Vancouver: Greater Vancouver’s real estate market experienced a notable slowdown in May, with home sales falling 19.9% year-over-year to 2,733, significantly below the 10-year seasonal average. This decline comes amid a 46.3% increase in the number of homes listed for sale, totaling 13,600, nearly one-fifth above the seasonal average. The influx of new listings includes 6,374 detached, attached, and apartment properties, up 12.6% from May 2023.
Andrew Lis, the real estate board’s director of economics and data analytics, attributed the softer sales to a mix of factors, including higher borrowing costs, economic uncertainties, and government policy interventions. Despite these challenges, the composite benchmark home price rose to $1,212,000, a 2.3% increase from the previous year.
As the Bank of Canada prepares to announce its latest interest rate decision, potential buyers may find more opportunities in a market shifting towards balanced conditions. With rising inventory and softening demand, price growth is expected to slow in the coming months, potentially benefiting those waiting on the sidelines.