February 2024 in Vancouver Real Estate

The January data is in, and finally, we have numbers to back up what we’ve been seeing firsthand in the marketplace.

Before we get to the stats, let’s touch on one big headline from this past week. Canada’s foreign buyer ban, previously slated to expire this year, was extended until the end of 2026. This came as a surprise to many industry leaders but not completely out of left field.

What remains to be seen is any conclusive data or evidence of this policy’s effect on the housing market for the average Canadian, a report the government has yet to provide. While there have been surface-level impacts in the luxury market, for the average Canadian homeowner or future homeowner, I don’t believe this has been a solution to our housing shortage or affordability concerns.

This builds on what we’ve seen in the market in January. Inventory levels are still 20% below the 10-year average, while home sales were up 35% in January. This shows that we have increased buyer demand and a trailing increase in supply. This has led to the swift return of multiple offers on certain well-priced properties and quick sales in the month of January.

The market is moving, and it’s moving faster than expected.

Click below to watch the monthly video breakdown where I explain the story the data tells, as well as my personal experience on the ground in the marketplace every single day.

Where will the spring market lead? We will have to stay tuned to see. My personal prediction is that spring will be on the warmer side of a balanced market, with increased activity. Many people are still waiting for interest rates to lower before having the power to purchase, while many who sat on the sidelines in 2023 are already back in the market ready to make moves. I expect April and May to be the warmest months.

My key takeaways: If purchasing or selling in the spring is your goal this year, both of those conversations need to start now to be ready to capitalize on the spring rise.

As always, if you have any specific questions about your situation, feel free to give me a call or send me an email. I’m always happy to provide expertise on your situation moving forward.