Oakwyn Realty

At Oakwyn we’re always wanting to present the facts in an engaging way. Every month, one of our agents will unpick current market statistics from the Real Estate Board of Greater Vancouver to help you understand what’s going on in the real estate market and what you should be looking out for.

For March 2021 statistics, we have Oakwyn agent Adam Chahl here for his statistics report.

As March 2021 statistics show, we’re in a truly interesting time. We set a record in the greater Vancouver area for the most homes sold in a March ever. Last month’s sales were 72.2% above the 10-year March sales average, making it the highest monthly sales total ever recorded in the region.

Residential home sales totaled 5,708 in March 2021, a 126.1% increase from the 2,524 sales recorded in March 2020. While March 2020 was the first real month of COVID-19 it is not surprising to have seen a paralysis in the market for that month, but we are still at a 53.2% increase from the 3,727 homes sold in February 2021, alone.

March Figures:

• Detached homes in March 2021 reached 1,965, a 130.6% increase from the 852 detached sales recorded in March 2020.
• Apartment homes reached 2,697 in March 2021, a 128.8% increase compared to the 1,179 sales in March 2020.
• Attached home sales in March 2021 totaled 1,046, a 112.2% increase compared to the 493 sales in March 2020.

March 2021 statistics show that, similar to the previous months, we’re seeing demand most pronounced in rural and suburban areas. Notably Delta, which saw a 195.8% increase in sales over 2020, and Whistler which saw a 194.7% increase.

Prices continue to climb! Demand for new listings is outpacing the supply, continuing to cause upward pressure on prices:

We’re still seeing an elevated price point for detatched homes. The average detached home is selling for a staggering $1.7 million, which is an increase of 5% since Feb 2021, and a 17.9% increase from March 2020.

The benchmark price of an apartment is $715,800 a 3.7% increase from March 2020 and a 2.6% increase compared to February 2021.

The benchmark price of an attached home is $872,200, a 10.4% increase from March 2020 and a 3.9% increase compared to February 2021.

You can read more about Adam’s findings, and contact Oakwyn or Adam if you would like help navigating the market.

Work with your Oakwyn agent, work with your trusted real estate advisor, and come up with a plan that makes sense for you in 2021 if you’re thinking about making a move.

To keep up with the latest market statistics and join the conversation, be sure to follow us on Instagram and Twitter, and visit our website.

At Oakwyn, we want to make sure we are continuing to provide value and insight within the Real Estate Industry. This includes sharing our knowledge and experience with our community.

For this month Oakwyn Managing Broker, Eric Grant is here to shed light on navigating multiple offers. Eric provides his tips on how to get an accepted offer when you are the Buying agent in a multiple offer situation.

Read on for Eric’s advice and get in the know, with Oakwyn.

From the get-go, you need to manage your buyer’s expectations. For example, if a single-family home on Vancouver’s Eastside is being presented at $ 1.3 MIllion, chances are it will not sell for that. You need to have a conversation with your buyer and say, “are you prepared to pay $1.5m, $1.6m, maybe more?”

If the answer is yes, then the client can view the property and plan to proceed through the buying process.

Once you have committed to making an offer, you need to prepare your buyer’s offer with terms and conditions, and potentially including subjects, or lack thereof. As their agent, we want to ensure that they are protected in regard to subjects, clauses, and conditions. However, in the multiple offer world, this could prevent a potentially successful bid from being accepted.

You need to explain the risk of not having any subjects on their offer including advising them to seek legal and accounting advice prior to writing a subject-free offer.

With your client now emotionally involved and wanting this home, you need to discuss what price they are happy paying. In a multiple offer situation, market value says one thing and emotions say another.

Some listing agents have a “one-time shot” to do your “best and final”. You have to be sure that your clients do just that. If they lost the home for a couple thousand dollars, how would they feel? If they have the means to increase that offer price, it might be best to do so. If the answer is “no” and they are happy with the offer price. That is where they need to be.

When presenting your subject free offer, include a copy of the deposit cheque. In your contract, include that the deposit shall be payable “upon acceptance”. This way, once the sellers sign your offer, it is a firm contract. Providing a copy of the deposit will give security to the sellers that it is a firm offer, with a monetary value submitted as security.

If a buyer is able to increase a “standard” deposit, which is usually around 5%, it will once again provide added security to the seller.

You did it. Your buyer now has an accepted offer. In this rapidly changing market, you will need to discuss with your buyer that the appraisal might not come in at “accepted offer” price.

If this is the case, you need to explain that your buyer will need to “top-up” the deposit. Remember the appraiser works for the bank, NOT the buyer.

For example: Accepted offer at $ 1.5 million, the appraisal comes in at $ 1.4 million. The buyer will need to pay the difference of $ 100,000 as the lender will only provide funding for $ 1.4 million.

As the buying agent, you are trying to put your best foot forward to secure the property for your buyer. Ensure that you keep in constant communication with the listing agent during “offer” day. You will want to see if you are, in fact, in a multiple offer situation and, if so, how many offers are being presented.

Upon presentation of your offer, you will need to show compassion for the sellers, enthusiasm for your buyer’s excitement, confidence in your buyer’s ability to close, all while being professional.

Once offers have been presented, you will want to be in constant contact with the listing agent to make sure your offer is being considered. If it is not, does your buyer have the ability to make it one of the contenders? One final note, make sure that both you and your buyers DO NOT fall asleep. You laugh, but it happens more than you think.

We are in this together to improve the real estate industry! Let’s stay on top of what we need to do to continue to lead the way in providing professional, ethical, and excellent service to those we serve.

For more information check out our website, or contact us!

At Oakwyn we’re always wanting to present the facts in an engaging way. Every month, one of our agents will unpick current market statistics from the Real Estate Board of Greater Vancouver to help you understand what’s going on in the real estate market and what you should be looking out for.

For February 2021 statistics report, we have Oakwyn agent Jeff Appelbe here for his market update.

February 2021 statistics show that the last couple of months have been astounding for the real estate market. The sales to active ratio for detached homes is now at 40%. That is the highest ratio we’ve had for sales in the detached market since April 2016. Sales are also up 79% year over year, and prices are essentially up 13% depending on the area.

Read on to see how those statistics can be broken down.

Firstly, February 2021 statistics show us it is in the more affordable areas where we’re seeing the most frantic buying. Surrey has a 70% sales to active ratio which is the highest on record Jeff could find for that area. They’re also getting 20 to 25 offers on some places which is skewing the market.

Secondly, condos took a little longer to turn around but Jeff notes he’s now seeing that buying activity starting to tick up starting around December. Downtown now has a 38% sales to active ratio which means that we’re seeing increased buying in downtown.

Lastly, there are more buyers than sellers, this is driving the prices up. Prices were up 2.6% across the board in just February alone. Think about that on 12 times in a year. This is being caused by ultra-low interest rates. The Bank of Canada has committed to keeping rates this low until 2023 which will continue to drive this sellers’ market.

Contact Oakwyn or Jeff if you would like help navigating the market. There are still opportunities out there, we just have to look a little harder.

Work with your Oakwyn agent, work with your trusted real estate advisor, and come up with a plan that makes sense for you in 2021 if you’re thinking about making a move.

To keep up with the latest market statistics and join the February 2021 statistics conversation, be sure to follow us on Instagram and Twitter, and visit our website.