Vancouver Real Estate Market Update For May 2022!

Finance Minister Selina Robinson introduced Bill 12: Property Law Amendment Act in March, creating a new homebuyer protection period. Find out what this means in this month's market update video.

This is your Vancouver real estate market update for May 2022 and we’re getting into 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. In today’s video, I’m going to cover what’s happened in the Vancouver real estate market through the month of April and what might be coming that could affect that market.

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 hit that subscribe 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.

So, let’s jump into it. The Real Estate Board of Greater Vancouver reports that residential home sales in the region saw a 34.1 percent decrease from the sales recorded in April 2021, and a 25.6 percent decrease from the homes sold in March 2022.

Last month’s sales were 1.5 percent above the 10-year April sales average.

So far this spring, we’ve seen home sales ease down from the record-breaking pace of the last year. The return to a more traditional pace of home sales that we’ve experienced over the last two months provides hopeful home buyers more time to make decisions, secure financing, and perform other due diligence such as home inspections.

While activity may be slowing down in general there are many areas that are still in strong seller's markets. Condos in downtown Vancouver are sitting at a 30% sales ratio. While on the West side of Vancouver they are at a 39% sales ratio and a 53% sales ratio on the East Side of Vancouver. And, in North Vancouver, condos and townhomes are sitting at a whopping 72% sales ratio.

Detached homes in North Van are sitting at a 48% sales ratio and 23% on Vancouver’s Eastside.

The MLS® Home Price Index composite benchmark price for all residential properties in Metro Vancouver is currently $1,374,500. This represents an 18.9 percent increase over April 2021 and a one percent increase compared to March 2022. As you can see, pricing has not come down yet.

If you want to stay on top of the market, whether you’re buying or selling a home, knowledge is key and the Snap Stats market reports are a fantastic way to arm yourself with tons of knowledge on your market area.

To download the full market reports simply click on the images below to get the Metro Vancouver, Greater Vancouver, or, Fraser Valley reports.

If you’re watching this on Youtube, down in the description section is a link to a sample report which I send to my clients on a monthly basis. Feel free to 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.

What’s Coming?

BC Finance Minister Selina Robinson introduced Bill 12: Property Law Amendment Act in March, creating a new homebuyer protection period to allow a buyer with an accepted offer to back out, within an, as of yet, unspecified number of days, after signing a Contract of Purchase and Sale.

The bill was passed without any information on the length of the cooling-off period, financial penalties for buyers who rescind an offer, and regional variations in the legislation to address the differences between local housing markets.

Apparently, this is coming from the BCSFA and the government hopes to have it in place by the summer.

The government and BCFSA say they are doing this to protect homebuyers. If they really wanted to do something beneficial to protect homebuyers they could make home inspections mandatory and continue to raise the bar for home inspectors in BC.

While the government and the BCFSA blunder their way through this mess the Real Estate Board Of Greater Vancouver along with the Fraser Valley and Chilliwack and District real estate boards are actually working to make meaningful changes to policy that protects buyers and increases transparency.

The Board is exploring ways to improve the multiple offer experience for home buyers, sellers, and Realtors across the Lower Mainland. In pursuit of this goal, They’re contemplating changes to the Rules of Cooperation, Rule 4.02 Presentation of Offers, and developing changes to the Direction Regarding Presentation of Offers (DRPO) form to make a seller’s direction to delay presentation of offers irrevocable. 

They are also considering changes to Rules of Cooperation, Rule 4.04 to enhance transparency in the multiple offer process and address concerns around so-called “phantom offers”

Specifically, they’re proposing to amend Rule 4.04 in the Rules of Cooperation to require seller’s agents to provide a form to all buyer’s agents whose offers were presented that describes the number of offers presented and the names of the buyers’ agents who submitted the offers. The seller would need to sign this form and their Realtor would provide it to the buyers’ agents, who submitted offers, within 24 hours of the seller accepting an offer.

I think both these changes would be excellent and if approved we could see them implemented by this June.