The March Housing Market Update issued for Metro Vancouver reports "Demand continues to rise across Metro Vancouver's housing market
There were 4,060 sales in March. This is up 53% compared to last year and nearly 27% above the 10-year March average.
On the supply side there were 5,968 listed for sale last month. That is up 13% from last year and about 5% higher than the 10 year March average.
The total number of homes listed for sale today is below what is typical for this time of the year.
All total there are 12,376 homes for sale on MLS® in Metro Vancouver today. This down 14.5% compared to last March.
Turning to home prices the benchmark price for all residential properties in the region rose to $660,700. That is up 7.2% over the last twelve months.
Detached homes is the most sought after property. The benchmark price of a detached home increased 11.2% over the last twelve months while townhome and condominiums increased 5 and 3% respectively.
To help us better understand the strength of today's market we measure homebuyer demand, fueled by home sales against homeseller supply fueled by the number of home listings. This measurement today gives us the sales-to-active listings ratio of 32.8%. This is the highest this ratio has been in Metro Vancouver since July 2007.
Generally analyst say downward pressure on home prices occurs when the ratio dips below the 12% mark while home prices often experience upward pressure when it reaches the 20 to 22% range in a particular community for a sustained period of time.
You may question "How best to navigate a strong market if you are thinking of buying a home today?"
Here are a number of things you can do to prepare:
- Get pre-approved for a mortgage. This avoids unnecessary delays when making an offer and to give you some cost certainty heading into negotiations.
- Have any due diligence steps such as a home inspection coordinated and ready-to-go on a 'moments notice'.
- Work with your REALTOR®. When the competition is high homebuyers have less time to make decisions. Your REALTOR® is your trusted adviser to safely navigate each step of the process. In a multiple offer situation you are best protected and served by having professional representation, counsel and guide you through the critical stages. This is how opportunities are realized and mistakes are averted."