Metro Vancouver, Looking Back at 2023
Wondering what changed in Metro Vancouver's real estate market last month?
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MLS Home Price Index benchmark price for all listings in Metro Vancouver is up 5% compared to December 2022 and down 1.4% compared to November 2023
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Home sales in December were 36.4% below the 10-year seasonal average, however, they increased 3.2% when compared to December 2022.
Main Highlight:
- Minimal month-over-month pricing decline continues for fourth consecutive month.
- Year-over-year, compared to December 2022, all aspects of the market have improved.
- Balanced market to end 2023.
Metro Vancouver Market Highlights December 2023:
Month over month the story for Metro Vancouver remains the same as it has for the past three updates. The market continues to be slow, with a new balance solidifying itself. Compared to November 2023 there was another minor decline in sales and pricing. But, overall, the market landscape is looking more even between buyers and sellers than it has for the majority of 2023. While the last quarter of the year has slowed right down it can be seen as bringing balance to what was an overly active spring market. Due to the market’s relative stability the REBGV focused on the year as a whole in its last update.
Essentially ‘resilience’ has come to the forefront as the market’s 2023 buzzword. Despite bank rate increases prices held, and even increased…when many predicted a sharp decline. People still want to live in Vancouver…and rates are expected to see slight decreased in the first half of 2024. How long will the balance last? And will prices begin to increase as rates come down?
Looking at 2023 as a whole the REBGV had this to say:
“You could miss it by just looking at the year-end totals, but 2023 was a strong year for the Metro Vancouver housing market considering that mortgage rates were the highest they’ve been in over a decade,” Andrew Lis, REBGV’s director of economics and data analytics said. “In our 2023 forecast, we called for modest price increases throughout the year while most other forecasters were predicting price declines. The fact that we ended the year with five-per-cent-plus gains in home prices across all market segments demonstrates that Metro Vancouver remains an attractive and desirable destination, and elevated borrowing costs alone aren’t enough to dissuade buyers determined to get into this market.”
Properties listed on the Multiple Listing Service® (MLS®) in Metro Vancouver totalled 50,893 in 2023. This represents a 7.5 per cent decrease compared to the 55,047 properties listed in 2022. This was 20.2 per cent below the 63,761 properties listed in 2021.
“Ultimately, the story of 2023 is one of too few homes available relative to the pool of willing and qualified buyers,” Lis said. “Sellers were reluctant to list their properties early in the year, which led to fewer sales than usual coming out of the gate. But this also led to near record-low inventory levels in the spring, which put upward pressure on prices as buyers competed for the scarce few homes available.”
Metro Vancouver Housing Market Finds A Balance:
Greater Vancouver Homes Sales 2023 VS 2022
CLICK HERE FOR THE FULL REBGV December 2023 & year-in-review STATISTICS PACKAGE
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