Vancouver real estate market heating up

Vancouver has the hottest real estate market in the country, according to figures released Thursday by the Canadian Real Estate Association.

Quarterly sales increases of 11 per cent in Toronto and 19 per cent in Calgary were topped by a 34-per-cent jump in Vancouver.

It's the biggest year-over-year increase since early 2002, the association said.

Prices and demand are also on the way up in some sectors of the Vancouver market.

One home up for re-sale on the city's east side tells the story.

The home — on Prince Edward Street near East 21st Avenue — isn't officially showing until this weekend, but is already generating strong buyer interest.

It will list for $1.27 million, but three buyers have already offered to pay full-price without having stepped inside the building.

"Nobody's seen it. I'm very shocked at that [response]," said owner Leland Burridge.  

The average price for a home in Greater Vancouver in September was $610,576, according to the B.C. Real Estate Association.

That's $100,000 — or nearly 20 per cent — higher than the bottom of the market in November 2008, and not far from the highest prices ever.

The Vancouver market peaked in May 2008, when the average home price hit $624,639.

B.C. average price also climbing

"Low interest rates have really had an impact on the marketplace," said Scott Russell of the Greater Vancouver Real Estate Board.

Some parts of the city have been seeing unprecedented prices, such as the Grandview and Mount Pleasant area in East Vancouver, where prices are six per cent above the 2008 peak.

"We've had 36 houses sell for over a million [dollars], and 19 have done that in the last six months," said realtor Darryl Sjerven.

The average price across the province has also jumped.

The B.C. average price of a home has climbed from its low in November 2008 of $395,687 to $474,169 in September 2009 — an increase of 20 per cent.