2025 Vancouver Real Estate Forecast: How to Prepare for Market Shifts and Falling Rates

🏡 Vancouver Real Estate 2025 – What’s Coming and How to Get Ahead

Hey everyone – Happy New Year! 🎉 I hope the holidays were great for you and that you had some time to relax and enjoy the season. Now that we’re into 2025, let’s talk about what’s happening with Vancouver real estate because things are already shifting in some pretty interesting ways.

Whether you’re buying, selling, or just keeping an eye on the market, this year could be a big one for you. Let’s dive in and break it all down.

📊 December Recap – Where Are the Listings Going?

Alright, so here’s the deal – December marked the third straight month of inventory dropping across Vancouver. In some areas, we’re seeing the lowest number of listings in almost a year.

🔑 Why this matters if you’re a buyer:

• Fewer listings = fewer options. If you’re waiting for the perfect spot, you might want to make a move sooner than later.
• Rates are coming down, which means more buyers are going to jump in, and that’s when competition ramps up.

The longer you wait, the tighter things could get.

📉 Let’s Talk Interest Rates

Right now, the Bank of Canada has the policy rate sitting at 3.25%, but there’s talk we could see it drop to 2.25% or even 1.75% by the end of the year.

Here’s why:

• The economy’s a bit shaky
• Immigration is slowing down
• Inflation is still being dealt with

💡 What this means for you: Lower rates = bigger mortgages for buyers. That means more people qualify for higher amounts, and that’s going to crank up competition for homes. If you’re planning to buy, getting in before rates dip too low might give you the edge.

🏠 Big Changes for 2025 – Here’s What to Watch

1. Borrow More with Less Down

The government just bumped the insured mortgage limit up to $1.5M.

• 5% down on the first $500K
• 10% down for anything between $500K and $1.5M

👉 This is huge for buyers looking at larger condos, townhomes, and even some detached homes. It’s going to open up options that weren’t as accessible before.

Also, first-time buyers can now stretch their amortizations to 30 years, which drops monthly payments by about 9%. Expect to see a lot more action in that $1M to $1.5M price range.

2. Housing Supply – Why It’s Slowing Down

Here’s the thing – while construction has been steady, permit approvals are at a 40-year low.

That means while inventory looks okay right now, we’re going to see a slowdown in new builds in the next few years.

👉 Translation – if you’re buying now, you’ll be ahead of the game when that crunch hits in 3-4 years. Less new inventory = higher demand for existing homes.

3. Where’s the Opportunity?

Right now, downtown condos are where the deals are at. We’re talking units going for $200K to $500K under assessment. If you’ve been thinking about buying downtown, this might be the window you’ve been waiting for.

Certain neighborhoods are also starting to swing back into seller’s market territory. Timing is everything, so if you’re looking to make a move, now’s the time to start planning.

🌟 Recent Wins – December Success Stories

A quick shoutout to my clients – two sales in December that hit the third-highest price per square foot in their buildings. It was a solid way to end the year, and if you’re thinking of listing, now’s a great time to strategize for the spring market.

📬 Heads Up – BC Assessments Are Coming

Keep an eye out – your BC Assessment should be arriving soon. If you haven’t gotten yours yet (thanks, Canada Post), you can check it online:
👉 Click to Check Your Assessment

💡 Pro tip – If your assessment goes down, that’s not a bad thing. It just means lower property taxes, so don’t sweat it.

📞 Let’s Make 2025 Work for You

If you’re thinking about buying, selling, or just want to chat about what the market’s doing, let’s connect. Rates are falling, inventory is shrinking, and the next few months could set the stage for the rest of the year.

👉 Book a call with me here:
Schedule Your Strategy Call

I’m looking forward to helping you navigate the 2025 market. Let’s make it a great year together!