2026 Mid-year Metro Vancouver Real Estate market update: Buyer's foot traffic is down around 26.6%. Why are prices not in free fall?

In this 2026 Mid-year Metro Vancouver real estate market update, I'm going to break down what I'm seeing in the market and explain why prices are not in free fall in many areas. If you're wondering what you should do next, keep reading. I truly hope that this update helpful.

Back to the question many people ask. If sales are down by 26%, why aren't home prices coming down even more?

Here are a few reasons:

The overall sales-to-active ratio was 13.1%, which means the market is sitting just above the threshold where prices typically drops. Downward pressure on prices generally occurs when this ratio stays below 12% for a long time.

While apartment sales dragged down the overall totals, detached home sales is heading up, this provides a stabilizing effect for the market.

In some areas, move-up buyers are still actively waiting for great deals to buy in, this also prevents the price from "free falling." They have accumulated enough equity in their home and doesn't mind waiting as long as the "perfect" deals comes across the table. There's no urgency and the market is in a standstill.

In conclusion, while it's not a "free fall", prices ARE down year-over-year. We have already seen a price correction. The benchmark price is 6.2% lower than it was in May 2025.

Total Sales count vs 10-year avg.

From March to April, home sales went up a little bit, which is normal for spring. The numbers look a bit better compared to the past 10 years, mostly because April is usually a busier month than March. So the market is waking up for spring, but it’s still calmer than a typical year, which means buyers have more homes to choose from and a bit more time to decide.

Total Sales each month

However, if we break it down month by month, it doesn't look as bad as it is when compared with the 10-year average where it's 20-30% below. The market is still moving just at a slower pace.

Total Inventory count vs 10-year avg.

From January to May, active listings increased from 12,628 to 16,917, which is a gain of 4,289 listings, or roughly 34% more inventory over five months.

Inventory was building faster than demand was absorbing it. That helps explain why the market felt softer even though sales improved slightly from month to month. More supply, combined with below-average sales, kept conditions balanced-to-buyer-friendly rather than strongly favouring sellers.

What is important to know is that inventory was not just rising in normal seasonal fashion; it was sitting far above typical levels for each month. Even in May, when the gap narrowed slightly to about 35% above the 10-year average, the market still had substantially more available homes than usual.

New listing count (vs 10 yr average)

Traditionally, April is a busy month, and unfortunately that momentum did not extend into May. May's number is on par with the 10-year average. Suggesting the market has normalized and changes are not expected for the near future.

New listing Month to month change

The number of homeowners thinking about selling is starting to come down. New listings in May dropped quite a bit compared with April 2026. We also saw a small dip back in February after a very weak January for sales. The spring market did bring some optimism, and more homeowners decided to put their places on the market during that time. But based on how sales have played out, many homeowners have been disappointed with the results and are choosing to hold off on listing for now.

MLS Home Price Index Trend (All properties)

If you have specific questions regarding a certain neighbourhood, please do not hesitate to reach out. Everyone's situation is different. We have different needs, requirements, and timeline, so if you are ready to make a move, please reach out to me so I can personalize your home purchase plan.