q2 2018 vs. q2 2017 detached - faith wilson group€¦ · whether you’re buying your first home...

Q2

EAST

SIDE

DETACHED

TOWNHOME

CONDO

Apr, May, June & Q2 2018VANCOUVER

UNIT SALES

302 39%TOTAL ACTIVE LISTINGS

842 5.4%

HPI (combined total)

$1,541,400 0.47%

AVE. DAYS ON MARKET

31 11%

UNIT SALES

84 34%

UNIT SALES

414 33.5%

TOTAL ACTIVE LISTINGS

165 17%

TOTAL ACTIVE LISTINGS

336 118%


$573,800 13.03%


$923,400 13.52%

AVE. DAYS ON MARKET

22 29%

AVE. DAYS ON MARKET

13 19%

Q2 2018 VS. Q2 2017

Faith’s Exclusive Eastside Analysis PAGE 2

Right now, mid-year of the third year of the most dramatic expansion of the Metro Vancouver housing market in history, is a challenging time for both buyers and sellers.

In the past three years the benchmark home price

has increased 63%. If this wasn’t enough of a barrier to buyers, since the first of the year the federal government has introduced stringent mortgage regulations, including the infamous stress test, and mortgage rates have increased. Foreign homebuyers are now subject to a 20% tax on their purchase, the highest rate in the world outside of Asia.

Home sellers, as a result, have seen sales fall nearly 30% below the 10-year average.

The media and most pundits are referring to a “housing crisis” with some calling for even more extreme measures to curb housing demand.

So, let’s inject some reality into the discussion.

In the past six months, approximately 23,300 homes have sold through the Multiple Listing Service in Greater Vancouver and the Fraser Valley at an overall benchmark price approaching $800,000. In June alone, on average, 129 homes sold every day.

Hundreds of people continue to buy homes and will continue to do so. The majority are not speculators or foreign investors: they are local families, first-time buyers and downsizers who simply need a home and recognize the inherent advantages of homeownership.

But there is no arguing that both buyers and sellers need, more than ever, to be working with a real estate agency with long experience, deep market knowledge and a proven record of performance and service.

Faith Wilson Group has been awarded the Real Estate Board of Greater Vancouver

Lifetime Achievement Award, an honour that recognizes outstanding sales performance but also a consistent commitment to fair dealing and client service during more than two decades in the industry. We have always provided our exclusive Peace of Mind Guarantee for both Buyers and Sellers through the many real estate cycles this market has experienced. We stand behind this guarantee because we believe that is the only way to treat each and every client, whether they are buying their first condo or a legacy estate for their family. And despite market conditions.

Challenging times beget opportunity, often life-changing opportunities. Today is no

exception. There is a now a tremendous inventory of homes available in every price range and neighbourhood. There are also a huge number of people aspiring to own a home, including the estimated 40,000 people moving into Metro Vancouver each year.

Stick with your plan, have faith in your dream and work with the people who will help you achieve it.

Warmest Reguards,

Now is when working with a true professional pays off

The information included in this report is based on residential sales data and statistcal information sourced and compiled from the Real Estate Board of Greater Vancouver’s MLXchange database and the REALTOR Link® website. The information is current as of March 1st, 2018 and is subject to change by the REBGV. Faith Wilson Realty Group Inc., makes no guarantees as to the accuracy of the information provided and is not responsible for changes, errors or omissions to this information.

Discover YOUR neighbourhood's real estate market activity,

trends & benchmark pricing.

Finding the right home in the right neighbourhood can be a challenge. That is why we have our exclusive Neighbourhood Profiles available for you on our web site. Each profile features: • Information on the neighbourhood's

schools, housing, recreation, shopping, restaurants, transportation and more.

• A summary of CURRENT active listings, arranged by property type and showing the number of units available and the median asking price.

• Up-to-date MLS® HPI Benchmark prices AND price changes from one month to five years - a rich resource to instantly see the price trend of the type of home you are interested in, within your specific neighbourhood.

To do so, visit FaithWilsonGroup.com and find out about Vancouver Westside, Eastside, Downtown, North Vancouver, South Surrey and Richmond neighbourhoods. With more coming soon.

Faith’s Exclusive Eastside Analysis PAGE 3

Resurging confidence in the Canadian economy and employment are boosting home buying intentions to the highest levels since 2010, despite the Federal Government’s new mortgage “stress test.” According to the Annual RBC Home Ownership Poll, 32% of Canadians are very or somewhat likely to buy a home in the next two years, up seven percentage points from last year. In BC, the numbers are higher, with 36% intending to purchase. That’s an 11% increase from 2017. The new guidelines are however impacting purchase decisions, including making higher down payments, delaying home purchases or buying a less expensive, smaller home or moving to a less expensive location. As intentions to buy continues to climb in Canada, just over one one-third of Canadians indicated they had received or would be receiving financial assistance from their family for a down payment, while almost an equal number plan to do it on their own with a dedicated savings account.

Biggest challenge: Finding the right property The top two home buying challenges buyers face are choosing the right property and deciding how much they can afford. For most, this journey begins online, and home owners

revealed they spent an average of five weeks searching online for their current home. In fact, nearly one-in-10 millennials said they would purchase a home without ever physically seeing it. Overall, Canadians value being able to “visit” a home virtually, with almost half saying they looked at photos/videos of prospective homes online. Finally, to help determine costs and affordability, 39% of home owners took valuations of neighboring homes into account, and 36% used affordability calculators.

Millennials are feeling more confident about jobs, economy – and home purchase intentions Millennials (ages 18-34) express the strongest of those with home buying intentions (50%), according to the annual RBC Home Ownership Poll. Compared to 2017, more millennials now believe that a home purchase is a good investment. In fact, 84% responded it’s a “very good or good investment” vs. 79% in 2017. Millennials are also feeling less anxiety about employment (36% vs. 47% in 2017)

Interest rates driving home buying intentions Sixty one percent of Canadians are very or somewhat concerned about interest rate

increases – a jump of almost 10% from last year. Over one-third are thinking about buying a home sooner because of current low interest rates, while another one-third are also thinking of doing so because of a potential increase in interest rates.

Future proof your financial life. Do your own stress test. While optimism about the job market and the economy has increased, it can also lead us to feel overly optimistic about what we can afford. Your home is more than just a place to live. It is a big investment that can impact your plans to retire, your ability to afford an education for your child or it can make things tight on a monthly basis. Whether you’re buying your first home or helping your children buy their first home, it’s important to meet with an expert to get a better idea of what impact that will have on your long term savings plan.

Canadians Reveal Highest Home Purchase Intent in Eight Years

Kathy Wu Nikki Voutsilakos

Mortgage SpecialistRBC Royal Bank

[email protected]

Mortgage SpecialistRBC Royal [email protected]

Stress Test Need Not Stall Move-Up PlansBob and Jean have owned their Burnaby bungalow for seven years and planned to move up to a larger house as the children became older. With a good credit rating, a stable household income and 40% worth of equity in a house assessed at $1.5 million, the couple were surprised when they went to their bank for a pre-approved mortgage for their move-up purchase.

Since the new mortgage stress test was introduced on January 1, the couple found that they could not qualify for the quality of home they really wanted.

The Office of the Superintendent of Financial Institutions mortgage stress test requires that buyers with more than a 20 per cent down payment must qualify at Bank of Canada’s 5 year benchmark rate, which is currently set at 5.34%, or at the current contracted rate plus 2% whichever is higher.

For Bob and Jean this meant that, despite never being late with a mortgage payment and willing to put down a substantial down payment, their purchasing power was

reduced by about 20%. Planning to move up to a larger house worth $1.8 million to $1.9 million, they were told they could qualify at $1.5 million or less. In other words, the same house they already own.

The stress test is meant to ensure buyers can afford a mortgage if lending rates should increase. However, a mere 0.16% of B.C. mortgage holders are currently in arrears, meaning they have missed three or more mortgage payments. This means just 1,008 out of 644,984 mortgage holders in B.C. are behind in mortgage payments. This is the second-lowest mortgage arrears rate in Canada and the lowest default rate among all other forms of consumer debt.

Over the past 15 years, through fluctuating mortgage rates, Canada’s overall mortgage arrears rate has never risen above 0.35%.

So, logic aside, what can a move-up buyer do to achieve the home they want?

Here is some advice from the Faith Wilson Group mortgage specialist:

• Remember that you only need to qualify at the higher rate, not actually pay it. The best five-year rate today is 3.59%, so even if the new stress test requires you to qualify at 5.34%, you would be paying the contracted rate of 3.59% on your mortgage once you qualify for the loan.

• Use the existing equity in the home to eliminate smaller debts, such as credit cards and car loans, to make your mortgage application more acceptable. (Note, however, that refinancing a home is also subject to the stress test at federally regulated lenders.)

• Consider taking the maximum-allowed 30-year amortization on a non-insured mortgage, which will reduce your monthly payments compared to the convention 25-year amortization.

The bottom line advice: talk to mortgage professional and you may find that, despite the stress-test, you can buy the move-up home you want and can afford nearly stress free.

Welcome our newMortgage Specialists

- Kevin Lutz, Regional Manager, Residential Mortgages Follow Kevin on Twitter @RBCKevinLutz

Faith’s Exclusive Eastside Analysis

OCTOBER - SINGLE FAMILY DETACHED HOMESAPRIL - SINGLE FAMILY DETACHED HOMES

THE REAL NEIGHBOURHOOD RESULTS: APR 2018

SALES AND BENCHMARK PRICES BY NEIGHBOURHOOD

BENCHMARK PRICE CHANGE(%)

MLS® Neighbourhood Unit Sales HPI Benchmark Price 1 Month 3 Months

Collingwood VE 4 $1,318,500 -2.88 -1.58

Fraser VE 7 $1,544,600 -1.78 -4.69

Fraserview VE 1 $1,911,600 -0.55 -0.85

Grandview VE 5 $1,697,300 -0.98 2.01

Hastings 1 $1,396,200 0.32 0.92

Hastings East 2 $1,502,400 0.86 0.57

Killarney VE 8 $1,534,700 -1.87 -4.25

Knight 10 $1,517,000 1 -1.01

Main 7 $1,782,300 -1.93 -5.64

Mount Pleasant VE 5 $1,467,200 0.34 1.31

Renfrew Heights 7 $1,501,600 -0.69 0.67

Renfrew VE 15 $1,420,600 0.38 -0.69

South Vancouver 8 $1,529,600 0.64 0.55

Victoria VE 4 $1,492,000 0.19 -1.16

Eastside Combined 84 $1,544,100 -0.58 -1.27

Price Segment ($) New Listings Added Unit Sales

0 – 800,000 0 0 0%

800,001 – 900,000 1 0 0%

900,001 – 1,000,000 4 1 25%

1,000,001 – 1,100,000 1 1 100%

1,100,001 – 1,200,000 8 3 38%

1,200,001 – 1,300,000 9 4 44%

1,300,001 – 1,400,000 28 4 14%

1,400,001 – 1,500,000 48 9 19%

1,500,001 – 1,600,000 40 17 43%

1,600,001 – 1,700,000 39 12 31%

1,700,001 – 1,800,000 33 12 36%

1,800,001 – 1,900,000 27 2 7%

1,900,001 – 2,000,000 19 3 16%

2,000,001 – 2,250,000 23 4 17%

2,250,001 – 2,500,000 31 5 16%

2,500,001 + 37 7 19%

Totals 348 84 24%

LISTING AND SALES ACTIVITY BY PRICE SEGMENT

SALES PRICE MONTHLY TREND

FAITH’S KEY INSIGHTS:n The downturn in the Eastside housing market is not limited by price,

geography or the type of property: as April data shows, sales are lower across the board and detached houses – even with sales down 39% from April of last year – are not facing the worst decline. The detached house sale downturn is uniform: in April, 5 houses were newly listed at $1 million or less but only one sold; 91 houses were newly listed at $2 million or more but only 16 sold. Across the Eastside, the sales-to-new-listing ratio was 24%. In April of last year almost half the new listings sold in the month.

n Such a broad-based downturn indicates that forces beyond supply and demand skewed what is normally one of the best months of the year for housing sales. In this case it is the result of an unprecedented cascade of government decisions, from higher lending rates and tighter mortgage restrictions to higher provincial property and sales taxes and Vancouver’s vacant home legislation. It is no surprise that many buyers are hesitant to act in such a climate.

n Of course it is the buyers who forge into a slow market who often reap the greatest gains. I recall the downturn of 2008, and that Eastside detached house prices have increased 110% since then. This April, the Eastside detached house price was $1.54 million, down 1.2% from three months earlier and 0.5% lower than in March. With 348 new listings added in April, detached house buyers today are treated to the widest selection in more than two years and, we suspect, will find many more vendors open to subject and price negotiations. It is hard to act counterintuitively, but if you aspire to a Vancouver detached house, this spring could be the ideal time to be buying.

– Me

dian S

ales P

rice

– Av

erage

Sales

Price

$1,800,000 $1,700,000 $1,600,000$1,500,000$1,400,000$1,300,000 $1,200,000

NOV. 17 DEC. 17 JAN. 18 FEB. 17 MAR. 17 APR 18

70

60

50

40

30

20

10

DAYS ON MARKET MONTHLY TREND

Days

– Me

dian D

ays o

n Mark

et –

Avera

ge Da

ys on

Mark

et

Sales-to-New-Listings Ratio


$1,597,615

$1,517,500

$1,704,544

$1,600,000

$1,743,093

$1,597,444

$1,666,447

$1,608,000

$1,754,824

$1,650,000

$1,722,309

$1,647,500

31

18

39

21

48

40

43

16

64

25

27

14

Janaury 74 56 -24.3%February 105 71 -32.4%March 146 89 -39.0%April 162 84 -39.0%May June Total 487 300 -38.4%

2017 2018 CHANGEUNIT SALES (BY MONTH)

THE REAL EASTSIDE RESULTS: APR 2018


OCTOBER - SINGLE FAMILY DETACHED HOMES

January 74 56 -24.3%February 105 71 -32.4%March 146 97 -33.6%April 162 115 -29.0%May 197 93 -52.8%June Total 687 432 -37.1%


THE REAL NEIGHBOURHOOD RESULTS: MAY 2018




Collingwood VE 5 $1,301,400 -1.3 -5.2

Fraser VE 9 $1,534,800 -0.63 -4.46

Fraserview VE 8 $1,911,000 -0.03 -0.43

Grandview VE 6 $1,718,500 1.25 1.93

Hastings 3 $1,376,100 -1.44 1.45

Hastings East 1 $1,482,900 -1.3 -0.92

Killarney VE 7 $1,546,400 0.76 -2.19

Knight 15 $1,544,100 1.78 0.11

Main 6 $1,753,900 -1.59 -5.02

Mount Pleasant VE 5 $1,449,600 -1.2 1.29

Renfrew Heights 5 $1,477,200 -1.63 -1.54

Renfrew VE 7 $1,419,000 -0.12 0.17

South Vancouver 9 $1,544,400 0.97 2.42

Victoria VE 7 $1,523,400 2.1 0.21

Vancouver East 93 $1,543,600 -0.03 -1.07


0 – 800,000 0 0 0

800,001 – 900,000 1 0 0%

900,001 – 1,000,000 2 1 50%

1,000,001 – 1,100,000 5 4 80%

1,100,001 – 1,200,000 5 5 100%

1,200,001 – 1,300,000 18 9 50%

1,300,001 – 1,400,000 20 11 55%

1,400,001 – 1,500,000 23 7 30%

1,500,001 – 1,600,000 31 12 39%

1,600,001 – 1,700,000 39 15 38%

1,700,001 – 1,800,000 29 10 34%

1,800,001 – 1,900,000 15 3 20%

1,900,001 – 2,000,000 25 2 8%

2,000,001 – 2,250,000 18 6 33%

2,250,001 – 2,500,000 32 5 16%

2,500,001 + 46 3 7%

Totals 309 93 30%



FAITH’S KEY INSIGHTS:n What is a typical Eastside detached house worth now? More than it was

a year ago and less than it will be a year from now. That’s a conclusion that can be drawn after May, which saw detached sales drop 52.7% from May of last year, but the benchmark price reached $1.54 million, up $30,000 on the year. The number of new listings is also fairly close to last year, at just over 300 in May. What has changed is sales of only 93 detached houses in the month and a sales-to-listing ratio of 30%, clearly signaling a buyer’s market.

n We do not expect Eastside detached house prices to decline much if at all this year. The reason is the price of land in ultra-competitive Vancouver. Just one example: in May a 14,000 square-foot-lot on East 6 Avenue sold for $5.74 million to a strata developer. That works out to $412 per square foot just for the land. As an owner you may not plan to ever sell your property for redevelopment, but the inherent land value raises the price of all detached properties. The price pressure is higher in some Eastside neighbourhoods, such as Grandview, Main and Hastings Sunrise where higher density development is encouraged. But it is not hard to imagine that nearly every part of the Eastside will eventually be affected as the city grapples with an exploding population. Each month from now on an estimated 3,000 to 4,000 people will move into Metro Vancouver according to federal immigration statistics.

n I am tempted to tell Eastside house owners to hold onto their property, but that would shirk my responsibility as a real estate professional. The best advice to sellers: if you are convinced that your property is listed at true market value, don’t lower the price to attract buyers. The Eastside detached market has absorbed unprecedented tax and regulatory headwinds this year and is poised to get stronger.

– Me

dian S

ales P

rice

– Av

erage

Sales

Price

$1,800,000 $1,700,000 $1,600,000$1,500,000$1,400,000$1,300,000 $1,200,000

DEC. 17 JAN. 18 FEB.18 MAR. 18 APR.18 MAY 18

70

60

50

40

30

20

10


Days

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Mark

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$1,704,544

$1,615,000

$1,743,093

$1,597,444

$1,666,447

$1,608,000

$1,754,824

$1,650,000

$1,722,309

$1,647,500

$1,614,068

$1,563,000

39

21

48

40

43

16

64

25

27

14

33

16

MAY - SINGLE FAMILY DETACHED HOMES

THE REAL EASTSIDE RESULTS: MAY 2018


THE REAL NEIGHBOURHOOD RESULTS: JUNE 2018


BENCHMARK PRICE CHANGE (%)


Collingwood VE 1 $1,296,900 -0.34 -4.48

Fraser VE 13 $1,536,900 0.14 -2.27

Fraserview VE 5 $1,898,100 -0.67 -1.25

Grandview VE 2 $1,737,200 1.09 1.35

Hastings 0 $1,368,300 -0.57 -1.68

Hastings East 2 $1,490,500 0.51 0.06

Killarney VE 2 $1,554,700 0.54 -0.59

Knight 7 $1,511,800 -2.09 0.66

Main 7 $1,733,600 -1.16 -4.61

Mount Pleasant VE 4 $1,438,300 -0.78 -1.64

Renfrew Heights 5 $1,464,600 -0.86 -3.14

Renfrew VE 10 $1,431,300 0.87 1.13

South Vancouver 3 $1,548,100 0.24 1.86

Victoria VE 7 $1,494,900 -1.87 0.38

Eastside Combined 68 $1,541,400 -0.15 -0.76


0 – 800,000 0 0 0%

800,001 – 900,000 0 0 0%

900,001 – 1,000,000 0 1 0%

1,000,001 – 1,100,000 4 1 25%

1,100,001 – 1,200,000 2 2 100%

1,200,001 – 1,300,000 21 8 38%

1,300,001 – 1,400,000 21 12 57%

1,400,001 – 1,500,000 16 10 63%

1,500,001 – 1,600,000 28 5 18%

1,600,001 – 1,700,000 29 7 24%

1,700,001 – 1,800,000 21 7 33%

1,800,001 – 1,900,000 15 4 27%

1,900,001 – 2,000,000 13 1 8%

2,000,001 – 2,250,000 18 4 22%

2,250,001 – 2,500,000 21 5 24%

2,500,001 + 37 1 3%

Totals 246 68 28%


THE REAL EASTSIDE RESULTS: JUNE 2018


FAITH’S KEY INSIGHTS:n Six of the 14 Eastside neighbourhoods that we monitor posted a decline

in benchmark prices for detached houses in June compared to a year earlier and two of these have seen benchmark prices drop by more than 4.5% in the past three months, or about the time the provincial budget introduced a slew of new taxes and regulations on the residential sector. Now 4.5% may not sound like a lot, but in the Main neighbourhood that translates into a $77,850 price cut to $1.73 million. In the Knight area, benchmark detached house prices were down 2% from May: that is about a $30,000. The only Eastside neighbourhood to experience a price increase in June from one month and three months earlier was, as we projected earlier this year, the Grandview area, where prices were up 1.3% from March to $1.77 million. Grandview is among the Eastside neigbhourhoods that is seeing the affect of higher-density zoning for detached house lots. It now also has the second-highest detached house price on the Eastside.

n IWe hope buyers are paying attention because we have a suspicion that the current cooling of the Eastside detached housing environment may not last. The reason is a Vancouver city plan to up-zone all detached house lots in the city to allow at least two homes and, in some cases, four or more. In June, detached house sales were down a stunning 50.4% from June 2017 to jut 68 houses, and the sales-to-new-listing ratio was 28%, clearly a buyer’s advantage. June is traditionally a strong month for home buying and we believe that pent-up demand will be released shortly when buyers awaken to the current opportunities. For those who aspire to own a detached house in Vancouver, the selection is terrific right now with 256 new listings added in June.

– Me

dian S

ales P

rice

– Av

erage

Sales

Price

$1,900,000 $1,800,000 $1,700,000 $1,600,000$1,500,000$1,400,000$1,300,000

JAN FEB MAR APR MAY JUNE

70

60

50

40

30

20

10


Days

– Me

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$1,743,093

$1,597,444

$1,666,447

$1,608,000

$1,754,824

$1,650,000

$1,722,309

$1,647,500

$1,614,068

$1,563,000

$ 1,606,068

$1,501,500

48

40

43

16

64

25

27

14

33

16

35

18

Janaury 74 56 -24.3%February 105 69 -34.3%March 146 97 -33.6%April 162 116 -28.4%May 197 118 -40.1%June 137 68 -50.4%Total 821 524 -36.2%


JUNE - SINGLE FAMILY DETACHED HOMES


Q2 - SINGLE FAMILY DETACHED HOMES

THE REAL NEIGHBOURHOOD RESULTS: Q2 2018



MLS® Neighbourhood Unit Sales HPI Benchmark Price 3 Months 1 Year

Collingwood VE 11 $1,296,900 -4.48 -1.94

Fraser VE 31 $1,536,900 -2.27 -1.36

Fraserview VE 14 $1,898,100 -1.25 -3.6

Grandview VE 17 $1,737,200 1.35 6.98

Hastings 5 $1,368,300 -1.68 7.14

Hastings East 8 $1,490,500 0.06 2.12

Killarney VE 26 $1,554,700 -0.59 -2.71

Knight 38 $1,511,800 0.66 1.65

Main 28 $1,733,600 -4.61 -2.29


Renfrew Heights 24 $1,464,600 -3.14 -1.41

Renfrew VE 41 $1,431,300 1.13 2.35

South Vancouver 24 $1,548,100 1.86 -0.83

Victoria VE 19 $1,494,900 0.38 1.97

Combined Total 302 $1,541,400 -0.76 0.47


0 – 800,000 0 0 0%

800,001 – 900,000 1 3 300%

900,001 – 1,000,000 5 4 80%

1,000,001 – 1,100,000 8 7 88%

1,100,001 – 1,200,000 15 11 73%

1,200,001 – 1,300,000 55 27 49%

1,300,001 – 1,400,000 67 33 49%

1,400,001 – 1,500,000 98 33 34%

1,500,001 – 1,600,000 95 40 42%

1,600,001 – 1,700,000 101 38 38%

1,700,001 – 1,800,000 82 35 43%

1,800,001 – 1,900,000 53 12 23%

1,900,001 – 2,000,000 59 10 17%

2,000,001 – 2,250,000 59 20 34%

2,250,001 – 2,500,000 81 15 19%

2,500,001 + 119 14 12%

Totals 898 302 34%


THE REAL EASTSIDE RESULTS: Q2 2018

SALES PRICE QUARTERLY TREND

FAITH’S KEY INSIGHTS:n Hello, what have we here? How about 14 Vancouver detached houses

selling for $1.1 million or less and seven of those selling at $1 million or less. That was the reality in Q2 on the Eastside, in comparison with Q2 two years ago when there was 1 detached house listed for $1 million or less and just 4 listed at less than $1.1 million. Say what you will about the intrusive government taxes and regulations this year, but it is having an affect on Eastside detached prices. Since the unprecedented intrusion began in January with an extension of the mortgage stress test, the benchmark price of an Eastside detached house was fallen 1.2% to $1.54 million, sales have declined and listings have soared.

n In the second quarter (Q2), 848 resale detached houses were added to the Eastside market – up nearly 100% from Q2 of last year – and federal government data shows that 587 detached houses have started in Vancouver this year and 1,413 were under construction as of May, with many of them on the Eastside. Total detached sales, meanwhile, have fallen 39.1% from Q2 of 2017. The Q2 2018 sales-to-new-listing ratio was 34% compared to 51% at the same time last year.

n The message to sellers is clear: this is the most competitive Eastside detached house market we have seen in years and sellers must up their game to stay on top of it. Faith Wilson Group is third-party recognized for achieving faster sales than the industry average because of a proven and effective marketing strategy that includes a close rapport with developers seeking land assemblies. We also provide the exclusive Peace of Mind Guarantee for Sellers, your assurance that you can successfully enter and exit this market with calm confidence – and likely much faster than you dared dream.

– Me

dian S

ales P

rice

– Av

erage

Sales

Price

$1,800,000$1,700,000 $1,600,000 $1,500,000$1,400,000$1,300,000$1,200,000

$1,691,141

$1,608,500

$1,633,950

$1,577,500

$1,642,389

$1,565,000

$1,724,396

$1,625,000

$1,654,100

$1,590,000

Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018

60

50

40

30

20

10

0

28

12

28

14

30

15

54

25

31

15

DAYS ON MARKET QUARTERLY TREND

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Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018


Unit Sales (by Quarter)

Q1

Q2

Q3

Q4Year-to-Date Totals

2017325

496

821

2018222

302

524

Change (%)

-39.7%

-39.1%

-36.2%


OCTOBER - TOWNHOUSESAPRIL - TOWNHOUSES


0 – 300,000 0 0 0

300,001 – 350,000 0 0 0

350,001 – 400,000 0 0 0

400,001 – 450,000 0 0 0

450,001 – 500,000 0 0 0

500,001 – 550,000 1 1 100%

550,001 – 600,000 1 0 0%

600,001 – 650,000 3 1 33%

650,001 – 700,000 6 4 67%

700,001 – 750,000 5 0 0%

750,001 – 800,000 4 2 50%

800,001 – 850,000 2 2 100%

850,001 – 900,000 9 2 22%

900,001 – 1,000,000 7 3 43%

1,000,001 – 1,250,000 27 14 52%

1,250,001 + 13 5 38%

Totals 78 34 44%

LISTING AND SALES ACTIVITY BY PRICE SEGMENTSales-to-New-Listings Ratio




FAITH’S KEY INSIGHTS:n An increase in Eastside townhouse listings in April was met with the

highest number of townhouse sales for any month this year and the highest benchmark price ever. While sales were down 19% from April 2017 there are solid signs the current townhouse sector is performing relatively well. The benchmark price of an Eastside townhouse in April was up 8.8% from three months earlier and 2.7% higher than in March, at a record high of $933,500. Another signal of townhouse demand is that the typical new listing for an Eastside townhouse was on the market a median of just 8 days before it sold, a fairly fast clip.

n Development pressure remains intense in Vancouver and the Eastside is no exception. It all has to do with fundamentals: B.C. has the lowest unemployment rate in the country; high-tech firms are adding thousands of more jobs (Amazon alone will add more than 5,000 Vancouver workers) and, due to increases in federal immigration targets, Metro Vancouver will welcome about 40,000 new immigrants annually for the next decade. This has spurred both high Vancouver housing starts this year and rising interest strata windups for re-development of the property. The latter is something that owners in older Eastside townhouse projects should be aware of, especially those in neighbourhood with SkyTrain proximity. Faith Wilson Group can advise both sellers and buyers through what can be a lengthy, and rewarding, strata windup process.

n The sweet price spot for Eastside townhouse buyers and sellers in April was between $1 million and $1.25 million, a range that had both the most listings (27) and the most sales (14). The second-highest sales were for townhouses listed in excess of $1.25 million, with 5 transactions. However, 6 buyers also purchased an Eastside townhouse for less than $700,000 in April. The Eastside’s lowest townhouse prices in April were in Killarney, at a benchmark of $687,700; and Champlain Heights, where 8 buyers paid a benchmark price of $793,400.


Champlain Heights 8 $793,400 3.31 11.47

Collingwood VE 6 $855,600 3.28 11.74

Fraser VE 2 $1,075,000 3.44 9.67

Fraserview VE 2 $942,000 3.98 11.64

Grandview VE 3 $1,017,500 0.98 10.98

Hastings 2 $883,500 5.24 11.96

Killarney VE 1 $687,700 4.8 10.88

Knight 2 $1,021,900 3.33 9.28

Main 0 $1,063,500 5.23 7.55


Renfrew VE 0 $956,500 3.48 13.33

Victoria VE 1 $1,101,300 3.22 11.78Eastside Combined 34 $933,500 2.78 8.85

$1,1000,000$1,050,000$1,000,000

$950,000$900,000 $850,000$800,000

Days

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50

40

30

20

10

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Sales

Price



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19

13

28

17

36

27

27

20

18

8

18

9

Janaury 11 20 81.8%February 24 29 20.8%March 27 25 -7.4%April 42 34 -19.0%May June Total 104 108 3.8%


$950,353

$912,905

$877,279

$812,000

$933,660

$840,000

$1,069,958

$1,100,000

$980,560

$1,028,000

$992,571

$1,030,000



OCTOBER - TOWNHOUSES


0 – 300,000 0 0 0

300,001 – 350,000 0 0 0

350,001 – 400,000 0 0 0

400,001 – 450,000 0 0 0

450,001 – 500,000 1 0 0%

500,001 – 550,000 1 1 100%

550,001 – 600,000 3 0 0%

600,001 – 650,000 3 0 0%

650,001 – 700,000 5 2 40%

700,001 – 750,000 2 1 50%

750,001 – 800,000 2 2 100%

800,001 – 850,000 4 2 50%

850,001 – 900,000 6 1 17%

900,001 – 1,000,000 8 3 38%

1,000,001 – 1,250,000 20 6 30%

1,250,001 + 11 3 27%

Totals 66 21 32%





FAITH’S KEY INSIGHTS:n There was a fairly healthy 66 new listings for townhouses added to the

Eastside in May and, an even a more robust signal, the typical new listing sold within a median of just 8 days. As well, the benchmark price, while up 6.5% from three months earlier, held steady in May with prices nearly unchanged (down 0.8%) from April, at $925,800. What was not so encouraging is that townhouse sales in May were down 57.1% from May of last year to just 21. There are reasons for lower townhouse sales this month, the main ones being the mortgage stress test and slightly higher mortgage rates, which have sidelined some buyers and delayed others. The increase in the foreign-buyer tax to 20% likely played a role, as did a lack of listings in some areas.

n Even with the lower sales we are seeing, the Eastside continues to suffer from a lack of townhouse inventory. When areas like Mount Pleasant and Killarney see only 4 sales in a month, as they did in May, it is signal that more supply is badly needed.

Sadly, there is little chance of a sudden increase in new townhouse projects. There are seven new townhouse developments now pre-selling on the Eastside but the majority of them are nearly sold out and prices are generally higher than similar-sized units in the resale sector. Developers can’t be blamed: higher land and labour costs and rising civic fees and long delays are adding to new construction prices. It can now take two years or more to move a Vancouver townhouse project from planning to completion.

n I recommend buyers concentrate on the resale townhouse sector. Listings are increasing and existing townhouses come with some perks: often larger spaces than newer units; an established community; and no GST on the purchase. Faith Wilson Group provides the industry-exclusive Peace of Mind Guarantee for Buyers to ensure buyers can make a calm and confident decision in any market conditions.


Champlain Heights 5 $786,000 -0.94 7.89

Collingwood VE 2 $845,500 -1.17 9.07

Fraser VE 1 $1,090,000 1.4 11.51

Fraserview VE 1 $937,300 -0.5 7.94

Grandview VE 0 $1,009,900 -0.75 7.74

Hastings 2 $856,100 -3.11 8.6

Killarney VE 4 $674,200 -1.97 6.85

Knight 1 $1,034,900 1.28 10.06

Main 0 $1,063,900 0.03 9.22

Mount Pleasant VE 4 $1,185,100 0.07 0.71

Renfrew VE 0 $927,600 -3.02 7.82

Victoria VE 1 $1,084,600 -1.51 7.33Vancouver East 21 $925,800 -0.82 6.56

$1,300,000$1,200,000 $1,100,000 $1,000,000

$900,000$800,000$700,000

Days

60

50

40

30

20

10

0


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Sales

Price



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28

17

36

27

27

20

18

8

18

9

27

13

January 11 20 81.8%February 24 29 20.8%March 27 25 -7.4%April 42 41 -2.4%May 49 21 -57.1%June Total 153 136 -11.1%


$877,279

$812,000

$933,660

$840,000

$1,069,958

$1,100,000

$980,560

$1,028,000

$992,571

$1,030,000$914,779

$893,000

MAY - TOWNHOUSES




0 – 300,000 0 0 0%

300,001 – 350,000 0 0 0%

350,001 – 400,000 0 0 0%

400,001 – 450,000 0 0 0%

450,001 – 500,000 0 0 0%

500,001 – 550,000 2 0 0%

550,001 – 600,000 3 1 33%

600,001 – 650,000 0 1 0%

650,001 – 700,000 5 1 20%

700,001 – 750,000 2 1 50%

750,001 – 800,000 1 0 0%

800,001 – 850,000 3 2 67%

850,001 – 900,000 8 2 25%

900,001 – 1,000,000 12 2 17%

1,000,001 – 1,250,000 15 7 47%

1,250,001 + 5 0 0%

Totals 56 17 30%



THE REAL EASTSIDE RESULTS: JUNE 2018 THE REAL NEIGHBOURHOOD RESULTS: JUNE 2018


FAITH’S KEY INSIGHTS:n Six months ago Eastside townhouse sales were running 80% ahead of

the 2017 pace. A month later, in February, they were 20.8% higher. But by June Eastside townhouse sales were down 54.1% from June 2017 as just 17 townhouses sold in the month. What happened? January saw the start of mortgage restrictions and slightly higher lending rates. February saw the provincial budget, which raised the foreign-buyer tax to 20% and introduced new taxes, including a speculation tax. It is not only townhouse sales that have slumped: benchmark prices for Eastside townhouses have been slowly deflating and in June were at $923,400, down 0.2% from May.

n Savvy buyers are taking advantage of the Eastside townhouse market, recognizing that higher-priced townhouses likely offer the best value. In June, for instance, the highest sales in any price bracket was the range from $1 million to $1.25 million, with 7 sales from 15 new listings. As a comparison, there were 9 townhouses listed in June between $500,000 and $700,000, but only 3 of these sold. Apparently it is a search for value, not just price, that is driving the Eastside townhouse market.

n With 56 new listings for Eastside townhouses in June, there is a relatively good selection though the inventory still appears low. And it is not going to increase anytime soon. The latest industry data shows that only 34 new townhouses starting construction in all of Vancouver in the first five months of this year and there were just 138 under construction as of May. I would advise townhouse sellers that, despite the sales slowdown, to stick with their listing price if they are confident it represents true market value. Current concerns about government measures will ease and the fundamentals of supply and demand will dictate higher townhouse sales and prices going forward.



Collingwood VE 0 $854,200 1.03 3.11

Fraser VE 1 $1,087,200 -0.25 4.63

Fraserview VE 1 $922,200 -1.61 1.8

Grandview VE 1 $1,004,300 -0.56 -0.33

Hastings 3 $865,300 1.08 3.07

Killarney VE 0 $670,400 -0.55 2.17

Knight 1 $1,029,300 -0.54 4.08

Main 0 $1,046,900 -1.6 3.58

Mount Pleasant VE 4 $1,186,300 0.1 -0.23

Renfrew VE 0 $954,700 2.92 3.29

Victoria VE 3 $1,078,500 -0.56 1.08Eastside Combined 17 $923,400 -0.26 1.68

$1,300,000$1,200,000$1,100,000$1,000,000

$900,000$800,000$700,000

Days

60

50

40

30

20

10

0


– Me

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Sales

Price



– Me

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$933,660

$840,000

$1,069,958

$1,100,000

$980,560

$1,028,000

36

27

27

20

18

8

18

9

27

13

24

17

$992,571

$1,030,000

$914,779

$893,000

$938,900

$945,000

Janaury 11 20 81.8%February 24 29 20.8%March 27 25 -7.4%April 42 41 -2.4%May 49 26 -46.9%June 37 17 -54.1%Total 190 158 -16.8%


JUNE - TOWNHOUSES


Q2 - TOWNHOUSES


THE REAL EASTSIDE RESULTS: Q2 2018 THE REAL NEIGHBOURHOOD RESULTS: Q2 2018


Sales-To-NewPrice Segment ($) New Listings Added Unit Sales

0 – 300,000 0 0 0%

300,001 – 350,000 0 0 0%

350,001 – 400,000 0 0 0%

400,001 – 450,000 0 0 0%

450,001 – 500,000 1 1 100%

500,001 – 550,000 5 2 40%

550,001 – 600,000 7 1 14%

600,001 – 650,000 7 2 29%

650,001 – 700,000 14 8 57%

700,001 – 750,000 10 4 40%

750,001 – 800,000 7 5 71%

800,001 – 850,000 10 8 80%

850,001 – 900,000 21 6 29%

900,001 – 1,000,000 28 10 36%

1,000,001 – 1,250,000 63 29 46%

1,250,001 + 26 8 31%

Totals 199 84 42%


FAITH’S KEY INSIGHTS:n If this is a slowing townhouse market, please show me an active

one. In Q2, 84 Eastside townhouses sold at a benchmark price of $923,400, a price 13.5% higher than a year ago and still accelerating at a pace of 1.6% per month. In five Eastside neighbourhoods, prices were up more than 3% from March. The typical new listing for an Eastside townhouse sold within a median of just 10 days in Q2, faster than at any quarter since Q2 2017. Eastside townhouse sales were down 34.4% from Q2 2017, but this says more about the white-hot spring market of last year than any slowdown in 2018.

n Still, Eastside townhouse sellers have received a wake-up call. In the past six months, 503 new listings for townhouses were added to the market, compared to 409 in the first half of last year. In Q2 alone, 199 new listings were reported, along with 84 sales. The sales-to-new-listing ratio has dropped from 60% a year ago to 42% in the second quarter 2018. This is not a clear-cut buyer’s market, but it is leaning that way and sellers must recognize there is more competition this summer.

n If you are an investor looking for the fastest returns on an Eastside townhouse, the Q2 data provides some clues. The two Eastside neighbourhoods where benchmark prices are rising the fastest are Fraser and Knight. In the Fraser area, the benchmark townhouse price in Q2 was up 4.6% from Q1, at $1.08 million. In the Knight neighbourhood prices advanced 4% from Q1 to $1.04 million. Hastings also saw a strong spike in benchmark townhouse prices, up 3% from Q1 to $865,300. Champlain Heights was the most active area for buyers, however, with 20 townhouse sales in Q2 at a benchmark price of $785,000, up 2.2% from Q1.



Collingwood VE 9 $854,200 3.11 22.65

Fraser VE 4 $1,087,200 4.63 9.29

Fraserview VE 5 $922,200 1.8 17.62

Grandview VE 5 $1,004,300 -0.33 15.74

Hastings 8 $865,300 3.07 15.26

Killarney VE 7 $670,400 2.17 11.76

Knight 4 $1,029,300 4.08 5.84

Main 0 $1,046,900 3.58 10.02


Renfrew VE 0 $954,700 3.29 22.26

Victoria VE 5 $1,078,500 1.08 16.69

Combined Total 84 $923,400 1.68 13.52

SALES PRICE QUARTERLY TREND

Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018

$1,300,000$1,200,000$1,100,000$1,000,000

$900,000 $800,000 $700,000

$934,727

$902,450

$911,492

$880,000

$975,431

$960,000

$1,002,919

$1,067,500

$957,630

$949,500

– Me

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– Av

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Sales

Price

DAYS ON MARKET QUARTERLY TREND

Days

60

50

40

30

20

10

0

17

8

22

10

19

11

27

12

22

10

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Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018



Q1

Q2

Q3


201762128

190

201874

84

155

Change (%)

19.4%-34.4%

-18.4%


APRIL - APARTMENTS /CONDOS






Collingwood VE 12 $533,400 0.54 7.49

Downtown VE 6 $767,700 -0.96 5.68

Fraser VE 6 $559,500 -2.36 -0.75

Fraserview VE 4 $597,900 -0.79 3.05

Grandview VE 9 $530,900 0.26 4.02

Hastings 14 $523,600 0.42 7.74

Hastings East 0 $470,100 1.03 3.59

Killarney VE 1 $477,200 -3.34 0.45

Knight 0 $719,000 1.03 0.49

Main 5 $741,700 2.47 4.71

Mount Pleasant VE 34 $565,200 -1.22 2.73

Renfrew VE 5 $584,100 0.07 3.84

Victoria VE 1 $552,300 -0.73 2.6

Eastside Combined 107 $574,700 -0.5 4.07


0 – 200,000 0 0 0

200,001 – 250,000 0 0 0

250,001 – 300,000 0 0 0

300,001 – 350,000 1 0 0%

350,001 – 400,000 8 0 0%

400,001 – 450,000 19 11 58%

450,001 – 500,000 32 11 34%

500,001 – 550,000 23 18 78%

550,001 – 600,000 33 9 27%

600,001 – 650,000 23 13 57%

650,001 – 700,000 29 4 14%

700,001 – 800,000 40 13 33%

800,001 – 900,000 21 11 52%

900,001 – 1,000,000 18 7 39%

1,000,001 – 1,250,000 15 6 47%

1,250,001 + 13 4 31%

Totals 275 107 39%



FAITH’S KEY INSIGHTS:n In something of a surprise, the condo apartment market suffered the

worst sales decline of all property types across the Eastside in April as sales dropped 46.5% from the same month a year earlier to the second-lowest monthly sales this year. There were 107 condo sales in the month but the number of new listings increased to the highest level in more than a year, at 275. The result was a sales-to-new-listing ratio of 39%, a clear signal of a buyer’s market. In April of last year, the same sales ratio was 77%.

n Buyers who took advantage of the situation found a sea change in the Eastside condo market compared to spring of the last two years. There is a healthy selection of lower-priced condos and less multiple offers, for example. The Eastside benchmark price in April was $574,700, yet there were 28 new listings of condo apartments at less than $450,000 and 9 listed at $400,000 or less. The most popular price point was from $500,000 to $550,000, with 23 listings and 18 sales, for a sales success ratio of 78%.

n Eastside condo buyers will be seeing many more new pre-sale condos coming to the market this spring and summer. So far this year more than 1,800 apartments have started in Vancouver, most of them condos, and it is estimated that 1,021 pre-sale concrete condos will offered on the Eastside this year, up from 330 in 2017. I sat in on a developer’s conference this week and heard expectations that new condo prices will test new highs this year because of higher financing, construction and labour costs. I believe that the best value remains in the resale condominium market. Listings are increasing; prices are stabilizing: the April benchmark was down 0.5% from a month earlier and remains below $600,000, a price that is difficult to find in pre-sale Vancouver condo projects.

Sales-to-New- Listings Ratio

$750,000$700,000$650,000 $600,000 $550,000 $500,000 $450,000

Days

60

50

40

30

20

10

0

DAYS ON MARKET MONTHLY TREND–

Media

n Day

s on M

arket

–Av

erage

Days

on M

arket


14

8

26

9

18

7

19

8

11

8


– Me

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ales P

rice

– Av

erage

Sales

Price


Janaury 114 89 -21.9%February 116 133 14.7%March 170 164 -3.5%April 200 107 -46.5%May June Total 600 493 -17.8%


$633,251

$606,000

$674,166

$611,500

$707,218

$650,000

$670,773

$630,000

$681,387

$618,000

13

8

$618,921

$559,800


January 114 90 -21.1%February 116 135 16.4%March 170 166 -2.4%April 200 135 -32.5%May 230 144 -37.4%June Total 830 670 -19.3%


MAY - APARTMENTS /CONDOS






Collingwood VE 20 $537,900 0.84 4.83

Downtown VE 8 $761,700 -0.78 0.46

Fraser VE 8 $565,700 1.11 0.1

Fraserview VE 2 $606,300 1.39 2.9

Grandview VE 8 $523,600 -1.36 0.41

Hastings 17 $522,400 -0.22 1.54

Hastings East 0 $462,700 -1.58 -0.04

Killarney VE 3 $487,800 2.23 1.92

Knight 3 $730,600 1.62 1.47

Main 3 $733,200 -1.15 1.4


Renfrew VE 4 $588,400 0.74 2.25

Victoria VE 1 $560,300 1.44 2.67

Vancouver East 144 $575,800 0.19 1.86


0 – 200,000 0 0 0

200,001 – 250,000 0 0 0

250,001 – 300,000 0 0 0

300,001 – 350,000 5 2 40%

350,001 – 400,000 11 3 27%

400,001 – 450,000 16 11 69%

450,001 – 500,000 37 12 32%

500,001 – 550,000 30 19 63%

550,001 – 600,000 31 16 52%

600,001 – 650,000 33 16 48%

650,001 – 700,000 32 15 47%

700,001 – 800,000 34 20 59%

800,001 – 900,000 27 14 52%

900,001 – 1,000,000 15 5 33%

1,000,001 – 1,250,000 17 6 29%

1,250,001 + 13 5 38%

Totals 301 144 48%



FAITH’S KEY INSIGHTS:n The Eastside condominium apartment market in May proved remarkably

balanced considering that sales fell 37.4% from May of last year to 144 apartment transactions during the month. The balance is seen in the sales-to-new-listing ratio at 48%, meaning nearly half of the new listings sold in the month, and the fact that benchmark prices remained almost unchanged (up 0.1%) from April and from three months earlier, up 1.8% to $575,800. Also, condo sales were seen in all but 1 of the 14 Eastside neighbourhoods we monitor each month. The busiest area was Mount Pleasant, with 52 sales at a benchmark price of $561,700. Collingwood, with 20 sales and Hastings, where 17 condos sold at a benchmark of $522,400 were also quite active. In all, May proved an encouraging market with an average of nearly five sales every day.

n As a full-service real estate company Faith Wilson Group’s team includes a full time mortgage professional and her service and advice can be quite important today as buyers navigate a changing mortgage market. Such issues as qualifying for a mortgage under the new stress test regulations, the reality of a parallel mortgage price war in that is resulting in some very low-cost variable rate mortgages; the decision of how much of a down payment is required; and pre-qualifying for a mortgage are all topics that our mortgage office can address. We advise buyers to cement their financial decisions and become pre-qualified for a mortgage before they begin to shop for an Eastside condominium.


$750,000$700,000$650,000 $600,000 $550,000 $500,000 $450,000

Days

60

50

40

30

20

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0


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26

9

18

7

19

8

11

8

14

8


– Me

dian S

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rice

– Av

erage

Sales

Price


$674,116

$611,500

$707,218

$650,000

$670,773

$630,000

$681,387

$618,000

$669,400

$620,000

14

8

$633,251

$606,000


THE REAL NEIGHBOURHOOD RESULTS: JUNE 2018





Collingwood VE 26 $536,900 -0.2 1.18

Downtown VE 3 $762,500 0.11 -1.63

Fraser VE 7 $573,200 1.32 0.03

Fraserview VE 2 $616,100 1.61 2.21

Grandview VE 9 $520,300 -0.63 -1.74

Hastings 12 $522,200 -0.02 0.17

Hastings East 0 $460,500 -0.46 -1.03

Killarney VE 0 $495,600 1.6 0.39

Knight 2 $751,600 2.87 5.61

Main 2 $729,800 -0.46 0.82

Mount Pleasant VE 33 $554,400 -1.31 -3.11

Renfrew VE 3 $584,900 -0.6 0.21

Victoria VE 8 $548,200 -2.15 -1.47

Eastside Combined 113 $573,800 -0.35 -0.66


0 – 200,000 0 0 0%

200,001 – 250,000 0 0 0%

250,001 – 300,000 0 0 0%

300,001 – 350,000 2 1 50%

350,001 – 400,000 6 4 67%

400,001 – 450,000 16 10 63%

450,001 – 500,000 38 13 34%

500,001 – 550,000 22 20 91%

550,001 – 600,000 39 15 38%

600,001 – 650,000 23 11 48%

650,001 – 700,000 20 8 40%

700,001 – 800,000 30 9 30%

800,001 – 900,000 23 9 39%

900,001 – 1,000,000 9 2 22%

1,000,001 – 1,250,000 26 8 8%

1,250,001 + 9 3 33%

Totals 263 113 43%


THE REAL EASTSIDE RESULTS: JUNE 2018

FAITH’S KEY INSIGHTS:n In June of 2017, the sales-to-new-listing ratio for Eastside

condominiums was 93% and 194 condos sold in the month. This June the sales success ratio is 43% and sales have dropped nearly 45% to 113 transactions.While the current benchmark price for an Eastside condo is up 13% from a year ago, prices have been dropping over the past three months, now down 0.6% from March to $573,800.

n Eastside condo apartments attract a lot of first-time buyers and investors and this is reflected in the concentrated sales of lower-priced condos. In June 28 buyers purchased an Eastside condo for $500,000 or less. Also, the neighbourhoods with the lowest benchmark prices had the highest sales. These are Hastings, with 12 sales at a benchmark of $522,200; Collingwood, with 26 sales at $536,900; and Mount Pleasant, where 33 buyers purchased a condo apartment in June at a benchmark of $544,400, a price 3.1% lower than three months earlier. The most popular price range for June condo buyers was from $500,000 to $550,000, with 20 sales representing 91% of the listings.

n The message to condo sellers is price with caution and make sure your listing is spotless and ready for viewing. In June, buyers had more than 200 active listings for Eastside condos to choose from and there are 22 new condo projects pre-selling on the Eastside now, with more coming to the market. This is the time that sellers must work with an agency that offers a proven, multi-dimensional marketing strategy.


$750,000$700,000$650,000 $600,000 $550,000 $500,000 $450,000

Days

60

50

40

30

20

10

0

DAYS ON MARKET MONTHLY TREND–

Media

n Day

s on M

arket

–Av

erage

Days

on M

arket


26

9

18

7

19

8

11

8

14

8

14

7


– Me

dian S

ales P

rice

– Av

erage

Sales

Price

$674,166

$611,500

$707,218

$650,000

$670,773

$630,000

$681,387

$618,000

$669,400

$620,000

$660,550

$580,000


Janaury 114 90 -21.1%February 116 135 16.4%March 170 166 -2.4%April 200 135 -32.5%May 230 175 -23.9%June 205 113 -44.9%Total 1035 814 -21.4%


JUNE - APARTMENTS /CONDOS


Q2 - APARTMENTS /CONDOS

THE REAL NEIGHBOURHOOD RESULTS: Q2 2018





Collingwood VE 71 $536,900 1.18 19.64

Downtown VE 17 $762,500 -1.63 15.04

Fraser VE 25 $573,200 0.03 11.68

Fraserview VE 12 $616,100 2.21 25.28

Grandview VE 30 $520,300 -1.74 14.8

Hastings 47 $522,200 0.17 17.85

Hastings East 0 $460,500 -1.03 15.29

Killarney VE 5 $495,600 0.39 23.15

Knight 5 $751,600 5.61 12.69

Main 12 $729,800 0.82 10.81


Renfrew VE 14 $584,900 0.21 20.03

Victoria VE 2 $548,200 -1.47 13.28

Combined Total 414 $573,800 -0.66 13.03


0 – 200,000 0 0 0%

200,001 – 250,000 0 0 0%

250,001 – 300,000 0 0 0%

300,001 – 350,000 8 4 50%

350,001 – 400,000 27 8 30%

400,001 – 450,000 52 34 65%

450,001 – 500,000 108 43 40%

500,001 – 550,000 78 60 77%

550,001 – 600,000 102 50 49%

600,001 – 650,000 76 46 61%

650,001 – 700,000 80 29 36%

700,001 – 800,000 106 50 47%

800,001 – 900,000 68 40 59%

900,001 – 1,000,000 43 18 42%

1,000,001 – 1,250,000 59 20 31%

1,250,001 + 34 12 35%

Totals 841 414 49%


THE REAL EASTSIDE RESULTS: Q2 2018

FAITH’S KEY INSIGHTS:n More than 400 condo apartments sold on the Eastside in Q2 and the

typical new listing was on the market for a median of only 8 days before it sold.The benchmark price, while down 0.6% from Q1, remained 13% higher than in Q2 2017. With 841 new listings for condos added in Q2, the sales-to-new-listing ratio was 49%, which reflects a fairly balanced market.

n What wasn’t balanced was the geography of the sales: of the 414 condo transactions, 128 were in Mount Pleasant and another 71 were in Collingwood. In Mount Pleasant, which is seeing a boom in high-tech employment, the benchmark condo price in Q2 was $554,800, down 3.1% from Q1, but still up 4.5% from a year earlier. An area to watch for investors is Champlain Heights, which includes the River District development where a lot of relatively new condos are now being resold. In Q2, 19 condos sold in this area at a benchmark price of $793,300, up 2.8% from Q1 and 23% higher than a year earlier. Note, though, that in Q2, 89 buyers purchased an Eastside condo apartment for $500,000 or less.

n Many condo buyers are first-time buyers and some are worried about how the mortgage stress test and potentially higher lending rates will affect their buying strategy. Faith Wilson Group’s award-winning team includes a mortgage professional who can answer all your questions. Our team also offers the Peace of Mind Guarantee for Buyers to help you make a calm and quick purchase decision.

SALES PRICE QUARTERLY TREND$750,000$700,000$650,000 $600,000 $550,000 $500,000 $450,000

$601,858

$525,000

$614,388

$563,000

$639,505

$592,000

$684,137

$631,000

$670,633

$610,000

Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 – Me

dian S

ales P

rice

– Av

erage

Sales

Price

DAYS ON MARKET QUARTERLY TREND60

50

40

30

20

10

0

16

8

16

8

14

8

20

8

13

8

Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018 – Me

dian D

ays o

n Mark

et –

Avera

ge Da

ys on

Mark

et

Days



Q1

Q2

Q3


2017400623

1,023

2018391414

805

Change (%)

-2.3%-33.5%

-21.3%

TO GET STARTED...First, visit FaithWilsonGroup.com for extensive details about: Vancouver area neighbourhoods from dog parks to home pricing by property type; our 360 degree Performance Promise; our exclusive monthly Market Update research publications; our awards & achievements and much, much more.Then, call me at 604-224-5277 or 1-855-760-6886, or email me at [email protected]

So you have decided to buy your next dream home?

HAS THE PLANthat will find and secure the home that best meets your needs backed by their specialized market knowledge, their bank of prospective sellers, their leading edge search technology and their experience at writing offers to promote & protect you!

HAS THE TEAMthat will focus on listening to and helping you define your needs & wants in context of TODAY’s market; that has the expertise and successful experience to structure offers that promote & protect YOU!

IS COMMITTEDto you being totally informed such that you will make your buying decision with complete peace of mind! Witness our unique neighbourhood profiles at FaithWilsonGroup.com.

DELIVERSa proven track record of negotiation expertise and successful transactions, in a wide spectrum of property types across the Lower Mainland, along with a benchmark level of overall client satisfaction.

To find the best home for your needs at the price you deservewhat you need is a Realtor® who:

AND BOTTOM LINEBUYERS, YOUR SATISFACTION IS GUARANTEED

NOT HAPPY with your new home within the first 18 months? Then, we will relist it, resell it and not charge you our commission!

*Some conditions apply

q2 2018 vs. q2 2017 detached - faith wilson group€¦ · whether you’re buying your first home...

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