As the Bank of Canada continued to cut its policy interest rate in the final months of 2024, market sentiment was improving and activity was accordingly building momentum. That carried over into January, according to statistics published by Greater Vancouver Realtors (GVR) on Tuesday.
In January, a total of 1,552 sales were recorded, which represents an 8.8% increase from the 1,427 sales recorded in January 2024, although last month's total remains 11.3% below the 10-year January average of 1,749.
On the other side of the equation, 5,566 new listings came online, which represents a staggering 46.9% increase from the 3,788 added in January 2024. Last month's total was also 31.1% higher than the 10-year January average of 4,247.
With that batch of new listings, the total amount of active listings in the region — not including the Fraser Valley — is now at 11,494, which is 33.1% higher than the January 2024 total of 8,633 and 33.2% higher than the 10-year January average of 8,632.
In terms of prices, the composite residential benchmark price is now at $1,173,000, which represents a 0.5% increase from January 2024 and a negligible 0.1% increase from December 2024.
By property type, the benchmark price is now $2,005,400 for single-detached homes, $1,105,600 for attached homes, and $748,100 for condominiums. Compared to a year ago, those benchmarks have increased by 3.1%, increased by 2.7%, and decreased by 1.7%, respectively. Compared to a month ago, those benchmarks have increased by 0.4%, decreased by 0.8%, and decreased by 0.2%.
Market Analysis
"In the three months preceding January, we've watched buyer demand gain momentum, but it appears that momentum is now shifting toward sellers to start the new year," said GVR Director of Economics and Data Analytics Andrew Lis. "Even with this increase in new listing activity, sales continue to outpace last years' figures, signalling some buyer appetite remains after the upswing that finished off 2024."
"With new listings outpacing demand to start 2025, price trends saw little fluctuation in January across all segments, with the market overall standing in balanced conditions," Lis added. "Our 2025 forecast calls for moderate price growth by the end of the year, but we have cautioned that shocks to the economy such as those currently threatening Canada via tariffs from the US could impact these estimates. Going forward, whether these tariffs actually come into force, the duration they remain in place, and the degree to which Canada retaliates will determine the impact to the housing market in our region in the months ahead, if any."
Last month, the BC Real Estate Association (BCREA) published a forecast projecting that homes sale would increase by 14.3% this year, while also citing the momentum built in the past few months. Their forecast projected that prices would rise by 4.5% in 2025, an increase that will be "driven by a strong recovery in overall housing demand."
After bringing its policy interest rate down to 3.00% last week, there is no interest rate announcement this month and the next announcement will be made on Wednesday, March 12.
