The number of Vancouver luxury home sales in the $4 million-plus category fell 33% overall last year, but the decrease was related solely to slow sales in the first half of 2017, according to a Sotheby’s International Realty Canada report released January 10.
A total of 382 homes in this price range were sold in 2017, compared with 573 in 2016.
Between January and June last year, 211 units sold, compared with 439 in the same period in 2016. This 52% decline was partly as a result of the implementation of the 15% foreign-buyer tax in August 2016, and it was in large part related to the single-family home market, which saw an overall drop of 35% last year.
“This decrease [in sales of single-family homes worth $4 million-plus] can be attributed to the disconnect between buyers and sellers, as the latter delayed home of more attractive offers, and buyers waited for market conditions.
Between July and December, sales of homes in the highest price category recovered some of their lost ground. Sales increased almost 28% in the second half of 2017 compared with the same period in 2016, from 134 units to 171.
The $4 million-and-higher category isn’t the only price range that saw a year-over-year decline in 2017. Sales of homes worth between $2 million and $4 million fell 19% compared with 2016, with a total of 1,097 sales last year. The decrease was related to a 32% drop in the first half of the year, while the second half saw a 13% increase.
Sales of homes worth between $1 million and $2 million increased 8.4% last year. This is attributable to a 46% increase in the second half of the year, which more than offset the 11% drop in the first six months.
Sales of condos worth more than $1 million increased 27% in 2017, reaching 1,285 sales and surpassing the previous record of 1,008 sales in 2016. Meanwhile, house sales in this price category fell 20% year-over-year.