Sorry for the constant pop culture references (Zoolander by the way.) Anyone who has been following the market, or seen the recent stats released from the Greater Vancouver Real Estate Board, will know the market slowed down significantly in December. Both Listings and Sales declined substantially. Is this a sign of the market ? Yes and No is the short answer. Regardless of the market, December tends to slow down on both fronts. Given that Christmas is upon us, and the New Year shortly after, people generally tend to be preoccupied rather than purchase their homes. This tends to last until the New year and then the Real Estate holiday hangover begins. Usually lasting a couple, possibly three, weeks in where everyone is starting to remember their life ….. What’s my name? Oh no I actually have to go back to work?! What do you mean 10:30AM is too early for a drink?!?!
Well that is usually. The market correction has been fortunate for First Time Home Buyers. It seems simple, but a lot of people have had to look in the tri-cities or further to purchase their first home (assuming no significant backing from parents, investments etc). Now the market has adjusted, it’s giving the opportunity to those same First Time Home Buyers to purchase something with a Vancouver address!
As of this blog going live, we are currently mid January. Right about now, we should be seeing the hangover start to dwindle and groups come to open houses, calls be made for showings etc. Well, this has already been happening, and happening thick and fast over the past couple of weeks! We can’t speak for every REALTOR out there, but for ourselves and a number of others we know, open houses, showings and offers have been in full swing.
What do all of these experiences between us and our fellow REALTORs have in common? All the properties are around that $650,000 and below mark. On top of that, the parties looking are first time home buyers OR first time investment buyers.
A very regular conversation we are hearing is “We were looking to buy in Coquitlam/New West but then realised we could get something in Vancouver within our budget”. Depending upon personal circumstances, some buyers (couples mainly) would prefer to buy a 1 bedroom in Vancouver than spend the equivalent on a 2 bedroom further out that is typically an older building.
On top of this, they have been looking already. As with the above mentioned conversation, they have already been looking in those areas and are now ready to make a move, that move just happens to be in Vancouver now.
Now although the market has come down, overall there may be a fair bit of competition out there for homes in this price range, however first time home buyers are attracted to neighborhoods like I am to english tea. So although there may be a variety of home in this price range on the market, when you divide that by neighborhood, the numbers drop substantially, meaning you are facing less competition. A common difficulty with those looking to sell their homes recently.
The moral of the story being, don’t take a nap and let those slower pass you……… Wait, sorry wrong story. The moral of the story is, if you’re sitting on a property in this price range, you have the option to take advantage of a newer area in the market that we’ve not seen for a long time in Vancouver.
We’re glad to be continuing the positive start to 2019! Thanks for reading and we’re opening the doors again to content YOU want discussed. You can reach out to us on either of the details below with your requests.Until then …
Mcinnes Marketing Out!
Jay Mcinnes
T: 604.771.4606
jay@mcinnesmarketing.com
Ben Robinson
T: 604.353.8523
ben@mcinnesmarketing.com