Last Updated on October 24, 2023 by Neil Sharma
Luxury home sales in Vancouver are expected to keep rising through 2021, according to a new report from Sotheby’s International Realty Canada.
Sales in the city’s rose year-over-year by 56% and 73% in January and February, respectively, which Sotheby’s attributes to pent up demand, low interest rates, renewed market confidence and a desire to move into lifestyle-congruent homes, the impetus of which was the COVID-19 pandemic.
“Luxury residential real estate sales over $4 million (condominiums, attached and single family homes) increased 41% year-over-year to 45 properties sold in the first two months of 2021; one property sold over $10 million during this time, where none had sold in this ultra-luxury price range during the same period in 2020,” said the report.
“Luxury property sales between $2–4 million increased 57% year-over-year to 193 properties sold. The sale of properties between $1–2 million experienced year-over-year gains of 52% to 527 properties sold. Overall residential real estate sales over $1 million were up 53% to 765 properties sold in the first two months of the year.”
Single-family homes were the most popular type of luxury home purchased in the City of Vancouver, and as a result it sparked heated bidding wars. Locals weren’t the only people enquiring about the city’s luxury homes, as international buyers reemerged in the city following a pandemic-induced lull.
“In the first two months of the year, luxury single-family home sales over $4 million increased 29% to 36 homes sold, with one home sold over $10 million compared to zero during the same period in 2020,” said the report. “Single-family home sales between $2–4 million increased 65% to 162 homes sold. Conventional home sales between $1–2 million increased 33% to 179 units sold. Overall, $1 million-plus single-family home sales were up 44% year-over-year to 377 homes sold, as the benchmark price for a single family home in Vancouver West and Vancouver East rose 8.5% and 9.5% year-over-year, respectively, to $3,203,200 and $1,565,800 in February 2021.”
Luxury condo sales in Vancouver, however, couldn’t keep up with the single-family and attached home segments, but consumer confidence ameliorated in January and February 2021, when sales for condos priced over $4 million rose by 75% to seven units sold.
“$2-4 million sales contracted a nominal 6%, or one unit, year-over-year to 16 units sold, while $1-2 million condominiums sales rose 48% year-over-year to 179 units sold,” said the report. “Overall condominium sales over $1 million increased 42% year over year to 202 units sold in January and February 2021.”
Neil Sharma is the Editor-In-Chief of Canadian Real Estate Wealth and Real Estate Professional. As a journalist, he has covered Canada’s housing market for the Toronto Star, Toronto Sun, National Post, and other publications, specializing in everything from market trends to mortgage and investment advice. He can be reached at neil@crewmedia.ca.
