Vancouver Home Prices Climb 18% in 2016 on Meager New Listings

Home values in Metro Vancouver have climbed between 30 to 50 per cent according to figures released Tuesday by B.C. Assessment

Morrison notes the real estate market in Metro Vancouver is still adapting to the introduction of several measures introduced after the timeframe of those assessments, including the 15 per cent foreign buyers tax - and it remains hard to forecast where the market is heading.

Vancouver's real estate market had a roller-coaster year in 2016, peaking with record sales in the spring but wrapping with a 5.6 per cent drop from 2015, the area's real estate board said Wednesday.

For new listings the drop is even more dramatic: a 58 per cent decline since November 2016.

The REBGV report also includes Metro Vancouver home sales and price information for the entirety of 2016.

"There is no question, in the last six months, prices have come off two or three per cent", he said, "But compared to a year ago, prices are still higher".

The number of homes sold in Greater Vancouver in December fell dramatically from last year's highs, according to the Greater Vancouver Real Estate Board, but prices are only inching down.

"As prices rose in the first half of the year, public debate waged about what was fuelling demand and what should be done to stop it".

Jumbo mortgages and bidding wars on homes in the Pacific Coast city led British Columbia to set a 15 percent tax on foreign buyers in August, and the federal government to toughen mortgage rules in October.

December apartment sales were off 25.3 percent from December 2015.

The MLS Home Price Index (HPI) composite benchmark price for all residential properties in Metro Vancouver ended the year at $897,600.

"The long-term effects of these actions won't be fully understood for some time", said Dan Morrison, the board's president.

Residential properties for sale in Metro Vancouver reached 57,596 in 2016, a 0.6% increase over the 57,249 properties listed in 2015.

"The supply of homes for sale couldn't keep up with home buyer demand for much of 2016". The benchmark price, $1.48 million, was 18.6 percent above the benchmark price from December 2015.

A total of 541 detached property units were sold in the month, which was a 52.4% year-over-year decline. The benchmark price of an attached unit is $661,800.

Fraser Valley townhouses have decreased in value by 1.8 per cent to $416,600 while apartments have increased by 0.2 per cent to $259,000.

The Real Estate Board of Greater Vancouver covers a large portion of Metro Vancouver, including Vancouver, the North Shore, Burnaby, New Westminster, Richmond, Coquitlam and Port Moody.



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