Dear Stuart,

In August, the sales activity for detached homes on the Westside remained below the long-term average and the listing activity also was below the long term average.

Compared to the 10-year average, the supply of detached homes is at the long term average %, while apartments are up 42%, and townhomes are up 55%.

Demand, when compared to the 10-year averages, is down by 36% for detached homes, 28% for apartments and townhomes are down by 25%.

Buyers are trying to buy and housing supply appears to have peaked in July. Well priced homes are selling quickly and over priced homes are getting offers often 20% below their asking prices. Buyers are still hurting from the high interest rates even after two quarter point rate drops and many sales still fall apart due to financing.

In August, the westside Detached Home average price is down 18% from the peak in August 2023. The Apartment average price is down 3% the peak in January 2018, and the Attached Home average price is down by 7% from the peak in June 2023.

The Bank of Canada is expected to drop the rate another 1/4 point, once or maybe twice before the year end which should help buyers qualify for more mortgage debt. Each quarter point drop will save a borrower about $150 per month on a $1M mortgage.

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, attached and detached homes.

Demand has responded to higher interest rates by falling in all categories but the surprise has been how prices have remained steady in the face of those increasing costs & supply.

Further rate cuts 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….

The market often picks up in mid Sept. and we are seeing that activity start already.

Have a great fall! 🍂☕️🪵

Best regards

Stuart

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

• Supply:
• In August, the supply of Westside detached homes was 5% lower compared to July, with a total of 657 homes available, down from 691.
• This is an increase of 16% compared to August 2023 when there were 568 homes on the market.
• Demand:
• Sales of Westside detached homes in August were down 30% from July, with 45 homes sold.
• Sales were down 33% compared to August 2023, which had 67 sales.
• The number of sales remains 36% lower than the ten-year average of 70 sales.
• Months of Supply (MOS):
• The Months of Supply (MOS) in August increased by 35% from the previous month, with a current MOS of 14.6 compared to 10.8 in July.
• This represents a 72% increase from July 2023.
• A MOS between 7 to 10 is typically considered a balanced market, where prices tend to remain relatively stable.
• Pricing:
• The average detached home price in August decreased 14.5% and median decreased 6% from August 2023's peak.
• The average price is $3.879 million, and the median price is $3.998 million.
• Current prices are up 3% on average and 14% on median from last month.
• High and Low Sale Prices:
• In August, the highest sale price for a detached home was $10.35 million, with the property spending 132 days on the market before it was sold.
• The lowest price for a detached home was $1.92 million, which sold after 84 days on the market.
• Out of the 45 homes sold, 10 met or exceeded the asking price, while 35 homes sold for less than the asking price

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

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

• Supply:
• In August, the supply of Westside apartments was down 7% compared to July, with a total of 1,831 apartments available for sale.
• This number is up by 26% from August 2023.
• Demand:
• Demand for Westside apartments decreased by 15% in August, with 252 sales compared to 298 sales in July.
• The number of sales in August was down 21% from the same month last year, which had 320 sales.
• Apartment sales are down 28% from the ten-year average of 350 sales.
• Months of Supply (MOS):
• The Months of Supply (MOS) in August increased by 11% compared to July, to 7.3.
• This is an increase of 60% from the MOS of 4.5 in August 2023.
• Prices:
• The average price of Westside apartments in August is up 2% from July, with the average price at $1,044,095
• It was up 4% from August 2023.
• The median price was down 3% to $850K and is up 2% from August 2023.
• Average prices are at 13% below the peak of $1,199,000 in January 2018, and median prices are 4% below the peak of April 2022.

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

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

• Supply:
• In August, the supply of Westside townhouses decreased by 3% compared to July, with a total of 348 townhouses available for sale.
• The supply was up 39% from August 2023, which had 250 townhouses on the market.
• Demand:
• The demand for townhouses in August decreased by 22%, with 39 sales.
• The number of sales in August decreased by 13% from the same month last year, which had 45 sales.
• Attached home sales are 8% below the ten-year average of 54 sales.
• Months of Supply (MOS):
• With the decrease in supply and decrease in demand, the current Months of Supply (MOS) for townhouses increased by 24%, reaching 8.9.
• This is 61% higher than the MOS of 5.6 in August 2023.
• Prices:
• The average price of townhouses in August was $1.724 million, up 8% from July.
• It increased 7% from August 2023 when the average price was $1.614 million.
• The median price in August was $1.57 million, a 2% decrease from July ($1.6 million), and a 5% increase from August 2023.
• Average prices for townhouses are down 7% from its peak. Median prices decreased 14% 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 August, indicating changes in supply, demand, pricing, and their respective trends over time.