While negative news article regarding real estate prices continues in July, the real estate market continues to recover. In fact it is surprisingly strong. The July sales volume in Vancouver are 9.4% above the 10-year July average. 22.3% increase from last year and 28% increase from last month.
And prices continue to go up. The benchmark price for a detached home is up 5% compared to last year and 0.9% compared to June. For apartments the numbers are 4.2% and 0.3% respectively. For attached homes, the numbers are 3.7% and 0.9%. It seems like the spring market was just delayed by the covid-19 pandemic and the pent-up demand is fueling the impressive sales volume in July. Buyers seem to be looking past the pandemic.
So while pundits are forecasting lower prices, the real estate market is defying predictions and is going in the opposite direction. At least for now. Last month some lenders are sending out letters to clients notifying them of the end of the mortgage payment deferral. Also note one in five Canadians are on the Canadian Emergency Response Benefit. How long can the benefit continue? Surely the full economic effects of Covid-19 have not worked through the economy. Crazy unpredictable times. When will this end? Hang in there everyone. Be safe and be kind.
