Condominium owners in Metro Vancouver are opening up 2019 property-assessment notices showing increases in value from a year ago. But much has changed in property markets since B.C. Assessment set those values on July 1.

Across most of Metro Vancouver, condo prices are down 6.4 per cent since July to a benchmark prices $664,100, according to figures released Thursday by the Real Estate Board of Greater Vancouver. The benchmark is based on the average price, adjusted to reflect “typical” condos among those sold.

That is in contrast to B.C. Assessments’ July 1 appraisals that showed average increases from July 2018 of anywhere from six per cent in the city of Vancouver to as much as 23 per cent in Whistler, while assessments on less affordable detached homes were down four per cent in Vancouver and North Vancouver and as much as 12 per cent in West Vancouver.

"Since then, the numbers suggest a broader decline in the market,” said Bryan Yu, deputy chief economist with Central 1 Credit, with sales and prices for condos trending lower along with detached homes.

“This year, when (municipal property) taxes roll around, you’re going to see condo owners take a little more of a hit in terms of their taxes, relative to single-family,” Yu said.

Yu said sales figures show that the condo market became “red hot” in 2016 as detached-home prices soared out of the reach of many buyers, pushing them into the strata-property market. That trend lasted through 2017 and into 2018.

Now, factors such as higher mortgage interest rates and stiffer mortgage-qualification rules have reduced the spending power of buyers and cooled demand at all levels of the market, Yu said.

“In terms of the overall Lower Mainland, our view, at least for benchmark prices, is that they’re already down six per cent (for condominiums),” Yu said. “We see another up to four or five per cent more decline in the broader market (in 2019).”

The Real Estate Board of Greater Vancouver said on Thursday that 24,619 sales were recorded through MLS for all of 2018, a near 32 per cent decline from 2017. Within that, condo sales represented 12,771 transactions, a 30 per cent reduction.

And since July, in Metro Vancouver submarkets, benchmark condo prices have declined as much as 14 per cent in Squamish (now $455,900), 10.3 per cent in Port Moody (now $627,300), 6.3 per cent on Vancouver’s east side (now $538,000) and seven per cent on Vancouver’s west side (now $783,700), according to real-estate-board figures.

For the B.C. Assessment Authority’s assessors, such changing markets don’t create a big challenge, said regional assessor Tina Ireland, because their task is to provide a snapshot of property values on July 1.

“The reason why we do that is so the same market conditions apply to everyone’s assessment,” Ireland said, “to determine a property owners’ share of property taxes in their community.”

However, Ireland said it can be “a bit more of a challenge” explaining assessments to property owners who might be opening their assessment notices and saying “my property is no longer worth that.”

B.C. Assessment took about 1,000 calls from the public on Wednesday, the authority’s first business day since assessments were made public Dec. 31, which is a 60 per cent increase from 2017, Ireland said, but it is difficult to know how big a factor the declining market values is in those inquiries.

For those homeowners who have questions, Ireland suggested consulting the authority’s website for more information about their assessments. It also has tools to compare assessments.

If homeowners have more questions, Ireland said they can call B.C. Assessment for an explanation, and if they are still not satisfied, have the right to appeal their assessments. The deadline to file an appeal is Jan. 31.

Dear friends and valued clients;

By now, most of you have received your Propery Assessments for 2019.  Many of your assessed values are incorrect as the data was compiled back in July 2018.  The real estate market has shifted and many of the assessed values are  over inflated.  

If you feel that your assessed value may be incorrect, you have options.  

-  Firstly, contact me for updated value of your home.  I'd be happy to propvide this at no cost or obligation to you.  

-  Secondly, contact the BC Assessment Office at 1-866-825-8322 or 604-739-8588 to discuss your Assessment. 

-  If you still feel that your Assessment is incorrect, you may file for a Notice of Complaint (appeal) for a formal hearing with an Independent Property Assessment Review Panel. The Notice of Complaint Form (appeal) can be found online at www.bcassessment.ca.   A complaint (appeal) must be filed online, by mail, or delivered in person to your local BC Assessment Office.  

Hearings are heard between February 1st to March 15th, 2019.  A notice of hearing will be sent to you approximately 5 days prior to your hearing. 

Again, please note that the Deadline for Filing a Complaint (Appeal) is JANUARY 31, 2019.  

The November Market stats are out and available for download. You get the following graphs and charts for both Vancouver East and Vancouver West.

• Activity Snapshot by Property Type
• Detached Properties Report and Graph
• Condo Report and Graph
• Townhomes Report and Graph
• Benchmark Price Graph
• Average Price Per Square Foot

If you are interested in a report like this for other areas, please contact me to request it and I'll send it to you.

DOWNLOAD EAST SIDE HERE

DOWNLOAD WEST SIDE HERE

VANCOUVER, BC – December 4, 2018 – Home buyer demand remains below long-term historical averages in the Metro Vancouver* housing market.

The Real Estate Board of Greater Vancouver (REBGV) reports that residential home sales totalled 1,608 in the region in November 2018, a 42.5 per cent decrease from the 2,795 sales recorded in November 2017, and an 18.2 per cent decrease compared to October 2018 when 1,966 homes sold.

Last month’s sales were 34.7 per cent below the 10-year November sales average and was the lowest sales for the month since 2008.

“Home buyers have been taking a wait-and-see approach for most of 2018. This has allowed the number of homes available for sale in the region to return to more typical historical levels,” Phil Moore, REBGV president said. “This activity is helping home prices edge down, across all property types, from the record highs we’ve experienced over the last year.”

There were 3,461 detached, attached and apartment homes newly listed for sale on the Multiple Listing Service® (MLS®) in Metro Vancouver in November 2018. This represents a 15.8 per cent decrease compared to the 4,109 homes listed in November 2017 and a 29 per cent decrease compared to October 2018 when 4,873 homes were listed.

The total number of homes currently listed for sale on the MLS® system in Metro Vancouver is 12,307, a 40.7 per cent increase compared to November 2017 (8,747) and a 5.2 per cent decrease compared to October 2018 (12,984).

For all property types, the sales-to-active listings ratio for November 2018 is 13.1 per cent. By property type, the ratio is 8.9 per cent for detached homes, 14.7 per cent for townhomes, and 17.6 per cent for apartments.

Generally, analysts say that downward pressure on home prices occurs when the ratio dips below the 12 per cent mark for a sustained period, while home prices often experience upward pressure when it surpasses 20 per cent over several months.

“Home prices have declined between four and seven per cent over the last six months depending on property type. We’ll watch conditions in the first quarter of 2019 to see if home buyer demand picks up ahead of the traditionally more active spring market,” Moore said.

The MLS® Home Price Index composite benchmark price for all residential properties in Metro Vancouver is currently $1,042,100. This represents a 1.4 per cent decrease over November 2017 and a 1.9 per cent decrease compared to October 2018.

Detached home sales in November 2018 reached 516, a 38.6 per cent decrease from the 841 detached sales recorded in November 2017. The benchmark price for detached homes is
$1,500,100. This represents a 6.5 per cent decrease from November 2017 and a 1.6 per cent decrease compared to October 2018.

Apartment home sales reached 810 in November 2018, a 46.3 per cent decrease compared to the 1,508 sales in November 2017. The benchmark price of an apartment property is $667,800. This represents a 2.3 per cent increase from November 2017 and a 2.3 per cent decrease compared to October 2018.

Attached home sales in November 2018 totalled 282, a 36.8 per cent decrease compared to the 446 sales in November 2017. The benchmark price of an attached home is $818,500. This represents a 2.6 per cent increase from November 2017 and a 1.3 per cent decrease compared to October 2018.

DOWNLOAD THE FULL REPORT