As we look back on 2025, the Metro Vancouver real estate market clearly went through a reset. Home sales declined by about 10% compared to the previous year, marking the lowest annual sales total in over two decades. While activity slowed, this wasn’t due to a lack of listings; quite the opposite.
Sellers continued to bring homes to market at record levels, resulting in significantly more inventory than we’ve seen in recent years. By year-end, the number of homes available for sale was well above historical averages, giving buyers more choice and leverage than they’ve had in some time.
With sales down and inventory high, prices eased across all property types. The benchmark home price now sits just over $1.11M, down year-over-year. At the same time, borrowing costs fell by nearly a full percentage point, quietly improving affordability and setting the stage for more balanced market conditions.
December reflected this trend, with slower sales activity but steady new listings. Prices for detached homes, townhomes, and apartments all saw modest year-over-year declines, reinforcing the shift away from the intense competition of previous years.
Looking ahead to 2026, buyers are entering the market with more options, softer pricing, and lower financing costs. Whether this translates into stronger demand remains to be seen, but the landscape has clearly shifted toward a calmer, more considered pace.
If you’re curious about what this means for your plans, buying, selling, or simply staying informed, I’m always happy to connect.
