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Vancouver and British Columbia Housing Market Outlook


Blog by Gaëtan Kill | September 12th, 2013


Vancouver Rela Estate Statistics

Vancouver and British Columbia Housing Market Outlook

• Single-detached starts are projected to rise to 9,000 units in 2013 and 9,900 units in 2014. Growth in demand for new single detached homes will shift from urban to rural BC in 2014, reflecting both lower land costs and rising resource sector employment. – This is key in terms of beginning to look at regional developments such a Comox valley where there are better profit margins for development.

• British Columbia’s multiple-family starts will ease slightly to 18,100 units in 2013, due to rising inventories and increased competition from a well-supplied resale market for condominium apartments. (This is from CMHC) Multiple family starts are forecast to edge higher, increasing to 18,700 units in 2014 as demand strengthens and inventories of new completed and unoccupied units are drawn lower.

• Multiple-family construction in the province has been supported by low vacancy rates in the rental sector and demand from buyers seeking less costly and lower maintenance alternatives to singledetached housing.

• Expect smaller phased projects to continue to get underway in housing markets outside of Vancouver, with an increase in larger multiple-family projects starting construction in Vancouver, including several intended for the rental market.

• MLS® sales are forecast to increase to 70,100 in 2013 and 77,000 in 2014. Demand will be broadbased, fuelled by rising employment, coupled with low interest rates, ample supply and stable prices.

• Expect rising new listings in line with stronger existing home sales to keep price growth in check this year and next. The average residential MLS® price in British Columbia is forecast to edge higher, with projected increases below the pace of consumer price inflation. The average price is forecast at $518,300 in 2013 and $523,200 in 2014.