After a slow end to 2008 and a quiet January, the Vancouver Real Estate market is showing signs that not all are waiting to see where the bottom of the market adjustment will go. Smart sellers know the inventory of late in Vancouver has reduced by almost 25% over this time last year and that leaves less selection for potential buyers. But... buyers are also aware the market environment has turned in their favor with an unsettled atmosphere due to economic woes and just where and how long will this "recession" go and whom will it affect. It is now very clear that seller's must price properly right out of the gate - while buyers are willing to offer on homes they see to be priced "fairly" taking advantage of record low interest rates. A fine line we now walk to have both sellers and buyers reaching an accord.
I was working with a buyer last week in downtown Vancouver looking for a small studio in the $130-$175,000.00 price range and all 5 lisitngs we approached had offers within 2 weeks of being available to the market. These smaller units have first time buyers taking advantage of record low interest rates which are now trumping the predictions for further housing low's in the market. With less inventory buyers know these windows of opportunities are brief. This has - yes believe it or not - resutled in multiple offer situations and back up offers. Locking in at rates never before available for a 5 year term is just too good to pass on and as we all know - what a differance a year can make. Return to this time period in 2008 and if someone told you the entire economic system was going to suffer it's current situation we see today, would you have believed it.
March is here and statistics prove the activity has increased by almost 100% over January. Considering the economic outlook it bodes well for the Vancouver Real Estate market. Reduced inventory but of good quality is appearing and being priced "right" - while the interest rates that are being offered are swaying potential buyers to consider their options more seriously - especially first time home buyers. Time will tell but it's simple math - why rent when you can own!