FILE - A real estate sign is pictured in Vancouver, B.C., Tuesday, June, 12, 2018. The Sotheby’s International Realty Canada Top Tier Fall Forecast, released on Wednesday, Sept. 25, 2019, predicts a gradual recovery for the top-tier housing market in Vancouver throughout fall 2019. (THE CANADIAN PRESS Jonathan Hayward)

Vancouver’s luxury real estate market to get a boost: forecast

Sotheby’s calls for gradual, tenuous recovery for top-tier market through fall

Vancouver’s luxury real estate market is expected to get a boost this fall after prolonged uncertainty, even though sales above $1 million were low in the first half of September.

The top-tier market started to turn around this summer, according to a Sotheby’s International Realty forecast, after a decrease of 33 per cent year over year in the first half of 2019.

And while preliminary market data shows a 27-per-cent year-over-year pullback in sales above $1 million in the first 15 days of September, Sotheby’s forecasts a gradual, albeit tenuous market recovery throughout the rest of fall.

The real estate sales and marketing company said sales of condominiums, attached and single-family homes higher than $1 million increased 25 per cent from July and August 2018 levels, to 564 properties sold.

During the same time, sales between $1 million to $2 million increased 30 per cent to 411 properties, and sales between $2 million and $4 million increased 26 per cent to 132 units.

However, the luxury $4-million market in Vancouver remained soft. Sales above $4 million actually declined 32 per cent, to 21 units sold in July and August 2019.

READ MORE: Greater Victoria sees real estate prices soften in August

After gains made in the summer, and despite sales being down in the first half of the month, Sotheby’s said pent-up demand is expected to release into new activity and housing prices are expected to continue to drop to match current conditions.

For example, benchmark prices for single-family homes receded 11 per cent in August to $1,346,500 in Vancouver East and 12 per cent in Vancouver West to $2,880,800. Sotheby’s said this repositioned the homes as viable alternatives to higher-density options for some top-tier buyers and investors.

The forecast also cited year-over-year employment growth in Vancouver as a reason for market recovery.

READ MORE: Developer offers free Tesla 3 with purchase of South Surrey townhome

The leading Canadian housing market in the forecast was the Greater Toronto Area.

Significant increases were experienced in the GTA across every housing type, Sotheby’s said, as condominium, attached and single-family home sales above $1 million rose 13 per cent, 45 per cent and 29 per cent from 2018 levels, respectively.

Preliminary sales figures for the first 15 days of September also suggest robust fall activity ahead, as overall $1 million-plus sales surged 53 per cent year-over-year, and sales higher than $4 million rose 75 per cent.



karissa.gall@blackpress.ca

Like us on Facebook and follow us on Twitter

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Sunken Gardens bloom from deeply seeded efforts

Garden club members are rooted in dedication

COVID-19 highlights lack of connectivity in First Nations communities

Many don’t have access required to utilize online platforms, says First Nations Technology Council

Salmon closures announced for Skeena and Nass watersheds

DFO notice expands on May 21 chinook ban throughout Skeena watershed

City to request conservation officer

Predatory wildlife appear to be bolder

11 new COVID-19 cases in B.C. as top doc urges caution amid ‘encouraging’ low rates

Dr. Bonnie Henry also announced that two care home outbreaks would be declared over

Surrey mayor’s party under fire for ‘sickening’ tweet accusing northern B.C. RCMP of murder

Mayor Doug McCallum says tweet, Facebook post ‘sent out by unauthorized person’

Father’s Day Walk Run for prostate cancer will be virtual event this year throughout B.C.

The annual fundraiser for Prostate Cancer Foundation BC has brought in $2.5 million since 1999

Dr. Bonnie Henry announces official ban on overnight kids’ camps this summer

New ban comes after talking with other provincial health officials across the country, Henry says

VIDEO: NASA astronauts blast off into space on SpaceX rocket

Marks NASA’s first human spaceflight launched from U.S. soil in nearly a decade

Introducing the West Coast Traveller: A voyage of the mind

Top armchair travel content for Alaska, Yukon, BC, Alberta, Washington, Oregon and California!

‘I knew what he wanted’: Kootenay man spends hours in tree as black bear patrols below

Francis Levasseur is no stranger to the outdoors, but a recent run-in with a bear caused quite a scare

PHOTOS: U.S. cities brace for increasing unrest over police killing of George Floyd

Minnesota Gov. Tim Walz has fully mobilized the state’s National Guard

$200,000 Maybach impounded after ‘L’ driver caught excessively speeding in Vancouver

Meanwhile, the supervisor sat in the passenger seat, police said

Most Read