Q2 2018 VS. Q2 2017 DETACHED - Faith Wilson Group...Q2 2018 VS. Q2 2017 Faith’s Exclusive Westside Analysis PAGE 2 Right now, mid-year of the third year of the most dramatic expansion

Q2

WES

TSIDE

DETACHED

TOWNHOME

CONDO

Apr, May, June & Q2 2018VANCOUVER

UNIT SALES

218 46%TOTAL ACTIVE LISTINGS

840 20%

HPI (combined total)

$3,392,500 6.47%

AVE. DAYS ON MARKET

44 14%

UNIT SALES

124 36%

UNIT SALES

943 34%

TOTAL ACTIVE LISTINGS

228 62%

TOTAL ACTIVE LISTINGS

1,214 44%


$842,600 9.01


$1,303,600 7.59%

AVE. DAYS ON MARKET

23 10%

AVE. DAYS ON MARKET

18 6%

Q2 2018 VS. Q2 2017

PAGE 2Faith’s Exclusive Westside Analysis

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.


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


APRIL - 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

Arbutus 3 $3,792,700 -1.59 -3.53

Cambie 6 $2,572,800 -1.67 -4.88

Dunbar 5 $2,981,700 0.48 -4.04

Kerrisdale 2 $3,216,200 -2.52 -6

Kitsilano 6 $2,313,000 -0.69 -3.61

MacKenzie Heights 3 $3,437,000 -2.9 -7.01

Marpole 5 $2,367,300 2.18 4.55

Mount Pleasant VW 0 $2,512,600 -3.96 -1.31

Oakridge VW 2 $3,182,700 -0.67 -4.45

Point Grey 5 $3,576,400 -4.37 -7.26

Quilchena 0 $4,000,300 -1.49 -1.4

S.W. Marine 1 $3,436,100 3.1 4.49

Shaughnessy 2 $5,741,100 -2.36 -7.91

South Cambie 1 $3,692,300 -2.5 -2.65

South Granville 4 $4,094,900 -2.37 -7.07

Southlands 2 $3,715,600 1.64 4.91

University VW 1 $5,663,200 -5.3 -8.83

Combined Total 48 $3,404,200 -1.3 -4.06

Price Segment ($) New Listings Added Unit Sales

0 – 2,000,000 6 4 67%

2,000,001 – 2,250,000 7 1 14%

2,250,001 – 2,500,000 14 5 36%

2,500,001 – 2,750,000 15 4 27%

2,750,001 – 3,000,000 23 7 30%

3,000,001 – 3,250,000 7 7 100%

3,250,001 – 3,500,000 21 6 29%

3,500,001 – 3,750,000 18 2 11%

3,750,001 – 4,000,000 12 3 25%

4,000,001 – 4,500,000 21 1 5%

4,500,001 – 5,000,000 25 2 8%

5,000,001 – 6,000,000 19 3 16%

6,000,001 – 7,000,000 27 0 0%

7,000,001 – 8,000,000 6 0 0%

8,000,000 – 10,000,000 14 1 7%

10,000,001+ 12 2 17%

Totals 247 48 19%

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

FAITH’S KEY INSIGHTS:n On average, more than 11 new listings for detached houses were added

to the Westside market every day in April. There are also active listings carried over from March, since it now takes an average of 55 days for a new listing to sell. But sales fell to the lowest April level in at least three decades. The result is an aggressive buyer’s market in what traditionally is the strongest sales period of the year. A huge selection, prices reversing in nearly every neighbourhood and a lack of competition put Westside house buyers squarely in the driver’s seat. Sure, property taxes and mortgage rates have increased, but savvy buyers realize savings in the actual purchase price offsets these costs.

n The 48 Westside detached house buyers in April were rewarded. For the first April in years they had all the time needed to tour properties, arrange financing, retain their subjects and negotiate price without competing against multiple offers. In Dunbar, which once led all of Vancouver in price appreciation, five buyers paid a benchmark price $125,000 less than in January. In Point Grey, buyers paid $259,000 less than the benchmark three months earlier. Across all the West Side, benchmark house prices were down $44,000 from March, at $3.4 million.

n The Westside, however, continues to attract developers who recognize the long-term potential in Canada’s premier housing market. Developers are quite busy now that Vancouver City Council has approved Phase 3 of the Cambie Corridor. This means that 1,700 detached houses in the area are now zoned for higher-density development. One detached lot with a “teardown” house near the King Edward transit station sold for $3.2 million above assessed value as part of a land assembly, an indication of where developers believe Westside home prices are truly heading.

$5,000,000

$4,500,000

$4,000,000

$3,500,000

$3,000,000

$2,500,000

$2,000,000

Days

70

60

50

40

30

20

10

SALES PRICE MONTHLY TREND

– Me

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rice

– Av

erage

Sales

Price

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

DAYS ON MARKET MONTHLY TREND

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Avera

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$3,687,443

$3,270,000

$3,852,010

$3,675,000

$3,852,010

$3,675,000

$3,806,402

$3,200,000

$3,738,705

$3,050,000

$3,766,800

$3,200,000

53

39

58

62

64

32

46

25

33

16

48

21

January 54 58 6.9%February 90 48 -46.7%March 100 59 -41.0%April 142 48 -66.1%May June Total 386 213 -44.8%

2017 2018 CHANGEUNIT SALES (BY MONTH)

THE REAL WESTSIDE RESULTS: APR 2018


MAY- SINGLE FAMILY DETACHED HOMES

January 54 58 6.9%February 90 48 -46.7%March 100 60 -40.0%April 142 72 -49.3%May 165 68 -58.8%June Total 551 306 -44.5%


THE REAL NEIGHBOURHOOD RESULTS: MAY 2018




Arbutus 3 $3,796,600 0.1 -0.36

Cambie 7 $2,606,200 1.3 -1.81

Dunbar 12 $2,931,500 -1.68 -5.38

Kerrisdale 2 $3,264,500 1.5 -4.13

Kitsilano 9 $2,384,300 3.08 -2.04

MacKenzie Heights 5 $3,478,300 1.2 -4.48

Marpole 5 $2,354,200 -0.55 3.15

Mount Pleasant VW 1 $2,587,400 2.97 2.79

Oakridge VW 1 $3,199,700 0.53 -1.31

Point Grey 5 $3,642,700 1.85 -2.98

Quilchena 2 $3,939,600 -1.52 -1.95

S.W. Marine 6 $3,371,900 -1.87 2.24

Shaughnessy 6 $5,903,700 2.83 -2.84

South Cambie 0 $3,627,500 -1.76 -2.32

South Granville 0 $4,261,400 4.07 1.33

Southlands 1 $3,693,200 -0.6 3.95

University VW 3 $5,805,800 2.52 -4.13

Vancouver West 68 $3,430,500 0.77 -2


0 – 2,000,000 8 7 88%

2,000,001 – 2,250,000 10 6 60%

2,250,001 – 2,500,000 14 5 36%

2,500,001 – 2,750,000 12 9 75%

2,750,001 – 3,000,000 29 5 17%

3,000,001 – 3,250,000 7 9 129%

3,250,001 – 3,500,000 13 6 46%

3,500,001 – 3,750,000 24 1 4%

3,750,001 – 4,000,000 17 4 24%

4,000,001 – 4,500,000 20 3 15%

4,500,001 – 5,000,000 23 0 0%

5,000,001 – 6,000,000 29 4 14%

6,000,001 – 7,000,000 21 3 14%

7,000,001 – 8,000,000 12 2 17%

8,000,000 – 10,000,000 6 3 50%

10,000,001+ 9 1 11%

Totals 254 68 27%


FAITH’S KEY INSIGHTS:n More than 250 detached houses were newly listed on the Westside in

May, adding to the 230 new listings that didn’t sell in April. Since it now takes an average of 44 days for a new listing to sell, buyers are being treated to the biggest buffet of houses in years. But the appetite for Westside detached houses has been declining, largely due to what many see as excessive new taxation. Yet for buyers who have long aspired to own a detached house on the Westside, the next few months may represent a lifetime opportunity.

n I know, I know: every real estate agent says “this is the time to buy” but raw facts and fundamentals have truly sharpened the buyer’s advantage for Westside detached houses. Buyers take note: in May there were 73 new listings for Westside houses priced at less than $3 million. In Dunbar, which had the most sales (11) in the month, the benchmark price of $2.91 million was $213,000 less than it was a year ago. In Kitsilano the benchmark house price of the 9 sales was $183,000 less than a year ago. The median, not benchmark, price of a Westside detached house is now $605,000 below what it was just seven months ago.

n I realize some vendors are hesitant to accept the reality that you can’t have increased inventory and slowing sales – which were down 58.8% in May compared to May 2017 – without eventually having an effect on listing prices. In May for example, 100% of the Westside detached houses listed for sale at from $3 million to $3.25 million sold but less than half of the 24 listed from $3.25 million to $3.50 million sold and only 4% of the 24 listed at from $3.5 million to $3.75 million sold. There is a message there.

$5,000,000

$4,500,000

$4,000,000

$3,500,000

$3,000,000

$2,500,000

$2,000,000

Days

70

60

50

40

30

20

10


– Me

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– Av

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Sales

Price

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


– Me

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$3,752,010

$3,675,000

$3,852,010

$3,675,000

$3,806,402

$3,200,000

$3,738,705

$3,050,000

$3,766,800

$3,200,000

$4,166,717

$3,100,000

58

62

64

32

46

25

33

16

48

21

45

23

THE REAL WESTSIDE RESULTS: MAY 2018


THE REAL NEIGHBOURHOOD RESULTS: JUNE 2018

JUNE - SINGLE FAMILY DETACHED HOMES




Arbutus 2 $3,693,700 -2.71% -4.16%

Cambie 11 $2,558,200 -1.84% -2.23%

Dunbar 9 $2,850,900 -2.75% -3.93%

Kerrisdale 6 $3,201,800 -1.92% -2.96%

Kitsilano 11 $2,420,400 1.51% 3.92%

MacKenzie Heights 2 $3,435,900 -1.22% -2.94%

Marpole 3 $2,381,700 1.17% 2.8%

Mount Pleasant VW 0 $2,488,200 -3.83% -4.89%

Oakridge VW 0 $3,248,300 1.52% 1.37%

Point Grey 5 $3,524,900 -3.23% -5.75%

Quilchena 0 $3,834,300 -2.67% -5.58%

S.W. Marine 2 $3,398,000 0.77% 1.95%

Shaughnessy 0 $5,836,400 -1.14% -0.74%

South Cambie 0 $3,761,400 3.69% -0.68%

South Granville 3 $4,261,400 0% 1.6%

Southlands 6 $3,740,000 1.27% 2.31%

University VW 3 $5,692,300 -1.95% -4.82%

Combined Total 63 $3,392,500 -1.11% -1.64%


0 – 2,000,000 12 5 42%

2,000,001 – 2,250,000 10 7 70%

2,250,001 – 2,500,000 14 6 43%

2,500,001 – 2,750,000 10 8 80%

2,750,001 – 3,000,000 28 10 36%

3,000,001 – 3,250,000 11 5 45%

3,250,001 – 3,500,000 14 5 36%

3,500,001 – 3,750,000 13 5 38%

3,750,001 – 4,000,000 16 1 6%

4,000,001 – 4,500,000 24 4 17%

4,500,001 – 5,000,000 16 3 19%

5,000,001 – 6,000,000 21 1 5%

6,000,001 – 7,000,000 14 2 14%

7,000,001 – 8,000,000 9 1 11%

8,000,000 – 10,000,000 9 0 0%

10,000,001+ 6 0 0%

Totals 227 63 28%

LISTING AND SALES ACTIVITY BY PRICE SEGMENT

THE REAL WESTSIDE RESULTS: JUNE 2018


– Me

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Sales

Price

$5,500,000 $5,000,000 $4,500,000 $4,000,000 $3,500,000 $3,000,000 $2,500,000

JAN FEB MAR APR MAY JUNE

70

60

50

40

30

20

10


Days

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Sales-to-New-Listings Ratio


$3,852,010

$3,675,000

$3,806,402

$3,200,000

$3,738,705

$3,050,000

$3,766,800

$3,200,000

$4,166,717

$3,100,000

$3,174,718

$2,929,000

64

32

46

25

33

16

48

21

45

23

38

19

Janaury 54 54 6.9%February 90 47 -47.8%March 100 61 -39.0%April 142 72 -49.3%May 165 83 -49.7%June 99 63 -36.4%Total 650 333 -48.8%


FAITH’S KEY INSIGHTS:n Welcome to a higher density Westside community. If the City of

Vancouver’s ‘Making Room’ plan goes through, which appears likely, every single-family detached house site in the city will soon be automatically up-zoned for at least two homes and perhaps more, depending on the location – near transit stations, schools or major arteries for example. Part of the plan is to allow four-plexes and multi-unit buildings in RS- and RT-zoned areas. The intended goal of the city is to increase the supply of homes for buyers and renters by adding 10,000 new units over the next 10 years. However, higher-density zoning will inevitably add value to existing detached house lots. On July 24, the city will release more details and begin a round of public hearings on this blanket rezoning. We are watching closely, and so should anyone interested in buying or selling a Westside detached house.

n The June benchmark price for a Westside detached house was $3.39 million, down 1.1% from May and down 1.64% from three months earlier. It should be no surprise that Westside detached house sales action divides on each side of the $3 million price line. This is the price level where the new school tax kicks in, adding another level of taxes. In June, the sales-to-new-listing ratio for detached houses priced under $3 million was above 50% and reached 80% for houses listed from $2.5 million to $2.75 million. Once the price crests $3 million, the ratio drops below 30%. When listing prices reach $5 million, the ratio is in single-digits. For buyers aspiring for a luxury Westside house, however, there were 100 new listings in June priced at $4 million or more and just 11 of them sold. This is a true buyers advantage and may represent the best Westside buyer opportunity this summer.


Q2 - SINGLE FAMILY DETACHED HOMES

THE REAL NEIGHBOURHOOD RESULTS: Q2 2018


BENCHMARK PRICE CHANGE(%)


0 – 2,000,000 32 19 59%

2,000,001 – 2,250,000 32 21 66%

2,250,001 – 2,500,000 51 23 45%

2,500,001 – 2,750,000 47 25 53%

2,750,001 – 3,000,000 82 20 24%

3,000,001 – 3,250,000 26 17 65%

3,250,001 – 3,500,000 48 17 35%

3,500,001 – 3,750,000 58 12 21%

3,750,001 – 4,000,000 66 18 27%

4,000,001 – 4,500,000 73 12 16%

4,500,001 – 5,000,000 65 5 8%

5,000,001 – 6,000,000 73 8 11%

6,000,001 – 7,000,000 53 7 13%

7,000,001 – 8,000,000 34 4 12%

8,000,000 – 10,000,000 25 4 16%

10,000,001+ 20 6 30%

Totals 785 218 28%


THE REAL WESTSIDE RESULTS: Q2 2018

SALES PRICE QUARTERLY TREND

Unit Sales (by Quarter)

Q1

Q2

Q3

Q4Year-to-Date Totals

2017248406

654

2018162218

480

Change (%)

-34.71%

-46.3%

-27.0%

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Sales

Price

$5,500,000$5,000,000$4,500,000$4,000,000 $3,500,000 $3,000,000 $2,500,000

$3,980,946

$3,455,000

$4,234,422

$3,690,000

$3,982,408

$3,308,000

$3,796,114

$3,300,000

$3,747,956

$3,019,762

Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018

70

60

50

40

30

20

10

38

16

46

26

51

34

47

24

44

20

DAYS ON MARKET QUARTERLY TREND

Days

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Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018


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

Arbutus 9 $3,693,700 -4.16% -6%

Cambie 24 $2,558,200 -2.23% -1.81%

Dunbar 30 $2,850,900 -3.93% -9.88%

Kerrisdale 14 $3,201,800 -2.96% -12.05%

Kitsilano 28 $2,420,400 3.92% -3.91%

MacKenzie Heights 12 $3,435,900 -2.94% -12.07%

Marpole 16 $2,381,700 2.8% 0.11%

Mount Pleasant VW 1 $2,488,200 -4.89% 3.57%

Oakridge VW 2 $3,248,300 1.37% 0.07%

Point Grey 19 $3,524,900 -5.75% -11.1%

Quilchena 7 $3,834,300 -5.58% -5%

S.W. Marine 13 $3,398,000 1.95% -0.51%

Shaughnessy 9 $5,836,400 -0.74% -2.64%

South Cambie 2 $3,761,400 -0.68% -1.23%

South Granville 11 $4,261,400 1.6% -7.59%

Southlands 14 $3,740,000 2.31% -0.16%

University VW 7 $5,692,300 -4.82% -12.91%

Combined Total 218 $3,392,500 -1.64% -6.47%

FAITH’S KEY INSIGHTS:n Westside detached house sellers have been facing headwinds since

January but there was strong evidence in the second quarter (Q2) that the affect of a cascade of government measures, from tougher federal mortgage regulations to provincial and municipal tax increases and restrictions, were beginning to abate. Detached sales on the Westside, after falling to 162 in Q1 as most of the measures came into force, rallied to 218 sales in Q2. This is still down 46% from the heady sales pace in the second quarter of last year, but an indication of a steady recovery. The Westside is certainly more welcoming to buyers now. For starters, the inventory of new listings is higher, with 785 detached houses added in Q2. As well, in Q2 there were 64 Westside detached houses listed for $2.25 million or less, compared to just 42 in Q2 2017.

n The second quarter also saw Dunbar regain its lead as the top-selling neighbourhood for Westside detached houses, but the 34 buyers in Q2 were purchasing at a benchmark price of $2.85 million, a big change from the $3.16 million benchmark price Dunbar houses were selling for at the same time last year. In fact, Westside detached house prices in Q2, at $3.3 million, were down 6.4% from Q2 2017. But only 28% of new listings sold in Q2. The Westside is a buyer’s market for detached houses right now, even as the City moves to rezone every lot for higher density. Faith Wilson Group offers the exclusive Peace of Mind Guarantee for Buyers to ensure that you can take advantage of this market with calm confidence.


APRIL - TOWNHOUSES


0 – 400,000 0 0 0%

400,001 – 500,000 0 0 0%

500,001 – 600,000 0 0 0%

600,001 – 700,000 2 2 100%

700,001 – 800,000 3 0 0%

800,001 – 900,000 7 4 57%

900,001 – 1,000,000 6 4 67%

1,000,001 – 1,100,000 7 2 29%

1,100,001 – 1,200,000 11 4 36%

1,200,001 – 1,300,000 9 6 67%

1,300,001 – 1,400,000 8 3 38%

1,400,001 – 1,500,000 13 1 8%

1,500,001 – 1,750,000 14 4 29%

1,750,001 – 2,000,000 15 3 20%

2,000,001 – 3,000,000 13 2 15%

3,000,000+ 6 1 17%

Totals 114 36 32%






Cambie 0 $1,246,100 4.71 8.48

Coal Harbour 2 $1,856,500 -4.02 0.53

Downtown VW 2 $1,028,400 0.22 1.68

Fairview VW 8 $1,136,400 4.39 5.21

False Creek 4 $934,500 2.87 0.48

Kerrisdale 1 $1,590,500 4.19 9.19

Kitsilano 12 $1,088,900 0.79 0.62

Marpole 3 $1,159,600 4.1 9.83

Mount Pleasant VW 1 $1,274,400 0.81 1.38

Oakridge VW 1 $1,648,900 3.9 9.58

Point Grey 0 $1,183,100 4.43 8.85

Quilchena 1 $1,586,100 5.15 8.09

Shaughnessy 0 $2,469,000 7.21 8.95

South Cambie 2 $1,918,100 5.68 7.14

South Granville 0 $1,672,100 3.35 10.75

University VW 1 $1,788,600 4.05 9.64

West End VW 0 $1,208,400 -0.47 0.62

Yaletown 0 $1,783,200 -0.85 0.84

Vancouver West 36 $1,302,200 2.46 4.35

$2,500,000

$2,250,000

$2,000,000

$1,750,000

$1,500,000

$1,250,000

$1,000,000

Days

60

50

40

30

20

10

0


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Sales

Price



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$1,418,165

$1,100,000

$1,590,891

$1,620,000

$1,472,031

$1,420,000

$1,317,459

$1,150,000

$1,534,965

$1,473,000

$1,488,507

$1,227,500

17

10

30

21

26

14

17

9

21

10

20

8

Janaury 27 18 -33.3%February 37 37 0%March 54 32 -40.7%April 66 36 -45.5%May June Total 184 123 -33.2%


FAITH’S KEY INSIGHTS:n The April benchmark price for a Westside townhouse, at $1.3 million,

was $2.1 million less than the benchmark price of a Westside detached house. And the typical townhouse price is increasing by 2.4% per month while the detached house benchmark price is declining by 1.3% per month. This partly helps explain why the typical new listing for a Westside townhouse sold within a median of 7 days in April and sales were the second highest for any month this year. There were 36 sales in April from 114 new listings, resulting in a sales-to-new-listing ratio of 32%. This is considered a buyer’s market because of the relatively high number of new listings, but it remains very active with multiple offers being seen on prime listings.

n A lot more new townhouses are coming to the Westside. The City of Vancouver says that recent approval of Phase 3 of the Cambie Corridor rezoning will deliver 32,000 new homes, 75% of which will be strata units. The city has put an emphasis on family-sized units, which suggests there will be a zoning preference for townhouses. As well, Vancouver multi-family starts are at a near-record pace with this year. That’s the good news for buyers. The bad news is that most of the new townhouses are being built on land that was sold one to two years ago at high values. In some cases, residential development land has sold in excess of $800 per square foot, a cost that developers must recover on the completed strata units.

n The development pressure extends to existing townhouse projects that have the potential for redevelopment, especially older projects close to transit, schools or parks and beaches. Overall, we suggest that owners of existing Westside townhouses hold one of the most valuable real estate assets in the country.



MAY - TOWNHOUSES


0 – 400,000 0 0 0

400,001 – 500,000 0 0 0

500,001 – 600,000 1 1 100%

600,001 – 700,000 4 2 50%

700,001 – 800,000 2 0 0%

800,001 – 900,000 6 4 67%

900,001 – 1,000,000 10 2 20%

1,000,001 – 1,100,000 3 5 167%

1,100,001 – 1,200,000 12 3 25%

1,200,001 – 1,300,000 10 1 10%

1,300,001 – 1,400,000 13 1 8%

1,400,001 – 1,500,000 11 3 27%

1,500,001 – 1,750,000 17 10 59%

1,750,001 – 2,000,000 23 5 22%

2,000,001 – 3,000,000 14 2 14%

3,000,000+ 6 0 0%

Totals 132 39 30%






Cambie 0 $1,251,800 0.45 8.03

Coal Harbour 1 $1,866,800 0.55 0.52

Downtown VW 0 $1,015,100 -1.29 0.66

Fairview VW 12 $1,104,400 -2.81 3.51

False Creek 1 $948,500 1.5 0.25

Kerrisdale 1 $1,599,700 0.57 9.01

Kitsilano 3 $1,114,400 2.34 2.42

Marpole 0 $1,144,700 -1.28 10.2

Mount Pleasant VW 0 $1,263,300 -0.87 1.29

Oakridge VW 5 $1,661,100 0.74 9.34

Point Grey 1 $1,187,400 0.36 7.88

Quilchena 2 $1,587,800 0.1 7.72

Shaughnessy 1 $2,498,100 1.18 9.63

South Cambie 2 $1,921,100 0.16 9.97

South Granville 1 $1,667,500 -0.28 8.89

University VW 1 $1,801,700 0.73 9.13

West End VW 2 $1,218,000 0.79 -0.53

Yaletown 3 $1,814,900 1.78 2.17

Vancouver West 39 $1,304,500 0.17 4.35

$2,200,000

$2,000,000

$1,800,000

$1,600,000

$1,400,000

$1,200,000

$1,000,000

Days

60

50

40

30

20

10

0


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Sales

Price



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$1,590,891

$1,620,000

$1,472,031

$1,420,000

$1,317,459

$1,150,000

$1,534,965

$1,473,000

$1,488,507

$1,227,500

$1,360,026

$1,409,000

30

21

26

14

17

9

21

10

20

8

26

16

January 27 18 -33.3%February 37 37 0%March 54 32 -40.7%April 66 40 -39.4%May 62 39 -37.1%June Total 246 166 -32.5%


FAITH’S KEY INSIGHTS:n The Westside is seeing a wider selection of townhouses for sale with 132

new listings added in May, the highest monthly number in a more than a year. The inventory also reflects a broad price range from $500,000 to more than $3 million. There is also good representation geographically. In May, at least one townhouse sold in 14 of the 18 Westside neighbourhoods that we monitor. The 39 townhouse sales in May were lower than in May 2017 but the second highest for any month this year.

n Due to an increase in federal immigration, an estimated 40,000 to 45,000 immigrants will arrive in Metro Vancouver annually over the next few years. Within a decade that is equal to adding a city the size of Burnaby. Housing starts, particularly of townhouses, are simply not keeping up with the projected demand, and land for development remains scarce. That is why there is intense interest in converting existing low-density townhouse sites into higher-density projects. Owners in older Westside townhouse projects, particularly in the Cambie Corridor, the West End or Kerrisdale, can expect to eventually be approached by developers wishing to purchase the entire complex. Faith Wilson Group is aware of the complexities and the potential of such transactions for both sellers and buyers and can provide the latest advice.

n Westside townhouses are retaining value remarkably well considering the headwinds this year. In May, the benchmark townhouse price was $1.3 million, up 4.35% from March 1, which was after the February provincial budget introduced the speculation tax, increased the school tax and raised the foreign buyer tax. It is evidence that the law of supply and demand often leaps over regulatory barriers. Barring a huge and immediate increase in the townhouse supply, which is extremely doubtful, we expect a continued ascension in Westside townhouse prices .




0 – 400,000 0 0 0%

400,001 – 500,000 0 0 0%

500,001 – 600,000 0 0 0%

600,001 – 700,000 1 1 100%

700,001 – 800,000 7 1 14%

800,001 – 900,000 1 4 400%

900,001 – 1,000,000 9 7 78%

1,000,001 – 1,100,000 5 2 40%

1,100,001 – 1,200,000 9 3 33%

1,200,001 – 1,300,000 10 4 40%

1,300,001 – 1,400,000 8 6 75%

1,400,001 – 1,500,000 3 1 33%

1,500,001 – 1,750,000 17 5 29%

1,750,001 – 2,000,000 14 2 14%

2,000,001 – 3,000,000 9 1 11%

3,000,000+ 5 1 20%

Totals 98 38 39%



THE REAL WESTSIDE RESULTS:: JUNE 2018 THE REAL NEIGHBOURHOOD RESULTS: JUNE 2018

JUNE - TOWNHOUSES



Cambie 3 $1,244,800 -0.56 4.6

Coal Harbour 0 $1,818,800 -2.57 -5.97

Downtown VW 2 $1,008,100 -0.69 -1.76

Fairview VW 11 $1,122,800 1.66 3.14

False Creek 1 $940,500 -0.85 3.54

Kerrisdale 0 $1,589,400 -0.64 4.12

Kitsilano 5 $1,104,100 -0.92 2.19

Marpole 2 $1,180,500 3.13 5.98

Mount Pleasant VW 3 $1,254,000 -0.74 -0.81

Oakridge VW 0 $1,657,200 -0.23 4.42

Point Grey 1 $1,184,800 -0.22 4.59

Quilchena 0 $1,558,200 -1.86 3.3

Shaughnessy 0 $2,452,300 -1.84 6.49

South Cambie 1 $1,880,700 -2.1 3.62

South Granville 3 $1,662,400 -0.31 2.75

University VW 2 $1,794,500 -0.4 4.4

West End VW 0 $1,204,000 -1.14 -0.82

Yaletown 4 $1,774,200 -2.24 -1.35

Combined Total 38 $1,303,600 -0.07 2.57

$1,600,000

$1,500,000

$1,400,000

$1,300,000

$1,200,000

$1,100,000

$1,000,000

Days

60

50

40

30

20

10

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Sales

Price



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$1,472,031

$1,420,000

$1,317,459

$1,150,000

$1,534,965

$1,473,000

$1,488,507

$1,227,500

$1,409,000

1,360,026

$1,298,086

$1,221,555

26

14

17

9

21

10

20

8

26

16

20

16

Janaury 27 18 -33.3%February 37 37 0%March 54 32 -40.7%April 66 40 -39.4%May 62 46 -25.8%June 58 38 -34.5%Total 304 211 -30.6%


FAITH’S KEY INSIGHTS:n The benchmark price for a Westside townhouse in June was $1.3 million,

virtually unchanged (down 0.07%) from May but up 2.5% from three months earlier. That is a cash increase of around $32,000 since April 1. With 38 sales in the month and 98 new listings, the sales-to-new-listing ratio was 39%, which signals a lean towards a buyer’s market. But the Westside townhouse market is actually fairly balanced and we see it as relatively healthy for both buyers and sellers. For instance, the typical new listing for a townhouse sold within a median of 16 days and there were townhouse sales in 12 of the 18 Westside neighbourhoods we monitor, which indicates both a fair selection and steady demand.

n Fairview dominated June townhouse sales on the Westside. The 11 sales in that neighbourhood accounted for nearly a third of all townhouse sales, and it was also one of only two neighbourhoods where prices increased from May, rising 1.6% to $1.12 million. The biggest month-over-month increase was in Marpole, where benchmark townhouse prices rose 3.1% to $1.18 million. The lowest price townhouse sale in June was, surprisingly, in False Creek, at a benchmark price of $940,500.

n Despite a 34.5% drop in sales in June compared to June 2017, we expect townhouse prices to remain near current levels this year. The reason is a lack of supply. New listings are barely averaging 100 per month and, despite all the calls for more supply, only 121 new townhouses began construction in all of Vancouver so far this year. Also, in the face of mortgage restrictions, increased taxes and other barriers to buying, the Westside townhouse benchmark price has increased $40,000 higher from this time a year ago. The market will absorb the shock of government intervention and, we believe, sales and prices will continue to increase.


Q2 - TOWNHOUSES


Q1

Q2

Q3


2017118

186

304

201887

124

211

Change (%)

-26.3%

33.3%

30.6%


THE REAL WESTSIDE RESULTS: Q2 2018 THE REAL NEIGHBOURHOOD RESULTS: Q2 2018


Sales-To-New



0 – 400,000 0 0 0%

400,001 – 500,000 0 0 0%

500,001 – 600,000 1 1 100%

600,001 – 700,000 7 5 71%

700,001 – 800,000 12 1 8%

800,001 – 900,000 15 12 80%

900,001 – 1,000,000 27 15 56%

1,000,001 – 1,100,000 16 10 63%

1,100,001 – 1,200,000 32 10 31%

1,200,001 – 1,300,000 29 12 41%

1,300,001 – 1,400,000 28 11 39%

1,400,001 – 1,500,000 29 7 24%

1,500,001 – 1,750,000 46 20 43%

1,750,001 – 2,000,000 55 11 20%

2,000,001 – 3,000,000 34 6 18%

3,000,000+ 17 3 18%

Totals 348 124 36%


Cambie 3 $1,244,800 4.6 6.95

Coal Harbour 3 $1,818,800 -5.97 6.17

Downtown VW 2 $1,008,100 -1.76 10.00

Fairview VW 32 $1,122,800 3.14 12.78

False Creek 7 $940,500 3.54 1.83

Kerrisdale 2 $1,589,400 4.12 5.50

Kitsilano 23 $1,104,100 2.19 1.77

Marpole 5 $1,180,500 5.98 12.38

Mount Pleasant VW 5 $1,254,000 -0.81 7.42

Oakridge VW 8 $1,657,200 4.42 5.30

Point Grey 2 $1,184,800 4.59 7.02

Quilchena 3 $1,558,200 3.3 5.33

Shaughnessy 1 $2,452,300 6.49 10.45

South Cambie 5 $1,880,700 3.62 5.94

South Granville 5 $1,662,400 2.75 6.14

University VW 4 $1,794,500 4.4 4.73

West End VW 2 $1,204,000 -0.82 8.64

Yaletown 8 $1,774,200 -1.35 12.28

Combined Total 124 $1,303,600 2.57 7.59

SALES PRICE QUARTERLY TREND

Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018

$1,600,000 $1,500,000 $1,400,000 $1,300,000 $1,200,000$1,100,000$1,000,000

$1,365,058

$1,304,944

$1,475,396

$1,282,000

$1,469,458

$1,277,500

$1,429,411

$1,340,800

$1,382,490

$1,245,000

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Sales

Price

DAYS ON MARKET QUARTERLY TREND

Days

60

50

40

30

20

10

0

21

9

24

12

20

10

21

10

23

12

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Q2 2017 Q3 2017 Q4 2017 Q1 2018 Q2 2018


FAITH’S KEY INSIGHTS:n After a year of buyer frustration, the inventory of West Side townhouses has

reached a healthy level. With a 62% increase from a year ago, there are now 228 active listings for townhouses on the Westside, including 348 new listings added in the second quarter (Q2). The listing surge has met with a sales decline, which has driven the sales-to-new-listing ratio down to 36%, a sign of the strongest buyer’s market in at least two years. Sales in Q2 were down 33.2% from Q2 2017 to 124 sales and it is taking slightly longer, a median of 12 days, for a new listing to sell, compared to a median of 10 days in the previous six months.

n There is also more new townhouses coming to the city, with 34 starts in the first five months of this year and 138 under construction in Vancouver, with about half of these on the Westside. Despite the rising inventory and the slower sales, prices of Westside townhouses continue to increase. In Q2, the benchmark price for a Westside townhouse was $1.3 million, up 2.5% from Q1 and 7.5% higher than a year earlier.

n I have to post a caution to Westside townhouse sellers to be very careful on their listing price, however. Vancouver buyers are tuned to market values, especially with such a huge inventory to choose from. An example: in Q2 46 Westside townhouse listings came to the market priced from $1.5 million to $1.75 million and 43% of them sold. But of the 55 new listings a bit higher, at from $1.75 million to $2 million, only 20% sold. Faith Wilson Group is recognized for achieving quicker sales on the Westside than the industry average. We do this by ascertaining accurate market value. Sellers should strive to do the same.


APRIL - APARTMENTS /CONDOS





Cambie 8 $720,200 -0.17 2.99

Coal Harbour 19 $1,063,300 -1.38 0.97

Downtown VW 55 $728,400 -1.23 -0.27

Dunbar 1 $711,000 -2.8 0.41

Fairview VW 23 $838,100 -0.71 3.85

False Creek 20 $882,800 0.84 4.78

Kerrisdale 5 $924,500 -2.68 1.27

Kitsilano 29 $662,300 -1.26 3.46

Marpole 10 $615,700 0.76 2.68

Mount Pleasant VW 2 $600,600 0.2 6.14

Oakridge VW 1 $1,122,500 -0.75 1.54

Point Grey 3 $622,500 -2.12 2.01

Quilchena 5 $1,147,700 -2.61 1.74

S.W. Marine 4 $501,300 -1.99 1.97

Shaughnessy 1 $688,100 -3.95 4.33

South Cambie 0 $957,000 -1.7 2.38

South Granville 0 $1,021,600 -1.3 0.31

Southlands 0 $834,700 -3.64 2.95

University VW 23 $964,700 2.8 6.52

West End VW 37 $715,500 0.17 10.62

Yaletown 36 $935,700 0.99 6.22

Combined Total 282 $841,700 -0.36 3.6


0 – 350,000 1 2 200%

350,001 – 400,000 2 0 0%

400,000 – 450,000 4 2 50%

450,001 – 500,000 17 2 12%

500,001 – 550,000 28 12 43%

550,001 – 600,000 44 24 55%

600,001 – 650,000 35 13 37%

650,001 – 700,000 64 28 44%

700,001 – 750,000 49 22 45%

750,001 – 800,000 63 19 30%

800,001 – 900,000 79 41 52%

900,001 – 1,000,000 61 24 39%

1,000,001 – 1,250,000 82 42 51%

1,250,001 – 1,500,000 65 17 26%

1,500,000 – 2,000,000 69 17 25%

2,000,001 + 92 17 18%

Totals 755 282 37%

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

$1,150,000$1,000,000

$950,000$900,000$850,000$800,000$750,000


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Sales

Price

$978,916

$785,000

$947,066

$760,000

$1,147,846

$898,800

$1,104,341

$865,694

$1,058,012

$803,000

$1,062,400

$846,500


Days

60

50

40

30

20

10

0


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21

11

19

10

33

8

17

8

20

9

17

9

Janaury 269 266 -1.1%February 377 311 -17.5%March 441 383 -13.2%April 463 282 -39.1%May June Total 1,550 1,242 -19.9%


FAITH’S KEY INSIGHTS:n Sales of Westside condominiums plunged nearly 40% in April compared

to April 2017 and sales were the second lowest for any month this year. But anyone in the Westside condo arena knows the stats belie how busy this market really is. In April 282 condos sold on the Westside, a pace of more than nine transactions every day. There were 755 new listings: that is 25 new sellers every day. There were multiple offers on some prime listings, the typical new listing sold within 9 days and 17 buyers paid a benchmark price of more than $2 million for a Westside condo apartment. This translates into one of the most dynamic real estate markets on the planet, let alone in B.C.

n Westside condo apartment buyers hold a relative advantage at every price point. For the cost-conscious, such as first-time buyers and the 30,000 newcomers that are moving to Metro Vancouver every year, April saw 62 Westside condos priced at $550,000 or less and two-dozen of these were priced at or below $500,000. For these shopping at the higher end, the Westside posted 309 listings in April priced above $1 million, including 92 at $2 million or more. With a sales-to-new-listing ratio of 37%, buyers had an impressive selection to choose from among the highest number of new listings in more than a year. Westside condo prices are also calming somewhat. In April the overall benchmark condo price was $841,700, down 0.3% from March, though up 3.6% from three months earlier.



MAY - APARTMENTS /CONDOS





Cambie 8 $742,300 3.07 5.57

Coal Harbour 15 $1,096,000 3.07 5.51

Downtown VW 60 $734,000 0.78 -1.45

Dunbar 1 $708,100 -0.41 -4.46

Fairview VW 29 $846,000 0.95 -0.03

False Creek 21 $883,500 0.08 1.9

Kerrisdale 0 $925,600 0.12 -3.36

Kitsilano 41 $662,000 -0.04 1.5

Marpole 8 $632,300 2.7 6.05

Mount Pleasant VW 2 $600,100 -0.1 3.84

Oakridge VW 2 $1,163,000 3.6 5.3

Point Grey 1 $619,300 -0.52 -2.75

Quilchena 4 $1,151,500 0.32 -3.67

S.W. Marine 2 $505,200 0.78 -2.84

Shaughnessy 1 $711,900 3.45 1.71

South Cambie 1 $996,700 4.14 5.47

South Granville 0 $1,068,700 4.61 6.27

Southlands 0 $825,300 -1.12 -4.11

University VW 23 $982,300 1.83 7.4

West End VW 30 $704,100 -1.59 3.6

Yaletown 46 $923,700 -1.29 -0.24

Vancouver West 295 $845,400 0.44 1.14


0 – 350,000 1 0 0%

350,001 – 400,000 4 1 25%

400,000 – 450,000 5 5 100%

450,001 – 500,000 15 5 33%

500,001 – 550,000 18 18 100%

550,001 – 600,000 41 25 61%

600,001 – 650,000 43 33 77%

650,001 – 700,000 74 20 27%

700,001 – 750,000 41 27 66%

750,001 – 800,000 83 21 25%

800,001 – 900,000 74 29 39%

900,001 – 1,000,000 89 26 29%

1,000,001 – 1,250,000 77 37 48%

1,250,001 – 1,500,000 82 20 24%

1,500,000 – 2,000,000 82 14 17%

2,000,001 + 84 14 17%

Totals 813 295 36%

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

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

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


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Sales

Price

$947,066

$760,000

$1,148,716

$898,800

$1,104,345

$862,694

$1,058,758

$804,000

$1,065,866

$850,000

$968,040

$784,000


Days

60

50

40

30

20

10

0


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19

10

33

8

17

8

20

9

17

9

18

10

January 269 267 -0.7%February 377 312 -17.2%March 441 386 -12.5%April 463 331 -28.5%May 517 295 -42.9%June Total 2,067 1,591 -23.0%


FAITH’S KEY INSIGHTS:n Westside condominium sales were lower in May than in May of last year,

but this remains the premier condo market in Canada, In May an average of nearly 10 condo apartments sold every day at a benchmark price of $845,400. The typical new listing was on the market for a median of only 9 days before it sold and the benchmark was up marginally from April and from three months ago. This is a slower market only in comparison with the heady spring of 2017.

n The benchmark price of a condo apartment in the Lower Mainland is now $727,000, but it is easy to find Westside condominiums priced well below that. In May, for example, 202 condos were listed on the Westside for less than $700,000; 41 Kitsilano condo buyers paid a benchmark price of $600,100 in May; 30 buyers in the West End paid less than $705,000.

n One in five new condo pre-sales in Vancouver are now being made to foreign buyers. The apparent thinking from non-Canadian investors is that B.C.’s 20% foreign-buyer tax simply rounds out to the U.S. dollar exchange. This means local buyers are facing strong international competition in the pre-sale condo sector. Also, some condo projects may not proceed if the developer gets a better offer for the site, which was seen recently in the Cambie area and the West End. I encourage buyers to look first at resale condos: they are in place, well built and remove any doubts about disruption in delivery dates.



THE REAL NEIGHBOURHOOD RESULTS: JUNE 2018

JUNE - APARTMENTS /CONDOS




Cambie 3 $752,400 1.36 4.29

Coal Harbour 12 $1,132,500 3.33 5.03

Downtown VW 36 $736,700 0.37 -0.1

Dunbar 2 $733,800 3.64 0.32

Fairview VW 33 $830,400 -1.85 -1.62

False Creek 19 $874,300 -1.04 -0.13

Kerrisdale 7 $943,500 1.94 -0.67

Kitsilano 25 $657,800 -0.64 -1.93

Marpole 13 $639,000 1.06 4.59

Mount Pleasant VW 3 $577,900 -3.69 -3.6

Oakridge VW 2 $1,164,700 0.15 2.98

Point Grey 2 $638,800 3.15 0.43

Quilchena 4 $1,172,900 1.86 -0.47

S.W. Marine 4 $516,900 2.32 1.06

Shaughnessy 1 $688,100 -3.33 -3.95

South Cambie 2 $1,002,100 0.54 2.93

South Granville 0 $1,104,900 3.39 6.76

Southlands 0 $852,700 3.32 -1.56

University VW 19 $988,100 0.58 5.29

West End VW 27 $690,500 -1.93 -3.32

Yaletown 20 $904,300 -2.1 -2.41

Combined Total 234 $842,600 -0.33 -0.26


0 – 350,000 2 0 0%

350,001 – 400,000 1 1 100%

400,000 – 450,000 3 3 100%

450,001 – 500,000 14 9 64%

500,001 – 550,000 19 11 58%

550,001 – 600,000 34 14 41%

600,001 – 650,000 41 27 66%

650,001 – 700,000 50 18 36%

700,001 – 750,000 37 20 54%

750,001 – 800,000 37 16 43%

800,001 – 900,000 66 27 41%

900,001 – 1,000,000 64 16 25%

1,000,001 – 1,250,000 69 31 45%

1,250,001 – 1,500,000 70 18 26%

1,500,000 – 2,000,000 41 12 29%

2,000,001 + 54 11 20%

Totals 602 234 39%


THE REAL WESTSIDE RESULTS: JUNE 2018

Sales-to-New- Listings Ratio

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

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


– Me

dian S

ales P

rice

– Av

erage

Sales

Price

$1,147,846

$898,800

$1,104,341

$865,694

$1,058,012

$803,000

$1,062,400

$846,500

$967,260

$792,000

$965,396

$799,950


Days

60

50

40

30

20

10

0


– Me

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Avera

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Mark

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33

8

17

8

20

9

17

9

18

10

19

10

Janaury 269 267 -0.7%February 377 312 -17.2%March 441 387 -12.2%April 463 334 -27.9%May 517 375 -27.5%June 443 234 -47.2%Total 2,510 1,909 -23.9%


FAITH’S KEY INSIGHTS:n Few could have forecast the ascension of condominium apartments

to their current towering status on the Westside market. In June, for example, more than twice as many condos sold, 234, than detached houses and townhouses on the Westside combined. There are now more than 10,600 new condo apartments under construction in Vancouver, nearly 10 times higher than new houses or townhouses. Of course, price plays a role since condo apartments are generally less expensive, but in June more than 40 buyers paid more than $1.2 million for a condo and nearly two-dozen paid more than $1.5 million, which is well above the Westside townhouse price. Condo apartments have been embraced not as a second-string option but as the first choice for many buyers, from first-time purchasers to downsizing house owners.

n While Westside condo apartment sales were down 47% in June from the same month last year, this remains a very active market. There were condo sales in 19 of the 21 Westside neighbourhoods and sales were booming in some, including the Downtown, where 36 condos sold at a benchmark of $736,700; Kitsilano, where 25 buyers paid a benchmark of $657,800; and the West End, with 27 sales at a benchmark of $690,500.

n There is large inventory on the Westside market, with 602 new listings of condos added in June, and they represented a very wide price band, ranging from $350,000 or less to $2 million or more. And yes, we continue to see multiple offers on some prime Westside listings.


Q2 - APARTMENTS /CONDOS

THE REAL NEIGHBOURHOOD RESULTS: Q2 2018




Cambie 28 $752,400 4.29 16.21

Coal Harbour 50 $1,132,500 5.03 18.4

Downtown VW 185 $736,700 -0.1 6.28

Dunbar 4 $733,800 0.32 14.27

Fairview VW 97 $830,400 -1.62 8.48

False Creek 69 $874,300 -0.13 4.28

Kerrisdale 14 $943,500 -0.67 12.32

Kitsilano 106 $657,800 -1.93 8.48

Marpole 34 $639,000 4.59 17.12

Mount Pleasant VW 8 $577,900 -3.6 7.11

Oakridge VW 5 $1,164,700 2.98 9.56

Point Grey 6 $638,800 0.43 12.7

Quilchena 15 $1,172,900 -0.47 12.17

S.W. Marine 10 $516,900 1.06 15.76

Shaughnessy 3 $688,100 -3.95 4.73

South Cambie 4 $1,002,100 2.93 13.62

South Granville 2 $1,104,900 6.76 16.45

Southlands 0 $852,700 -1.56 13.73

University VW 69 $988,100 5.29 15.05

West End VW 110 $690,500 -3.32 8.04

Yaletown 124 $904,300 -2.41 7.98

Combined Total 943 $842,600 -0.26 9.01


THE REAL WESTSIDE RESULTS: Q2 2018

SALES PRICE QUARTERLY TREND$1,200,000$1,100,000$1,000,000

$900,000 $800,000 $700,000$600,000

$980,028

$765,000

$961,735

$783,000

$980,735

$789,500

$1,098,046

$850,500

$1,000,495

$815,000

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


0 – 350,000 4 3 75%

350,001 – 400,000 7 4 57%

400,000 – 450,000 13 12 92%

450,001 – 500,000 45 21 47%

500,001 – 550,000 67 46 69%

550,001 – 600,000 122 72 59%

600,001 – 650,000 118 81 69%

650,001 – 700,000 191 76 40%

700,001 – 750,000 135 77 57%

750,001 – 800,000 176 66 38%

800,001 – 900,000 219 109 50%

900,001 – 1,000,000 209 74 35%

1,000,001 – 1,250,000 230 129 56%

1,250,001 – 1,500,000 219 68 31%

1,500,000 – 2,000,000 190 58 31%

2,000,001 + 227 47 21%

Totals 2,172 943 43%

19

8

21

10

21

10

21

8

18

10

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

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Days

Sales-to-New- Listings Ratio


Q1

Q2

Q3


20171087

1,423

2,510

2018966

943

1,909

Change (%)

-11.1%

-33.7%

-23.9%

FAITH’S KEY INSIGHTS:n Westside condominium apartment sales were down 33.7% in Q2

compared to the second quarter of last year but it is likely that many buyers didn’t notice. They were too busy purchasing condos, snapping up an average of more than 10 every day at an average (not benchmark) price of more than $1 million. The benchmark price, considered a more accurate gauge of value, was $842,600 in Q2, up 9% from a year earlier but virtually unchanged (down 0.2%) from Q1 2018. The typical new listing for a condo apartment sold within a median of 10 days in Q2, indicative of eager buyer activity that saw 943 sales in the second quarter.

n While condos sold in 20 of the 21 Westside neighbourhoods that we monitor in Q2 (only Southlands, which had a lack of townhouse listings, reported no sales), four neighbourhoods were dominate. These are the Downtown, where 185 condos sold in Q2 at a benchmark price of $736,700; Yaletown where 124 buyers paid a benchmark of $904,300; the West End, with 110 sales at $690,500; and Kitsilano, where 106 condo buyers paid a benchmark of $657,800, a price nearly 2% below Q1.

n Amidst all the action, it is encouraging that 40 buyers purchased a Westside condo in Q2 at $500,000 or less and two dozen of these paid $450,000 or less. At the same time, 47 buyers paid $2 million for more for a condo on the Westside, an inclusive market that apparently has a condo apartment for virtually any budget.

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Q2 2018 VS. Q2 2017 DETACHED - Faith Wilson Group...Q2 2018 VS. Q2 2017 Faith’s Exclusive Westside Analysis PAGE 2 Right now, mid-year of the third year of the most dramatic expansion