House prices, sales rise again

Jeff Evans

Alan Campbell, Richmond News

It may not yet be time to cork the champagne, but there appears to be light at the end of the Richmond real estate tunnel.

For the second time in a row this year, sales prices and sales volume improved from the previous month.

And, according to figures released this week by the Real Estate Board of Greater Vancouver, the number of attached properties sold in the city in April this year compared to the same month in 2008 increased 17.9 per cent from 112 to 132.

The positive vibes in the market are far removed from just six months ago when the worldwide financial crunch finally bit down on Richmond’s seemingly recession-proof real estate market.

“We’re seeing greater balance in the housing market,” Scott Russell, REBGV president, said of the industry across the region.

“(This is) evidenced by a strong sales to active listings ratio of over 19 per cent.”

Russell says all the positivity in the market is beginning to redress the supply and demand gap that widened during last year’s crash.

“The result is a relatively stable market in which homes are being realistically priced,” he said.

“The bridge between buyer demand and housing supply is continuing to narrow, which, as we see, helps bring stability to home prices.

“The trends in our housing market over the last couple of months offer a much more comfortable, historically normal set of conditions.”

The benchmark (typical property) price for a detached home in Richmond last month was $682,124, down 11.4 per cent from last year.

However, this is a slight improvement in March’s year on year figure of minus 12.2 per cent.

Sales of attached properties in April in the city were down 8.1 per cent from the same month last year to $429,472.

Meanwhile, apartment benchmark prices dropped 11.4 per cent from last year to $285,925.

All of the city’s benchmark prices for April were up fractionally compared to the average for the first three months of 2009.

The number of properties sold in the city last month was still down significantly from April, 2008.

But the number of sales in April was up markedly from March this year with detached up from 118 to 135, attached (89 to 132) and apartment (130 to 162).

The simple equation of more buyers and fewer homes for sale in recent months has breathed life into the stagnant market.

For the sixth consecutive month, new listings for detached, attached and apartment properties declined in Greater Vancouver, down 33.7 per cent to 4,649 in April 2009 compared to April 2008.

REBGV also reported that residential property sales in Greater Vancouver totalled 2,963 in April.

This is a decline of eight per cent from April 2008, but an increase of 31 per cent compared to March this year.

Author: Jeff Evans

I am a mortgage broker, hair salon owner, squash player, student, and husband, aspiring to do good for people.

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Related Articles

mortgage broker Vancouver BC
Good news regarding OSFI rule changes
Jeff Evans
No Comments

This is just a quick note to let viewers know that IF you are one of the people with 20% or more down-payment and are in a position that the new OSFI rule changes affect your pre-qualification, that I can extend the current guidelines into the new year by up to 120 days provided that I have an application and am able to get a pre-approval in place with a lender for you before January 1.Read More

OSFI B20 mortgage guideline changes 2017 – Part 2
Jeff Evans
No Comments

This is a continuation of the article published here about the OSFI B20 morgage guidline changes for 2017.

If you are familiar with mortgage brokers at all (which you probably aren't) you would know that we also have alternative sources of lending for situations where a mortgage borrower will not qualify with a prime institution.  We have what we call "B" lenders, who have higher rates but more flexible lending criteria, and we have private lenders, which are individuals and corporations who can lend money on on anything that suits them.Read More

OSFI B20 mortgage guideline changes 2017 – Part 1
Jeff Evans
1 Comment

B20?  Is that some kind of vitamin?

It certainly sounds like a vitamin, but unfortunately, it is something else altogether.  The Office of the Superintendent of Financial Institutions is the regulator for all federal mortgage lending institutions.  They set the regulations for mortgage companies like banks to follow (or ignore).

The latest updates to the B20 mortgage regulations could bring some potentially very disrupting changes to the real estate market, especially if you are wanting to get a mortgage in Vancouver, or you are a mortgage broker in Vancouver. In summary:Read More