After an extended period of market uncertainty, we are now seeing some signs of stabilization across Metro Vancouver's residential real estate market. The current environment suggests a possible shift toward equilibrium, offering distinct advantages for both buyers and sellers who understand how to navigate these conditions effectively.
For prospective buyers, this market creates an unusually favourable environment, characterized by increased inventory levels (much more to choose from) and more reasonable pricing expectations. The increased selection allows for more time to think, while the absence of intense competition provides room for negotiation; a rare combination in our typically fast-moving market. Well-priced properties are attracting serious interest and some bidding wars; while overpriced homes (for this market), continue to sit without offers.
Recent statistics underscore this trend toward stabilization: July sales reached 2,286 transactions, just 2% below last year's levels, while active listings remain elevated at 17,168 properties - providing buyers with 40% more inventory than the 10-year seasonal average. The sales-to-active-listings ratio sits at a balanced 13.8%, with detached homes (10.2%) still favouring buyers. Townhomes (16.7%) and condominiums (15.9%) show more balanced conditions at the moment. This shows that stats are not perfect because "in the real world" condos are not doing that well. Prices continue to soften, with the composite benchmark price declining year-over-year though the rate of decrease has slowed significantly in recent months.
If we look at the July 2025 numbers, last month in Greater Vancouver we saw:
Sellers who have adjusted their expectations to align with current realities are finding success in this market. There are buyers waiting to buy the properties that are priced appropriately. Properties priced according to recent comparable sales and properly prepared for showings are moving now-even where some of them have sat without offers for many months. There remains strong underlying demand from qualified buyers, particularly for well-located homes in desirable neighbourhoods. However, the buyers continue to ignore homes that are not well priced. I am frequently explaining to sellers that buyers usually will NOT put in a low offer. If the home is not priced close to where they think it should be, they will, more often than not, wait for the seller to lower the price.
This period of stabilization might represent more than just a temporary pause in our market cycle. The current conditions suggest we may be entering a new phase of sustainable growth, one that could potentially last through the remainder of the year. Such balanced markets historically produce favourable outcomes for all parties - purchasers benefit from reasonable prices and selection, while sellers can achieve fair returns without the pressure of extreme volatility.
As we look ahead, the key for market participants will be maintaining realistic expectations while staying attuned to emerging trends. Current indicators suggest this equilibrium may persist through the summer and into the fall months, though as always in real estate, conditions can change quickly. Those positioned to act decisively when opportunities arise will be best served in the current environment.
For specific advice tailored to your individual situation or to discuss how these market conditions might affect your real estate goals, please contact me. The present market offers opportunities for those prepared to move.
For prospective buyers, this market creates an unusually favourable environment, characterized by increased inventory levels (much more to choose from) and more reasonable pricing expectations. The increased selection allows for more time to think, while the absence of intense competition provides room for negotiation; a rare combination in our typically fast-moving market. Well-priced properties are attracting serious interest and some bidding wars; while overpriced homes (for this market), continue to sit without offers.
Recent statistics underscore this trend toward stabilization: July sales reached 2,286 transactions, just 2% below last year's levels, while active listings remain elevated at 17,168 properties - providing buyers with 40% more inventory than the 10-year seasonal average. The sales-to-active-listings ratio sits at a balanced 13.8%, with detached homes (10.2%) still favouring buyers. Townhomes (16.7%) and condominiums (15.9%) show more balanced conditions at the moment. This shows that stats are not perfect because "in the real world" condos are not doing that well. Prices continue to soften, with the composite benchmark price declining year-over-year though the rate of decrease has slowed significantly in recent months.
If we look at the July 2025 numbers, last month in Greater Vancouver we saw:
- Sales of all types of properties were DOWN 2% from July 2024 (2,286 vs. 2,333).
- Sales were 13.9% BELOW the 10-year seasonal average (2,656).
- The number of homes listed for sale last month was 17,168, which is UP 19.8% compared with July 2024 (14,326). This is 40.2% higher than the 10-year average (12,249).
- The number of homes newly listed for sale was UP 0.8% from July 2024 (5,642 vs. 5,597) and 12.4% OVER the 10-year average (5,018).
- Detached home sales were DOWN 4.1% from July 2024 (660 vs. 688).
- The benchmark price for detached homes was DOWN 3.6% compared to July 2024; and a 1% decrease compared to June 2025.
- The sales-to-listing ratio overall for all types of homes was 13.8%; for detached homes, the ratio was 10.2%. Prices trend downward when the ratio is below 12% for a sustained period.
Sellers who have adjusted their expectations to align with current realities are finding success in this market. There are buyers waiting to buy the properties that are priced appropriately. Properties priced according to recent comparable sales and properly prepared for showings are moving now-even where some of them have sat without offers for many months. There remains strong underlying demand from qualified buyers, particularly for well-located homes in desirable neighbourhoods. However, the buyers continue to ignore homes that are not well priced. I am frequently explaining to sellers that buyers usually will NOT put in a low offer. If the home is not priced close to where they think it should be, they will, more often than not, wait for the seller to lower the price.
This period of stabilization might represent more than just a temporary pause in our market cycle. The current conditions suggest we may be entering a new phase of sustainable growth, one that could potentially last through the remainder of the year. Such balanced markets historically produce favourable outcomes for all parties - purchasers benefit from reasonable prices and selection, while sellers can achieve fair returns without the pressure of extreme volatility.
As we look ahead, the key for market participants will be maintaining realistic expectations while staying attuned to emerging trends. Current indicators suggest this equilibrium may persist through the summer and into the fall months, though as always in real estate, conditions can change quickly. Those positioned to act decisively when opportunities arise will be best served in the current environment.
For specific advice tailored to your individual situation or to discuss how these market conditions might affect your real estate goals, please contact me. The present market offers opportunities for those prepared to move.
