The most expensive housing market in Canada appears to be ready to surge after 3 years of sitting quiet.
In Metro Vancouver, where the average homes costs just over $1 million, prices could just rise 9% this year, according to a forecast from Royal LePage.
That's a large rebound after 3 years when benchmark Vancouver homes gained just 0.5% as local government efforts to control housing costs started taking hold.
Prices in Vancouver will be driven up in 2021 as first time buyers try to get into the market and the demand for housing outstrips supply.
Vancouver is not just dealing with a few weeks of pent-up demand, but 3 years of pent-up demand.
Covid-19 has fueled a rally in Canadian home prices, as low interest rates and demand for more space drive a buying frenzy. A tight supply of available properties has helped drive up prices. This trend is expected to continue through 2021.
Nationally, home prices will jump 5.5% this year, with most of Canada's largest cities out pacing that rate of growth according to the report.