Even though the luxury housing market is affected by a shortage of property in Vancouver, the first quarter sales report raises.
Sales of many types of properties in the luxury category of more than $ 1 million have declined, year after year, as buyers feel frustrated for those with limited resources.
The shortage of property has been blamed for rising costs of all types of housing by all prices, and that does not include multi-million dollar housing.
In a recently published report entitled “Spring 2022 State of Luxury,” Sotheby’s International Realty stated that property shortages are a global problem, including in Vancouver, for the first three months of the year.
According to the company’s “Top-Tier Real Estate” report, total sales of more than $ 4 million homes have dropped by 14 percent in Q1 from the same period last year.
If you look at the most expensive property, the number of homes sold for more than ten million dollars was part of what we were between January and the end of March 2021.
For those who are wondering how many buyers are getting into this bracket, last year it was six in three months. This year it was three.
Real estate sales of more than $ 1 million have dropped by 10 percent, Sotheby’s said.
Among those that have not been sold in this category is the so-called luxury condo list. Posts from Macdonald Realty asking for $ 49 million for a bathroom are still valid from Wednesday morning.
One category was high, however. The value of more than $ 4 million worth of homes for sale increased by 8 percent, year after year.
Increasing that in all condos sold over $ 1 million showed even higher growth, up 29 percent from 2021.
According to Sotheby’s, 559 such condoes were sold in the Vancouver area before April this year.
“In all of Canada’s major metropolitan areas, we have seen impressive sales and consumer demand in the luxury condominium market this year, leaving no doubt that consumer and investor confidence in the urban and urban markets has fully restored,” Sotheby’s International Realty Canada president Don said. Kottick said in a statement.
It is a high number, considering that many different households in the same family in the city also fall into that category, but Sotheby’s said it was just over 599 homes sold for $ 599. This is lower than last year, said Sotheby’s.
“Despite the strong demand from buyers, the lack of service delivery has also hampered home sales of $ 1 million, which has dropped by 16 percent since the first quarter of 2021,” the report said.
Kottick said the hot market conditions, coupled with “evaporation of single-family property and attached housing” leave buyers with only one option in some cases, something he thinks will add more demand in the summer.
Whether the $ 1-million real estate sale is yet to fall into the luxury category in Vancouver is another question.
It is not a typical condo price, but it is difficult to find a private home in the city and many surrounding communities for less money, even if the house is listed using terms such as “investment opportunity” or “top fixer.”
At the time of the Sotho audition B.C. The Real Estate Association reported that the average number of Multiple Listing Services in the province – not just in Vancouver – was $ 1.086 million.
The average price in March alone was very high, reaching $ 1.096 million, up from $ 946,813 in March 2021.
That has increased by 20 percent from the same period last year, although the volume of the dollar and the sale price have dropped dramatically.
If you look at the area called “Greater Vancouver,” which does not include Surrey, the average annual price so far was $ 1.325 million in Q1. During that time, 10,217 residences changed hands.
And it is not very cheap in the Fraser Valley, where the average between January and the end of March was $ 1.238 million. At Chilliwack, which is separately measured, the average is down, at $ 892,405, but the city saw the largest annual price increase by 30.7 percent.
Vancouver Island saw a similar rise in price to 29.7 percent, with the average price now $ 787,491.
BCREA economist Brendon Ogmundson said in a press release that he expected real estate prices to remain lower than last year, heading into Q2. He said a “sharp rise” in interest rates would have an impact.
His remarks came a day before the Bank of Canada raised its significant interest rate by a very high rate of more than 20 years.
About Jasmohan Singh Bains
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