Buyer’s Remaining Cautious in 2019 Through the first three months of 2019 one thing remains clear there is no urgency to buy. Not long ago, prices in the North Vancouver market were growing 5 to 10% per year and buyer’s wanted to get into the market or they might not be able to afford to buy the next year. We are now coming off 2018 where selling prices fell and buyers are now taking a cautious approach to the market in anticipation of prices continuing to fall. Consequently, sales in all market segments are on the decline. See chart below. Affordability continues to impact buyers in all market segments. At the top end of the market, the Foreign Buyer’s tax, the Speculation tax, and higher school taxes and property transfer taxes have impacted sales above $2 million. At the lower end of the market higher interest rates and the 2% stress test have sidelined young buyers in all market segments. Young buyer’s are having difficulty getting the financing they need. At some point, the market will turn. This will happen when prices drop far enough that even with all the new taxes and rules, buyers can afford to purchase. The buyer’s are out there, and they will buy once affordability and a sense of urgency returns to the market. North Vancouver – average unit sales per month Year 2015 2016 2017 2018 2019 YTD House 123 104 87 57 49 Town/Duplex 44 38 35 28 23 Apartment 111 108 108 79 62 West Vancouver – average unit sales per month Year 2015 2016 2017 2018 2019 YTD House 90 68 43 27 24 Town/Duplex 9 6 5 4 2 Apartment 17 19 17 14 9 REBGV President Ashley Smith made the following statement this past week: "Housing demand today isn’t aligning with our growing economy and low unemployment rates. The market trends we’re seeing are largely policy induced," Ashley Smith, REBGV president said. "For three years, governments at all levels have imposed new taxes and borrowing requirements on to the housing market.” “What policymakers are failing to recognize is that demand-side measures don’t eliminate demand, they sideline potential home buyers in the short term. That demand is ultimately satisfied down the line because shelter needs don’t go away. Using public policy to delay local demand in the housing market just feeds disruptive cycles that have been so well-documented in our region." If you need a REALTOR to assist you with Buying, Selling or Investing, I am definitely someone you can rely on and trust. Friendly introductions always welcome and very much appreciate. Jeff Mulock Sutton Group West Coast realty 604-512-2477 [email protected]
15-04-2019
North Vancouver Market Update
View my new listing for sale SOLD at 302 - 1133 E 29th Street, North Vancouver and currently listed at $745,000.SOLDRarely available top floor 2 bedroom, 2 bath apartment in The Laurels. Features include large covered east facing balcony (11'8 x 12'3) overlooking gardens and courtyard, separate laundry room, 2 secured side by side parking spots and spacious floorplan with high ceilings only found on the top floor. The large master bedroom has a 4 piece ensuite and air conditioning! Cozy gas fireplace and in-floor radiant heating. New roof in 2012 and updated hallways. The Laurels is pet friendly and popular with downsizers because it is close to shopping, restaurants, KM rec centre, library, skiing, parks, schools & 25 mins to downtown. Walkability score of 84.
15-04-2019
New Listings