Arnold Shuchat PREC Real Estate Blog

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...

This 5 minute video is a short legal history of how we got to the point where our government can intervene in a private contract. It imports references from the BNA Act, The Canadian Charter of Rights and most recently, The Property Law Amendment Act of British Columbia which provides buyers of residential real estate with a right of rescission with respect to contracts of purchase and sale for residential real estate.

https://www.loom.com/share/bda4a2f34e06490ca737f2db4596f6e0