Last week's post on the Vancouver Real Estate Board's March 2020 Vancouver Residential Real Estate Board statistics raised some questions on where is the market going after COVID-19?
There have been discussions that the market will have downwards pressure. What does this mean for savvy buyers, sellers and investors? At Praedia, we focus on data and analytics to help answer questions.
A custom method we use are graphical area and subarea tools, these tools provide visual comparison for factors such as area / subarea performance and movement towards or away from average lines, tightening or expanding average lines vs prior months.
In the case of a very specific question of what area / sub area would be considered undervalued as we head back to 'normal' day activities, we run and review two key Housing Price Index (HPI) data sets.
The first set is an overview of Greater Vancouver and Fraser Valley areas comparison, in this case a 1 year, 6 month, 3 month and 1 month plot:
We generate custom graphs according to the information requested, in this case a sort of 1 year descending identifies easily as outperforming or underperforming against other areas and determines performance against average levels for the applicable time reference.
The second set of data is specific sub area plots using the same time frames or we adjust as needed:
This graph provides a visual of how West Vancouver sub areas have performed and can identify where subarea trends will be moving towards. The HPI noted sub area prices also help to determine potential up or down trends according to affordability and value against other comparable sub areas. In general static terms, the average line is where the trends will tend to move towards; however, as we live in a dynamic world we must factor in hyper local market affects. New inventory, rezoning, density are some of the outside affects from viewing purely the data. Where are you looking to buy or sell and can our custom tools help with your strategy?
We're here to help with your market questions and your advantage in this changing real estate market. Have a question or would like more information - Contact Us!