A Vancouver property agent tells what he says is an old real-estate anecdote.
The tale goes something like, “Will a house sitting on railroad tracks sell?”
And the answer is, “Yes! … at the right price.”
Marty Majerski shares the story in a new video to illustrate how the cooling real-estate market affects people differently.
As many know, sales have gone down, buyer demand has eased amid rising interest rates, inventory is rising, and prices face downward pressure.
In the video, Majerski noted that for people who have owned homes for five to 30 years and need to sell at this time, they need not be concerned too much about prices having come down a “little bit”.
The Vancouver realtor explained that this is why he tells clients to buy homes that they think they can live comfortably in for a number of years.
“If you can hang on there for four to six years, you will generally outlast any market fluctuations,” Majerski said.
However, for those who have bought in the last six months or a year and are now faced with life-changing situations that require them to dispose off their property, the current market conditions may pose a “challenging situation”.
And that’s where the lesson of the anecdote comes in.
“Everything sells at the right price,” Majerski said in the video.
Majerski said that many buyers have adopted a wait-and-see attitude.
“Now, with prices decling and coming off the peak, many of the buyers that we are personally working with simply want to enjoy the summer,” he said.
“Why skip the weekend at the beach to look at open houses when the same properties might be a little cheaper in October when it’s raining?” Majerski continued.
As a keen observer of the market, the RE/MAX agent prefers using average prices as a measure when looking at how different markets are behaving.
One example is the average price of all properties on the West Side of Vancouver.
Majerski said that the average price in July 2022 was $1,434,193.
This marks a 1.1 percent decline compared to the same month two years ago in 2020, when the average price of all homes on Vancouver’s West Side was $1,449,814.
On the East Side of Vancouver, the average price for all properties in July 2022 was $1,159,975.
This represents a three percent increase or about $40,000 from the average price of $1,120,484 in July 2022.
Here’s Majerski with his analysis of the current real-estate market.