February 2023 – Lower Mainland Monthly Update (REBGV & FVREB)
Metro Vancouver & Fraser Valley sales in January fell to their lowest level in over 10 years
The most reliable indicator of market prices is the Sales to Active Listings Ratio (SAL). This is the ratio between the number of sales in a given month and the number of active listings at month-end.
In hotter markets in BC, a long-term analysis has shown that prices will usually act in the following ways:
- 7+ Months of Inventory (Under 14% SAL): Prices will likely DECLINE
- 5 – 7 Months of Inventory (14% – 18% SAL): Prices will likely be STABLE
- Less than 5.5 Months of Inventory (Over 18% SAL): Prices will likely RISE
Sales in January fell to their lowest level in over 10 years, as buyers continued to take a breather to adjust to the new interest rate environment.
Cumulative Year-to-date Sales
2023 starts off where 2022 ended, with sales (1,648) 40% below the 10-year average (2,878).
January inventory (11,596 active listings) increased only slightly from the previous month, and are 20% below the 10-year average (14,443 average).
Sales to Active Listings
Despite the low sales, low inventory kept the Sales to Active Listing Ratio above 14%, indicating stabilizing prices.
Months of Inventory
Similarly, Months of Inventory rose to 7.0 MOI, indicating a slight buyers’ market.