Vancouver Real Estate Market Update - May 2025 Trends and Insights

At Andrew Way PREC, we are committed to keeping our clients informed about the latest developments in the Vancouver real estate market. As of May 2025, the market is experiencing notable shifts that present both opportunities and challenges for buyers and sellers. This update provides an overview of current market statistics, including average home prices, inventory levels, and sales-to-active listings ratios, as well as factors influencing the market such as interest rates and buyer demand.

Market Overview: A Shift Towards a Buyer's Market

The Vancouver real estate market has transitioned into a buyer's market. The sales-to-new listings ratio (SNLR) stands at 32% for April 2025, maintaining the same level as March but down from 36% in February. An SNLR below 40% typically indicates a buyer's market, where supply exceeds demand, giving buyers more negotiating power.

Average Home Prices: A Downward Trend

Home prices in Vancouver have seen a decline across various property types:

• Detached Homes: The benchmark price for a detached home is $2,021,800, reflecting a 0.7% decrease from April 2024 and a 0.6% decrease compared to March 2025
• Townhouses: The benchmark price for a townhouse is $1,102,300, a 2.9% decrease year-over-year and a 1% decrease month-over-month
• Condominiums: The benchmark price for an apartment home is $762,800, representing a 1.8% decrease over April 2024 and a 0.5% decrease compared to March 2025

Overall, the average selling price of a home in Vancouver decreased by 1.8% year-over-year to $1,184,600 in April 2025.

Inventory Levels: Increased Supply

The total number of properties listed for sale in Metro Vancouver reached 16,207 in April 2025, marking a 29.7% increase over April 2024 and 47.6% above the 10-year average. This surge in inventory provides buyers with more options and reduces competition.

Sales-to-Active Listings Ratio: Indicating Buyer Advantage

The overall sales-to-active listings ratio for April 2025 is 13.8%, reinforcing the buyer's market status. By property type:

Detached Homes: 9.9%
Townhouses: 17.5%
Condominiums: 15.7%

Typically, downward pressure on home prices occurs when the ratio stays below 12% for a sustained period, while upward pressure occurs when the ratio exceeds 20% over several months.

Factors Influencing the Market

Interest Rates: The Bank of Canada's monetary policy has a significant impact on the housing market. Interest rates are expected to remain relatively low, although slight increases could occur as the economy strengthens . Low borrowing costs continue to support home buying, though any rate hikes could temper market activity.

Buyer Demand: Economic uncertainty, including trade policy and federal political shifts, has led many homebuyers to adopt a wait-and-see approach. This cautious sentiment contributes to the current buyer's market conditions .

Opportunities in the Current Market

For buyers, the current market presents an opportune time to explore homes for sale in Vancouver. The increased inventory and softened prices provide a favorable environment to find suitable properties. Utilizing MLS listings in Vancouver, BC, can aid in identifying potential homes that meet specific criteria.

Sellers, on the other hand, may need to adjust expectations and strategies. Pricing homes competitively and ensuring they are well-presented can attract serious buyers in this market. Working with experienced real estate professionals, like those at Andrew Way PREC, can provide valuable guidance during this period.

Navigating the Market with Andrew Way PREC

At Andrew Way PREC, we understand the nuances of the Vancouver real estate market. Whether you're a buyer seeking the perfect home or a seller aiming to position your property effectively, our expertise can help you navigate these market conditions. Explore our MLS Vancouver BC listings and connect with us for personalized assistance.