Market Update – August 2019
August 2019 statistics have been released. As predicted, prices and activity are starting to balance out, and the decrease we have been seeing over the last year and a half are stabilizing to a flat line. Please take the time to read through this email as I have included some additional info that isn’t available to the public, which may affect your market greatly in the near future.
According to the Real Estate Board:
VANCOUVER, BC – September 4, 2019 – Home buyer activity increased to more typical levels in Metro Vancouver* throughout the summer months.
The Real Estate Board of Greater Vancouver (REBGV) reports that residential home sales in the region totalled 2,231 in August 2019, a 15.7 per cent increase from the 1,929 sales recorded in August 2018, and a 12.7 per cent decrease from the 2,557 homes sold in July 2019.
Last month’s sales were 9.2 per cent below the 10-year August sales average.
“Home sales returned to more historically normal levels in July and August compared to what we saw in the first six months of the year,” said REBGV President Ashley Smith.
“With more demand from home buyers, the supply of homes listed for sale isn’t accumulating like earlier in the year. These changes are creating more balanced market conditions,” Smith said.
Alex’s Inner Circle Intel
With the combination of the summer market and the drop of the federal interest rates, we are seeing a balanced market once again. Demand is increasing back to a healthy level, and the stabilization of prices will follow. We are expecting the trend to continue in the near future, barring any additional governmental influences. Currently, the market is being “muffled” by the foreign buyers tax, empty homes tax, speculation tax, and the additional school tax within the annual property taxes. The CRA is also cracking down on “flipping”, by enforcing the GST payable on such sales. If and/or when any of the above is lifted, whether it is by the next government election or market pressure, the natural demand in Vancouver remains. If you are buying or selling, this is the time for both, and you would need a strong Realtor on your side. I am just a phone call away.
Correct pricing and marketing is KEY to getting your home sold. At Yao Real Estate Group, we have sold 100% of our listings so far in 2019.
Just as before, I’m here to provide some detailed relevant information segmenting different markets, to make it more applicable to your situation.
At the bottom of this email, you will find a copy of the Snap Stats, which is something we utilize to benefit our knowledge to our clients. Please do feel free to call Alex at 604-374-5534 to discuss further.
In the Snap Stats attached below, you will find the activity of the different price ranges per area. As a rule of thumb, sales ratio under 12% represents a downward pressure (Buyers’ market). Sales ratio between 12% to 20% represents a balanced market. Sales ratio above 20% represents an upward pressure (Sellers’ market).
If you are looking to make a move of any sort, this may be a great time to do so dependant on the area. Call or Email Alex to arrange a quick 30-minute chat to see whether it’s right for you right now. Everyone’s priorities and timing are different, and you need to equip yourself with the best and most relevant information for you and your family.
WHAT DOES THIS MEAN TO YOU?
Sellers – Buyers are there. Your pricing and marketing need to remain SHARP. There are still lots of overpriced listings on the market with Sellers not coming to terms with our current climate. This is your best chance to use them as leverage. Make sure you fully understand the relevant market prior to proceeding. Again, DO NOT take shortcuts to save home selling costs! We are seeing so many “cell phone pictures”, inaccurate information on MLS, and poor marketing strategies which lead to homes not selling at all. If you are looking to sell, please feel free to call Alex at 604-374-5534. This is when the quality of your Agent is of the utmost importance.
Buyers – Prices are stabilizing. “Lowballing” is not often the strategy anymore. Opportunities are still there, and you need to make sure you are going in with a realistic mindset by being equipped with a Comparative Market Analysis to know how a listing is priced. To get a great home, you’ll need great strategy. I’d be privileged to assist if you are in need of expertise and representation.
Details matter in this market. You have to go in with your eyes wide open. If you need any guidance or assistance, please do reach out and call Alex at 604-374-5534, or simply reply to this email. I look forward to helping you and/or your family and friends with all your Real Estate needs.
We love our clients, and want to always show our appreciation for your kind reviews. As we grow our business primarily on referrals, we want you to be a part of the growth. For any past / current clients of Yao Real Estate Group, if you refer a client to us for a purchase or sale of a property, you would receive a 10% commission referral fee for a purchase, and / or a 20% commission referral fee for a sale of their property. Just do a mutual introduction, and we will take over. Rest assured that we will take care of your referrals with the utmost personalized attention. Once a transaction is complete, you will receive a cheque of the referral fee in the mail. It’s that easy. This is our way of saying “thank you” to all our clients for helping us grow, together.
For more details on the Referral Program, please visit https://yaorealestate.com/client-referral-program