Photo: Tracy O/Flickr
In many ways, Vancouver’s housing market is cooling. The rate at which new condo projects are coming to market isn’t one of them.
At least that’s what MLA Canada, a real estate marketing and intelligence agency, suggests in its latest monthly report.
“October through December was the most active quarter of 2018,” writes Suzana Goncalves, MLA’s chief advisory officer, in the December 2018 Pre-Sale Real Estate Insights report.
MLA estimates that developers will launch 5,400 homes in 43 projects this quarter through Vancouver and Fraser Valley.
Some 38 percent of new homes put up for sale last month have found buyers, consistent with the absorption rate observed in the preceding months. That’s well off from the 97-percent sales rate seen in January, but MLA Canada suggests the pre-construction market has “normalized” in the Lower Mainland.
“This feels quite promising given the amount of product released and is indicative of a more balanced market condition,” Goncalves continues.
In December, developers are launching sales at 10 condo projects for a total of 1,724 new homes, up from the 1,298 pre-construction units added in November but down from the 2,418 released this October. A vast majority of the units projected to be launched this month are in concrete condo buildings, while 281 are within wood-frame structures. No new townhomes are anticipated.
MLA notes that the level of expected sales launches this month is somewhat of an anomaly.
“December is rarely an active month for pre-sale launches, with most projects holding off on sales until the New Year. However, we are anticipating five high profile projects to open their doors for sales,” the report reads.