Home sales in Vancouver plunged.
The latest data from the Real Estate Board of Greater Vancouver showed that home sales in the metro area collapsed by 32.6% year-over-year to 2,253 homes in September, according to Reuters.
The board noted that this “marked a return to historically normal levels,” according to Global News.
This follows last month’s drop of 23% year-over-year, which analysts argued suggests that the “Vancouver market may be softening.”
It’s worth noting that Vancouver’s home sales fell by 27% year-over-year in July, which suggests that the recent tax implemented on foreign buyers might not be the primary catalyst in August’s drop, argued a Capital Economics team back in September.
And, on Monday, the Vancouver Sun reported that “Federal finance minister Bill Morneau “announced the changes Monday that would target foreign buyers and over-leveraged Canadians and appear designed to slow down a frenzied real estate market in Vancouver and Toronto.”
The Canadian dollar is down by 0.4% at 1.3175 against the US dollar as of 10:22 a.m. ET.