If you are like most Canadians you likely started the New Year off with some sort of resolution to be healthier. Perhaps it was watching what you eat, working out more often, being aware of how much time you spend “plugged in” or being intentional about spending more time with your friends and family.
An article published by The Globe and Mail over the weekend caught my attention as I have the word “healthy” in mind this New Year. The title read, “Cooling in housing market seen as ‘healthy’”.
The short article states that the cooling housing market we experienced in the second half of 2012 is continuing into the New Year. Most financial and real estate experts predict that this softness will follow us into 2013, becoming a “healthy phenomenon” like many of our New Years resolutions.
The current real estate situation is quite healthy and is a milder correction to the Canadian housing market than many have been predicting to occur. We are seeing low interest rates support housing demand even though many experts predicted that Canadian interest rates would rise in the second part of 2012. With a growing economy and rising income level, the low interest rates and mortgage affordability will prevent a significant or harsh correction in the market place.
“Quite frankly I think the cooling that we’re having in the market is healthy.”
(Craig Alexander, TD Bank Chief Economist)
You can read the entire article for yourself which also includes data published by local real estate boards throughout Canada including Vancouver.
To finish off this blog post of 2013 lets take a look back at 2012 in our local real estate neighborhoods. I’ve had the results of this report for a couple of weeks but have yet to share the results with you.
2012 Recap of the Fraser Valley Real Estate Market
Here are some key highlights from the December 2012 News Release published by the Fraser Valley Real Estate Board:
- 2012 will be remembered as the “year buyers and sellers took a breather reflecting quieter sales”.
- In the last half of 2012 buyers hoped for greater price drops while unmotivated sellers just took their homes off the market rather than dropping their price.
- The stable economy in 2012 created a friendly market where owners weren’t desperate to sell.
- In 2012, 13,878 sales were processed compared to 15,529 in 2011 (an 11% decrease).
- In 2012 the number of new listings remained about the same compared to 2011.
- In December 2012 the benchmark price for a detached home in the Fraser Valley was $539,000 (up by 1.2% compared to December 2011).
Surrey Housing Benchmark Prices for December 2012
Surrey Central Real Estate
Detached Home $ 565,600
Townhouse $ 297,500
Condo $ 190,800
Cloverdale Real Estate
Detached Home $ 562,300
Townhouse $ 318,500
Condo $ 225,400
North Surrey Homes for Sale
Detached Home $ 524,700
Townhouse $ 234,700
Condo $ 204,800
Does 2013 hold any “house” related New Years’ Resolutions for you? Are you hoping to become more aware of the housing forecast for Surrey, Cloverdale, White Rock or other Fraser Valley neighborhoods? I would love to meet with you to discuss your personal and real estate goals to help you find your next home.
Contact me at any time by phone 778-316-9290 or by email ntaylor@sutton.com.