April/2024
Dear Client,
It has been a calm, mild winter generally in Greater Vancouver. The same can be said for our local Real Estate market. General client activity has been passive at best, and the mood of our market is unusually calm. There has not yet been a return to any form of anxiety or urgency with Buyers or Sellers, which of course is what drives our clients to take action. The theme from last year still has a grip on our market. Higher interest rates, taxation, and a particularly high cost of living, has brought our economy to a slow grind.
Detached Home Sales" for the first quarter of 2024 are marginally better than this time last year in both North & West Van. However, they still sit at very low levels compared to "historical averages", down - 50% in North Van, and down - 52% in West Van. "Inventory" levels in North Van are still down at historically low levels. This fact combined with low sales levels is maintaining a fairly stable price structure in this community, especially under $2.5 mil. "Inventory" levels in West Van are back to historical norms so Sellers in West Van especially over $3.0 mil, are facing the prospects of not being able to achieve the price levels they may have achieved 18 months ago, as Buyers there now have much more choice.
The Strata market remains relatively stable, particularly in the more modest price ranges. There continues to be enough Buyers trying to move up in value, as well as those clients moving down in value from their detached homes.
Our market is in process of a price adjustment. This usually happens every 7-10 years or so. The previous adjustment was in 2008/09. This recent inflationary cycle has been longer than most in the past. Historically, when market prices rise, it rises from the bottom up. When the market corrects downward, it corrects from the top down. Recently there have been "proportionately" more sales over $4.0 mil on the North Shore. Many of these Sellers have had to deal with a substantial drop in their price expectations to achieve a sale. When there is a large drop in sales, the "top end properties" that sell, are the reason why the average prices may look stable, but in reality may have dropped, depending on your particular property. This factor can be very misleading to our clients!
Our market now is much more relaxed. Now is the time you can feel comfortable making a commitment to move! For 41 years now, I have been assisting clients like you make important moving decisions. In this market it is critical that you get "properly informed" and make a plan. I can do that. There is no substitute for experience! Please call me today, and let's discuss how we can get you from where you are, to where you know you should be!
Sincerely,
Brent Eilers
604-644-0065