As we say goodbye to summer and roll into the crisp fall season, one question is on everyone’s mind in the Metro Vancouver real estate market: Are buyers jumping back in after the recent mortgage rate cuts? Well, not exactly. Let's break it down! 😅

A Slower September: Sales Take a Dip 📉

It looks like buyers are still playing hard to get. Home sales in Metro Vancouver dropped by 3.8% compared to this time last year. In total, 1,852 homes sold in September 2024, which is 26% below the 10-year average for this time of year. Ouch! 😬

While a 3.8% drop might not seem like a big deal, the truth is the market’s been trending like this for a while now. According to Andrew Lis, GVR’s director of economics and data analytics, sales have been down roughly 25% below the seasonal average for the past few years. So, if you’ve been waiting for a market frenzy… keep waiting. 😉

Listings Are Up, But Buyers? Not So Much. 🤔

Even though buyers aren’t rushing to snatch up properties, sellers have been busy! In September, we saw 6,144 new properties hit the market – almost 13% more than last year. That means if you’re in the market for a new home, you’ve got a lot of options.

The total number of homes for sale is now sitting at 14,932, which is 31.2% higher than last September. So, if you’re feeling overwhelmed by all the choices out there, you’re not alone. It’s like walking into a buffet with way too many dishes. 🍕🍔🍣 Decisions, decisions...

Sales-to-Listings Ratio: What Does It Mean? 🧮

Alright, time for some quick math (don’t worry, it’s not too painful!). The sales-to-active listings ratio is at 12.8% across all property types. This number is important because it tells us whether prices are likely to go up or down. If the ratio drops below 12% for a long time, prices typically start to fall. And if it climbs above 20%, prices get that upward push.

Right now, we’re teetering on the edge of a buyers’ market – where buyers have more power to negotiate and snag deals. In other words, it might be time for buyers to make their move. 🏃‍♂️💨

Prices Staying Flat (For Now) 😐

With more homes flooding the market and buyers staying cautious, prices have been staying pretty flat. But we’re finally starting to see some modest declines in September. The benchmark price for all residential properties in Metro Vancouver is now $1,179,700, down 1.8% from last year.

Let’s break it down further:

• Detached homes: Sales dropped 9.8% compared to last year, with the benchmark price sitting at $2,022,200. That’s up 0.5% from 2023 but down 1.3% from August.
• Apartments: Sales fell by 4.9%, with the benchmark price at $762,000, down 0.8% year-over-year.
• Townhouses: Surprisingly, townhouse sales increased by 7.4% – the only bright spot! The benchmark price, though, dipped to $1,099,200, down 0.5% from last year.

What’s Next? 🔮

So, what’s the big takeaway? The market’s got plenty of inventory, but buyers are still hanging out on the sidelines for now. However, with two more interest rate decisions left for the year, and signs pointing to further cuts, we could see buyers jump back in later this fall. 🍂 If you’re thinking about buying, it might be worth keeping an eye on the market to see how things shift.

Final Thoughts

For now, the Metro Vancouver market is in a bit of a holding pattern. Sales are slower than usual, but with so many homes for sale, buyers have a golden opportunity to get more bang for their buck. If mortgage rates continue to fall, we could see things heat up again. 🔥

As always, if you’re looking for expert advice or need help navigating the market, feel free to reach out! Let’s see what this fall has in store for Vancouver real estate. 🍁🏡