Total Greater Vancouver home sales dropped 31.6% year-over-year in March, according to new data from the British Columbia Real Estate Association.

A total of 1,745 units changed hands in the month, down from 2,551 in March 2018. Year-to-date, unit sales fell 34.1%.

Across BC, sales slid 23% year-over-year, with a total of 5,707 sales in March, compared with 7,413 units in the same month last year. Year-to-date, unit sales fell 27%, from 18,953 to 13,816.

“BC home sales continue to be adversely impacted by federal mortgage policy,” said BCREA chief economist Cameron Muir. “The erosion of affordability caused by the B20 stress test has created near recession level housing demand despite the province boasting the lowest unemployment rates in a decade.

Muir said the decline in affordability due to stricter qualification requirements is leading to pent-up demand while many buyers put purchasing plans on the backburner.

“Unfortunately, new home construction is slowing as well, which will likely lead to another housing supply crunch down the road.”

The average home sale price fell 3.9% year-over-year in Greater Vancouver, dipping to $982,654, compared with $1,022,523 last year. Across BC, the average fell 5.4% to $687,720.

BCREA : Greater Vancouver Home Sales Continue to Slide by Emma Crawford Hampel | Business in Vancouver