Yahoo Finance Surge in Vancouver real estate listings takes pressure off tightening market
The Vancouver real estate market experienced a surge in new listings in February that is raising hopes that a busier spring market may be around the corner.
Data from Greater Vancouver Realtors (GVR), which represents over 15,000 real estate agents, showed that new listings rose 31 per cent year-over-year for the month; the total number of properties for sale also rose 16.3 per cent to 9,634, a figure that was just above the 10-year average
The GVR’s director of economics and data analytics, Andrew Lis, said this increase in listings offers some relief from the supply pressures that were building in January.
“While the pace of home sales started the year off briskly, the pace of newly listed properties in January was slower by comparison,” he said. “A continuation of this pattern in February would have been concerning, as it could quickly tilt the market toward overheated conditions.”
In September, Lis said homeowners had been hesitant to list their homes due to high mortgage rates — something the market had been grappling with since early 2023.
“A key dynamic we’ve been watching this year has been the reluctance of some homeowners to list their homes given that mortgage rates are the highest they’ve been in over 10 years,” Lis said. “With fewer listings coming to the market earlier this year than usual, inventory levels remained very low, which led prices to increase throughout the spring and summer months.”
Sales for February were up 13.5 per cent but were well below the 10-year seasonal average.
The benchmark price for all residential properties in Vancouver was also up, rising 4.5 per cent to $1,183,300.
Lis noted that despite some growth, the overall inventory level remains insufficient relative to the pace of sales to curb the upward trend in prices.
“This competitive dynamic has led to modest price growth across all market segments this month, but it’s noteworthy that benchmark prices remain below the peak observed in the spring of 2022, before the market internalized the full effect of the Bank of Canada’s tightening cycle,” Lis said.
• Email: shcampbell@postmedia.com
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