Last month, we shared our predictions for the Canadian housing market in 2020. This month we will share more insights on what to expect in Metro Vancouver’s housing market in 2020.
As you know from my Real Estate Board of Greater Vancouver (REBGV) updates, the Metro Vancouver housing market experienced below-average sales activity and moderate price declines in 2019. We saw a slower start this time last year and a pick up towards the end of the year but we’re now seeing an indication that there’s confidence back in the marketplace from both buyers and sellers.
Right now, we’re in a more balanced market – edging into a seller’s market territory in some regions. Given the marketplace in 2019, it wasn’t the ideal time for sellers, especially move down sellers, from detached homes where they probably experienced more of a hit on their property values. There were also many sideline buyers and sellers last year. This year, activity will depend on both the buyer’s and seller’s behaviour.
Is now the time to buy?
As I said before in my blog, it’s not a good idea to try and time markets. What you pay for a property today and what you eventually sell it for in 30 or 40 years down the road is all that matters.
However, if you are looking to buy now, I recommend that you pay attention to sales activity not just sales prices, but the pace of sales and the pace of new listings coming to market. If you are in the market to buy, I encourage you to get your feet wet as early on as possible so you can get a sense of what’s going on in the marketplace – even if you’re not yet ready to pull the trigger.
If the unit you like sells within a week, you know to pay close attention to other units of the same specification. If units are sitting around and you just want to dive in, have your realtor do a market analysis, and look if there are still deals to be had.
Should I wait until the Spring to buy?
Traditionally speaking, in most markets, Spring is the best time to sell and buy real estate. However, 2019 was an atypical year so it’s hard to know if 2020 will be the same. Spring is a more practical time for people to think about buying and selling or making a change in their lives.
Feel free to reach out to me to discuss pre-approvals for this upcoming Spring market so you can know exactly how much you can afford.
