The Real Estate Board of Greater Vancouver (REBGV) says although month-over-month home price increases cooled in September, more homeowners are listing properties and the composite benchmark price for the area is just over $1.2 million, a 4.4 per cent increase compared to September 2022.
“In contrast to the spring and summer, the September data suggests there may be a renewed interest on the part of sellers to participate in the market, with new listing activity rising back in line with long-term historical averages,” said Andrew Lis, director of economics and data analytics with REBGV, in a release.
The board’s outlook is being informed by September sales in the area, which totalled 1,926, a 13.2 per cent increase from the 1,701 sales recorded in September 2022, but 26.3 per cent below the 10-year seasonal average of 2,614.
There were 5,446 detached, attached and apartment properties newly listed for sale in the Vancouver area in September 2023. This represents a 28.4 per cent increase compared to the 4,243 homes listed in September 2022.
The composite benchmark price for the Vancouver area in September was $1,203,300, a slight dip of 0.4 per cent compared to August.
Composite benchmark prices are considered to be a typical sale price for homes in similar areas, whereas average home prices are the total dollar sales divided by the total amount of sales.
Average detached home prices
The average sale price for detached properties sold across the municipalities and areas covered by the REBGV was $2,172,613. That’s a nearly eight per cent drop from August, when the average price was $2,351,415.
Lis said the numbers showing an increase in sales bucks a trend where homeowners seemed reluctant to list their homes, given mortgage rates are the highest they’ve been in 10 years.
“When we pair this dynamic with the slowdown in sales that typically occurs in the fall as a result of seasonal patterns, the outcome is more balanced market conditions overall,” he said.
According to data from Statistics Canada, the median household after-tax income in Vancouver in 2020 was $79,500. That means for a family with that level of income, they would need to pay around $8,000 a month in mortgage payments at current interest rates if they put 10 per cent, or $120,330, as a down payment on a home worth the current composite benchmark price in Metro Vancouver.
The areas and municipalities covered by the REBGV are Bowen Island, Burnaby, Coquitlam, Maple Ridge, New Westminster, North Vancouver, Pitt Meadows, Port Coquitlam, Port Moody, Richmond, South Delta, Squamish, the Sunshine Coast, Vancouver, West Vancouver and Whistler.