Vancouver Real Estate Market Update for December 2019!

A 55.3% increase in November sales, a 25% increase in the Empty Homes Tax, massive increases for Strata corporation's insurance policies for their buildings. Find out what it all means in this month's Vancouver real estate market update!

This is your Vancouver real estate market update for December 2019 and we’re getting after it right after this.

Hey, everyone. I’m Craig Veroni with RE/MAX Masters Realty. I’m your local real estate agent here in Vancouver, BC. This is the final market update for 2019. Man, this year has flown by. Hasn’t it? Has it felt that way for you? As usual, in today’s video, I’m going to cover what’s happened in the Vancouver real estate market in the month of November, what’s coming that could affect the market, and a piece of technology I’m utilizing to make your home selling and buying experience a smoother one. I shoot a ton of videos about what it’s like to live, love, and own here in Vancouver so, if you haven’t yet, please subscribe to my channel, hit that thumbs up button and don’t forget to click on that bell so you can be notified immediately when I have a new video out. I really want you to be able to stay up to date on all the latest tips and insights into the Vancouver real estate market so you can become an expert too.

Let’s get into it. Last month’s sales were 4 % above the 10-year November sales average. There was a 55.3 % increase from the sales recorded in November 2018 to those in November 2019, and yet a 12.6 per cent decline from the homes sold in October 2019. What we’re seeing is the intensity of home buyer demand depends on neighbourhood, property type, and price point and to better understand the changing trends in your neighbourhood and property type of choice, it’s important to work with your trusted local REALTOR®. Receiving the Snap Stats market reports also helps and as always friends, to download the full market reports for your area simply click on the images below to get either the Metro Vancouver or Greater Vancouver reports. If you’re watching this on Youtube, in the description section below is a link to a sample report which I send to my clients on a monthly basis. You can review that and if it’s something you find of value, and trust me you’re going to love these reports, you can simply fill out your name and email address to start receiving the reports monthly.

There have been a few things recently announced which could have an impact on the Vancouver real estate market. You may have heard that the City of Vancouver will be increasing the Empty Homes Tax by 25% in 2020 from the current 1% to 1.25% with additional 25% increases in 2021 and 2022. That would put the empty homes tax at 1.75% in 2022. The city has already collected over $40 million from the tax which is being used to fund affordable housing projects. The city’s goal is to add more pressure on empty homes to be filled. Mayor Kennedy Stewart has stated that any additional revenues will be used to provide housing for Vancouver’s most vulnerable residents.

Another huge buzz in the condo market is that strata corporations are facing insurance increases anywhere from 50-300% for the policies that cover their buildings. Strata corporations are required by law to have insurance policies in place for their building. Any buyer purchasing a home in that building would be responsible for obtaining personal insurance for their home and belongings. Not only are the cost of the policies going up but so are the deductibles. The reasons for these increases are both local and global. We have insurers not willing to assume the full risk for a high value, brand new condo building here which may be $100 or $200 million in value. There are also a lot of older buildings which may not have kept up with maintenance and may now face the possibility of not being able to obtain any insurance for the building. The global issues affecting these massive changes in the risk profile assessments of insurance companies are the fact that we are seeing increasing weather-related catastrophes, fires, and natural disasters. This is not just an issue for BC residents but will become the new norm for cities around the world. If you’re planning on purchasing a strata home such as a condo or townhouse make sure you are working with a REALTOR who can guide you through the process.

A piece of technology I utilize to make your home selling and buying experience a smoother one is a program allowing you to sign documents electronically. Electronic signatures are not only convenient and save time but they also help streamline the whole buying and selling process. It’s not uncommon for negotiations to go on for a few days in the purchase and sale of a home and there can be many revisions to a contract. Being paperless and having the ability to edit documents digitally is a huge advantage for both buyers and sellers. Of course, there are those who still want to be able to put pen to paper during a deal and I’m happy to accommodate you if that’s the case.

If you’re moving or planning on moving to the Metro Vancouver area soon and want to know more about specific neighbourhoods, I’ve shot a ton of videos of various neighbourhoods around Metro Vancouver and will be shooting many more areas in the coming months so, stay tuned.

I hope you’ve enjoyed this video. If so, please hit that thumbs up button and give it a like and make sure to leave a comment down below.

Thanks for watching. I wish you all a Merry Christmas and remember, this is where you Live. Love. Own Vancouver!