Following an increase in sales of 25 per cent in 2014, Vancouver’s $1 million-plus home market is poised to see more steady growth in 2015, according to a Sotheby's International Realty Canada report released March 4.
The Bank of Canada’s decision to maintain historically low interest rates will have a stabilizing effect on the market, and result in “positive gains” for BC and Vancouver, according to the nationwide report.
Ross McCredie, President and CEO of Sotheby's International Realty Canada, said, "Historically low lending rates will be the driving force behind top-tier real estate sales across the country into mid-2015. With both the Ontario and BC economy positioned for growth, the high-end real estate market in Toronto and Vancouver will experience the greatest gains.”
The report adds that the low lending rates “will ease the ability for buyers to enter and upgrade within the real estate market by offsetting price gains, and signal a measured approach to monetary policy that appeals to foreign investors seeking stable real estate markets.”
Sotheby’s noted that in the first two months of 2015, detached single-family homes over $1 million saw a 24% increase in 2014 sales over 2013 and said that gains were anticipated in the coming months. Meanwhile, demand for attached home sales over $1 million is projected to continue its trend upwards as consumers seek alternatives to single-family homes, according to the report.
To view the full report, click here.