Vancouver Real Estate Statistics – December 2024
The most recent real estate statistics, based on sales from the Multiple Listing Service (MLS®), were just released for the past month of December 2024. There seems to be positive news as sales were up by about 30%, when comparing last month sales against the same previous year December. It’s difficult to understand how significant this news is because the previous December was a dismal month in terms of real estate sales and general market activity. Plus, as a top Vancouver realtor, my experience is that Decembers are somewhat inconsistent from year to year.
A more realistic measurement to understand the trajectory of the Vancouver real estate market is to breakdown sales from the entire year. Total home sales within the Greater Vancouver region for 2024 was 26.561, a 1.2% increase over the total sales recorded in 2023 of 26,249. This is a modest boost in home sales, especially since our home sales are about 20% below the 10 year average.
Something important to take note of is the number of properties being listed for sale on the MLS®. If we look at the total properties listed for sale in Greater Vancouver in 2024, compared to the total listings in 2023, the increase is close to 20%. So, year over year sales is pretty much the same (1.2% increase) but there were about 20% more properties being listed for sale in the same comparison period.
What’s even more interesting is that total properties listed for sale in Greater Vancouver throughout 2024 is close to 6% higher than the 10-year average. As of right now, the increased available properties are welcomed. There’s more availability of property options for buyers in the real estate market. Though, if this trend continues for an extended period, we could experience an over-supply of properties for sale, causing a shift into a buyer market.
Here are some of my personal thoughts: We’re emerging from a long period of unexpectedly high interest rates which have hampered home sales in Greater Vancouver for a couple years. The Bank of Canada has been steadily reducing the interest rates, and signalled reductions will continue. Our next scheduled interest rate announcement for 2025 is January 29. Many expect we’ll see another drop in rates. Going forward, mortgage affordability is much better for homebuyers. Property prices are also somewhat suppressed after a long period of a sluggish sales. In my opinion it’s an attractive time for buyers to return to the market.
A few months ago I wrote an article, based on September 2024 real estate statistics, talking about statistics highlighting the sheer volume of mortgages renewing over the next year. Many homeowners are locked into ultra-low mortgage rates. Upgrading or making some other type of move would mean losing their low-interest rate mortgage. This was a major deterrent to move. Many of these mortgages are renewing over the next year, removing that deterrent to make a move.
I believe 2025 will be a very busy year in terms of real estate sales. The two most important factors to spur the real estate market are lower interest rates and more available homes on the MLS®. My prediction is a gradual ramp-up of our real estate market. I think we will see home sale activity increase each month.
If you plan on buying or selling your home in the coming months, reach out today for professional real estate advice. I look forward to helping your achieve your real estate goals.
