Vancouver Housing Market Update: August 2024

Written in August 2024. Some details have changed since, so check current numbers before you act on this.

Two straight Bank of Canada rate cuts hadn't rescued Vancouver's detached market by August 2024: inventory kept rising, sales weren't keeping up, and buyers picked up the leverage. If you’re keeping an eye on the detached market, particularly on Vancouver's East and West sides, you’ll want to pay attention. With inventory continuing to rise and prices starting to show some significant variances, this is your most comprehensive market update for August 2024.

Why didn't rate cuts lift Vancouver's detached market?

Despite back-to-back policy rate cuts, inventory levels across Vancouver’s detached market continue to rise, with sales not keeping up. This trend is putting downward pressure on prices, creating an environment ripe for buyers to take advantage of.

Was Vancouver a buyer's market in August 2024?

Rising Inventory Levels

Since December, inventory levels have been on a steady upward trend, particularly in Vancouver’s East and West sides. Greater Vancouver REALTORS® counted 14,326 homes listed for sale in Metro Vancouver in July 2024, up 39.1 per cent from July 2023. Daily Hive reported the Fraser Valley Real Estate Board's July number at 8,731 active listings, a 41% increase from a year earlier. Vancouver East and Vancouver West also showed more homes for sale in July. You'll find the current numbers for each area in the Kyle Mark Report, free with an account.

With more inventory to choose from, buyers have the upper hand in negotiations, and sellers need to be strategic in pricing their properties.

Were Vancouver detached home prices falling in 2024?

Stagnant Prices

When we look at the median price points from 2022 to now, there hasn’t been significant growth in the detached market. Prices have remained relatively stagnant across Vancouver, the Fraser Valley, and the rest of Greater Vancouver.

Month-to-Month Decline

Prices slipped on both Vancouver's East and West sides from June to July 2024. The board's July 2024 stats package put the median detached sale price on the West Side at $3,444,000, down from $3,634,000 in June. If you want to see what homes on your street actually sold for, the sold map (free account) shows you with a free account.

Sales Data: Buyers Remain Hesitant

Sluggish Sales

Despite the slight improvements in borrowing costs due to the recent rate cuts, buyers remain hesitant. Sales have not picked up in response to the increased inventory, keeping transaction levels below historical norms.

Days on Market

Days on market have moved around, and the MLS® clock restarts when a home is relisted, so the real time to sell is often longer than a listing shows. The Kyle Mark Report shows the real number. With more inventory and a slower sales pace, homes could take longer to sell from here.

Vancouver’s East Side vs. West Side: Winners and Losers

Vancouver’s West Side

• Market Conditions: A buyer's market
• Most Active Price Band: Activity changes sharply from one price band to the next, and the Kyle Mark Report breaks it out
• Opportunities: Best buys in Arbutus, McKenzie Heights, and South Granville, particularly in the higher price bands

Vancouver’s East Side

• Market Conditions: A strong balanced market
• Most Active Price Band: The busiest band sat below the East Side's best buying opportunities, and the sold map (free account) shows the latest
• Opportunities: Best buys in the higher price bands in neighborhoods like Collingwood and South Vancouver

Market Outlook: What to Expect Moving Forward

As we move into the fall, the market is expected to remain relatively soft. More rate cuts are likely needed before we see a significant uptick in buyer activity. September 4th is the next key date to watch for the Bank of Canada’s policy rate announcement, which could bring another rate drop.

August Forecast

August is likely to be a slow month, with potential further drops in prices and sales. Inventory is expected to remain steady, and historically, this period is not a peak time for real estate transactions, especially among families.

What should Vancouver buyers and sellers do in a changing market?

The Vancouver housing market is in a state of flux, with rising inventory, stagnant prices, and hesitant buyers. Whether you’re looking to buy, sell, or invest, staying informed and strategic is key. With more rate cuts on the horizon and ongoing changes to tenancy laws and land use regulations, the landscape is set to evolve further in the coming months.

If you’re thinking about making a move, now is the time to get expert advice. Whether you're buying, selling, or investing in Vancouver, book a call and I'll help you make informed decisions.

Watch the Full Video

For a detailed analysis of the current market conditions, watch my latest YouTube video: Vancouver Housing Market Update | August 2024.

NOTE: this representation is based in whole or in part on data generated by the Chilliwack & District Real Estate Board, Fraser Valley Real Estate Board or Real Estate Board of Greater Vancouver which assume no responsibility for its accuracy.