The coronavirus pandemic has severely impacted the world and people’s lives, with many industries forced to halt their operations earlier this year. Despite the slow start, given all the lockdowns and quarantines, the Fraser Valley Real Estate Board (FVREB) reported total annual sales of 12.4% in Fraser Valley for 2020. This statistic is above the 10% average and is primarily attributed to the demand that built up in the second half of the year.
According to the Board’s December 2020 Statistics Package, the year closed with 2,086 total sales at an average price of $906,606. The record was said to be the strongest December by far and a 67.3% increase from November 2020. The 1,502 new listings this month were also deemed to be the second highest on record. Overall, the sales and numbers brought in during December 2020 proved to be record-breaking, which was a pleasant surprise considering the circumstances this year.
December 2020 Summary
Out of the 2,086 sales made in December 2020, 881 were for detached homes, 501 for townhouses, and 457 for apartments. This breakdown represents an increase of 90.3%, 75.2%, and 46%, respectively, from November 2019. The average prices for each property type were recorded as follows:
- Single Family Detached Homes: $1,220,796
- Townhouses: $615,553
- Apartments: $422,032
For single family detached homes, the largest volume of sales came from the City of Surrey, particularly in Central Surrey with 205 sales. The same observation can be made for townhouses, with Central Surrey taking up 154 sales. As for apartments, the most sales came from North Surrey with 122 sales for the month.
FVREB Year-End Review
Despite the rough year brought about by the pandemic, Fraser Valley managed to get higher sales this year, with 2020 sales amounting to 19,926, a 28.7% increase from total sales in 2019 and the fourth-highest annual sales since 2011. The sales can be broken down into 8,176 single-family detached homes, 5,102 townhouses, and 4,357 apartments. Each property type saw an increase in sales this year, with detached home sales going up by 41.7%, townhouse sales by 31.2% and apartment sales by 5.9% compared to 2019.
The 31,693 new listings registered in 2020 was also a 3.7% increase from the 30,568 in 2019. Similar to the annual sales, new inventory was recorded as the fourth-highest in the past decade. Detached home, townhouse, and apartment sales primarily came from the City of Surrey with 4,240, 3,064, and 2,119 sales, respectively.
The FVREB president, Chris Shields, praised the real estate market’s ability to bounce back after the economic shock of the pandemic. He noted that no one would have expected the six-month stretch that happened, nor did anyone expect the massive changes and adjustments that had to be made to maintain safety. Business operations may have resumed after the restrictions became more flexible, but people were still conscious about health protocols. Thus, technology and digitization have played a crucial role in facilitating contactless transactions during these times.
A surprising but pleasant development this 2020 would be the unexpected increase in demand for family homes, which is expected to continue through the following year or so. However, even with the promising results registered this year, there are still many challenges ahead. According to the CEO of the Board, Baldev Gill, Fraser Valley’s inventory is 28% below the normal, which can lead to shortages.
With the record-breaking results registered for the year 2020, there may be tons of opportunities to sell your property at this time. Consult with your realtor today to know if it is the right time to list in the market.