How do Vancouver house prices stack up against the rest of the country? (Spoiler alert: don't read this if you're a potential buyer with a weak heart.)
Here's a chart from the Royal LePage Q2 House Price Survey.
These are average prices for bungalows, standard two-storey houses and standard condos. "Vancouver" refers only to the City of Vancouver (where prices are highest in the region) and doesn't include any other municipalities in Metro Vancouver.
A more detailed chart that includes Vancouver East and West, West and North Vancouver and Kelowna is here.
The study showed year-over-year price decreases across all housing types surveyed in Vancouver.
Standard condominium prices decreased by 3.3 per cent year-over-year to $490,475, while detached bungalows decreased 3.2 per cent to $1,052,500. Standard two-storey home prices also saw a moderate drop of 2.3 per cent to $1,151,250. Interestingly, however, this represents an upward trend when compared to the first quarter of 2013, where price decreases were greater than 5.0 per cent across the board.
"The recent changes in mortgage rules have affected a number of buyer groups," said Bill Binnie, broker and owner of Royal LePage North Shore. "First-time buyers can't enter the market as easily and investors are less able to meet the new equity requirements."
According to brokers in the region, the political and economic environment also contributed to sluggish prices early in the quarter. "Buyers were uncertain about the economic outlook in the lead up to the recent provincial election," said Chris Simmons, broker and owner of Royal LePage Westside. "Tightened immigration policies have also been a factor. Our market is largely fueled by immigration and reductions quickly show up in prices and activity levels."
Looking ahead, Royal LePage forecasts that home prices in Vancouver will rise by approximately 2.0 per cent in 2013. "Buyers are starting to gain more confidence in the economic and political future," added Binnie. "As they start to re-enter the market, prices will begin to rise again."
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