The Vancouver Real Estate market is changing once again.  It seems that not a day goes by that the media is not reporting something about real estate in Vancouver.  As typical of media, fear sells!  However, the statistics do not lie.  We are in a changing market.  Sales are off considerably in Vancouver since this time last year and although only marginally prices are lower also.  Is the sky falling, clearly it is not.  But from both a Buyers’ & Sellers’ perspective it is important to be mindful of market forces.  Reality is the market has changed as it always has, as it always does and as it always will. 

 

Homes are still selling.  As in the case of any market people will always need to move for various reasons.  The British Columbia Real Estate Association has reported the following for September 2012:

 

-          Home sales are well below historical averages

-          Year over year sales for September 2012 are down 32.5%

-          Sales from August 2012 to September 2012 are down 8.1 %

-          Year over year new listings for September 2012 are down 6.3%

-          Listings from August 2012 to September 2012 are up 31.6%

-          Year over year active listings for September 2012 are up 14.1%

-          Listing inventory from August 2012 to September 2012 is up 4.5%

-          As of September 2012 Sales-to-Active listings ratio is at 8%

-          Year over year MLS Home Price Index is down only 0.8%

-          The MLS Home Price Index is down 2.3% from July 2012 to September 2012

 

***For complete details click here

 

All the above information is based on the Vancouver market in general.  So how is the Simon Fraser University area, specifically UniverCity of Burnaby North, real estate market performing?

 

	2012 (Jan to Sep)	2011 (Jan to Sep)	Difference 2012 vs 2011
Active Listings (1+ year)	55	N/A
Active Listings (under construction)	30	N/A
Total Active Listings	85	N/A
Re-Sales (1+ year)	57	65	(-8) sales or (-12.4%)
Pre-Sale (under construction)	8	N/A
Avg. Sale Price (1+ year)	$367,963 or $413.00 per sqft	$377,374 or $434.76 per sqft	(-2.5%) or (-5%)
Avg List Price (1+ year)	$407,733 or $436.05 per sqft

 

 

In looking at the numbers, I have to admit that even I was a little surprised.  From January to September, 2011 vs 2012, sales are only down 8 units or approximately 12.5%.  This is very different than the rest of the market as reported by the BCREA.  Total sales in UniverCity were 78 homes in 2011 in the resale market.  The sale price is down only 2.5% from January 2011 to September 2011 compared to the same time this year. 

 

The end result is that the market has changed.  We continue to see a softening of sales and price.  But clearly the numbers do not lie.  The market is not crashing, the sky is not falling.  The market is adjusting.