housing
BUILT BUT NOT BOUGHT: MORE THAN A FEW BUT STILL NOT A LOT Regular readers of this publication will know that over the past year we have not only been tracking changes in the stock of completed and unsold condos across Metro Vancouver, but also trying to put the recent increases into a broader historical context. To summarize,
Whenprojecting future changes,many factors need to be considered, including the pace of resale and pre-sale activity, the flow of new homes being launched, and the magnitude of expected completions, based on current construction inventory. While there isn’t enough space on this page to expand on all of these factors, the region did set a new record- high for housing starts in 2019, so if the stock of built but unsold inventory is not to rise— or even decline—the demand side of the market will have to pick up steam in the next two years.
while the most recent estimate of 531 completed but unsold condos is double the average of 264 from the mid-2016 to mid-2018 period, it is significantly below the peak achieved in past market cycles, most recently 2,233 in January 2013.
HOW MANY EMPTY BOXES IN THE SKY?
3,500
3,000
2,500
2,000
STARTS FROM YEARS AGO...
1,500
1,000
...AFFECT TODAY’S BUILT & UNSOLD INVENTORY
500
0
BUILT & UNSOLD CONDO INVENTORY
CONDO STARTS, MO MOVING AVG.
SOURCE: CANADA MORTGAGE & HOUSING CORPORATION DATA: INVENTORY OF COMPLETED AND UNSOLD HOMES & CONDO STARTS
rennie.com
42
Made with FlippingBook - professional solution for displaying marketing and sales documents online