Metro Vancouver presale condo sales down ‘50% plus’ Realtor says, amid buyer uncertainty

It’s no secret that Metro Vancouver’s housing market is slow right now, with both sales activity and prices down in the last 12 months compared to the previous year.

But according to one local Realtor, the presale condo sector is being hit especially hard, as buyers hesitate amid economic uncertainty and a growing gap between new-build and resale prices.

Mike Stewart, a Vancouver-based Realtor with two decades of experience who specializes in presales, estimates that presale condo sales in the region are down “50 per cent plus” compared to a few years ago.

“It’s a dramatic fall off,” Stewart told 1130 NewsRadio.

He says the slowdown is showing up in longer sales cycles and, in some cases, stalled or cancelled projects.

“All the time. Yeah, it’s happening a lot right now,” Stewart said when asked about project cancellations.

Stewart notes presale deposits in B.C. are generally protected, meaning buyers typically get their money back if a project is cancelled. However, he says the lost time can still be costly for would-be homeowners.

“That’s money they could have invested years ago. So it’s very unfortunate.”

Why presales are struggling

Stewart says the presale condo market is struggling largely because of economic uncertainty and a lack of buyer confidence, with investors and first-time buyers hesitant to commit to projects that won’t be completed for several years.

“People who are looking to make major purchases want certainty; they don’t want uncertainty.”

He adds developers are also facing higher costs, increased regulation, and softer resale prices — all of which have made presales a tougher sell.

Stewart places much of the blame on both the provincial and federal governments.

“If the government focused on the simple things like building our wealth, keeping costs low, life would be better for everybody. But unfortunately, we’ve got a government that just doesn’t understand that approach.”

“Housing and real estate is how young people get ahead in life and establish themselves and have families. And this regulatory, taxation approach is stopping people from doing that.”

He also says pressure from U.S. tariffs and uncertainty surrounding trade talks with U.S. President Donald Trump have added to the challenges facing developers and potential buyers.

Looking ahead

Stewart warns the presale slowdown could have ripple effects on Metro Vancouver’s housing supply in the coming years, potentially setting the stage for the next surge in prices if fewer projects move ahead.

“Right now we have very little new housing creation occurring,” he explained.

“So when the population is greater, there’s going to be new housing coming to market. What the governments are doing, particularly the provincial government, is sowing the seeds of a future surge in real estate prices.”