Market Highlights For September 2024

Promises, Promises.

  • Bank of Canada should cut its rate by 0.5% this month
  • 5th straight month of declining sales in Metro Vancouver
  • Highest number of Vancouver condo listings since 2012
  • Buy now before everyone else does when the rates come down further

September 2024 brought on promises and more promises. The Bank of Canada dropped their interest rate for the third consecutive time and by the end of the month the U.S. went ahead with their first rate cut – jumping right in with a half point drop. We’re now expecting a half point drop by the Bank of Canada in October based on the latest economic data. And if that wasn’t enough, the province is heading to the polls later in October with promise after promise from the incumbent NDP government and challenging Conservatives.

Is it any wonder that buyers are waiting to see what happens? That was the tone of buyers in September, all while sellers jumped back into the market with another rush of listings.

For the third consecutive meeting the Bank of Canada has reduced its key interest rate by a quarter point in September, bringing down mortgage costs for homeowners with variable rate mortgages and lines of credit. While not overly expected, there was some thought that a half point reduction was in order. But what this does now is leave the remaining two meetings open to further reductions in the Bank of Canada’s rate as the economy and inflation numbers clearly indicate that stimulus is needed. Expect both countries to use the remainder of the year to reduce their rates, with Canada going from the current 4.25% to 3.5% or lower by the time 2025 begins.

Many buyers may be thinking that significant Bank of Canada rate cuts will lead to equivalent reductions in fixed rates. But that’s not going to happen. Fixed rates are based on bond yields and current yields have factored in the anticipated drops in the Bank of Canada’s rate. That’s the reason why fixed rates have come down more than 1.5% from their highs already. With economic growth and inflation in Canada lagging, it’s become more likely that the Bank of Canada will cut quicker and deeper than anticipated, so expect variable rate mortgage costs to drop more than fixed rate mortgage costs. That means buyers looking for fixed rate mortgages aren’t going to gain by waiting. With the highest inventory of properties available in the last 6 years, opportunities exist for buyers more so than ever.

There were 1,852 properties sold in Greater Vancouver in September, after 1,903 sold in August, 2,333 properties sold in July, and 2,418 sold in June. With the highest number of active listings available since mid-2019, buyers are still in a holding pattern. Given the path to a sub 3 Bank of Canada rate by some time next year, variable rate mortgages are the flavour of buyers. Taking advantage of the increase in choice will allow those buyers brave enough to buy now and ride the rate down to beat out the competition that will come next spring.

Sales in September were a 4% decrease from the 1,903 properties sold last year, after a 17% decrease in August from the 2,296 properties sold in August 2023. September typically sees a tepid start to the fall market, so less sales in the month after August is not unusual. Will it take another rate cut to further entice more buyers into the market? While the federal government’s promise to extend amortizations for all buyers of presales to 30% and increase of the threshold for insured mortgages to $1.5M gives promise to buyers for easing the mortgage pain, this won’t come until December. Just what the market needs, another reason to wait and push more into the spring market. Buy now or compete later is the mantra of this fall market.

Sales in September were 26% below the 10-year average, like August with sales 26% below the 10-year average after July was 18% below the 10-year average and June was 24% below the 10-year average. The fall market has some work to do to eclipse the spring market in terms of activity but what’s clear is that the longer demand holds off, the busier it will be come the spring. With the inventory of listings continuing to rise, buyers have choice and opportunity like they haven’t seen since 2019.
In Greater Vancouver the number of new listings in September were the highest totals since May after dropping to a low in August. With 6,228 new listings in September, this was a 48% jump from what came on the market in August and an increase of 11% compared to September 2023. Sellers were certainly ready to get into the fall market, even if buyers were still reluctant.

The number of new listings in September were 16% above the 10-year average after August was 1.5% below the 10-year average, July 12% above the 10-year average, and June 2% above the 10-year average. With 3 months left in the year, the total new listings so far are almost at the total for 2023 and will likely be the second highest annual amount in the last 10 years. Even with this, prices had remained relatively flat but are trending lower in the last few months, albeit in the 1 to 3% range for declines. The increase in listings will help keep prices in check as demand enters back into the market at a greater rate over the next year.

There were 14,932 active listings in Greater Vancouver at month end, compared to 13,812 at the end of August, 14,325 at the end of July and 14,180 at the end of June. After being up 46% year-over-year at the end of May, currently there are 31% more active listings year-over-year, a drop from being at 37% at the end of August. While we did see a significant jump in active listings after the month of September, we’re still not at the highs we saw in 2019, although for the month of September we’d have to go back to 2014 to see an active listing count this high for the month of September. Count on total active listings climbing above 15,000 in Greater Vancouver as we move through October before declining through the rest of year.

Overall, the detached market in Greater Vancouver is up to 11 months supply from 10 while townhomes remained at 6 months supply and condos climbed to 7 months from 6. Condos have seen the biggest increase in listings with there being 39% active listings year-over-year, with detached at 24% above the same time last year. Detached sales activity has slowed more so though, putting many areas into strong buyer’s markets with over 10 months supply.

Vancouver westside condos are at the highest number of active listings since 2012 and sitting with 10 months supply – likely a result of rental legislation and short-term rental rules making that type of property a less attractive investment. Move over to the east side though and sales are up compared to last month and last year with their only being 5 months supply. That’s what a $200,000 difference in average price will do. As we move through October, election rhetoric and interest rate relief will be a distraction for many buyers.

Affordability will continue to be the word thrown around by the two main parties in B.C. when referencing housing, but with so many regulations put in place by the current government, supply suffers at the hands of so many restrictions. Even with the promise to build more, we are still left with the question of how that’s going to happen.

For other regions, contact Berna Yazgan

İlhan Ömeroğluİlhan Ömeroğlu
19:23 08 Oct 24
Ms. Berna has managed our house rental process very well with her meticulous, devoted, patient and positive approach from the first day. She has always been there for us by sharing her experiences and experience in our other needs related to social life. Our family would like to thank her and express our gratitude.
Zeynep KabaağaçZeynep Kabaağaç
03:08 05 Oct 24
Ms. Berna was extremely caring and helped us in everything. She found the exact place we wanted and thanks to her, our rental process was much more comfortable and faster. Endless thanks to her.
Özgen YamanÖzgen Yaman
01:43 04 Oct 24
It's been about 15 days since my wife and I came to Vancouver. The visa application process was very difficult, we were extremely tired. When our visas were issued, we were afraid of how we would find a house this time. Thanks to forums and social media, we were very scared at first. We met Ms. Berna while we were in Turkey through our consultant. He was incredibly helpful, incredibly descriptive, and so warm and friendly. Thanks to you, we learned about all the procedures here. He not only took care of our house finding process, but also helped us endlessly regarding our arrival and what we needed to do when we arrived. We even received information from him for our own private affairs. Now we have a very cute house and a sweet landlord, thanks to us. He waited for us at our house as soon as we got off the field. So that we can get through our first day comfortably. We miss him now and can't wait to drink coffee. Thank you very much for your interest, Ms. Berna. As Yaman Family, we love you very much. Ms. Berna is our only advice to anyone who reads this comment about finding a house/real estate. Endless thanks again. Gift Özgen & Volkan Yaman
Kerim ŞahinbaşKerim Şahinbaş
16:32 24 Sep 24
Berna is very proffessional and helped us through in our move in process. She found us a beautiful unit near the sea in a very short time. I strongly recommend her services.
Liya OzsoylerLiya Ozsoyler
08:40 24 Sep 24
Kind, caring, sincere and professional. She helped us find our new home on the second day of our research which was pretty amazing. I would definitely recommend Berna’s services, you won’t be disappointed.
Deniz UralDeniz Ural
19:20 22 Aug 24
I had a great experience working with Berna virtually to find an apartment in downtown Vancouver. Despite the challenges of a virtual search, she found the perfect place that met all my requirements. Her detailed videos, thorough descriptions, and honest opinions made the process smooth and reassuring. She worked tirelessly to present numerous options, was always prompt in her responses, and maintained a high level of professionalism. I’m thrilled with my new home and highly recommend her services to anyone looking for their ideal place.
sıla tosunsıla tosun
22:13 07 Jul 24
Ms. Berna Yazgan guided us through house tours while my husband and I were still in Istanbul, perfectly aligning with our expectations and preferences for our new home. With her expertise, we found an exceptional 1-bedroom apartment in Yaletown's high-rise, surpassing all our hopes. Her support throughout the entire process was invaluable. We couldn't be more grateful.
Hulya TosunHulya Tosun
18:54 07 Jun 24
We were extremely pleased with Berna Yazgan's service. She quickly understood our requirements and showed us properties that met our needs, effectively saving us a significant amount of time. Throughout the entire process, Berna provided unwavering support and guidance. We are delighted with our new home and know that we could not have found it without her assistance.
Vldn B.Vldn B.
07:18 04 May 24
We realised the comfort of working with Berna when we came to Canada. I am glad we found and met with her. She lightened our moving with her kindness, sincerity and tolerance, not only renting a house also in every question that she can help. Our house was ready before we arrived and with Berna's support, we are in a home exactly what we want. Both location and home. We are very grateful for understanding our lifestyle without seeing us and providing this. I'm glad we got to know her————
Tuğba AkdenizTuğba Akdeniz
22:02 03 May 24
First of all, Berna is a really, really good person. Why am I saying this because she drew us a road map when it was a few months before we came to Canada, and we contacted her a month before. We have a baby, she not only showed us the most suitable houses for us, but also visited those houses tirelessly and added her personal comments, saying if it was good, it was good, if it was bad, it was bad. Moreover, she always gave her true opinion about the houses we liked but should not have. The most important point for us was that she found beds suitable for our child and sent them a link, and when the time came, she found a job for us and shared the link on LinkedIn. I think we are one of the lucky people to have loved our house very much and to have met Berna before coming to Canada. She always shared with us the links we needed for the house we rented, including electricity, water and internet, and we would like to thank her for always being accessible. I'm glad fate brought you to us, thank you. We deeply appreciated her 🙏🏽🎈❤️
Ece OkuyucuEce Okuyucu
17:35 27 Apr 24
Berna is extremely professional and a wonderful person. While helping us find our new home, she cared as if she were searching for a home for herself, not just a client. She provided advice on the best options considering the market conditions and our financial situation, while also making an extraordinary effort to find a home we would be happy living in. She would show homes over video calls and, in cases of time differences, she would send detailed videos, asking questions about the home that we might never have thought of ourselves. Moving to a new country can be psychologically challenging, and it's easy to panic and start settling for less. Here, Berna's friendship and experience really stand out. With her proper guidance, she helps ease your anxiety, encouraging you to continue searching until you find the perfect ending. Working with Berna was an amazing experience.
Ümmühan KahramanÜmmühan Kahraman
18:46 12 Apr 24
We met Ms. Berna upon her recommendation and reached her through social media, then we immediately made an appointment and started the house hunting process. She was patient from the beginning to the end of our process and helped us find the home that best suited our needs. Not only about the house, but also for our new move from Turkey to Vancouver, she did her best to help us handle many of our jobs remotely, and apart from finding a house, I really loved her energy and friendliness. I'm glad we got to know you, Ms. Berna, thank you very much.
Dilek KacarDilek Kacar
07:41 07 Apr 24
We worked with Berna when we were trying to find our first home and she was so helpful and quick in action. Finally, we’ve bought our first home in GVA and we can’t thank her enough for her help and effort. She is detail-oriented and friendly. She also keeps helping us after we close the sale and answering our questions and finding the solution. We highly recommend her for anyone who is looking for their dream home.
G BG B
20:27 26 Jun 23
Berna is a great consultant. We were very worried as we came from Turkey. It was very valuable for us to feel your support regarding our concerns and expectations. She did a great job helping us rent the house we wanted. Thank you for helping us get off to a good start in our new life.
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