and January. The only area that saw a decrease in sales over the month of January was Tsawwassen. As expected, inventory increased in the majority of areas around the Greater Vancouver area and the Fraser Valley. The only two areas that saw a decrease in inventory were Pitt Meadows and Cloverdale. Interestingly, most areas also saw an uptick in the average sale price, such as New Westminster, Coquitlam, Port Moody, Port Coquitlam, Maple Ridge, North Delta, Cloverdale, Langley, Abbotsford, North Vancouver, Tsawwassen, and East Vancouver. On the other hand, areas such as Burnaby, Pitt Meadows, Surrey, South Surrey/White Rock, Mission, and Ladner saw a decrease in the average sale price.

DETACHED HOUSES:

Now turning our attention to the detached housing market in the Greater Vancouver area and the Fraser Valley, we are seeing a good mix between balanced markets and seller’s markets, with the exception of New Westminster, which is in a buyer’s market. Areas such as Burnaby, Pitt Meadows, North Delta, Cloverdale, Langley, North Vancouver, Tsawwassen, and Ladner have all shifted back into a seller’s market, whereas Coquitlam, Port Coquitlam, Port Moody, Maple Ridge, Surrey, South Surrey/White Rock, Abbotsford, and Mission all remain in a balanced market.

Inventory levels are on the rise across both regions, mirroring the trend in the condo and townhouse market. Home sales in January increased in most areas, except for New Westminster, Coquitlam, Maple Ridge, South Surrey/White Rock, and Mission, where sales decreased. The average sale price did not see major movement in January despite the increasing number of multiple offer situations. Areas like Coquitlam, Port Moody, South Surrey/White Rock, North Vancouver, and Ladner witnessed a decrease, while Burnaby, New Westminster, Port Coquitlam, Pitt Meadows, Maple Ridge, Surrey, North Delta, Cloverdale, Langley, Abbotsford, and Tsawwassen saw an increase in the average sale price.

Curious about your market value? Send me a quick note, and I can run some numbers based on the current market and pricing forecasts. Don’t hesitate to contact me for a detailed property analysis or an in-depth breakdown about a specific area. I am always happy to help. Contact our expert real estate adviser Kara at 604-341-9937 or [email protected].