The expected sales bump for the month of October did show up, registering the 2nd highest transaction numbers for detached homes in North Vancouver this year (May was 1st, per usual). Sales were not as strong as last year’s numbers across the region and the weakness was predominately in the condo segment. Prices undid some of the bounce seen in September’s numbers and the broader index price remained on its downward trajectory. Lynn Valley was particularly weak on condo sales, as not nearly enough units are selling to absorb existing supply. We will look to whether a recent interest rate reduction moves the needle enough for the winter market to be a little busier than usual. We will also look to the federal budget release about whether there will be tax or lending rule changes intended to support first-time buyers and distressed condo developers.
*Why do we follow these numbers so closely? The reason is that sentiment and buyer psychology are major factors in what drives our market locally. These numbers are what are reported and repeated by local media and other realtors to their clients, so they have a large bearing on the decision-making process of buyers and sellers – particularly in markets like today’s where there are many on the sidelines preparing to make a major transaction sometime soon, but who could be catalyzed into action out of fear of missing a turning point.
