May 2023 Greater Vancouver Real Estate Market Update: A Competitive Spring

As the spring market came into full swing, the Greater Vancouver real estate market saw heightened activity in May 2023. While new listings remained below historical norms, buyer demand created competitive conditions, driving price increases and maintaining momentum across key property types.

Highlights from May 2023:

• Increased Sales Activity:
  Residential sales reached 3,411, marking a 15.7% increase from May 2022. While this figure was slightly below the 10-year seasonal average, it signals robust activity as buyers return to the market.

• Rising Prices:
  The benchmark price for all residential properties rose to $1,188,000, reflecting a 1.3% increase compared to April. Detached homes led the charge, with prices increasing 1.8% MoM to $1,953,600.

• Limited Inventory:
  New listings totaled 5,661, an 11.5% decline from May 2022. Total active listings were 9,293—down 10.5% year-over-year and significantly below the 10-year average.

• Sales-to-Active Listings Ratio:
  This key metric reached 38.4%, indicating a clear seller’s market. Townhomes and apartments were the strongest performers, each with ratios exceeding 45%, signaling high demand and tight inventory.

What This Means for Buyers and Sellers:

• For Sellers:
  The competitive market offers an opportunity to achieve strong sale prices. However, with fewer homes available, effective marketing strategies are key to standing out.

• For Buyers:
  Demand remains high, particularly for townhomes and apartments. Navigating this competitive environment requires preparation and strategic decision-making, including pre-approvals and targeted searches.

Regional Performance:

• Burnaby:
  Detached homes saw strong sales, supported by rising demand in apartments and townhomes.

• New Westminster:
  Apartments remained a popular choice, with affordability and connectivity driving interest.

• Tri-Cities (Coquitlam, Port Moody, Port Coquitlam):
  The Tri-Cities continued to see steady activity across all property types, with affordability playing a significant role in attracting buyers.

Looking Ahead:

While interest rates remain a factor influencing buyer power, the combination of limited inventory and resilient demand is likely to sustain upward pressure on prices. Whether you’re considering buying or selling, now is the time to align your real estate goals with expert guidance.