Vancouver Housing Prices Drop 15% in Surprise November Slump

The Vancouver housing market shows a major slowdown. November data reveals cooling sales and dropping property values. Greater Vancouver Realtors reported 1,846 home sales last month. This number is 15.4% lower than November 2024 and sits 20.6% below the 10-year seasonal average. The drop in sales comes with lower property values across all housing types. These changes point to a market that buyers and sellers must now navigate carefully.

Monthly and annual price comparisons

Vancouver region's composite benchmark price for all residential properties reached CAD 1,565,718.86 in November. This price shows a 3.9% drop from last year and a 0.3% decrease from October 2025. Every housing segment shows this downward trend. The benchmark price for detached homes now sits at CAD 2,648,220.40, down 4.3% from November 2024. Condominiums took an even bigger hit. Their benchmark price fell to CAD 995,277.19, dropping 5.2% from last year. Townhouses (attached homes) now have a benchmark price of CAD 1,484,764.63, which is 4.4% lower than the previous year.

Andrew Lis, chief economist and vice-president of data analytics at Greater Vancouver Realtors, sees a clear pattern. He says the market data "continues telling a story of many buyers patiently waiting and sellers adjusting to market conditions not seen in years". The number of available homes has grown by 14.4% compared to last year, reaching 15,149 listings. This number is 36.3% higher than the 10-year seasonal average. Buyers now have many more choices than they've had in recent years.

Benchmark vs average price explained

Different price metrics help us understand Vancouver's housing prices better. The MLS® Home Price Index (HPI) gives benchmark prices for communities across the region. This helps track home price changes accurately over time. The benchmark price shows what a "typical" home might cost in a community. It looks at popular features like age, size, and the number of bedrooms and bathrooms. This method works better than simple averages that extreme values can distort.

Average home prices simply add up all house prices in a category and divide by the number of sales. The median home price shows the middle point where half the properties sold for more and half for less. The benchmark price gives a clearer picture of market value because it considers specific property features.

The House Price Index (HPI) builds on this by keeping track of similar home sales over time. The MLS® HPI looks at price trends for detached, attached, and apartment properties. It uses January 2005 prices as its baseline of 100. Two other major indices track Metro Vancouver prices too. The Teranet National Bank House Price Index and the Brookfield RPS House Price Index offer different ways to look at price changes.

How this drop compares to historical trends

Vancouver's current price correction looks less dramatic when we look at past trends. The benchmark price has grown about 40% in the last decade, even with recent drops. Yet prices now sit about 10% below their peak of CAD 1,755,494.52 from April 2022. Toronto's market dropped sharply by 25% during a similar time. Vancouver shows more stability with just a 10.8% fall from its 2022 high.

BetterDwelling.com data shows current benchmark prices at their lowest since 2023. These prices have stayed around this level since 2021. This suggests we're seeing a market reset rather than a collapse. November's inventory levels stand out as the highest since 2012.

Homes take longer to sell now and prices keep dropping in most market segments. Both buyers and sellers need to adjust their expectations. Borrowing costs will likely stay steady into the new year. Any market recovery depends more on buyers' changing attitudes than outside economic factors.

Detached, attached, and condo prices show mixed signals

The Vancouver housing market shows different patterns across property segments as fall 2025 unfolds. A closer look at the housing types reveals a complex picture that goes beyond the overall market decline.

Detached homes see modest annual gains

Detached properties show resilience in the Vancouver housing market despite the broader slowdown. The data shows detached homes managed to keep some stability in value compared to other housing types. Detached homes hit a benchmark price of CAD 2,737,116.78 in December 2023. This marked a solid 7.7% increase from December 2022, though prices dipped 0.9% from the previous month. The detached segment has faced some pressure, with the benchmark price hitting CAD 2,648,220.40 in November 2025. This represents a 4.3% drop from last year. While current prices show a big adjustment from the market's peak, they remain high looking at Vancouver's luxury home sector over the past decade.

Attached homes experience sharpest decline

Townhouses and other attached properties have hit rough waters. The benchmark price for attached homes stands at CAD 1,484,764.63, showing a worrying 4.4% drop year-over-year. Average prices have fallen even harder, down 8.0% compared to October 2024 to CAD 1,649,717.58. This comes with a 2.8% drop from September. This property type shows the biggest percentage drops in both benchmark and average prices among all housing types. Prices keep adjusting downward even though sales volume stays steady. This suggests the changes come from high inventory rather than falling demand.

Condo prices stabilize slightly month-over-month

The condo market tells two different stories. Benchmark condo prices have dropped to CAD 995,277.19, down 5.2% from November 2024. The apartment category's average prices have also fallen 5.8% year-over-year to CAD 1,066,086.36. But early signs point to possible stability, as average apartment prices rose slightly by 0.4% between September and October. This small uptick might mean the condo market is finding its bottom after months of decline. Condos tend to bounce back first after market corrections. Their lower prices attract first-time buyers and investors as homes become more affordable.

Sales activity rises while inventory remains elevated

Vancouver's real estate market shows a complex picture with sales activity making modest improvements despite high inventory levels. October 2025 residential sales reached 2,255 transactions, showing a 14.3% drop from last year. These numbers sit 14.5% below the 10-year seasonal average of 2,638, which points to a notable change in Vancouver's housing market patterns.

Sales-to-new-listings ratio indicates balanced market

The sales-to-active listings ratio, which helps predict market direction, stands at 14.2% for all property types. Each housing category shows different ratios - detached homes at 11.3%, attached properties at 17.6%, and apartments at 15.5%. Housing prices tend to face downward pressure when this ratio stays below 12% for long periods. The detached segment hovers near this threshold, while attached homes and condominiums show stronger positions. The market seems balanced but some segments lean toward conditions that favor buyers.

Inventory levels above 10-year average

Metro Vancouver's MLS® system lists 16,393 properties for sale. This number shows a 13.2% jump compared to October 2024. Current inventory levels exceed the 10-year seasonal average of 12,063 by 35.9%. Property surplus follows a trend that started earlier this year, reaching its peak around June 2025. September numbers climbed even higher with 17,079 active listings - a 14.4% yearly increase and 36.1% above typical seasonal averages. High inventory throughout 2025 marks one of the biggest changes in market fundamentals after years of limited supply.

What this means for buyers and sellers

Buyers in Vancouver's real estate market now find themselves in a better position. More available properties and reduced competition let buyers take their time and negotiate better deals. They can evaluate properties thoroughly and secure favorable terms, especially in the detached home segment where buyers have the most advantage.

Sellers need to adjust their strategy in this market. Properties take longer to sell, and setting realistic prices based on current conditions has become crucial. Greater Vancouver Realtors' Andrew Lis observed, "After peaking in June, inventory levels have edged lower, and prices have eased across all market segments as slower-than-usual sales activity meets the highest inventory levels seen in many years". The Bank of Canada predicts no rate cuts for the rest of 2025, suggesting these buyer-friendly conditions will continue through winter.

Macroeconomic factors weigh on buyer confidence

Economic forces beyond local market dynamics continue to alter Vancouver's housing map. The real estate market feels the ripple effects as buyers remain cautious due to economic uncertainty at national and regional levels.

Impact of Bank of Canada rate cuts

The Bank of Canada has lowered its key interest rate to 2.25%. Governor Tiff Macklem made this move to help Canadians through what he called "a period of adjustment" amid slowing growth and U.S. tariff pressures. Variable-rate mortgage holders now save about CAD 18.11 per CAD 139,336.02 of mortgage debt. Homeowners with a CAD 696,680.10 mortgage can expect roughly CAD 90.57 less in monthly payments. Real estate professionals report more clients asking questions, especially first-time buyers who test the market after months of hesitation. Economists believe the central bank might pause further rate changes to see how the economy responds.

GDP growth vs real household spending

Canada's contradictory economic signals directly affect Vancouver's housing market. Recent quarterly GDP results avoid recession territory but reveal worrying trends in consumer behavior. Household spending saw its biggest quarterly drop outside pandemic times in nearly two decades. This sharp decline in consumption happens even as broader economic measures show slight improvement. The gap between statistical recovery and actual household financial health becomes clear. Central 1 Credit Union's chief economist Bryan Yu points to "the lack of certainty in the economy, and mortgage rates—while lower than they were the last couple years—still quite elevated" as key factors behind Vancouver's housing challenges.

Mortgage arrears and HELOC borrowing trends

Mortgage arrears in Vancouver remain historically low but have started to rise. These numbers might soon match levels seen between 2010 and 2015. Financial stress usually shows up first in non-mortgage debt because homeowners tend to prioritize mortgage payments. Warning signs in non-mortgage accounts often lead to more mortgage defaults within 6-12 months. Home equity lines of credit (HELOCs) add another risk factor. They make up much of non-mortgage consumer debt, mostly with floating interest rates. Recent surveys make this situation more concerning. Almost half of working Canadians live paycheck to paycheck without enough emergency funds.

Long-term affordability and zoning constraints shape future

The housing landscape in Vancouver faces fundamental challenges that persist whatever short-term price changes occur. My experience as a realtor has shown me how our market works within unique constraints that affect long-term prospects.

Vancouver vs Toronto affordability trends

Vancouver stands as North America's least affordable Canadian city and ranks third globally for housing unaffordability. Vancouver households must spend 89.2% of their median income on ownership costs. Detached homes demand an impossible 125.9% of median income. Toronto's situation looks better with an affordability measure of 66.4%. The standard price in Vancouver has grown by only 15% over nine years while inflation reached 28%. Toronto's prices jumped 33% during this same period. The housing crisis has pushed 36% of British Columbians to think over leaving the province. For the first time since 2012, interprovincial migration has turned negative.

Zoning and land use as structural barriers

Simon Fraser University research shows how strict zoning bylaws substantially affect British Columbia's housing problems. Vancouver's population density sits at 1,150/km², nowhere near Singapore's 8,500/km², yet faces artificial supply limits despite available physical space. Cities across North America with the highest unaffordability share two vital traits: they keep growing in population and maintain restrictive zoning. Population growth alone doesn't make housing unaffordable. Just look at the relatively affordable fast-growing regions in Texas and Florida.

Why price growth may remain muted despite rate cuts

BC Real Estate Association sees balanced market conditions ahead in 2026. They project provincial price growth of about 4% to CAD 1,387,229.42. The Bank of Canada's big 2.75% rate cuts over 18 months haven't moved the housing market much. BC and Ontario remain Canada's weakest housing markets. Economic uncertainties from US-Canada trade tensions push prices down further.

Getting Help From 70+ Combined Years of Experience

Expert guidance has become essential in Vancouver's complex housing market. Market conditions and prices change without warning, making professional partnerships invaluable. Vancouver residents know that buying or selling a home will be their biggest financial transaction. This fact explains why successful buyers and sellers choose advisors who deeply understand the market.

Seasoned realtors bring more value than simple transaction management. Their evidence-based explanations help clients understand market trends and prepare for changes. Such expertise becomes crucial when the market shows mixed signals in different property segments. Realtors with years of experience possess strong negotiation skills that affect final sale prices and terms for both buyers and sellers.

Vancouver's top real estate professionals stand out through their dedication to understanding their client's unique goals and financial position. This comprehensive strategy gives you guidance that fits your specific needs rather than one-size-fits-all advice. Their network also opens doors to off-market listings and connections with mortgage brokers, lawyers, and specialists who build your complete real estate support team. These experienced professionals work together to direct you through Vancouver's housing complexities while protecting your interests from start to finish.

Key Takeaways

Vancouver's housing market is experiencing a significant correction with mixed signals across property types, creating both challenges and opportunities for buyers and sellers.

• Vancouver housing prices dropped 15% in November with benchmark prices falling 3.9% year-over-year to CAD 1.57 million, signaling a major market shift.

• Inventory surged 36% above 10-year averages while sales fell 20% below seasonal norms, creating a buyer's market with enhanced negotiating power.

• Attached homes face steepest declines at 4.4% annually, while detached properties show more resilience despite overall market pressure across all segments.

• Bank of Canada rate cuts to 2.25% haven't boosted buyer confidence due to economic uncertainty and household spending hitting two-decade lows outside pandemic periods.

• Structural affordability challenges persist with Vancouver requiring 89% of median income for ownership, making long-term price growth unlikely despite monetary policy changes.

The current market represents a significant recalibration rather than a collapse, with conditions favoring patient buyers while sellers must adjust expectations to realistic pricing based on elevated inventory levels and reduced competition.