Here are some graphs which clearly illustrate the state of our real estate market in the Metro-Vancouver area.
On the inventory side, listings are very similar to last year. On all three property types, the total inventory is up by around 11%:
As far as the number of days on market, contrary to the fear in continuous media outlets about a market crash across the country, the time to sell a property has not materially increased since last year. It has gone from 11 days to 14 days across all property types. Most appraisals will base the market value price of a property on an assumption that the property is marketed in an open market for 3-6 months. The 14 days is akin to real estate liquidity.
However, looking at the actual sales side of things we can see a marked slowdown which should be an indicator that prices should drop.
From a product absorption view, the sales to active listing ratio is comparable to October 2019. Sitting in the low 20% area represents a much more balanced market...