The April MLS resale statistics from the Real Estate Board of Greater Vancouver are in and while the market remains very robust, the stats do suggest that the craziness observed in the first quarter of 2021 is attenuating and that we may be seeing the crest of the Pandemic market cycle.
Price growth across all home types in our core markets North of the Fraser remained strong, however, an increase in available supply coupled with a month-over-month decrease in the number of sales suggest that we could be in for some relatively quieter months over the summer. This may indicate that much of the local demand that has been driving the market recently has been satisfied, or at least that those who are able to hold off on a purchase/move are waiting until the media reports of market conditions aren’t at a fever-pitch.
Price to active listing ratios, while still extremely high, declined in April. This is good news for prospective purchasers as a decline in ratios generally indicates that the market is becoming more accessible. However, in a market such as ours, that is routinely characterized by demand outstripping precious little supply, it seems like only a matter of time before the craziness returns as new buyers enter the market, including new immigrants and students expected to arrive this Fall.
So What Does This Mean For The Development Land Market North Of The Fraser?
We are excited to present our new “chili pepper” rating scale for various types of residential development land across Greater Vancouver. As we’ve been reporting, single family and slab on grade townhouse sites are still the hottest buy in this market (each receiving a score of 5 chili peppers), however, medium density development sites are starting to make a push and now have a rating of 4 peppers. Well-located high-density sites are starting to see more interest than at any time in the previous 18 months, but there remains an oversupply of this particular product type, keeping our rating at 3 peppers for now.
Please note: areas covered by the Real Estate Board of Greater Vancouver include: Whistler, Sunshine Coast, Squamish, West Vancouver, North Vancouver, Vancouver, Burnaby, New Westminster, Richmond, Port Moody, Port Coquitlam, Coquitlam, Pitt Meadows, Maple Ridge, and South Delta.
View the Real Estate Board of Greater Vancouver’s entire stats package for April 2021 here.
This representation is based in whole or in part on data generated by the Real Estate Board of Greater Vancouver which assumes no responsibility for its accuracy.