FILE - A real estate sign is pictured in Vancouver, B.C., Tuesday, June, 12, 2018. The Sotheby’s International Realty Canada Top Tier Fall Forecast, released on Wednesday, Sept. 25, 2019, predicts a gradual recovery for the top-tier housing market in Vancouver throughout fall 2019. (THE CANADIAN PRESS Jonathan Hayward)

Vancouver’s luxury real estate market to get a boost: forecast

Sotheby’s calls for gradual, tenuous recovery for top-tier market through fall

Vancouver’s luxury real estate market is expected to get a boost this fall after prolonged uncertainty, even though sales above $1 million were low in the first half of September.

The top-tier market started to turn around this summer, according to a Sotheby’s International Realty forecast, after a decrease of 33 per cent year over year in the first half of 2019.

And while preliminary market data shows a 27-per-cent year-over-year pullback in sales above $1 million in the first 15 days of September, Sotheby’s forecasts a gradual, albeit tenuous market recovery throughout the rest of fall.

The real estate sales and marketing company said sales of condominiums, attached and single-family homes higher than $1 million increased 25 per cent from July and August 2018 levels, to 564 properties sold.

During the same time, sales between $1 million to $2 million increased 30 per cent to 411 properties, and sales between $2 million and $4 million increased 26 per cent to 132 units.

However, the luxury $4-million market in Vancouver remained soft. Sales above $4 million actually declined 32 per cent, to 21 units sold in July and August 2019.

READ MORE: Greater Victoria sees real estate prices soften in August

After gains made in the summer, and despite sales being down in the first half of the month, Sotheby’s said pent-up demand is expected to release into new activity and housing prices are expected to continue to drop to match current conditions.

For example, benchmark prices for single-family homes receded 11 per cent in August to $1,346,500 in Vancouver East and 12 per cent in Vancouver West to $2,880,800. Sotheby’s said this repositioned the homes as viable alternatives to higher-density options for some top-tier buyers and investors.

The forecast also cited year-over-year employment growth in Vancouver as a reason for market recovery.

READ MORE: Developer offers free Tesla 3 with purchase of South Surrey townhome

The leading Canadian housing market in the forecast was the Greater Toronto Area.

Significant increases were experienced in the GTA across every housing type, Sotheby’s said, as condominium, attached and single-family home sales above $1 million rose 13 per cent, 45 per cent and 29 per cent from 2018 levels, respectively.

Preliminary sales figures for the first 15 days of September also suggest robust fall activity ahead, as overall $1 million-plus sales surged 53 per cent year-over-year, and sales higher than $4 million rose 75 per cent.



karissa.gall@blackpress.ca

Like us on Facebook and follow us on Twitter

Just Posted

Christmas Seals campaign helps British Columbians breathe easier

One in five Canadians have lung disease such as COPD or asthma

Hope and Area Transition Society planning vaping info sessions

Family-focused events to be held throughout January

Hope’s illicit drug death rate rivals Vancouver

Small Fraser Valley district listed among top five per capita in B.C.

Westbound Highway 1 crash in Langley

Accident occurred just west of 264th Street shortly before 6 a.m.

No defence witnesses in trial of man charged in killing of Abbotsford student

‘Change of instructions’ results in defence closing case without calling evidence

B.C. woman charged in connection to stolen vehicle smash-up in Kamloops

Kersten Ina Peters was arrested in the Fraser Valley on Friday, Dec. 6

VIDEO: Harbour Air makes history with first electric aircraft test flight

Successful flight marks first of its kind in the world

Salmonella outbreak in Canada linked to rodents and snakes

92 cases of salmonella across six provinces, including B.C.

Meng Wanzhou wins right to more documents involving arrest at Vancouver airport

Defence lawyers allege the Huawei executive was unlawfully detained, searched and interrogated

Police say they’ve identified suspects in Bradley Kline homicide in Surrey

Kline, 26, was found dead at 7055 144A St. on Dec. 7, 2018

Truck with body inside found at bottom of lake near Kootenay ferry

Investigators believe no foul play is expected but are unsure how the vehicle ended up in the Arrow Lakes

Bizarre ‘hole punch cloud’ forms over Fraser Valley

Several people posted images of the odd formation, which is scientifically known as a cavum

VIDEO: Calgary man narrowly escapes from avalanche while running at Lake Louise

Bryon Howard caught the entire wild experience on camera

Most Read