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High-end Metro Vancouver homes selling, ultra-luxury market drags: report

Last Updated Jan 15, 2020 at 11:22 am PDT

FILE - Homes are pictured in Vancouver, Tuesday, Apr. 16, 2019. THE CANADIAN PRESS/Jonathan Hayward
Summary

These are homes that cost more than $4-million, according to Sotheby International Realty's latest real estate report

Sales in that segment were down 12 per cent in the second half of 2019 compared to the same period the year before

Sotheby's CEO Don Kottick says sales in the $1-million to $4-million range were up significantly

VANCOUVER (NEWS 1130) — There are more signs the local real estate market is rebounding, but ultra-luxury homes appear to be in a category of their own in Metro Vancouver.

These are homes that cost more than $4-million, according to Sotheby International Realty’s latest top tier real estate report. Sales in that segment were down 12 per cent in the second half of 2019 compared to the same period the year before with Sotheby’s pointing to taxes and policies targeting overseas investors and empty homes.

But Sotheby’s CEO Don Kottick says sales in the $1-million to $4-million range were up significantly.

“We’re very optimistic that we’ve turned the corner, and we look forward to a very good market in 2020,” he says.

RELATED: CREA reports December home sales up 22.7 per cent compared with year ago

Sales of condos from $1-million to $2-million dollars were up 44 per cent.

Kottick says most of Metro Vancouver’s sales last year were closed in the latter half of the year.

“It actually happened three times in the past where the last six months have been heavy up in sales and have always been followed with a period of increased activity so we view that as a positive sign for the market.”

Overall, Sotheby’s says the Metro Vancouver market has become more balanced and is showing signs of a steady recovery.

Sotheby’s adds taxes and policies aimed at limiting overseas investment and unoccupied homes have redirected ultra-luxury buyers to the Toronto and Montreal markets.