The Metro Vancouver real estate market is currently displaying promising signs of improvement in sales activity as the region enters the early stages of the Spring market. However, a persistent reluctance among resellers to participate in the current market has resulted in historically low new listing activity. While there has been a noteworthy increase in overall supply, we expect the need for more new inventory to restrain sales numbers and hinder further declines in overall values. Despite these challenges, the recent announcements by the Bank of Canada to maintain interest rates, should current economic trends persist, will lend much-needed support to the Metro Vancouver real estate market.

POSITIVE GAINS IN PRICES AND SALES-TO-LISTINGS RATIOS FOR GREATER VANCOUVER REAL ESTATE

Last month, there were 1,808 resales in Greater Vancouver, representing a 47.2% decrease from February 2022 but a 76.9% increase from January's 1,022 resales. Like in January, new listings in Greater Vancouver remain historically low. This shift led to sales-to-listings ratios for townhome and condominium products to move firmly into the seller's market territory, indicating current supply remains insufficient for demand within our market. In February, prices showed positive gains, with overall composite benchmark pricing increasing by 1.1% month-over-month and 0.7%, 1.8%, and 1.6% for detached, townhome, and condominium products, respectively. These results ended the nine-month decline we've seen in our market – the longest experienced in the Real Estate Board of Greater Vancouver's history.

FRASER VALLEY REAL ESTATE MARKET SHIFTS TO BALANCED TERRITORY DESPITE HISTORICALLY LOW LISTINGS

In the Fraser Valley, 898 resales represented a 43.5% month-over-month increase, yet a 50.7% decline from volumes seen in February 2022. Similar to Greater Vancouver, listings increased month-over-month but remain historically depressed. February saw 1,938 new listings, a 48.2% decrease from last year. These metrics have shifted the overall market into a balanced territory with a sales-to-listings ratio of 20%, while townhome and condominium products remain in the seller's market territory. Overall, the factors mentioned above have supported price stability. The market posted a modest 0.5% gain in benchmark pricing from January – a clear shift from the consistent price declines seen over the last ten months.

VICTORIA REAL ESTATE MARKET SEES INCREASE IN INVENTORY LEVELS AND POSITIVE HEADWINDS FOR SPRING BUYERS

In February 2023, the Victoria Real Estate Board saw a total of 460 properties sold, indicating a 35.9% decrease from February 2022 but a 65.5% increase from January 2023. The decrease in sales was mainly driven by condominiums and single-family homes, which experienced a decline of 39.7% and 28.8%, respectively. However, there has been an increase in inventory levels, with 1,809 active listings for sale in February 2023, a 4% increase compared to the previous month and a 113.1% increase from February 2022. Victoria Real Estate Board Chair Graden Sol notes that the market is seeing positive headwinds as we move into springtime and that there are opportunities for buyers to get into a new home in a less pressurized environment.