No slump in Fairview real estate market in March as sales and prices rise

The Fairview neighbourhood in Vancouver saw strong demand by homebuyers and sales over asking price in March despite the economic uncertainty and turmoil caused by COVID 19. The Fairview, Kitsilano and Mount Pleasant neighbourhoods all saw conditions favouring home sellers during the month and are experiencing upwards pressure on pricing.

How do we know? List to Sales Ratio

A buyer’s market has a 0-12% list to sales ratio
A balanced market has a 12-20% list to sales ratio
A seller’s market has a 21% or greater list to sales ratio

Looking at March’s sales activity the Fairview condo market had a 43% list to sales ratio, resulting from 79 listings on MLS and 34 condo & townhome sales.

What does it mean?

Generally, analysts say downward pressure on home prices occurs when the ratio dips below 12 per cent for a sustained period, while home prices often experience upward pressure when it surpasses 20 per cent over several months.

The BIGGER picture

Here’s the breakdown for condo’s & town homes on Vancouver’s Westside in March:

• Overall a Seller’s market at 29% list to sales ratio, up from 24% (a 2.9 out of 10 selling rate)
• The most active price range was for homes priced between $400k-$600K.
• Homes are selling on average at 100% of list price.
• Buyer’s Best Bet: Homes between $2.25M to $2.5M, Quilchena, South Granville, and minimum 4 bedroom properties
• Seller’s Best Bet: Selling Homes in Kitsilano, Fairview, Mount Pleasant, and up to 2 bedroom properties

In March this year condo and townhouse inventory remained flat at 0%, sale prices rose by 9%, while total sales increased by 25% when compared to February.