As usual the latest market stats will appear in my monthly Stilhavn newsletter. If you are not a subscriber and would like to be, please let me know. This below is my personal take on what’s happening out there.
As predicted in my last newsletter, the first quarter of 2022 felt like a pressure cooker from the very start. The only factor limiting the volume of sales was a lack of supply, which was also responsible for yet more competing offers and upward pressure on prices. Condos, especially smaller units which hadn’t seen the same growth as detached homes in 2021, have been the busiest sector in the city so far in 2022. Investors are competing with first time buyers for affordable opportunities to enter the market. There are also indications of more seasoned buyers seeing better relative value and more lifestyle Downtown than in outlying areas, as the hospitality and entertainment sectors open up again.
The detached market is showing the first signs of fatigue, anecdotally more so in the suburbs, but even in “hot” East Van competing offers are no longer a given. I would expect this slight cooling off to spread across other sectors too and, by the summer, things may be quite a bit calmer across the board. Interest rates, lack of affordability, more listings (which is typical in the spring), and the possibility of government intervention in the sale process, are likely to see some balance return to the market. That said, the factors that underpin the Vancouver market remain firmly in tact, so anyone (optimistically or pessimistically) suggesting that a major crash/correction is imminent may once again be proved wrong.
If you would like my take on how this might impact your own plans, property, or neighbourhood, please don’t hesitate to reach out to me directly anytime. I would love to hear from you!
All the best,