Dear Stuart,

In May, the sales activity for detached homes on the Westside remained below the long-term average while the listing activity was slightly below the long term average.

Compared to the 10-year average, the supply of detached homes is down by 1%, while apartments are up 46%, and townhomes are up 53%.

Similarly, demand, when compared to the 10-year averages, are down by 21% for detached homes, apartments are down 17%, while townhomes are down by 20%.

In May, the westside Detached Home median price is down 16% from the peak in August 2023. The Apartment median price is down by 4.4% from the peak in April 2022, and the Attached Home median price is down by 10.7% from the peak in June 2023.

The Bank of Canada has dropped the rates by a quarter point which will save a borrower about 150 dollars per month on a 1 million dollar mortgage but more importantly is seen as a move to encourage buyers, spending and to stimulate the economy.

The market has been expecting higher inventory levels since the BoC started raising rates and that along with zoning encouraging higher density has resulted in a steady rise in supply of apartments and attached properties while detached supply has gone down.

Some of this shift is a result of the change of use from single family to apartment and multi family developments but it has been bolstered by taxation that discourages ownership of real property over $3M in value. So single family homeowners are being encouraged to sell their homes into duplex & multi family developments which while they will be smaller, will supposedly be sold for more affordable prices.

Demand has also responded to the higher rates by falling in all categories but the surprise has been how steady prices have remained in the face of increasing rates, increasing supply and decreasing demand. Another other positive takeaway has been how relatively few homeowners have been forced to sell in the face of the high borrowing costs.

This rate cut and others if they come later this year should encourage demand but we are also further into the mortgage renewal cycle and many mortgage holders have yet to hit their renewal dates under the higher rates….

Happy Father's Day! 🎉📅❤️😘

Best regards

Stuart

Detailed information on the Westside detached homes market in May. Here's a summary of the key points:

• Supply:
• In May, the supply of Westside detached homes increased by 5.3% compared to April, with a total of 639 homes available, up from 607.
• This is an increase of 21% compared to May 2023 when there were 530 homes on the market.
• Demand:
• Sales of Westside detached homes in May were up 12% from April, with 95 homes sold.
• Sales were down 10% compared to May 2023, which had 106 sales.
• The number of sales remains 21% lower than the ten-year average of 121 sales.
• Months of Supply (MOS):
• The Months of Supply (MOS) in May decreased by 5.8 from the previous month, with a current MOS of 6.7 compared to 7.1 in April.
• This represents an 35% increase from April 2023.
• A MOS between 7 to 10 is typically considered a balanced market, where prices tend to remain relatively stable.
• Pricing:
• The average and median detached home prices in May decreased 19% and 16% from August 2023's peak.
• The average price is $3.86 million, and the median price is $3.565 million.
• Current prices are down 15% on average and down 7% on median from their previous peaks in October 2017 and July 2017, respectively.
• High and Low Sale Prices:
• The highest sale price for a Westside detached home in May was $11.3 million, which spent 81 days on the market before selling.
• The lowest price for a detached home was $1.74 million, selling after 34 days on the market.
• Of the 95 sales, 30 received the asking price or more, while 65 homes sold below the asking price.

These statistics provide a comprehensive overview of the Westside detached homes market in February shedding light on changes in supply, demand, pricing, and notable sale prices.

Detailed information on the Westside apartment market in May. Here's a summary of the key points:

• Supply:
• In May, the supply of Westside apartments increased 7% compared to April, with a total of 1,929 apartments available for sale.
• This number is up by 46% from May 2023.
• Demand:
• Demand for Westside apartments increased by 11% in May, with 349 sales compared to 315 sales in April.
• The number of sales in May was down 22% from the same month last year, which had 447 sales.
• Apartment sales are down 17% from the ten-year average of 419 sales.
• Months of Supply (MOS):
• The Months of Supply (MOS) in May decreased by 3.2% compared to April, to 5.5.
• This is an increase of 87% from the MOS of 3 in May 2023.
• Prices:
• The average price of Westside apartments in May increased 6.5% from April, with the average price at $1,045,636.
• It was down slightly% from May 2023.
• The median price was relatively unchanged at $849K and is down 2% from May 2023.
• Both average and median prices are down from their respective peaks, with average prices down by 13% from the peak of $1,199,000, and median prices down 4% from the peak in April 2022.

These statistics provide a comprehensive picture of the Westside apartment market in February, highlighting changes in supply, demand, pricing, and their respective trends over time.

Detailed information on the Westside townhouse market in May. Here's a summary of the key points:

• Supply:
• In May, the supply of Westside townhouses increased by 3% compared to April, with a total of 358 townhouses available for sale.
• The supply was up 49% from May 2023, which had 240 townhouses on the market.
• Demand:
• The demand for townhouses in May decreased by 15%, with 56 sales.
• The number of sales in May decreased by 18% from the same month last year, which had 68 sales.
• Attached home sales are 20% below the ten-year average of 70 sales.
• Months of Supply (MOS):
• With the increase in supply and decrease in demand, the current Months of Supply (MOS) for townhouses increased by 21%, reaching 6.4.
• This is 81% higher than the MOS of 3.5 in May 2023.
• Prices:
• The average price of townhouses in May was $1.867 million, relatively unchanged from April.
• It increased 8% from April 2023 when the average price was $1.734 million.
• The median price in May was $1.637 million, a 8.3% decrease from April ($1.78 million), and a 4% increase from May 2023.
• Average prices for townhouses are relatively unchanged from its peak. Median prices decreased 11% from its peak. The average peak of $1.867 million in April 2024, and the median peak of $1.834 million in June 2023.

These statistics provide a comprehensive overview of the Westside townhouse market in February, indicating changes in supply, demand, pricing, and their respective trends over time.